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A.B .A. Meets in Washington, D. C. September 20-23 -—Pages 24, 25 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis MIDWEST BANKER STUDENTS AT SCHOOL OF BANKING— Page 6 OFFICERS J a m e s E . H a m il t o n Chairman Executive Committee S . E . C o q u il l e t t e Chairman of the Board John T. H a m il t o n II, President F red W . S m it h , Vice President R e g n in a l d B. F igge , Vice President M a r v in R. Seld en , Vice President R. W. Manatt, Vice President L . W . B r o u l ik Vice President P eter B a il e y , Vice President S. J . M o h r b a c h e r , Vice President J . E . C o q u il l e t t e , Vice President E v erett C. P r a t t , Cashier C. F. P e r e m s k y , Asst. Cashier V ictor W . B r y a n t , Asst. Cashier A. E . L in d q u is t , J r ., Asst. Cashier N. J. D a u t r e m o n t , Asst. Cashier R obert A . Hahn, Asst. Cashier W . F. V o m a c k a , Asst. Cashier TRUST DEPARTMENT G eorge F . M ille r , Vice President R. D. B r o w n , Trust Officer O. A. K e a r n e y , Trust Officer R u ss e l l I. H e s s , A fundamental measure o f the success o f our independent banking system is the quality o f the leadership we provide. Local bankers are charged with the responsibility o f providing leader ship in solving the financial problems and strengthening the financial position o f all customers . . . individual and business. The soundness o f the banker’ s counsel and the caliber o f his service helps to determine the progress o f each customer and the community as a whole. Trust Officer YOU A RE IN VITE D to hear The Merchants National Hour over WMT, 9 to 10 each Sunday evening . . . an outstanding pro duction used to pro mote banking in Iowa. More than half the banks in Iowa depend on The Merchants National for friendly correspondent service to provide customers with reliable national facilities. THE Merchants INa Bank OF CEDAR RAPIDS, IOWA No. 794. Northwestern Banker, published monthly by the Northwestern Banker Company, at 527 Seventh Street, Des Moines, Iowa. Subscription, 35c per copy, $3.00 per year. Entered as Second Class Matter January 1 1895, at the Post Office at Des Moines, Iowa, under Act of March 3, 1879. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis K CCI/? ^ ■ / L J DKS B ILL M U H L GUIDANCE V ER N H U RLBU R T UR J O B SERVICE TO YOU AND N ORTH It’s a matter of p rid e— the superior service given lending institutions participating in N orth Central s Protected Loan Plan. W e w o u ld like to serve you and your community. W rite , w ire or phone today . . . a representative w ill be at your desk at your convenience. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis YOUR COMMUNITY.... C E N T R A L ’S P R O T E C T E D LO A N PLAN ... • Tailor made” for your lending operation • Y o u r greatest risk is eliminated— death or disability of a b o rro w e r • Every type and size of loan can be covered • N orth C e n tra l’s guidance assures maximum benefits • B orrow ers are enthusiastic about the Protected Loan Plan— it’s easy to sel • N o repayment hardship can face a b o rro w e r s family — top public relations for your bank O M P A N Y MI N N Northwestern Banker, Se ptembe r, 1953 4 o r t h w e s t e r n B a n k e r, S e p t e m b e r , 1953 Digitized forNFRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis » Oil and Reai Estafe Interests Expertiv Handled •* in Texas Capitai and Surplus $ 50,000,000.00 X Largest in the South < 5 D e a r E d ito r DES MOINES Oldest Financial Journal West of ihe Mississippi The following letters are from Northwestern Banker readers. Your views and opinions on any subject are welcome in this column. "Tendency to Forget Loan Fundamentals" “ I am flattered by the publicity you gave me in your editorial, ‘Across the Desk from the Publisher,’ in the July issue of the N orthwestern B anker ,. “ I have felt for some time that there is a tendency to forget some of the funda mentals of sound loan management, and I believed that at least the essence of such a program would be of interest to many bankers.” Milton J. Drake, Vice Presi dent, The Detroit Bank, De troit 31, Michigan. "Most Flattering" “ It was most flattering to me that the N orthwestern B anker , which is a maga zine of such importance, would choose to comment editorially on my talk. Now that the shooting war in Korea has stopped, we have the opportunity to prove that the thoughts expressed were more than just words. I have confidence that we will.” Barbara Pendleton, Assist ant Cashier, Grand Avenue Bank of Kansas City, Kan sas City, Missouri. "I Say Amen" “ I say Amen to your letter to Albert Einstein in July N orthwestern B anker . “ It is high time to call to account such fellows who have fled to the asylum of this free country. “ Gratitude, thou art a jewel.” F. D. McCartney, President, First National Bank, Oakes, North Dakota. "We Must Stand Up" “ I have just read your editorial to Wayne Morse in a recent issue of the N orthwest ern B anker , and want to congratulate you in stating the case very clearly as I think we have all arrived at a point where we must stand up and speak our piece if we do not want to be misjudged by the public, as they have no other way of getting the facts and all the information. “ I also wish to state that I have from D E A R E D IT O R . . . (Turn to page 6, please) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis No. 794 Year 5 8 lh IN THIS SEPTEMBER, 1953, ISSUE EDITORIALS Across the Desk from the Publisher............. ...........— ...........— ......14,15 FEATURE ARTICLES Dear Editor ......... ............................ ......................................................... On the Cover........................................................................... ................... Frontispage ........................-......... ......................................................... How Our Bank Helps Farmers With Advice and Management..... .......................... ........................................... Warren R. Langfitt 5 6 17 19 How Well-Laid Plans Made Our Centennial Celebration a Success ....................... ...................... .....................Ralph W. Emerson 20, 21 School Teachers and Children Learn About Banks First-Hand..... ....................................................................Claude A. Templeton 22 23 25 Monthly Bank Letter Is Popular with G.I.’s..... Leslie A. Jacobsen A.B.A. Meets in Washington, D. C., September 20-23-............... 24, News and Views of the Banking W orld........ ........... Ben Haller, Jr. Bankers You Know— Carl A. Bimson.................................................. F.P.R.A. Convention Planned................................................................. Story of Safety Paper Told.........................—................................ -....... Banker Designs God-and-Freedom Medallion That Wins Award..How Banks Use Advertising Specialties............................................ ...................................... .............. A N o r t h w e s t e r n B a n k e r Survey Specialty Firms Give Ideas on How to Use Good Will Gifts........... Advertising Specialties Can Build Business for Your Bank............. 26 28 32 40 44 59 61 63 BONDS AND INVESTMENTS What Should Be Yield Spread for Long-Term 3 % ’s and NearTerm 2 % ’s?.............................................................Raymond Trigger 67 INSURANCE W hat’s the Secret for Young Agents’ Success? Education!....... ..... .................................... ................................ ..Allen K. Brouwer, Jr. 71 STATE BANKING NEWS Minnesota News ............— .................. ...................... ......... .......... 75 Twin City News............... —.................................................... 76 South Dakota News.... ..... .............................. ................................ 79 Sioux Falls News.............................................. 80 North Dakota News.................................... .......... ....................... . 83 .................................................................. 84 Montana News Nebraska News ....... 87 Omaha News ........................................................................... 88 Lincoln News ........................................................................... 92 St. Joseph News.................................. 93 Iowa News .................................................................................. 95 Des Moines News...................................................................... 98 In the Directors’ Room................................................... Conventions .................................................................... Can Life Insurance Be Assigned to Person with No Insurable Interest?...................... ...............Legal Questions and Answers 106 N O RTH W ESTERN BANKER 527 Seventh St., Des Moines 9, Iowa, Telephone 4-8163 CLIFFORD DE PUY RALPH W. MOORHEAD Publisher HENRY H. HAYNES Editor ELIZABETH COLE Advertising Assistant Assosciate Publisher BEN J HALLER, JR. Managing Editor ANNE WALLIN Auditor MALCOLM K. FREELAND Advertising Director MARY LOU MURPHY Circulation Department PAUL W. SHOOLL A. M. LEMIEUX Field Representative AL KERBEL 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, lowa-Nebraska Bank Directory Northwest ern Banker, Se ptembe r, 1953 105 105 6 ON THE COVER o , t i f a w < ? ié c ¿ / Enrollment at the ninth annual ses sion of the School of Banking at the University of Wisconsin was at a record high. Students came from 34 states, the District of Columbia, and Cuba. The School of Banking, spon sored by the Central States Confer ence, consists of the bankers’ associations of 16 states. The school was organized and held its first session in 1945. Enrollment that year totaled 47 students from three states. This year there were 771 bankers in attendance from the 16 states sponsoring the school, as well as 18 additional states, the District of Columbia and Cuba. The picture on the front cover of this issue of the N orthwestern B anker shows a representative group of stu dents from upper midwest states, with one of their instructors. Left to right are: William K. Bartig, State Bank of Long Lake, Minnesota; Frank E. Duffy, Union Savings Bank, Sioux Falls, South Dakota; James I. Black, First National Bank, Fullerton, Nebraska; Patrick F. Cook, Security National Bank, Sioux City, Iowa; Roy M. Chris tensen, National Bank of Jamestown, North Dakota; Dr. Chester A. Phillips, Dean of the School of Commerce, Uni versity of Iowa; section leader, J. Mar vin Peterson, vice president and di rector of research, Federal Reserve Bank, Minneapolis; Donald R. Crab tree, First National Bank, Ellendale, North Dakota, and Theodore P. Feddersen, Crawford County Trust and Savings Bank, Denison, Iowa. The services o f main office, branches, and DEAR EDITOR . . . correspondents o f Guaranty Trust Company time to time read many of your editorials and I think they are excellent and will be looking forward to many more to come in the future issues.” A. W. Hoese, President, Security State Bank, Blencoe, Minnesota. are at your disposal. Complete facilities are available to meet every banking need. Please feel free to consult with us. (Continued from page 5) * A ■* ^ r >~ * "One of the Best" Guaranty Trust rnni|inn.v nf l\ew Varl» Capital Funds $380,000,000 “ Of course I might be prejudiced, but V, I think that the August issue of the N orthwestern B anker is one of the best, and especially the cover. Thanks, Cliff, for doing such a splendid job for the school of Financial Public Relations.” A Preston E. Peed, Executive Vice President, Financial Public Belations Associa tion, 231 South La Salle Street, Chicago, Illinois. U 140 Broadway, New York 15 Fifth Ave. at 44th St. Madison Ave. at 60th St. New Y ork 36 New York 21 Rockefeller Plaza at 50th St. New York 20 LONDON 32 Lombard St., E.C. 3 Bush House, W.C. 2 PARIS BRUSSELS 4 Place de la Concorde 27 Avenue des Arts Member Federal Deposit Insurance Corporation Banker, Se pte m ber, Ì 953 Digitized for Northwestern FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis "Appreciate Picture" “ I should appreciate it very much if you would send me two copies of the picture which appears in the August N orthwest ern B anker . Chester Baylis, Jr., Vice President, Bankers Trust Company, New York, N. Y. A ÖW er/ p fa t tu No. 7 of a Series ty U eel ctâtocÀ eï R ecen tly voted “ D istin guished Farm Banker of Illinois” in a state-w ide poll, John H. C rocker earned this honor by lead ership in the farm-bank ing field. Joining Citizen’s National of Decatur in 1937, Crocker was elected a vice-president and direc tor in 1941 ; president in 1950. Currently he is on the Agricultural Commis sion of the A BA. Also a civic leader, Crocker is a m em ber o f the D ecatur Club and Country Club of Decatur. Mrs. Crocker is the form er Miriam Flint o f Spencer, Iowa. Two children, John, Jr., 29, and Mrs. John Patterson, re side in Decatur. C O R N . Walter W. McLaughlin (le ft), farm service manager, and John H. Crocker (right), president o f Citizens’ National Bank, BA N KERS CH ECK Decatur, 111., in s p e c t a b a n k -m a n a g e d farm, Crocker recently was voted “ Distinguished Farm Banker of Illinois” in a state-wide poll. Bankers’ Management Skill Boosts Corn Yields 20 Bushels Per Acre Can a bank make farm management pay off? So far as the Citizen’s National Bank of Decatur, Illinois, is concerned, the answer certainly would appear to be ‘'Yes!” Under the capable direction of John H. Crocker, president, and Walter W. M c Laughlin, manager of the farm service department, this bank has an outstanding record of farm man agement. Today Citizen’s National manages 124 farms in 20 counties of Central Illinois. These farms total over 35,000 acres. Best indication of how Citizen’s management skill pays off is what happens on a farm after the bank has taken over its management. First of all, a soil test and physical inventory are made. Then an original farm report is prepared. This sometimes requires a year, and includes a full proposal as to crop rotation, fertilizer, new buildings, and so on. The bank insists upon a constructive soil-building program and, in the interest of keeping high-type tenants, urges modernization of farm homes. How successful this later program has been is indicated Spencer Chemical Co. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis by the fact that 75% of Citizen’s bank-managed farms now have bathrooms and running water! Most important thing that happens when the bank takes over management of a farm is that yields go up. On the average, bank-managed farms yield 20 bushels more corn per acre than they did, before bank managementl This extra 20 bushels of com often is due entirely to increased use of fertilizer. Much of the credit for developing this outstanding program must go to two men: John H. Crocker, president, and Walter W. McLaughlin, farm service manager. McLaughlin has a staff of three young men, all with agricultural degrees, who help him call on his tenants at least once every three weeks. This group normally spends 3 days in the field and 2i/z days in the office. A meeting is held each Saturday morning to discuss any special problems. With an outstanding program like this, it’s easy to understand why bankers from all parts of Illinois recently voted President John Crocker of Citizen’s National “ Distinguished Farm Banker of Illinois!” Supplies The Nitrogen Northwestern Banker, Septembe r, 1953 8 Harry Duntemann Retires To B a n k e rs Iawrence ON A FIELD WAREHOUSE RECEIPT is lik e CERTIFIED o n Harry G. Duntemann, assistant cash ier, The First National Bank of Chi cago, retired under the provisions of the bank’s retirement plan on Septem ber 1st. He entered the bank as a messenger in 1911, and was assigned to the advertising department in 1920, becoming manager in 1944. Mr. Duntemann is a life member a ch eck H A R R Y G. DUNTEM ANN W ith First National, Chicago, since 1911 A G uarantee of INTEGRITY, SECURITY and FACILITY INTEGRITY. The integrity of the Lawrence Warehouse Com pany, expressed for forty years in conscientious service, has won the confidence of bank loan officers throughout the United States, Canada and Mexico. SECURITY. Sound, experienced Lawrence operation is backed up by legal liability and fidelity bonds totaling $1,000,000 at each of our more than 2500 field warehouse locations. This unique bond coverage provides the most comprehensive security available to banks and other receipt holders today. FACILITY. Especially popular with banks is the exclusive Lawrence-IBM Commodity Collateral Report for loan offi cers. This modern, electronic record not only cuts the cost of servicing commodity loans — it also keeps the banker continuously up to date on inventory values. Iawrence Warehouse Company ---------------NATIONW IDE FIELD W A REH O U SIN G -------------37 Drumm Street, San Francisco, California 100 N. La Salle St., Chicago 2, III. • 79 Wall Street, New York 5, N. Y. OFFICES IN N ort hwest ern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRINCIPAL CITIES and former president of Chicago Chap ter, American Institute of Banking, former president, Chicago Financial Advertisers, and for many years has participated actively in the Financial Public R e la tio n s Association. He served in the army as a cavalryman in the Mexican border campaign in 1910, and served with distinction as an ar tilleryman in World War I, being awarded the Silver Star Medal with two Oak Leaf Clusters. He will con tinue to reside in Chicago. Irving Trust Plans Irving Trust Company announced recently that the contract has been awarded for installation of one of the largest air conditioning systems ever built into an existing building in the Newr York area. It will he installed in the Irving Trust Company building at 1 Wall Street. Scheduled for use in the summer of 1954, the system will provide air con ditioning facilities for all floors of the 50-story building. The equipment, which will extend from the bank’s vault level four floors underground to three stories above the roof, will furnish refrigerating capacity equivalent to the cooling ef fect produced by bringing 1,500 tons of ice—75 freight car loads—into the building daily. 9 E a s y on the f e e t . . . All his bills paid by check . . . so simple . . . so safe! And now he’s reaping his “bonus” in relaxation and a feeling of prestige. The prestige element was given to him by his bank, which provided him with checks lithographed on La Monte Safety Paper. Checks on these fine papers cannot fail to impress those to whom they are directed. This fact can be a powerful service asset and thousands of bankers have explored its possibilities with marked success. Your lithographer can show you samples or we will gladly send them direct. A C heck Paper All Your Own 'y , j VA ' ,A ' https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Thousands of hanks and many of the larger corporations use La M onte Safety Papers with their ow n trade-mark or design m ade in the paper > itself. Such i n d i v i d u a l i z e d ch eck paper provides maximum protection > against both alteration and counterfeiting—makes identification positive. THE WAVY LINES® ARE A LAMONTE TRADE-MARK Northwest ern Banker, Septembe r, 7953 10 What one name comes to mind when you think of protective equipment in the banking field? V M o sler 24-H o u r D e p o si tories help banking estab lishments stay "open for business” around the clock. N e w M o s le r “ S n o r k e l” Curb Tell er makes drive-in b a n k in g s e rv ice p o ssib le "right downtown.” New Mosler Electric DriveIn W indow is fully auto matic, operates with simple "push button.” N ew M osler Teller’s Coun ter Units and "Swing-W ay” S eats c o m b in e to red u ce teller fatigue, increase over all efficiency. The most famous name in the field o f protective equipment is also the most forward-looking. Here are just a few o f the fine Mosler products that testify to the fact that new ideas are constantly "in the works” at Mosler. New ideas that promise even more significant developments to come your way in the future. W orld's largest builders o f safes and bank vaults . . . M osler built the U. S. Gold Storage Vaults hwest ern Banker, Se ptembe r. 1953 Digitized forNort FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis t 11 Y o u think o f the name that has becom e synonym ous w ith the w orld ’s best pro tection for over 100 years . . . the name that appears on the U.S. G old Storage V ault D oors at F ort K n ox . . . on protective equipm ent in a vast m ajority o f A m erica’ s Federal R eserve Banks . . . and in over 70% o f all banks and financial institutions throughout the w orld. T h at name, o f course, is "M o s le r .” M o dern R e v o -F ile g iv e s bank clerks and tellers fin gertip control over thousands o f cards from sitting position. The complete line of Mos- Tw o Million Mosler Safe ler Record Safes includes Deposit Boxes have been in Ledger Desk Safes, which stalled since the end of World protect signature and credit War II. cards where they’re used. Precision-built M o s l e r Bank Vault Doors are used by leading banks, govern ment agencies and financial institutions all over the world. IF IT’S MOSLER . . . IT’S SAFE Mosler Safe Since 1848 at Fort K n o x and the famous bank vaults that withstood the Atom ic Bomb at Hiroshima. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwest ern Banker, Se ptembe r, 1953 12 Joins Independent Bankers Appointment of William G. Kirch ner, vice president of the Richfield State Bank, Richfield, Minnesota, to the newly created post of assistant secretary of the Independent Bankers Association of America, is announced Senators? No! _y- W . G. KIRCHNER New assistant secretary But there will be Representatives of our bank looking forward to meeting you at this year’s American Bankers Association Convention in Washington, D. C., the week of September twentieth. Speaking of representatives, we’d like to represent you in Chicago all year ’round. A m erican N ational B ank and! Trust Company o f O iicaqo L A S A L L E AT W A S H I N G T O N , CHICAGO 90, ILLINOIS MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION FIRST BANK COAST-TO-COAST B a n k of M o n t r e a l New York - - 64 Wall Street San Francisco - - 333 California Street Chicago: Special Representative’s Office, 38 South Dearborn Street 5 7 Nort hwest ern Banker, Septem be r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 5 • Resources Exceed $2 Billion by President D. Emmert Brumbaugh of Claysburg, Pennsylvania. The new position was voted by the association’s membership at the annual convention in March at Atlanta, Georgia. A native of Iowa, Mr. Kirchner at tended Morningside College in Sioux City, Iowa, and later attended Har vard University, where he graduated from the Harvard School of Business in the top 25 of his class of 425. He has been associated with several banks in both Iowa and Minnesota for the past 15 years. New Appointments At NABAC Darrell R. Cochard, executive secre tary of the National Association of Bank Auditors and Comptrollers, recently announced the following ap pointments: Frank G. McCabe, who joined head quarters staff in January, 1952, was appointed associate editor of the Auditgram, the monthly publication of the association. Mr. McCabe, who is a graduate of Loyola University, was formerly associated with the editorial division of De Paul University in Chi cago. Sam F. Di Cara, who has been with the National Association of Bank Au ditors and Comptrollers since October, 1952, was appointed assistant secre tary. In this capacity he will be in charge of publicity, promotion, public relations and chapter liaison work. ^ y v >- M > ^ V ^ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 13 It’s never AFTER HOURS at the FIRST Regardless of the hour, our Transit Department stays right on the collecting all late evening from train s an d plan es, lilsl these items promptly, the them back to train or pl< mailing on the same nig r m s T N A T io ^ ^ ,ted*HÜÍ Xvó^fL „U/iCCVU^ 7^5^' letter jßddletcwn tan M id d le to w n , Result: more and more bankers who w ant fast service are turning to First service! 78 th year of dependable correspondent service Northwestern Banker, Se ptem ber, 1953 14 in holdings so heavily concentrated in short ma turity issues. The credit strength of general obli gation municipal bonds, corporate issues, and spe cial revenue municipal authority obligations held by national banks is at a high level. The vast majority exceed the marginal investment grade rating of BBB (or B 1 plus or Baa). “With very few exceptions, the managements of national banks are to be complimented for hav ing adopted and followed sound investment poli cies. The investment accounts, as a result, are well adapted to meet sound banking requirements, i. e., credit strength, liquidity, ability to take advan tage quickly of increased interest rates coupled with excellent capacity to retain the longer ma turities, and sensible diversification.” As indicated by the following table, at least $25 billion of the $35 billion invested in government bonds are maturing within fi ve years : Bond Maturities National Banks Recapitulation by maturities (United States bonds as of December 31, 1952 ; municipal and other bonds as of various examination dates during the last half o f 1952) (Figures in millions of dollars) i%**roNS Ilie Desk From Ilie P ublisher (DsiaA, (Rjou^ VYL. *jidnsu^: Comptroller of the Currency, Washington, D. C. The 90th Annual Report of the Comptroller of the Currency, covering the year 1952 which you have just issued, contains some A^ery interesting figures. j ! • The N o r t h w e s t e r n R a n k e r was especially interested in the bond maturities of national banks, which indicated that 70 per cent of such invest ments mature within fiATe years. This is an indication of good bank management, as well as a sound investment policy because whatever might happen to our economy, banks could, without question, hold their bonds until the five-year period had been reached and thus secure par on their investment. In your report, Mr. Gidney, you sa id : “The liquidity and relative price stability afforded by this short term maturity distribution is important and satisfying. Slightly in excess of 70 per cent of the aggregate investment holdings mature within five years. It is apparent that depreciation accruing in the investment accounts of national banks as an outgroivth of increased interest rates, most heavily centered in medium and long-term issues, may be classified as ‘paper’ depreciation. This depreciation need not culminate in actual losses because the necessity for sale prior to pay ment at par upon maturity is almost nonexistent Nort hwest ern Banker, Se ptembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Maturities Special General revenue United obligation municipal States municipal authority Total bonds bonds and corpo rate bonds Short term (maturing up to 5 years) .. . ( ............................... 26,459 Medium term (maturing be tween 5 and 10 years)............ 6,223 Long term (maturing after 10 years) ....................................... 3,239 Total ......................................... In the 5 year group there able bonds. 2,724 1,866 31,049 1,395 471 8,089 1,162 610 5,011 < 35,921 5,281 2,947 44,149 1 billion 352 million of nonmarket- Whatever readjustments may come in the future our business economy, the N o r t h w e s t e r n B a n k e r is sure that both the national banks and the state and savings banks were neAmr in a better position than iio a v to continue to serve their cus tomers, their community and their country. in (DqjcOc (Donald. 3C. (David,: Dean, Harvard Business School, Cambridge, Massachusetts. The subject for the recent National Business Conference held at the Harvard Business School Avas “ How to Increase Executive Effectiveness.” The N o r t h w e s t e r n B a n k e r has read with a great deal of interest excerpts of remarks made by prominent speakers at that meeting and it is our opinion, Dean David, that you put it in a few words, and very effectively, Avhen you said: “Ex ecutive effectiveness includes more than the achievement of a profitable record, though this is the first obligation. . . . The competent adminis trator is necessarily a builder of organization, a man experienced in achieving cooperation without either bogging down in the swamp of compromise or evading the unpleasant adjustments essential in a competitive society. He works in a web of re- Y- 15 sponsibilities, many of which can be in conflict with one another. Executive effectiveness' is in part the ability to strike continual balance among responsibilities to oneself, one’s company, asso ciates, industry, and community.” Certainly what you have said applies to every banker in America who is in an executive position or hopes to be. Every banker knows he is operating a semi public institution and he must not only see that his bank and all of the employees have the correct attitude as far as the public relations of the bank may be concerned, but likewise the successful bank executive knows that he must correlate and effectively coordinate all of the various activities within his own institution. Thus, the bankers o f today and those who will be the leading bankers of tomorrow have a vital interest in how to increase executive effectiveness. (Dsxxh. $su?icfSL VYL. dhcmph/m^: Secretary of the Treasury, Washington, D. C. You have a tough job as Secretary of the Treas ury to try and reduce expenses, which, in turn, should help to reduce the national debt which is now over $‘272 billion. A fter 20 years of extravagance and poor fiscal management, your job, along with other members of the cabinet and congress, was to try and have everything in “ apple pie order” within six months after you took office. This, of course, you have not been able to do, but the N o r t h w e s t e r n B a n k e r believes that your “ heart is in the right place.” However, from the political standpoint, many voters are asking the same question which Demo cratic house leader, Congressman Sam Rayburn of Texas, asked recently when he said, referring to the Republicans : “ They promised to reduce taxes. Taxes have not been reduced. Actually, they have been increased by an extension of taxes. “ They promised to reduce the national debt. Instead they have asked congress to increase it.” As one writer on economics said, “ Few things would please Democratic strategists more than to force a Republican administration to call a spe cial session on the eve of an election—for the purpose of authorizing the government to go deeper into debt.” Since 1946 the United States congress has given away $30 billion in foreign aid. Perhaps we can reduce some of these expenditures, Secretary Humphrey, and at the same time keep from in creasing our national debt, as well as help to re duce our income taxes. By and large, the American taxpayer, and he https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis is both a Democrat and a Republican, is getting fed up with so much money being poured into fo r eign countries, many of which do not appreciate our money nor our help after they have been the beneficiaries of our bounty. At the next session of congress you are going to have to cut expenses and cut them deeper than you ever have before. (D sjoa , Q johrL. j l . Chairman, Board of Directors, Chase National Bank, New York. Of the many mottoes which we have seen over bankers’ desks, one of the best, we believe, is “Get the facts.” This certainly applies when a banker is mak ing a loan, and it also should be the basis for our industrial and our political decisions. If more of us would get the facts on any par ticular subject or any special problem we would solve it easier and with greater satisfaction to everyone concerned. If politicians would “ get the facts” before mak ing some of the speeches which they make, both in and out of Congress, our progress would be more rapid both in solving our national and inter national affairs. In a recent speech which you made addressed to “ Today’s Youth and the Future” you men tion that we should “know the facts and refrain from stating theories. “The obligation to know the facts, to refrain from stating theories or expressing judgments until the facts are mastered, to suppress preju dices, and at that point to speak out clearly and fearlessly, is your intellectual imperative. With it in mind and a. straightforward approach to life, knowing that things are rarely as good or as bad as they first seem, the youth of today can look at the future with as great a sense of confidence as ever.” The main goal in America today, as we see it, is to keep our thinking directed in the right channels. Whether we like it or not, the United States has become the leader of all the nations of the world, and it will be necessary for us to do some straight, clear thinking, and at all times to get the facts if we are to do the kind of a job as world leaders which, whether we wish it so or not, has been thrust upon the shoulders of Uncle Sam. Let’s continue to get the facts. Northwest ern Banker, Se ptem ber, Í9 S ? 16 r< u> % Hi Æ Keeping constantly on the "LOOKOUT ' for the good o f our correspondent customers keeps the "OUTLOOK" of our correspondent business good, CENTRAL NATIONAL BANK Digitized for Northwestern FRASER Banker, Se ptembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis and T r u s t C o m p a n y Des Moines, Iowa Member Federal Deposit Insurance Corporation https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 17 Northwestern Banker, September, 1953 18 N ow ! each k e y its ow n m otor b a r ... y .. saves up to 5 0 % h a n d m o tio n ■Jv *3 < ► Now, you can add and list without depressing a motor bar! On this new National every amount key is electri fied! Simply press the keys you want to add— the ma chine does it instantly! You save up to 50% hand motion. National’s “feather-touch” action makes it easier than ever to press two or more keys at once— more time saving! All ciphers print automatically— still more time saved! Operators like it— they do their work with so much less time and effort. Printed words cannot explain all the advantages of this “Live” Keyboard. You must see it to believe it. See it today! For demonstration phone nearest National office or National dealer "Live" Keyboard other tim e-saving 8 fea tures combined only on N ational: Automatic Clear Signal * Subtractions in red n o w yo u can fo rg e t th e m o to r b a r! • Automatic Credit Balance • Automatic space-up of tape when total prints Answer Dials Key Action • • • *TRADE-M APK REG. U. S. PAT. OFF. Large Easy-touch Full-Visible Keyboard, Automatic Ciphers • Rugged-Duty Construction. THE N A T IO N A L C ASH R E G IS T E R C O M P A N Y , .Northwestern Banker. Se pte m ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis plus A t> m 6 MACHINH ♦ CASH HOtSTOS ACCOUNTING MACHtmS DA YT O N 9, OHIO / 19 ff##fr ff fff* Han It H elps F arm ers Willi 1 1 ff#f A ianayem eal By WARREN R. LANGFITT Manager, Farm Service Department Centerville National Bank Centerville, Iowa FARM SERVICE— F. L. Sawyers, left, president of the Centerville National Bank; Robert F. Malmberg, center, cashier, and Mr. Langfitt, discuss the farm services of the bank. In the background is the Daily Market Board which has become so popular with Appanoose county farmers and Centerville businessmen. ENTERVILLE is located in Ap panoose County in the southern pasture area of Iowa. This area has been a real challenge to men in terested in agriculture. One of the men who has been a guiding force is F. L. Sawyers, president of the Cen terville National Bank Centerville, Iowa. He has long recognized agri culture as the backbone of the econ omy in this area and has used the Centerville National Bank and his in fluence to improve it on a sound basis. C During the early days of his presi dency of the Centerville National Bank the first soils district was or ganized in Appanoose county. At this time a train load of lime was shipped into the county and distributed to ap proximately 30 farmers who were willing to try this on their land. This was the first lime used to any great extent in Appanoose county, Iowa. Mr. Sawyers has always been a strong advocate of soil conservation and good land use. This has been proven by the fact that the Centerville National Bank made loans to over 600 farmers in this area during the past cropping season for the purchase of fertilizer, lime and good seed. It has always been the policy of the bank to work closely with the agricultural agencies such as Farmers Home Administra tion, Artificial Breeding Association. Soil Conservation Service, Production and Marketing Administration, and Extension Service in the promotion of https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis all things for the good of agriculture in this area. Service important Mr. Sawyers could see that the service to the farmer was becoming more and more important, so in Octo ber, 1941, a farm service department was added to this bank under the management of R. F. Malmberg. Mr. Malmberg is a graduate of Iowa State College, with a degree in Agronomy and was familiar with agriculture in this area after having served as super visor of the Farmers Home Adminis tration in Appanoose county. This was a new venture and the Center ville National Bank was one of the early banks in Iowa to start such a specialized agricultural program. Dur ing Mr. Mahnberg’s time as manager of the farm service department a farm management program was started with a few farms who owners lived away from Centerville and who wanted pro fessional farm management service. That has grown until today the bank has under its management over 10,000 acres of land. The bank was a guid- ■ THE A U TH O R — Mr. Langfitt, a gradu ate of Iowa State Colle ge with a d egree in agriculture, was made manager of the Farm S e r v ic e Department of the C e n t e r ville National Bank in 1951. Previously he had two ye ars of teaching vocational a gri culture, and five years' experience in the feed, seed, and fertilizer business in Appan oose County. ing force when Appanoose county or ganized an Artificial Breeders Associa tion that now services over 2,500 dairy cows in Appanoose county. Mr. Malm berg was elected treasurer of this association when it was organized and still serves in that capacity. In De cember of 1951 Mr. Malmberg was made cashier of the Centerville Na tional Bank. Manager Duties The duties of the manager of the farm service department are varied and interesting. Mr. Sawyers has al ways advocated good farmer-business man relationship. Members of the bank staff never turn down an oppor tunity to speak at or assist with agri culture meetings of any kind. This includes working with the farm youth in Appanoose county. Two years ago Mr. Sawyers expressed a desire to do more for 4-H boys. After consulting with the extension director and the 4-H committee it was decided that the Centerville National Bank would give each year three registered gilts to three outstanding boys to be selected by the county 4-H commitee. This year plans are going forward to start a small boar and gilt sale for these 4-H Club youths. As these young men increase the number of good hogs, they will also be developing a good market for them. HOW OUR BANK . . . (Turn to page 38, please) Northwest ern Banker, Septembe r, 1953 20 -r1 II«ir W vll-L u id I*la ns M a d e Oar Centennial Celebration a Saeeess v 100th Anniversary Planning Was Started Two Years in Advance Written Especially for The Northwestern Banker By RALPH W. EMERSON Assistant Cashier First National Bank Oshkosh, Wisconsin Every light in the building was turnet on for “ open house.” Because so many banks are planning anniversary cele brations, and since so many bankers have asked the N orthwestern B anker for suggestions on planning such an observance, we have asked Mr. Emer son to write this article which explains how his bank successfully carried out its centennial program. Mr. Emerson has a detailed chronological outline of all centennial promotional activities carried out by his bank, starting two years prior to the anniverary, along with an outline of general items to be done in connection with staging an open house. Write Mr. Emerson or the N orthwestern B anker for a copy.) ( E ditor’ s N o te : VER 8,500 persons swarmed to the two offices of the First Na tional Bank in Oshkosh, Wis consin, to attend the gala 100th Anni versary open house which climaxed O two years of intense planning by our staff. The open house was held one year ago last month. In the morning, some 1,500 children from the city and surrounding area came to see the bank, type letters, use the adding and posting machines, work the coin sorter and generally get back of the forbidden scenes. Officers, directors and employes shook their hands, gave out A.B.A. comic books and presented awards to winners of the centennial essay con test entitled “Your City Oshkosh—Its Origin, History and Future Possibili ties.” In the afternoon and evening the grown-ups visited the bank. Men re ceived leather key cases and the la dies received coin purses as gifts. Tours were arranged, a five-piece string orchestra provided background music, and the local radio station WOSH conducted on-the-spot inter views. Throughout the open house employes were stationed at various points in the bank, describing to vis itors the operation of the equipment and the functions of the banking de partments. The lobby was filled in every corner with flowers and potted plants. Let ters and telegrams were mounted on display boards for visitors, which in cluded some old-timers who started banking at the First National before the turn of the century. In the lobby of both offices was a huge three-layer birthday cake. One hundred flickering candles, topped by a tall, solitary candle to signify the bank’s centennial, carried out the an niversary theme. Following the cen tennial, the two birthday cakes were presented to the city of Oshkosh for use in the city’s centennial celebration B A N K LO B B Y looked like this as thousands accepted invitation to inspect quarters as part of First National Rank’s 100th anni versary. Inset is Ralph W. Emerson, assistant cashier in charge of the bank’s advertising and public relations. Northwest ern Banker, Se pte m ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ..A Y > / 21 between June 27th and July 4th of this year. Other displays included a series of n e w sp a p e r advertisements entitled “ Memories of Early Oshkosh Recalled by the First National,” which was run in the local newspaper during the years 1950 and 1951. This series de picted various historical events which have taken place in the city which lead well into the history of the bank and its 100 years of existence. Another display featured all of the bank’s services, showing various ex amples and illustrations in connection with the services mentioned. W S ttto All Lights On In the evening of the open house every light in the eight-story building was turned on, for the first time since it was built in 1927. The actual centennial year program started on January 1, 1952, with a spe cial statement of condition printed and a short story leading up to the anniversary. Also on January 1st all letterheads used in the bank had a special anniversary seal and all en velopes had a special advertisement printed by the postage meter ma chine. Three-foot high anniversary medallions were placed on all of the pillars in the north side and south side offices. On April 15th the essay contest was announced in all of the Oshkosh schools, with an invitation for all stu dents to participate in this program. A schedule of prizes in the form of U. S. Savings Bonds was posted, along with the names of five judges (four from outside the bank). Various lobby displays were pre sented in the bank’s lobby from time to time, which included a special “Monies of the AVorld” exhibit re ceived through the Chase National Bank of New York City. Another dis play 'which created a great deal of attention included old items of house hold furnishings, novelties, luxury items, and many other items of inter est which were used in the 1800’s. purses. Key case given to all men at open house. reviewed the First National’s 100 years of banking and contained bio graphical sketches of its presidents, historical photographs of the bank and the city and pictures of all of our officers, directors and employes. Also during the week previous to the open house, radio spots were used, a film trailer on the bank’s history and open house was used in all of the movie houses in the city and on Thurs day, August 7th, a series of 100th An- Anniversary seal was attached to all outgoing mail. niversary newspaper ads began with a two-page spread, followed by small er advertisements on succeeding days. Invitations to our “Open House” were also enclosed in the monthly checking OPEN H OU SE . . . (Turn to page 62, please) pefcrpenny M and his I Staff Banquet On July 23rd, a special anniversary party and banquet was held for all the directors, officers and employes, at which time the entire staff learned about complete plans for the “ Open House” and promotional events which would precede the climaxing day. At this party everyone present received a copy of the 100th Anniversary bro chure, the men received a personal ized key case and the women received a personalized coin purse. On August 1, 1952, a two-color, 16page 100th Anniversary brochure was mailed to every family in Oshkosh and Winnebago county. This brochure https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis if' . Ï1 R S Î Oshkosh /y^ñ~S\ , Two booklets passed out to thousands of persons were the banks 100th anniversary report, and the A.B.AJs comic book “ Peter Penny,” for children. Northwestern Banker, Se ptembe r, 1953 22 School Trurhrrs und th U d m i Lrurn A bout Hunks Personal Inspection Visits Make Allies of Adults and Help Educate Youngsters in Banking Knowledge ANKERS have generally awak ened to the need to explain the processes of banking to the public. Through forums, talks to service clubs, use of films, educational advertising, window displays, lobby displays and many other means, they are frantically trying to get their story over to the public. This is a public that has al ready come of age and is all too set in its ways. There is no denying, however, the tremendous value of all of these efforts. Every person who be comes sympathetically informed about the banking business becomes an ally against any threat to the great Ameri can system of banking. B The First National Bank of Tarkio, Missouri, has for many years spent much of its efforts in bringing children up in banking knowledge rather than waiting until they become adults to educate them. In fact,' one contact used by this bank is opening a sav ings account for each new baby born in its territory. The savings pass book with one dollar deposit is mailed to the baby in his own name, along with a letter written especially for that par ticular baby. Sometimes these letters are humorous, sometimes more formal if the parents are not too well known to the banker. Many of these letters are reposing in safety deposit boxes to be passed on to the children when they are old enough to read them. The most comprehensive program yet developed by this small bank, located in a town of 2,200 in a strictly agricultural community, is a school contact program. This program starts with a dinner given to the teachers of the school district which comprises most of the bank’s territory. There are 50 teachers to be entertained each year and in the three years in which the plan has been used, there have been few regrets to the printed invita tions mailed several weeks in advance of the date of the dinner. Armistice Day has been a set date so the entire day can be used by the bank staff to convert the bank lobby and officers’ space into a night club. The dinner is served from the directors’ table converted into a buffet by addition of lace cloth, flowers, candles and borrowed crystal and china. Food is cooked by a close-by cafe and brought in when needed and kept warm on an electric stove in the bank’s kitchenette. Fre- A t -/ , x Tarkio» Dear Six- eatii ye a r SCHOOR T E A C H E R S . . . . 1 ha (Turn to page 42, please) Written Especially for The Northwestern Banker especially ^ of the checks value. *nov that in ter- +s were kept +he safety ^ p o s its keeping f ° r The ro e . A r c h e s ssUnf.lB capers ar»5 otk” ^ «.C le POP" t a l l . Here I sti*. place ot al TVl, v a d t - n i x - « y 1 larges^ -nme lock. S t » e " P i t has a t iw anâ in th a By CLAUDE A. TEMPLETON Vice President First National Bank Tarkio, Missouri SM” - v oX x s . . . , thiric I t . truly» Sharron Flynn ‘A B A N K OFFERS M A N Y SERVICES” says this letter N o FRASER rth w e ste rn B anker, Digitized for https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis from a 10-year-old fifth grade student. S e p te m b e r , 1953 CLAUDE A. T E M P L E TO N J https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 23 Jionthli/ Hank L etter ¡S V o p u U iV W ith 0r. / . ’* Started in December, 1951, It Has Brought 110 Replies from Servicemen All Over the World By LESLIE A. JACOBSEN Cashier Rock Rapids State Bank Rock Rapids, Iowa N DECEMBER of 1951 we began sending a monthly letter from our bank to all the servicemen of Lyon county. We made a file of addresses which we accumulated from families and friends and which we keep up to date by adding all the new addresses as they are printed in the local paper. Our purpose in sending this letter is for our servicemen to receive one more letter from home, passing on lo cal news, such as church news, school news, addresses, social events, sports, farm news, excerpts from their let ters, humor and jokes. Also during the past two Christmas seasons we remembered our servicemen with greeting cards. We also enjoy hearing replies to our letters about the various expe riences of our friends. Our entire staff looks forward to reading each and every letter. Our servicemen es pecially enjoy receiving new ad dresses, as many times this enables them to get in touch with a buddy who may be only a few miles away. The letters we receive include de scriptions of their work, places they have visited, weather, friends they have met, their future plans and a longing to get back on the farm. In some instances when the serviceman’s wife is with him she answers our letters, too. Relatives and friends of servicemen that come into the bank also comment on how much the fellows enjoy our letter. It seems to boost their morale. Typical of the friendly feeling in their replies is this postscript: “My ad dress is the same, except I’m a cor poral now!” We feel more than com pensated to know that our letters are enjoyed by our servicemen. At a recent Legion meeting I was introduced to a former hometown boy now in the service and this is how he addressed me, “Oh, I know you, I receive a letter from you every month.” Then he went on to tell how much he liked Riley’s poems, and how he had shown them to his secretary and she made up 500 copies and dis tributed them around the post. (These original poems, some long and some short, were mostly humor ous and frequently quite “punny.” They made a big hit with most of the servicemen and were mentioned fre quently in their letters home.—Ed.)— The End. M O N TH L Y LETTERS to servicemen from “ the Gang at the Bank” have been well received. Here are three typical letters sent to Lyon County G.I.’s. s S s is x S ls K ffi ■m à— 3 “ SrEffSS - ïf t  t f ït ” iM m EST&S.’ N orthwestern Banker, Se ptembe r, 7953 24 > A . B . A . M eets in 117nsh in iftim. ##. ( . > Septem ber 2 0 - 2 3 79th Annual Convention Program Will Feature Top Flight Banking and Government Leaders W. H A ROLD B R EN TON President American Bankers Association ORE than 6,000 bankers and their wives are ex pected to he guests of the District of Columbia Bankers Association for the 79th annual conven tion of the American Bankers Association in Washington, D. C., September 20th to 23rd. The program, as an nounced by W. Harold Brenton, president of the Associa tion and of the State Bank of Des Moines, Iowa, reveals an exceptionally talented group of speakers who will dis cuss important topics of the day. The convention will open Sunday afternoon with a re ception at 4:00 p.m. in the National Gallery of Art. Con vention registration will he centered in the Chamber of Commerce of United States Building, and information desks will be maintained during the four days at the Continental, Mayflower, Shoreham, Statler and Washing ton Hotels. Vice president of the A.B.A. is Everett D. Reese, presi dent of the Park National Bank, Newark, Ohio, who is scheduled to succeed Mr. Brenton as president. The un opposed nominee for the vice presidency is Homer J. Livingston, president, First National Bank of Chicago, who would then become president at the 1954 convention. H. B. Crabdall, president, First State Bank of Salina. Utah, and Sherman Drawdy, president, Georgia Railroad M EZRA TAFT BENSON W . RAN D OLPH BURGESS Nort hwest ern Banker, Se pte m ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Bank and Trust Company, Augusta, Georgia, are the pres ent nominees for treasurer. The Association of Bank Women expects to have its largest attendance in history when the group meets in Washington at Hotel Shoreham for its 31st convention, September 17th to 20th. Addressing the meeting will be Miss Catherine B. Cleary, who resigned last May as presiident of the organization to become Assistant Treasurer of the United States. Other speakers from the midwest include Miss Marion E. Mattson, assistant cashier, North western National Bank, Minneapolis, and Miss Mary A. Ralston, vice president of the association, First Wiscon sin National Bank, Milwaukee. The Independent Bankers Association will again spon sor its annual breakfast at the A.B.A. meeting on Monday morning, September 21st. The featured speaker will be Governor R. M. Evans of the Board of Governors, Federal Reserve System. Monday, September 21st Savings and Mortgage Division A. M. 10:00 Statler Hotel, Presidential Ballroom: Address of the President—Wendell T. Burns, senior vice presi- L. W . BROCKINGTON GEORGE M. H UM PH R EY ^ t- R A Y M. G ID N EY C ASIM IR A. S IE N K IE W IC Z dent, Northwestern National Bank, Minneapolis, Minnesota. Address—Albert M. Cole, Administrator, Housing and Home Finance Agency, Washington, D. C. Address—Roy H. Reierson, vice president, Bankers Trust Company, New York, New York. A.M. State Bank Division 10:00 Constitution Hall: Address of the President—B. M. Harris, president, Yellowstone Banks, Colum bus and Laurel, Montana. 'America’s Job in a Changing World”—Earl L. Butz, Professor of Agricultural Economics, Purdue University, Lafayette, Indiana. ‘Banking Under Current Monetary Policies”—The Honorable Wallace F. Bennett, United States Sen ator'. Salt Lake City, Utah. P. M National Bank Division 2:00 Constitution Hall: Address of the President—T. Allen Glenn, Jr., president, Peoples National Bank, Norristown, Pennsylvania. Remarks—The Honorable Ray M. Gidney, Comp troller of the Currency, Washington, D. C. ‘‘A Banker Looks at the Current Picture”—Casimir A. Sienkiewicz, president, Central-Penn National Bank, Philadelphia, Pennsylvania. “ I Am Glad to Be an American”—Dr. R. C. Young, Professor of Philosophy, University of Georgia, Atlanta, Georgia. ALB ER T M. COLE https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ROY L. REIERSON DR. R. C. YOUNG JAM ES L. ROBERTSON P. M. Trust Division 2:00 Statler Hotel, Pan-American Room: Address of the President—Robert A. Wilson, senior vice presi dent, The Pennsylvania Company for Banking and Trusts, Philadelphia, Pennsylvania. Greetings—William S. French, Jr., chairman. Fidu ciaries Section, District of Columbia Bankers Asso ciation; trust officer and assistant secretary, Amer ican Security and Trust Company, Washington, D. C. Address—J. L. Robertson, member, Board of Gov ernors of the Federal Reserve System. Washing ton, D. C. Tuesday, September 22nd A. M. Agricultural Breakfast 8:00 Statler Hotel, Presidential Ballroom: Presiding— W. W. Campbell, chairman, Agricultural Commis sion: president, National Bank of Eastern Arkan sas, Forrest City, Arkansas. Address—The Honorable Ezra Taft Benson. Sec retary of Agriculture, Washington, D. C. A. M. First General Session 9:15 Constitution Hall: Presentation of the Colors — U. S. Air Force Drum and Bugle Corps. Call to Order — W. Harold Brenton, president, A. B. A. CONVENT ION PROGRAM . . . (Turn to page 30, please) DR. EAR L L. BUTZ SEN. W A L L A C E F. B EN NETT Northwestern Banker, Se ptembe r, 19S3 26 N ew s and Views OF THE BANKING WORLD By BEN H A LLER , JR., Managing Edito r O PROVIDE its readers with first hand news and feature articles about banking, farming and gen eral business conditions in the rich upper midwest states, the staff of the N orthwestern B anker has traveled more than 7,600 miles in recent months, visiting bankers everywhere, interviewing farmers and investigat ing general business conditions in various communities. Everywhere they traveled our staff was given a friendly reception that has become the trademark of midwesterners. The report of the staff is this: De spite sporadic local conditions of hail or other adverse growing conditions, narrower profit margins both in town and on the farm, 1953 should go in the books as a good year. Only one major complaint plagued the farmers —“not enough rain.” Dozens of bankers told us of their operations; we toured a number of new and beautifully remodeled banks; we heard requests for factual informa tion on banking topics important to the average bank, and all of these in terviews and requests are being given T careful consideration so that in future issues we can give you the kinds of stories that will assist you to do a better banking job. The comments of many bank cus tomers and business people led to a survey now being completed by the N orthwestern B anker and which will be published in an early issue. The results on this should prove most in teresting to all bankers. One bank service of great impor tance that we found to be gaining more popularity with each passing year is the “Outside Farm Representa tive” of banks. This is a service that wouldn’t be discontinued by any bank now providing it. In this issue you will find a feature explaining how one bank has made a success of this serv ice in the article titled “How Our Bank Helps Farmers With Advice and Management.” * * * “ Somebody told me to talk to the people at Chase.” This was the head line in a Chase National Bank ad appearing in the New York Times and New York Herald Tribune last month, showing a rufous-necked hornbill " A ll O r i y i n a l . I h u t it-tin *’ l* lai/iTs APA C H E B ASERU N N ERS — The Valley National Bank of Phoenix is probably the only bank in the country sponsoring an “All Original American” baseball team. VNB Cubs are Apache Indians whose home diamond is the San Carlos Reservation at Whiteriver. The Valley Bank has offices at nearby Globe and Miami. Only Paleface player, in left foreground, is the son of the reservation superintendent. Showing the Braves— pardon, we mean the Cubs— how to scalp the opposition is Weldon M. Jones, vice president in the bank’s business development department. Northwestern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis perched atop the Chase offices at 18 Pine Street and expressing a sincere interest in the bank’s operations. The highest interest ad came about when on the morning of August 6th a rare oriental bird escaped from an animal shop on Fulton Street and made a bird-line for the financial dis trict and the Chase office. At 9:00 a. m. Kermit Schweithelm, assistant advertising manager for Chase, put in a call to Chase’s ad agency, Kenyon & Eckhardt. Three hours later the ad was completed, approved and ready for publication. The moral of the story is obvious—a bird on vour roof is worth two 1,000 line ads. * * * Maurice E. Graves, vice president and comptroller of The Northern Trust Comany, Chicago, recently celebrated his 25th anniversary with the bank. He joined Northern Trust in 1928 as a clerk in the auditing de partment. * * * A recent issue of ATew Yorker re ports the following: Money, money, money—what prob lems it brings with it! And how splendidly they can be solved by a right eous man’s wrath, especially if it’s slow-burning! Consider this West chester taxpayer, well fixed, who opened an account in a savings bank near Grand Central Station. Thither, shortly thereafter, he repaired sorely in need of fifty bucks, because he had left his wallet at home. He confessed to the teller that he had no identifi cation with him, explained that his passbook was at home, too, with his wallet, mentioned that he had just opened a sizable account, and asked if there wasn’t some form of draft he could sign for the requisite with drawal. “ Sorry, sir,” said the teller briskly. “You have to have your passbook with you. House rule.” This lit the fuse. Striding over to the loan department, the rejected depositor introduced himself and said he would like to take out a loan. The ur bane young man at the desk seemed anxious to oblige. A few preliminary questions, he said, and asked them, jotting down the answers on a form. “Position?” Executive vice president of Bumble, Mumble, Jumble & Crum ble, advertising agents. (Ah!) “ Real property?” A hundred-thousand-dol- s -A r ^ > > ^ A ^ A NEWS AND VIEWS . . . (Turn to page 80. please) i 27 i ■*: " W e have no Magic Carpet" https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Says John Dugick TRANSIT MANAGER "BUT... we give the fastest transit service in the Midwest!” n o t io n o \ MEMBER FEDER AL DE POSIT IN SU RA NC E C O R P O R A T I O N Northwest ern Banker, Se ptem ber, 1953 28 y > Ita n liv rs 1 o h tim u r A f Carl A , it ¡tusón President Valley National Bank Phoenix, Arizona . . an incredibly complete knowledge of the fields covered by banking” / " AR L A. BIM SON, president of V— the V alley National Bank, Phoe nix, Arizona, did not start ont to be a banker. However, when he joined the Valley National Bank in 1933 de posits were about $7 million. Today they are at $300,000,000. In 1936 he organized the first installment loan department in the bank. This depart ment now makes loans averaging $6 million each month, and has more than 105,000 individual loans on the books. Carl A. Bimson is a banker. After attending high school in Berthoud, Colorado, where he was born in 1900, Mr. Bimson enrolled at Colorado A & M as a student in elec trical engineering. He left college after three years, spent a year as a salesman, and then joined the Denver office of the Mountain States Tele phone & Telegraph Company. By the time he left the telephone company in 1930, Mr. Bimson, who started as a collector, bad risen to the position of district sales supervisor in Pueblo, Colorado. From 1930 un til he became associated with the Valley National Bank, he engaged in Northwestern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis property management in Denver. Mr. Bimson was on the “ firing line’' during the early years of the bank's rapid growth. In 1939 he was made assistant vice president of the Valiev Bank, in 1940 vice president, and in 1941„ lie was elected to the bank’s board of directors. He became exec utive vice president in 1941, and president early tliis year, when W al ter R. Bimson became chairman of the board. Almost from the time he came to Arizona, Mr. Bimson has been active in national and local banking and business organizations. For several years, be served as a member of the A.B A. consumer credit committee. He is past director of the National Retail Credit Men’s Association and past governor of the National Asso ciation of Better Business Bureaus for II western states. In 1948 he was appointed a member of the bankers’ advisory committee of the Westinghouse Electric Corporation. He is now serving as third vice president of the Financial Public Relations Asso ciation. Like so many other executives, Mr. Bimson is an avid reader of mystery novels. He enjoys figuring out the answers before the detective. He also likes to take pictures with a Polaroid camera. Mr. Bimson is very highly regarded not only by his associates in the V al ley National Bank but by bankers throughout the Southwest and A ri zona. Some measure of this regard is indicated by the fact that they elected him as president of the A ri zona Bankers Association for this year. As for Mr. Bimson’s ability as a bank executive, be is a keen student of every phase of the industry. He constantly startles his associates by displaying an incredibly complete knowledge of the fields in which they specialize. His stature in the community is at tested to by the fact that he has just completed a term as president of the chamber of commerce. Under his direction the chamber had one of the most noteworthy years since its in ception. 'r y ' x < v. 29 We’d like you have this booklet . . . i t tells the complete story Bank o f America correspondent service can do fo r you. For example: T r a n s it I t e m s You may send all of your western transit items in one cash letter to Bank of America at either San Francisco or Los Angeles. At each point a day and night transit department handles such items promptly and efficiently. If you prefer, you may send two daily cash letters— one to San Francisco— containing items payable in Northern California, Oregon, Washington, Utah, Nevada, Idaho, Hawaii, Guam and Alaska. one to Los Angeles—containing items payable in Southern California and Arizona. Bank of America’s extensive correspondent relationship with banks throughout the country and wide use of airmail assures prompt handling of items payable anywhere, especially in the West. ,W Send for your copy today. Just write Bank of America, Dept. AD, San Francisco, California. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ì&mtk o NATIONAL f A tu e rtn * J a v Sin ag s ASSOCIATION MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION Northwestern Banker, Se ptembe r, 1953 30 A . i t . A . i'o n rv iitio n . . . (Continued from page 25) American Bankers Association; president, State Bank of Des Moines, Des Moines, Iowa. Invocation — Reverend Frederick Brown Harris, Chaplain of the United States Senate, Washington, D. C. Address of the President—Mr. Brenton. Address—The Honorable George M. Humphrey, Secretary of the Treasury, Washington, D. C. Wednesday, September 23rd Second General Session A. M. 9:15 Constitution Hall: Call to Order—President Bren ton. Address -— The Honorable L. W. Brockington, C.M.G., Q.C., Toronto, Canada. Address—The Honorable W. Randolph Burgess, Deputy to the Secretary of the Treasury, Wash ington, D C. Report of Resolutions Committee. Report of Nominating Committee and election of officers. Inauguration of officers. Entertainment Schedule Sunday, September 20th P. M. 4:00 Reception by the Secretary of the Treasury and Mrs. Humphrey—The National Gallery of Art. 8:45 Symphony Concert—The National Symphony Or chestra, Howard Mitchell conducting. Soloist, Earl Wild, pianist, Constitution Hall. A. M. 9:30 9:45 P. M. 2:00 2:00 Monday, September 21st Potomac River Cruise to Mount Vernon. Sightseeing Tour No. 1—U. S. public buildings. Potomac River Cruise to Mount Vernon. Sightseeing Tour No. 2—Monumental Washington and Arlington. Homer J. Livingston (right), president of the First National Bank of Chicago, is the only an nounced candidate for the vice presidency of the American Bankers Association. His election to that post at the con vention this year would place him in line for the presidency at the 1954 convention. > Between 9:00 A. M. and 4:00 P. M. Special G-Man Tours of the Federal Bureau of Investigation. P. M. 8:30 Showboat Cruise on Potomac River. 9:00 Tour of United States Naval Observatory. Tuesday, September 22nd A.M. 9:30 Potomac River Cruise to Mount Vernon. 9:45 Sightseeing Tour No. 3—Washington’s Residential and Embassy Sections. P. M. 2:00 Potomac River Cruise to Mount Vernon. 4:00 White House Tour for Ladies—A special tour of the Executive Mansion extended to the ladies of the convention by personal invitation of Mrs. Eisenhower. Attendance limited to those regis tered for the convention. 8:30 Showboat Cruise on Potomac River. 9:00 Tour of United States Naval Observatory. Manufacturers FOR BANK FIXTURES AND of Hunk BANK REMODELING F ixtures l00K I0 jflEGER RESULTS fo r SPECIA L SANK FURN ITURE MADE TO ORDER Executive Desks Coupon Booths Tables Bank Chairs Counter Tops Check Assorting Racks Settees Jaeger M anufacturing Company is staffed with experienced engineers and designers who will he happy to consult with you or your architect about your Bank Rem odeling or Bank Fixture needs. Every Jaeger job is backed by over 70 years’ experience. | JAEG ER M AN U FACTU RIN G CO M PAN Y ! 8tli and Vine Streets, Des Moines 9, Iowa j □ W e W ould L ik e Inform ation on R em od elin g and M odernizing Our } Bank Fixtures. } □ W e W ould L ik e Inform ation on N ew Bank Interiors. i Bank Name........................................................................................................................ j Address................................................................................... Bv„ .................... ............ Northwest ern Banker, Se ptembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis •##f#>#/#»#* 3.##ff#liUt €* Company • • • • • • • • • # / 31 C$// Yot/r mân /fëS/fMG C & -— Credit questions ean be sticky—especially when you could use more complete informa tion. That’s the time to call your man at the Irving. lie ’s in business, to give you, so far as possible, whatever information you want whenever you want it. Not only on credit but on a wide variety of questions your man can be of tremendous help. For, in addition to his own experience, he has at his disposal the facilities of one of the world’s largest banking organizations—including a global network of correspondents and specialists in every field of commercial banking. Irving’s correspondent services, why not get in touch with us? How do you build a teller’s co un ter? There must he a better way to do it, hot there’s always the question of whether the new ideas will work. For some months now we’ve been testing 10 ideas in actual use for improving the teller’s "office.” Vi e think they met the test well. We have a 4-page illustrated report on the project. If you haven’t received a copy yet and woidd like to see one, ask you r man at the Irving . . . or write on your letterhead to Department B, Irving Trust Com pany, One Wall Street, New York 15, N. Y . I f you’d like to find out more about IR V IN G T R U ST C O M P A N Y ONE W A L L S T R E E T Capital Funds over $122,000,000 W il l ia m https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N. E n s t r o m , Chairman of the Hoard • NEW Y O R K 1 5 , N. Y . Total Resources over $1,200,000,000 R ic h a r d H . W e s t , President Domestic Banking Division, N o l a n H a r r i g a n , Senior Vice President in Charge Northwestern Banker, Se ptem ber, J95J 32 l'./ M Í..!. l onrvnlioËi IH u n n e il LANS are under way in Detroit to host the largest convention of the P Financial Public Relations Association in many years, according to Arthur J. Howell, Detroit general chairman, and L. L. Mathews, South Bend, Indi ana, first vice president of the F.P.R.A. The 38th annual convention will be held in the Motor City, October 11th to 15th, and the Sheraton-Cadillac will be the headquarters hotel. A “ School of Salesmanship,” de signed to add new fuel to spark the selling efforts of member banks, will be held the first thing each morning. The departmentals, which have al ways been popular, will again be held, and carefully chosen leaders, able and authoritative, will lead these sessions. Clinic programs will also be held for the purpose of exchanging informa tion and techniques. Registrations and information are being handled by George M. Ellis, sec ond vice president, Manufacturers National Bank, Detroit. Irving Appointment Irving Trust Company announced recently that William B. Plate, vice president, will be the vice president in charge of the Irving branch office scheduled to open in October at 380 Madison Avenue, New York, on the site where the Ritz-Carlton Hotel for merly stood. Mr. Plate has had broad financial experience in industry, as well as banking, joining the Irving’s staff last year. v Name Vice President Russell Everett Mooney was recent ly elected vice president of the City National Bank and Trust Company, Chicago, by the bank’s board of di rectors. Mr, Mooney, who will be with the y I V / i p i i w h e a t b e c a m e h ia ff Canadians, too, heeded Horace Greeley’s advice and moved west in the 80’s to cultivate the waving gold. As the foundation o f Canada’s early growth, wheat still makes a major contribu tion to this country’s prosperity—in 1952, for instance, the crop was the largest in history and worth $1,250 million. Even before the railroad reached Winnipeg in 1881, Imperial Bank was located at this gateway to the west. Today there is a large network of branches that serve Canada’s prospering western provinces and provide up-to-date information on current business conditions in this area. L E T IM P E R IA L B A N K KEEP YOU UP-TO-DATE ON C A N A D A ! We invite interested U.S. banks to investigate our services as a correspondent bank. Write: Imperial Bank of Canada, Head Office, Toronto Banker, Se pte m ber, 1953 Digitized forNorthwestern FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis RUSSELL E. M OON EY Vice president, City National Bank and Trust Company, Chicago bank’s out-of-town division, has been with the Comptroller of the Currency for the past 17 years, and has had pre vious banking experience at Jackson and Memphis, Tennessee. "" Security-First Promotions The election of four trust officers was included among promotions of 10 staff members of Security-First National Bank of Los Angeles announced by George M. AVallace, chairman of the board and chief executive officer. Colin O. MacNeill was named trust officer at the Los Angeles head office and Harold A. Hardin, George W. Herman and Merle R. Unthank were named as trust officers at the Pasa dena branch. Designated as assistant trust officers at the Los Angeles head office were Clinton J. Henderson and Dickson F. Sroufe. Harvey E. Cosgrove and Raymond B. Slocum will join the head office cashier’s department as assistant cash iers. Harry Kjer was elected assistant manager of the Orange & Ventura Branch, Fresno, and Stanley B. Kryzaniak was elected assistant manager of the Seventh & Grand Branch. *. 1 c y https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 33 Mum's -the word until -the A B A Convention (But expect the biggest surprise in 50 yeors) •* M o s le r S a fe st? 1 W orld’s Largest Builders of Safes and Bank Vaults. Northwestern Banker, Septem be r, 1953 34 y Predicts Larger Farms Farms in the midwest and the na tion will continue to get bigger, fewer, and more costly to run. That’s the prediction of the Federal Reserve Bank of Chicago. Responsible for th is continuing trend in agriculture, the bank says, is the efficiency that comes with in creasing farm size, plus the tremen dous gains made in farming tech niques over the last few years. Since 1940 the size of the average U. S. farm jumped one-fourth, while output per farm climbed one-half. This increased productivity comes in part from the use of more and better farm machinery. The average farm now uses about twice as much power and machinery as it did a dozen years ago. Also figuring in the boost in output per acre, the bank says, is the use of hybrid seed, commercial fertilizer and feed supplements. Currently, the na tional acreage of hybrid corn is six times as large as in 1940. while more than twice as much fertilizer is being used. nounced by James H. Jarrell, presi dent, following a meeting of the board of directors. “The creation of this position was made necessary by the rapid growth of our company in the past several years, during which time our volume of business has increased more than 100 per cent,” Mr. Jarrell stated. “The executive vice president will share a portion of the increased administra tive responsibilities, as well as con tinue to direct sales and public rela tions.” *- American Express Elects The election of General Lucius D. Clay and Robert W. Woodruff as di rectors of American Express was an nounced recently by Ralph T. Reed, president, at headquarters in New York. General Clay, the former Command- -f Promote Arthur Cade A D JU ST O The election of Arthur J. Cade to the office of executive vice president of the Old Republic Credit Life Insur ance Company of Chicago was an- T R A Y - B IN D E R SAVE SPACE, TIME, COST. G E N ERAL C LAY ÿ jÜ L (R q O jCÙ^ POLKS Speed paper h a n d lin g w ith fa ste r fin d in g . E X C L U S IV E . . . Co m pressor p l a t e s mad e to f i t y o u r s h e e t s i z e a t no e x t r a c o s t . Key co m p r e s s i o n p r e v e n t s s h e e t s from c......... u r l in g . Wor l d' s mos t c o mp ì * l i n e of P o s t i n g T r a ; T r a y - B i n d e r s , a n d St a i B otté Binectony S E P T E M B E R 1 9 5 3 E D ITIO N LATEST DATA June 3 0 , 1953. State ment, Officers, Direc tors, Correspondents, Transit Number, Check Routing Symbol. Also, Canadian Banks, For eign Banks, Insurance Companies, and In vestment Dealers. ORDER TODAY ▼ CORPORATION CEDAR RAPIDS/ IOWA R, L. POLK & CO. Nashville 3, Tennessee I 1Septem ber, 1 9 5 3 , issue L- 1o n l y _________________ $ 2 7 .5 0 Trained Representatives in Must Principal Cities Northwestern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis (Includes Supplement Service for half-year) j Septem ber issue yearly fo r five year_____ $ 2 0 .0 0 yearly (Includes Supplement Service yearly) Bill us as checked above upon d elivery l\ame ________________________________ B y ------------------------------------------City----------------------------- State___________ R. W. W O O D R U F F er in Chief of the U. S. Forces in Europe and U. S. Military Governor of Germany, is chairman of the board of directors of Continental Can Com pany, and Mr. Woodruff is chairman of the executive committee and direc tor of the Coca-Cola Company at At lanta, Georgia. Giannini Award Mrs. Claire Giannini Hoffman, direc tor of the Bank of America in San Francisco, California, was a special guest of the women’s chamber of commerce at a luncheon at the Hotel Muehlebach, Kansas City, recently, in honor of Miss Barbara Pendleton, as sistant cashier, Grand Avenue Bank, and member of the Kansas City chap ter, American Institute of Banking. Miss Pendleton presented her ad dress, “Banking’s Responsibility for Economic Leadership,” which won the $500 first prize in the A. P. Giannini Educational Endowment Public Speak ing Contest held under the auspices of the American Institute of Banking in Cleveland, Ohio, last June. Mrs. Hoffman is a daughter of the late A. P. Giannini, founder of the Bank of America, who set up an en dowment fund of $50,000 to promote and encourage the study of economics and banking leadership. k < 35 * • "a b o v e a n d b e y o n d t h e c a l l o f d u ty I N correspondent bank relationships, there are many routine functions which are expected as a matter of course. These cover the bulk of transactions, and the Continental Illinois Bank has long proved its ability to discharge such functions to the complete satisfaction of its customer banks. But emergencies are bound to arise. Perhaps one of your customers with an unusual problem needs help urgently. Perhaps you wish to "double-check” on a subject of par ticular importance to your own bank. The Continental Illinois Bank rises to situations that are "above and be yond” what is ordinarily expected by its correspondents. Whenever it is humanly possible, the desired results are accomplished. That is one reason why so many banks have relied on the Continental Illinois Bank for so many years. Continental Illinois National Bank https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis a n d T r u s t LOCK C o m p a n y BOX H, C H I C A G O o f 90, C h ic a g o ILLINOIS Member Federal Deposit Insurance Corporation Northwest ern Banker, Se ptembe r, 1953 36 Protective Device Two new bank protective devices exist which can prevent kidnap hold ups such as the recent $200,000 rob bery at the Franklin National Bank branch in Floral Park, Long Island, John Mosler, executive vice president of the Mosler Safe Company, said re cently. The first is a delayed action timelock designed for use on tellers’ safes inside a vault, he said. Experience has shown that stickup men stay away from units protected by delayed action timelocks because they know that such safes, which are clearly labeled, can’t be opened until after a consid erable waiting period. The second protective device is a bandit police alarm, which sounds an alarm at the local police station when the door of a vault or a safe is opened by a bank teller against his will. For the protection of the bank teller, such alarms do not go off in the bank, only in the police station. This type of burglar alarm device is designed so that there is no way for the holdup man to know that the alarm is being given. Joins Illinois Bankers George S. Goodell has joined the staff of the Illinois Bankers Associa tion. according to a recent announce ment by Kirk E. Sutherland, secre- GEORGE S. GOO D E LL Now with Illinois association T O M ID D L E W E S T ministration at Marquette and is now on the staff of the school of commerce at Northwestern University. He prac ticed law in Sheboygan during 194!), 1950 and 1951. BA N KER S Y o u r F eed er New Bank Building C u s to m e r s ’ requirements may on occa sion exceed your legal lending limit. If so, w e h ope you w ill get in touch with us. For over three-quarters o f a century we have specialized in financing cattle feeding. / y ^ y iy y / n itw 'S je a t jJ/ e LIVE STOCK BANK ESTABLISHED 1868 U N IO N ST O C K YARDS M em ber Federal Deposit Insurance Corporation Northwestern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis tary. Mr. Goodell comes to the asso ciation from the Chicago general of fices of the United States Steel Cor poration where he was associated with the credit department. Mr. Goodell has taught business ad- An entirely new kind of bank build ing, having an exterior of plate glass and polished aluminum, is being erect ed by Manufacturers Trust Company on the southwest corner of Fifth Ave nue and Forty-third Street, New York. Open to view and inviting to the pub lic, the new building, which will house the Manufacturers Trust office now located on the southeast corner of Fifth Avenue and Forty-third Street, will be a $3,000,000. four-story, air con ditioned structure, situated on a plot 100x125 feet. Higher Midwest Income W e e k ly pay for malí uiac tur ing workers in midwest centers is run ning well ahead of the national aver age, the Federal Reserve Bank of Chicago reports in its monthly review. Business Conditions. In Illinois, Indiana and Wisconsin manufacturing earnings were about 7 per cent above the U. S. average through midyear, while Michigan topped the national average by 22 per cent. Currently Michigan manufactur ing plants are paying the country's highest weekly wage. Chief reason for higher pay in the midwest, the bank says, is the domi nance of durable goods producers. 37 Used Car Guide gives you— Latest average retail, loan and “ as is” values. Factory delivered prices. On trucks . . . the average retail, loan and “ as is” values on most makes up to 16,000 # G .V .W . Insurance symbols, motor and serial numbers with locations illustrated, model identification, mechanical specifications and standard factory equipment. Both th e la r g e q u a r t e r ly issu e s a n d issu e s f o r th e m o n th s in - b e t w e e n p r o v id e y o u w ith a u th e n tic , c u r r e n t v a lu e s a n d d a ta . A ll th is e a s y - t o - f in d in fo rm a tio n p r ic e d a t o n ly $7 per y e a r (Q u a n tity p r ic e s upon re q u e s t) /jA piei “t ifa an et/ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ¿tà N .A .D . . O fficial Used Car Guide 1953 TRUCK REFERENCE BOOK lists— YEAR MODELS — Latest specifications on all trucks since 1946, Factory List or Advertised Delivered Price of vehicle with standard equipment . . . and price infor mation for year truck produced. 0 — Serial numbers for each year . . . and loca tions of motor and serial numbers for each make. TONNAGE RATING — Nominal rating . . . frequently required for registration and insur- ance. W E IG H T — Recommended maximum weight when fully equipped and shipping weight with standard equipment . . . often needed for registration. TIRE S IZ E — Specified in standard equipment and included in the price and weight. WHEEL BASE — The standard for each model or series. All Wheel Bases listed for light-duty trucks. LIMITED EDITION-Order Today! $2.50 « ($2 ea ch in lo ts o f 10 o r m ore) Published by N a tio n a l A u to m o bile D ea lers U sed Ca r G u id e Co. 1026 17th STREET, N. W . • WASHINGTON 6, D. C. Northwestern Banker, Septembe r, 1953 38 Hmr O ur Hunk W ith A tirice und A iu n u gem rn t (Continued from page 19) The manager of the farm service department makes many trips to the country visiting customers and pros pective customers. A new farm loan is never made at the Centerville Na tional Bank until a visit has been made to the farm and the loan has been recommended. They have found that with very few exceptions the farmers are pleased with that visit and are more than anxious to discuss their farm problems with the manager of the farm department and, in most cases, look forward to the next visit. Farm record books are made available to the farmers in this area by the bank at no expense, as Mr. Sawyers feels that a good set of records is the basis for a good farm program. Posts Prices A small service rendered by the Centerville National Bank, but a very important one, is the daily posting of grain, livestock and produce markets. This service was originally made available to help farmers keep posted on current prices. However, it has been found that many business men watch these markets so they can talk more intelligently about farm prices with their farm customers. It was realized by Mr. Sawyers when he first organized a farm serv ice department that it would be an added expense to the bank; however, this has been partially offset by the fees collected on the professional farm management work. The farm depart ment has a keen interest in each farm taken under its management and in all cases farms them with the idea of showing a fair return for the landowner and at the same time building up the productive level of the farm through good soil conservation prac tices. As soon as the farm is taken for management the Soil Conservation Service is contacted and arrange ments made to put a complete farm plan on this farm. In doing this plans are made and worked out with the men from the Soil Conservation Serv ice. Each fall tenants on the farms man aged by the farm department are in vited to a dinner sponsored by the Centerville National Bank. At that time they are given all of the latest agriculture outlook information avail able. The bank is proud of the cooperation existing between landlords, tenants and manager. * Has Several Farms Mr. Sawyers has a grass root interest in agriculture and for many years has owned and actively managed sev eral farms. He could see the impor tance of dairying in the rolling hills covered with grass in southern Iowa. Mr. Sawyers has established a fine Holstein dairy herd of approximately 100 head of cattle. The latest milk ing methods are used combining economy and efficiency in the production of Grade A milk. His interests are not confined to dairying because he has two fine Hereford herds and an nually raises 600 head of hogs. He never hesitates to put into use the latest developments in agriculture. All of the improved permanent pas ture on his farms contains bird’s-foot trefoil, a new long living legume adapted to southern Iowa. Test plots of fertilizer are used to determine the maximum amount that can be used economically on a given plot. He was among the first in Appanoose county to use anhydrous ammonia as a source of nitrogen. It is the firm belief of Mr. Sawyers that with cheap beef and the possibil ity of other farm prices dropping, the farmers are going to have to produce that meat more cheaply through the use of better hay and pasture. He is very much interested now in a long range pasture improvement program for the rolling hills of Appanoose county and pledges his support to such a program. Mr. Sawyers is a man who has dedi cated his service to his community and whose influence will long be felt. —The End. > y ^ * < >- Bank of America Gives Pins The rapid rise o f the Western Canadian oil fields as a factor in the world oil, gas and petro-chemical indus tries is illustrated in the chart above. American banks are invited to consult with us in behalf o f their customers who may be interested in Western Canadian oil activities from any viewpoint. Kindly write either to our Petro leum and Natural Gas Division at Calgary, Alberta, or to any o f the offices listed below: T h e C a n a d ia n Bank o f C om m erce Head Office— Toronto New York • San Francisco • Los Angeles Seattle • Portland, Ore. Over 600 Canadian Branches Horthwest ern Banker, Septembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Eight men completing 25 years of service with Bank of America last month were presented diamond-set service pins by A. ,T. Gock, chairman of the bank’s board of directors. The new Quarter Century Club members are: H. H. Fraser, manager, San Fernando branch; C. Leo Rachford, assistant manager, Arroyo Colo rado branch, Pasadena; Harold C. West, Palm Springs branch; John Globe, assistant cashier, ClarendonPacific branch, Huntington Park; Jo seph D. Rolle, assistant cashier, Inter national office; Carl F. Lambe, Lincoln Heights branch, Los Angeles; Ray mond L. Eccles, assistant cashier, and Richard G. Ahrens, pro-assistant cash ier, from San Diego main office. ~i y / 39 T h i s is T H E t i m e marble and steel disguise it. But after a visit or two to any bank you begin to see its true profile. It may be the face of a teller, a file clerk, a loan officer or— the presi dent. Whoever it is, this much is certain— the profile of a bank is al ways the face of the man or woman in the bank you know best. W h y? Because banks are people. Tellers’ cages, vaults, iron gates— all the familiar sym bols of banks — are nothing more than tools used by M ost of https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis t h e p r o f ile o f human hands to get the job done. Yes — banks are people. More to the point, they are conscientious professionals who see banking as a career rather than just another way to earn a living. To M r. and M rs. America this says, ‘ ‘Your money (along with your country’s financial tradition) is in good hands.” It also means that the business of putting money to work— banking’s basic function — is administered by responsible professionals with a keen sense of trade competition, and a a b a n k highly developed awareness of cus tomer service. These people are America’s banks. Bank buildings, however simple or ornate, are only their workshops. It is their humanness that transforms facades of marble and steel into faces of friendliness and warmth. Chase National Bank is proud of the part it is playing in American progress. * * * T h e C H A SE N ation al B ank OF TH E C IT Y OF N E W Y ORK (Member Federal Deposit Insurance Corporation) Northwest ern Banker, Septembe r, 1953 S to r y o f S a fety P a p e r T old How to tu rn a M IN U S in t o a PLU S Sometimes, when a good cus SA FE TY PAPER — Employes at the George LaMonte & Sou plant in Nutley, New Jersey, are shown counting, trimming and wrapping for shipment the special paper the company manufactures for use in checks, drafts and other business documents. tomer wants a commercial loan it looks as if you'll have to turn him down. If you do, you may T HE importance of safety paper and be minus a customer, a loan and a profit. Many bankers have solved this problem by suggesting a field w are h o u se loan on the custom er's inv en to ry . U n d er this plan, D o u g la s - G u a r d ia n issues w are h o u se receipts on the b o rr o w e r's m e r c h a n d i s e without moving it off his prem ises. Result: Your customer gets his money—your bank gets two fold security (the w areho u se receipts and the merchandise) and, of course, you keep a cus tomer plus his good will and the profit on his loan. ¡~ DOUGLAS-GUARDIAN ~i WAREHOUSE CORPORATION j . 118 N. Front Street New Orleans, La. Please have your nearest representative call on me. I Name of Bank _________ ____ _ Address Your Name and T itle-____________________________ NB—9-53 | OFFICES IN 20 PRINCIPAL CITIES Northwest ern Banker, Se ptembe r, 7953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis * the George LaMonte & Son plant in Nutley, New Jersey, was recently reported in The New York Times. The article mentioned that there is paper for nearly every business purpose, but it is doubtful whether any has con tributed more to the progress of busi ness than the safety paper used in bank checks. The following account was told: “ Since George LaMonte invented his ‘national safety paper’ in 1871, follow ing widespread check raising and for geries after the Civil War which made bankers and business men wary of using these instruments, the volume of checks has reached a point where they now account for settlement of over 90 per cent of all business trans actions. “A recent survey by the nation’s banks showed that 7,000,000,000 checks were drawn by individuals and busi nesses in 1952 for a total of $2,200,000,000,000. “ Mr. LaMonte, seeking simplicity in check protection, originated the idea of impregnating the surface of paper with dyes that blend chemically with ordinary writing ink. These dyes are applied to check paper in specific de signs which are in perfect register, both on the front and back of the check. Any erasure, either by me chanical or chemical means, leaves a distinct white spot on the check, show ing that it has been altered. “The experience of three genera tion of LaMontes in making safety paper and the continual testing of new ideas have brought many refinements in the original product. “An extensive laboratory is main tained at the George LaMonte & Son plant in Nutley, New Jersey, for stud ies that include experimentation on ways of improving the paper and the development of new applications. The company makes it own machines for giving the paper its protective coating. “Careful control is necessary in the manufacture of ‘national safety paper,’ George V. LaMonte, president of the company, said. Every sheet is ac counted for to prevent any from fall ing into irresponsible hands. All spoiled sheets are shredded to make them unfit for printing or lithograph ing. "Ranks and corporations have had their trade-marks and designs impreg nated into the paper for more than 60 years. A separate building at Nutley contains thousands of metallic rolls carrying these special designs.” W. H. Hitzelberger W. H. Hitzelberger, 59, a vice presi dent of the Republic National Bank of Dallas, and former executive vice president and general manager of the State Fair of Texas, died last month. An outstanding Dallas business and civic leader, Mr. Hitzelberger headed the bank’s industrial department, and was in charge of construction, leasing and management of the bank’s new 40-story bank and office building (36 floors above, four below ground) now being built in downtown Dallas. 4! Which specialists do you n e e d ? —w e ’ve got all kinds! We believe that the greatest school for industrial specialists for almost fifty years has been our own Com mercial Department at The First National Bank of Chicago. It will pay you to know why. It all began back in the early 1900’s with a simple, but new, organizational idea. Instead of assigning groups of lending officers in the Commercial Department to geographical territories, they were assigned to small groups of related industries. In the years since, officers in each one of those Di visions have handled financing for their group of indus tries alone. So, because each Division specializes, its officers get to know their industries intimately. ,1\viks It. Forgan, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis V ic e -C h a ir m a n Here's how that set-up works for you. You are working with a customer, or prospective customer. You discover that to help him to the fullest extent and to protect your own interests you need to know more about the business he is in than can be found out locally. As a correspondent of ours you are entitled to the services of any of our Division specialists — without limit. There are ten of these Divisions, and they cover all industry. If you would like to talk over the many advantages of being a correspondent of The First National Bank of Chicago, just write, wire, or phone. A man from The First will call on you. E dward E. Brown, C h a irm a n o f the H omer J. Livingston, P r e s id e n t H oard W alter M. Heymann, V ic e -P r e s id e n t H arold Y. A mberg, V ic e -P r e s id e n t H ugo A. A nderson, V ic e -P r e s id e n t G aylord A. Freeman, Jr., V i c e -P r e s id e n t H erbert P. Snyder, t ic e -P r e s id e n t The First N ational B ank of Chicago M EM BER FEDERAL D EPOSIT IN SU R A N C E CO RPO RATIO N Northwestern Banker, Septembe r, 1953 42 S chool T ea ch ers L ea rn A b oa t H anks F irst-H a n d (Continued from page 22) quently, members of the staff try their special recipes and themselves make the salad or other parts of the menu. Items to be kept cold are placed in the refrigerator, which is combined with the electric stove in the kitchen ette. Table service for 50 is a part of the equipment. A full meal has been served each year—turkey one year, ham and tur key another—with all of the frills of a full sized banquet. Flowers for the tables and bouquets for the lobby have been prepared by a local florist. Each year corsages for the women and bou tonnieres for the men have been pinned on at the receiving door by the bank girls. Last year, the corsages had coins hidden in them and prizes were given for the corsage carrying the most money and the least. Following the dinner the guests are seated in the community room where a program, which has some banking education in its makeup, along with humor and amusement, is presented. At the conclusion of this short pro gram the guests are invited to tour the bank, where the employees demon strate all of the machines used. The vaults are opened for inspection and the teachers can browse around as they please asking any questions they might have. The bank’s secretary then lists the dates, preferably during the following week, when the various classes or schools will be brought in for tours. All ages of students are included in the tours. The group is first taken into the community or directors’ room where checks, deposits and other phases of banking are explained by one of the staff. From there they are taken through all parts of the bank and the machines are demonstrated and, in most cases, used in some way by each student. Large currency and bonds are shown and each visitor is allowed to hold a $1,000 bill and bond. The bank management feels that it is not so important that the students learn too much of the technical side of banking, but rather that the main impression should be that a bank is friendly and approachable. As the youngsters leave the bank, they are each given a candy bar and some other gift, such as a top or a pencil. All are asked to write letters to the bank telling about their experience. As letters are received back from the student visitors under high school ages, a letter accompanied by a savings deposit of one dollar is mailed to each writer. For those in high school a contest is conducted and the writer of the best letter receives a government bond as a prize. A surprise conclusion to this pro gram this year was a dinner at the grade school building, given by the teachers to the bank folks. Following a very sumptuous meal the rooms N o m atter what the size, or the specific need, o f your Chicago account, we are equipped to provide a com plete banking serv ice, prom ptly and efficiently. A ny and all o f our services are at your disposal. C i t y N a t io n a l H a n k AND TRUST COM PANY o f C h ic a g o 208 SOUTH LA SALLE STREET ( M E M B E R F E D E R A L D E P O S IT IN S U R A N C E Digitized Northwestern for FRASER Banker, Se ptembe r, 795 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis CORT.) were all opened and the bank em ployes were taken on a very compre hensive tour of the building and viewed work done by the students dur ing the year. This program can be costly or it can be of small cost to the bank, but the results are big, long lasting and impor tant.—The End. New Employe Course A complete program for orienting and training new employes will be available to every bank in the coun try this September when the Ameri can Institute of Banking rounds out its short course series for beginners with the introduction of a course for new or prospective tellers. The new course, “The Bank Teller,” will put the finishing touches—at least for the present — on the program which began in 1951 with the publi cation of “You and Banking,” and was continued last year with the introduc tion of “The Bank Bookkeeper” and “ Proof and Transit.” With all four units now available, the Institute can offer an “introduction to the job” pro gram that will apply to almost every new bank employe. For each new employe the program consists of two courses, “You and Banking” and the skill training course covering the department in which he is working or is about to work. In “You and Banking” the newcomer studies the banking business in gen eral, all types of bank operations, and the place of banking in the economic world. In “The Bank Bookkeeper,” “ Proof and Transit” and now “The Bank Teller” he takes up only his own department, studies his job, de velops the skills he needs on the job, and learns the place of his depart ment’s operation in the whole banking picture. The short-course program was de veloped with three ends in view—-to reduce the turnover of bank employes by interesting and training newcomers in their jobs before lack of under standing can make them dissatisfied, to increase the job skill of beginners quickly after they enter the bank, and to give the new employe himself the opportunities and advantages that a better understanding of his job will bring. New Book Available Why a businessman should know the difference between a safe and a money chest is explained in a booklet published by the Mosler Safe Com pany. Called “What You Should Know About Safes,” the book is available without cost from Mosler at 320 Fifth Avenue, New York. U N IQ U E " D E P O T D E L IV E R Y S E R V I C E " speeds transit items to proper rail and air ter minals. after final evening consolidated check shipment has been made—a real National City transit "plus’’ to assure faster presentation of checks. N A T IO N A L C IT Y TIMES S Q U A R E B RA N C H M A N A G E R , Walter J. Brotherton, right, talks to a depositor — operator of the nationally-known Times Square newsstand at the crossroads of the world where bankers visiting New \ork buy their hometown news papers. Brotherton’s intimate knowledge of large and small businesses in his neighbor hood is expanded by the Bank’s 67 other New York managers to encompass the entire city. This city-wide coverage generates a "know-how’ and specialized knowledge of New York’s business “communities” that is available to National City’s correspondents for the asking. NATIONAL CITY puts the personal touch into correspondent service When a banker calls on National City for service he knows lie will receive the attention and personal interest of an officer who is inti mately acquainted with his territory and its problems. To learn at first-hand of the needs of their correspondents. National City officers make frequent trips about the country. In addition, each district officer is a specialist in at least one industry or line of business— an invaluable fund of banking experience and knowledge on which National City corre spondents may freely draw. And it goes without saying that our correspondents en joy prompt, efficient handling of their daylo-day banking transactions. With 68 Branches in New York, 57 Branches overseas, and correspondents in every commercially important city of the world. National City has unmatched facilities to keep bankers in touch with world-wide economic conditions and developments. Next time a difficult banking problem comes up. call on us. We welcome the oppor tunity to show you how we can help you help vour customers. THE A LM O S T H A LF M ILLION National City credit files on business firms all over the world are being constantly revised and en riched by Bank men on the scene like John son Garrett, National City’s Paris Branch Manager. DELM ONT K. P FEFFER , Vice President, one of the country’s top authorities on municipal financing, is a key member of the National City team that can provide correspondents with counsel on every banking problem. THE N ATIO N AL CITY BAN K OF NEW YO RK Head O ffice at 55 W all Street, N ew York in tyi'o'i/d fyiir/e Around-the-clock Transit Service • Collections • Credit Information • Bond Portfolio Analysis • Dealers in State and Municipal Bonds Participation in Local Loans • Safekeeping • Complete Foreign Facilities Personalized Service • Complete Metropolitan New York Branch Coverage https://fraser.stlouisfed.org M e m b e r F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t io n Federal Reserve Bank of St. Louis it a n k er itesi#/a s i*o d - a n d - F r e rdoni M ed a llion T h a t W in s A HERE was considerable interest shown in banking circles when, last Washington’s birthday at Valley Forge, Pennsylvania, the Free dom Foundation announced one of its three top national awards to a church in Phoenix, Arizona. The award was T for the God-and-Freedom medallion, a silver coin slightly larger than a 50cent piece, showing on one side an idealized cross and the word GOD, and on the other an American flag and the word FREEDOM. These, the award recited, constituted the two THE DESIGNER of award-winning Godand-Freedom medallion was George V . Christie, vice president, First National Bank, Phoenix, Arizona. THE M E D AL LIO N is slightly larger than a 50-cent piece. Here are view of both sides of the silver coin. ¿ ./ „ / „ .I .ie / i 070, ÛÛÛ O ver 780 Branches in C an a d a, the West Indies, Central and South Am erica, New York, London and Paris. Head Office: Montreal TH E R O YA L BA N K OF CANADA N e w Y o r k A g e n c y : 6 8 W i l l i a m S tr eet, N e w Y o r k 5 , N . Y . DigitizedNort for FRASER hwest ern Banker, September, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis things needed most in our country to day; thus the award. Specially inter esting to the banking fraternity is the fact the medallion was designed by a banker. Here’s the story: One evening a couple of years ago, George V. Christie, vice president of the First National Bank of Arizona, was scheduled to give an address on current business affairs before the Men’s Club of the First Congregation al Church in Phoenix. During dinner the church’s minister, Rev. Frederick Barnhill, asked Mr. Christie what his talk would be. Then they talked idly about one thing and another and the minister complained there was so lit tle of a tangible nature which chap lains of his faith could give their sol dier charges when the men took off on patrol, or to go into full battle. Mr. Christie, when the minister’s attention was diverted, sketched some ideas on a napkin, then showed them to the clergyman. The latter took fire, insisted the speech be changed, and that it center around the need for the two ideals shown. So they got a black board, and that’s what the banker talked about. To make a long story short, Ari zona’s Governor Howard Pyle sent one of the finished medallions to each of the other 47 governors. The men’s club committee sent medallions also to President Truman, General Eisen hower, General MacArthur, the heads of the Chaplains’ Department of the Army, Navy and Air Foi;ce, and nu merous other prominent men around the country. (It was confirmed that as General Eisenhower sat before a TV set in his hotel in Chicago, watch ing them nominate him last summer, he was nervously playing with the medallion.) Most of those to whom it was sent responded with warmth and sincerity. These letters, and some local newspa per stories, were pasted in a big book and the book entered in the Freedom Foundation competition. That is how the award was achieved. However, award or no award, the principal dividend in all these, accord ing to the Phoenix banker, is the evi dence that underneath all the sham and pretense which exists in daily life today, people are fundamentally good. Letters enclosing orders prove that. Many bankers and other busi ness men have requested substantial numbers of the medallions to give to others. A Boston doctor wrote that he often goes downtown without a watch, pen or wallet—and it caused him less mental perturbation than to take off without the medallion in his pocket. He asked for 10 more to put in pockets similar to his and concluded 45 BANKS from all parts o f the country have been Hanover Correspondents for over fifty years. From a Bonk Officer in Rhode Island . . . “ You probably take these requests fo r in formation, right in stride, but it is a nice feelin g to know that we can be o f som e use to our customers in foreign transactions in almost any part o f the w orld.7’ A BA N K https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T IS h e K N O WN H BY THE CORRESPONDENTS a n o v e r B IT KE EPS a n k Insurance Corporation Northwestern Banker, Se ptem ber, 1953 that he could not explain the cause for all this hut was sure there was more to it than owning a simple pock et piece. General Eisenhower and General MacArthur, among many oth ers, took occasion to express their own belief in simple and manly terms which could not help but lie heart warming. The men’s club of the Phoenix church asked Mr. Christie to act as distributor for the medallions, so that the hank association would help them avoid any implication of profit mak ing. The banker has been busily re ceiving and filling orders ever since, and says it is one of the most satisfy ing activities in which he has ever engaged. The medallions are $1 each and are sent postpaid. Thus far more than 2,800 have been put out all over the United States. Joins Mercantile Trust Mack A. Aldrich has been elected vice president of the Mercantile Trust Company, St. Louis, by the bank’s board of directors. Mr. Aldrich is a graduate lawyer and for a number of years has played an important part in St. Louis civic and charitable activi ties. North Central Promotion Vernon F. Hurlburt has been named a vice president and director of agen cies of the North Central Life Insur ance Company, St. Paul, according to an announcement just made by Theo dore S. Sanborn, president. Mr. Hurlburt joined North Central in 1949. A year later he organized DROVERS NATIONAL BANK* IS STRATEGICALLY LOCATED T O G IV E FAST C O L L E C T IO N SERVICE The Drovers National Bank is strategically located at the hub of a tremendous industrial empire . . . the Union Stock Yards, the Packing House area, the Cen tral Manufacturing District and the great industrial areas of the South Side. Many banks and firms are using our direct collection service because of its con venience and speed. We are collecting agents for a large number of firms located in this industrial area. We invite your inquiry. V ERN ON F. H U R LB U R T New vice president and director of North Central Life, Saint Paul and became the manager of the com pany’s credit insurance division. Un der his direction this division made very substantial progress, becoming an integral part of North Central’s operation. In 1952 he was named di rector of agencies in charge of all sales activities for the company. * The Drovers National Bank is a direct member of the Chicago Clearing House Association and the Federal Reserve System. It has provided continuous service to correspondent banks since February 12, 1883. Forestry Brochure ^ D ro v e rs Banks Drovers National Bank and Drovers Trust & Savings Bank UNION STOCK YARDS, CHICAGO 9, ILLINOIS Members , Federal Deposit Insurance Corporation JÊÈ COMBINED RESOURCES OVER ONE HUNDRED MILLION DOLLARS DigitizedNorthwestern for FRASER Banker, Se ptembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis To encourage banks to sponsor pro grams of better woodland manage ment in their communities, the agri cultural commission of the American Bankers Association has published a four-page brochure describing 13 sug gested forestry projects for sponsor ship by individual banks. The bro chure, which is a supplement to the A.B.A. forestry manual, “Trees and Bank Accounts,” was announced re cently by Donald E. Brown, chairman of the commission’s forestry commit tee and president, Carolina National Bank, Anderson, South Carolina. Pointing out the importance of sound management of forest lands, the brochure states that “woods occupy one-half or more of the total land area of most states. In the southern area, the land in trees is usually better than 60 per cent of all acres. Half of the farm land, according to the census, is in forest.” ').. YES, ART, EYE BUY /¡A/D SELL OUR GOYERNMENT BONDS THROUGH BANKERS TRUST /N N EW YORK. BECAU SE THEY'RE A P R /M A R Y D EA LER ALL P R IC E S A R E N ET, AND THE/R O YER-A LL ADI//CE ON OUR ACCOUNT NAS B EEN VERY HELPFUL . . . " W h en you buy G o vern m en ts from B a n k e rs Trust—y ou d eal As a primary dealer in U. S. Gov Moreover, this service is rendered nicipal issues. We are prepared to ernment bonds, notes, certificates, to our customers at the lowest pos answer your questions regarding and discount bills, we maintain an sible cost —all prices are net. this segment of your portfolio. inventory of these securities in our Trading Department. We are glad to work with you on your bond account, advise you on This means that your orders placed with us are executed with out delay — no red tape or outside the arrangement of maturities, and suggest switches from one issue to another as market movements pro vide favorable opportunities. telephone calls. Immediate confir m ation o f orders can mean an important saving for your bank. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis For full information on how this service can benefit your bank, write Bond D ivision, Bankers Trust Company, 16 W all Street, N ew York 15, N. Y. Telephone REctor 2-8900 when we can be of assis tance. Our teletype numbers are In addition, our Bond Division is N Y 1-3333 for Governments and a leading dealer in State and Mu- N Y 1-850 for State and Municipals. BOND DIVISION Ba n kers trust company NEW YORK Member Federal Deposit Insurance Corporation Northwestern Banker, Septembe r, Í953E 48 F irst « / ' Si. Ftuil F la n s Opra limisi* S ep tem b er 2 it. 2 0 ONE OF A SERIES of nine monthly exhibits on the main banking floor of the First National Bank of Saint Paul, this is a replica of the famous Fort Snelling Round Tower. THREE-DAY Public Open House September 28th, 29th and 30th is scheduled to bring to a resounding climax a long succession of observ ances that this year have marked the Centennial of the First National Bank of Saint Paul. Starting in January, the observances have included every- A There must be areason for Diebold superiority in A LA R M SYSTEM S More banks rely on DieboldMcClintock Alarms than all others combined. No vault equipped with a DieboldMcClintock G rad e A Alarm has ever been successfully attacked. thing from parties to monthly exhibits on the bank’s main banking floor. More than 30.000 St. Paulites are ex pected to visit the bank during the Open House period, and extensive plans have been made to handle the crowds. Members of the bank’s staff will serve as guides. Those who attend the event will be taken “behind the scenes” in all de partments of the bank and will be in vited to round out their visit with a trip to the roof of the First National’s 32-story building. Souvenir maps of St. Paul as it was in the bank’s early days will be presented to the visitors, as well as a key chain that carries a Centennial medalion. The public Open house will be pre ceded by an employes’ open house on September 24th, when the bank’s staff will invite friends and relatives to join them in a tour of the institution. A special program, under the direc tion of employes, will he presented during the affair. Senior Vice President Election of Rufus W. Hanson as a senior vice president at First National Bank of Minneapolis was announced last month b}^ Gordon Murray, presi dent. Mr. Hanson has been a member of the bank’s staff since 1928, except for a period from 1936-42 when he was a vice president of First Bdneredit Corporation in St. Paul. This corpo ration, like First National Minneap olis, is an affiliate of First Bank Stock Corporation. He returned to First National as an officer in 1942, and since 1947 has served as a vice president in the commercial banking department. Born and reared at Superior, Wis consin, Mr. Hanson attended the Uni versity of Minnesota and before en tering banking was associated with Dun & Bradstreet, Inc., and the Ernst & Ernst accounting firm. New Payment Another payment in the amount of over $28% million has just been made by the P’ederal Housing Administra tion to the United States Treasury, according to Commissioner Guy T. O. Hollyday. This is the second payment made by the Federal Housing Administration within a month and means that the agency has now repaid more than onethird of all funds advanced by the Treasury, for carrying out the provi sions of the various Titles of the Na tional Housing Act under which the FHA operates. The latest payment made is in ac cordance with the provisions of Pub lic Law No. 94, and the exact amount was $28,707,914. Of this, a little over $18 million was principal and $10% million was interest. The previous payment was in the amount of $8% million, bringing the total amount now repaid to somewhat over $37 mil lion. The over-all repayment by the FHA will amount to over $85 million, including interest. 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 Administration, Veterans Administration, Banks and Finance Companies. CONTACT YOUR LOCAL CREDIT BUREAU FOR THIS SERVICE CREDIT BUREAU REPORTS, INC. I N C O R P O R A T E D Pre-eminent Since 1859 ern Banker, September, 1953 DigitizedNort for hwest FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis (Formerly National Consumer Credit Reporting Corporation) GENERAL OFFICE— 381 FOURTH A V E ., N E W YORK 16, N. Y . Owned and Operated by Ten Hundred Fifty-one Reporting Bureaus Throughout the United States https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 49 NOW — A BETTER COUPON BOOK AS A BY-PRODUCT OF PRE-SCHEDULING INSTALLMENT LOAN LEDGERS w i t h the DUWUXxqlii S&HAtWWEtic. A C C O U N T IN G M ACH IN E Here’s something new in hank installment And accounting! With the new and exclusive where this plan is in use, five customers Burroughs Sensimatic Coupon-Ledger are served in the time formerly required Plan you can now create a better coupon to serve one. book at the same time as you pre-schedule installment loan ledgers. W ith the Sensimatic, economical, personnel service is speeded — in one bank There’s no reason why you should not enjoy the time and money-saving advan easv-to-operate quickly become expert. And your customers will like the tages of the Burroughs Sensimatic CouponLedger Plan in your installment loan operations. See for yourself how simple it system, too. For one thing, coupons are is. Make it a point to call your Burroughs clear and readable, give complete data, man soon — or write direct to Burroughs including the balance after each payment. Corporation, Detroit 32, Michigan. [ Burroughs WHBRBVBR THERE'S BUSINESS THERE'S B u rro u g h s D Northwest ern Banker, Se ptembe r, 1953 50 Continental Promotions The following changes were made in the official staff of the Continental11linois National Bank and Trust Com pany, Chicago, hy its board of direc tors recently: In the commercial banking depart ment Eugene Tamillo was named sec ond vice president and Arthur S. Lit tlefield, Jr., was elected an assistant cashier. Elmer A. Began was promoted to second vice president in the trust de partment and Leslie A. Anderson was made a second vice president in the operating department. Buy More Municipals Midwest banks bought more munici pal securities in the first four months of 1953 than in any equal postwarspan, according to the Federal Re serve Bank of Chicago. This is in sharp contrast to the tight rein banks kept on all other types of investments. Capping a buying trend which be gan shortly before the war’s end, municipals today make up 13.1 per cent of total Seventh District bank investment, compared with 4.1 per cent eight years ago. Moreover, since 1945, government securities held by all commercial banks dropped over 35 per cent, while holdings of taxexempt municipals expanded by an unprecedented 160 per cent. The Reserve Bank reports in its monthly review, Business Conditions, that the nation’s banks, in aggressive bidding on the open market, acquired almost half of the post-1946 net in crease in municipal outstandings. As a result, banks are now a more im portant participant in the municipal bond market than in the government security market. New Stock Issue Arizona Bancorporation stockhold ers have been offered 150,000 new shares in the company at the par value price of $10 a share. Proceeds of the new issue, accord ing to the prospectus, will be used to purchase stock in three state banks. Of the possible $1,500,000 to be raised, approximately $925,000 will be used to buy stock in the three state banks now held by the Employes’ Profit Sharing Fund of the Valley National Bank. The balance, if any, will be reserved for future stock purchases on the open market. Provided the Bancorporation buys all the state bank stock now available for purchase from the Valley Bank’s profit sharing fund, it will own 37 per cent of the outstanding shares of The Bank of Douglas, 7 per cent of the shares of the Bank of Flagstaff, and 10 per cent of the shares of the First State Bank of Arizona. The prospectus states the Bancorpo ration intends to participate in the management of the three state banks, but it has no present intention of obtaining ownership of a majority of voting shares in any of them. Increase Surplus David H. Reimers, president of The Live Stock National Bank of Chicago, announced recently that at a meeting of the board of directors of the bank, $500,000 was transferred from undi vided profits to surplus, increasing the W HAT IS A GOOD LOOKING CHECK? j I I The bank check is a functional in strument and, in our opinion, its design should not in the slightest degree detract from its functional value. Thus most bank checks are quite plain from an artistic viewpoint, because if they were too ornate they might hinder the streamlined proc essing to which they are subjected. Nevertheless, a bank check can be attractive in appearance if the bank title, customer’s name, and body composition are well balanced in relation to each other. The lithography should be sharp and clear, the imprinting o f the customer’s name should be well located, the number ing should be clean and properly aligned, and the cutting, perforating and binding should reflect precision craftsmanship. The overall effect is something which is good-looking for a bank check, although not neces- DigitizedNorthwestern for FRASER Banker. Septem be r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis sarily something which would take a prize at an art show. Occasionally we see a check which is a thing o f beauty, but even as we admire it we cannot help but wonder if perhaps functional significance has not been subordinated too much to the artistic. Conversely, we fre quently see a check upon which the customer’s name is weak and ama teurish, leaving us to conclude that in an effort to improve functional value, attractiveness has been lost. It strikes us that if a check is to be acceptable to the bank that provides it, the customer who uses it, and the people who process it, a wellbalanced format is called for rather than a format which emphasizes one part o f the check and overpowers another. Here at DeLuxe we strive to maintain this balance. D A V ID H. REIM ERS President, Live Stock National, Chicago surplus to $2,000,000 and leaving over $300,000 in the undivided profits ac count. The bank’s capital is $1,000,000. making a total of over $3,300,000 in capital, surplus and undivided profits. Total resources are over $62,000,000. City National Award City National Bank & Trust Com pany, Kansas City, Missouri, has recieved a merit award from Financial World for “distinguished achievement in annual reporting for five consecu tive years and for the excellence of its 1952 report to stockholders.” The award certifies that the annual statement of City National Bank was judged as among the most mode« from the standpoint of content, typ raphy and format of the 5,000 am reports examined during 1953. Collins, well-known to bankers midwest and publicity director bank, was largely responsible excellence of the report. 51 There are two ways of handling any Correspondent banking problem That’s why Manufacturers service is more popular with more Correspondent Bankers today than ever before in our history. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M a n u fa c tu r e r s T r u s t C o m p a r e r ... E V E R Y B O D Y 'S B A N K Head Office: 55 Broad Street, New York 15, N. Y. • Member Federal Deposit Insurance Corporation Northwestern Banker, Septembe r, 1953 52 Offer New Depository A completely new after hour deposi tory has been developed by Diebold, Incorporated, of Canton, Ohio, and is now being offered to bankers for in stallation. This new depository, which is built in two models, offers many advan tages, both to the bank and to custom ers. Finished in gleaming, permanent stainless steel and of modern design, this new depository features one-hand ed opening, positive fishproof protec tion and many other advancements. The key lock is located in the handle of the door and is situated for easy, one-handed opening. The handle is positioned so that the palm of the hand is turned upward during the opening and closing cycle. A signal “bulls eye” light is located in the han dle of installations that are electrically protected. This light indicates when a deposit has passed into the chest. The patented anti-fishing trap of these depositories is so arranged that no fishing device known can be passed into the storage chest through the de pository head. There is never direct access between depository and the chest. On these depositories the antifishing mechanism is so designed that the depositor may reopen the door partially and close it without having to move the door through its entire cycle, in order to check whether or not a deposit has cleared into the chest. The lock is so built that the key cannot be removed unless the lock is properly secured. This new line of depositories is built in two models, with or without a let- Diebold after hour depositories FOR VALUE RECEIVED Every day it becomes more apparent that business men must watch every expenditure to keep abreast of competition. We stand firmly upon the belief that proper insurance coverage is one of the wisest investments any business man can make. How ever, we believe just as firmly that only that insurance which affords complete insurance suited to the elements of risk afforded by the business insured gives that coverage. For this reason Western Mutual through the years has provided a number of coverages which seemed essential to the protection of those individuals who have reposed their confidence in us. We are proud of the complete insurance protection program which we can offer including Fire, Extended Coverage, Automobile, Plate Glass, and Personal Liability Coverages. Within the past year we have entered the field of Health and Accident Coverage with a Polio and Dread Disease Policy of which we are extremely proud. We feel it fits the needs of indi viduals in today's complex way of living. We invite your inspection of our Agency Program in any of these fields. Western Mutual Insurance Co. 616 10th Stre e t Des Moines 8, lowo N orthw estern Banker, Septembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ter drop. The two models are iden tical in all other features than the letter drop. The door on both models is ornamented by an eagle of modern istic design, cut from stainless steel, polished and mounted securely on the face of the door. As companion equipment for these new stainless steel depository heads. Diebold also builds models in tradi tional red bronze, in both round and rectangular styles. The bronze heads feature the same type of anti-trapping mechanism as the stainless steel heads. To complete the line of Diebold aft er hour depository systems, bankers are offered a selection of several mod els of depository chests. Tulsa Appointment The appointment of G. H. Dericks as building manager for the Fifth and Boston Corporation has been an nounced by the board of directors of that organization and by R. Otis MeClintock, president of the First Na tional Bank and Trust Company of Tulsa. The bank recently acquired 100 per cent control of the building, buying the 45 per cent interest of Sunray Oil Corporation, who have announced construction of their own building at Ninth and Detroit in Tulsa. Mr. Dericks, well known in Tulsa and in the national construction in dustry, was manager of the First Na tional Building before he was recalled to the Navy for active duty last year. He returned to Tulsa several months ago. Mr. Dericks, who was born in El mira, New York, has lived in and su pervised construction projects on such nationally known buildings as Rocke feller Center, the Esso Buildings in New York and the Statler Hotel in Washington, D. C., and is a graduate of Dartmouth College, class of ’3.4. 53 The record of the past is written in the figures of today. . . ' the hands on the helm chart the course of tomorrow Edwin C. Austin James M . Barker M ark A. Brown S id ley, A u s tin , B u rgess & Sm ith C hairm an o f Board A llsta te In su ra nce C om van y P resid en t Wesley M . Dixon Fred G. Gurley Stanley G. Harris P resid en t C ontainer Corporation o f A m erica P resid en t, A tch ison . T opeka S a n ta F e R a ilw a y C om p a n y C hairm an, E x ecu tive C om m ittee ( liarles C. Jarchow Wayne A. Johnston William V. Kahler P resid en t A m erica n Steel F ou n d ries P resid en t I llin o is Central R ailroa d P resid en t Illin o is B ell T eleph on e Co. The Harris Bank presents its Board of Directors H A R R I S a n d JohnL. McCaffrey F. B. McConnell James L. Palmer P resid en t In tern a tion a l H arvester Co. P resid en t Sears, R oebuck & C om p a n y P resid en t M a rsh a ll F ie ld ti* C om p an y Charles H. Percy Richard E. Pritchard Guy E. Reed P resid en t B ell & H ow ell C om p a n y V ice-P resid en t E x ecu tive V ice- P resid en t John G. Searle Harold H. Swift Stuart J. Templeton P resid en t G. D . Searle tfc Co. C hairm an o f B oa rd S w ift & C om p a n y Wilson Æ Mcllvaine T ru st S a v in g s Organized as N. W. Harris & Co. 1882— Incorporated 1907 B A N K 115 W . M O N R O E S T R E E T , C H I C A G O 90 Member Federal Reserve System . . . Member Federal Deposit Insurance Corporation https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, Septem ber, J9S3 N l 8 6 l PUBLIC O PEN H O USE SEPT. 2 8 , 2 9 , 3 0 to C ro w n \ An impressive succession o f Centennial year ob servances that started in January, will reach a climax when the First o f Saint Paul holds a 3-day Public Open House September 28th, 29th and 30th. T o the thousands o f St. Paulites who visit us on those days, our Open House will be an opportunity to "go behind the scenes” . . . to see more o f this modern banking institution whose roots are im bedded in a Saint Paul o f 100 years ago. There is a different meaning to this occasion for you who are in the banking business. Marking the First’s 100 years o f banking and emphasizing its position in to d a y ’s banking world, this Open House is a symbol o f sound banking prac tice . . . a symbol o f the devel opment o f banking facilities that are all-inclusive. It is as surance that the First o f Saint Paul, with a history o f progress through an entire century, to day has the things that are im portant to'yoiir bank. ■ k We hope that from your point o f view, our Open House will If you are in our vicinity days of our Open House 28th, 29th, 30th . . . ± :4 to have you stop in. m S e l l s ,r m}n*!! li ft ¡¡¡¡¡S M E M B E R F E D I R A I DEP OSI T IN SU RA NC E C O R P O R A Northwestern Banker, Se ptembe r, J953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Dû e a r ’s O b se rv a n c e of O u r IV I serve as a signpost pointing to the First o f Saint Paul a’nd a "precision-engineered” transit service recognized as one o f the finest in the country . . . to safekeeping that is everything modern science can make it . . . to investment advice based on long and sound experience . . to facilities that answer every conceivable corres pondent need . . . to the kind o f service an alert insti tution in tune with today, knows you want . . . to per sonalities who can be o f inestimable value to you . .nd to a high degree o f development o f all the other attributes you seek in a correspondent bank. "Open House” to observe our 100th birthday is much more than an oc casion to us. It is \n opportunity to reet and thank lany o f those who arough the years have helped make it possible for us to achieve our C en tennial year. It is milestone of great significance. ttf'rrr M frwwwfl m i fi iifmw'i n u ir a i ifPÜjd 3 3 »I 31 u 3 3 31 u. ¿ 1 T ii L U 33t during fhe three . September wduld be pleased FIRST N A T IO N A L OF Ol d e s t SAINT B A N K PAUL Bonki ng Ins t i t ut i on in Mi nne s o t a R I C H A R D C . L I L L Y , C h a irm a n , B oard o f D irectors P H I L I P L . R A Y , C h a irm a n , E x ec u tiv e C o m m i t t e e J U L I A N B . B A I R D , P resid en t https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, S e p te m b e r , 1953 56 Public National Elects Hugh F. Coyle has been named as sistant trust officer of The Public Na tional Bank & Trust Company, New York, according to an announcement made recently by E. Chester Gersten, president. LaSalle Increase John C. Wright, chairman of the board and president of LaSalle Na tional Bank, Chicago, announced that the Comptroller of the Currency has approved the $800,000 capital increase voted by shareholders recently. The enlarged capital structure con sists of $2,500,000 capital stock and $2,000,000 of surplus as compared to $2,000,000 and $1,600,000 respectively prior to the sale of the 20,000 addi tional shares of stock which were of fered to shareholders at $40 per share. The stock is of $25 par value and $500,000 of the proceeds of sale was added to capital and $300,000 to sur plus, which was also increased $100,000 by transfer from undivided profits. Security-First Changes Paul T. Dodds, vice president of the Security-First National Bank of Los Angeles, has been elected a director and member of the managing commit- tee of the bank. He succeeds L. W. Craig, who retired. Lloyd L. Austin, vice president, was also added to the managing committee. He has been with the bank for 20 years. National Cash Report Reporting an all-time half-year rec ord in sales, The National Cash Reg ister Company for the first six months of 1953 showed net profit after taxes of $5,570,464, an increase of $534,137 or 10 per cent over the $5,036,327 re ported for the first six months of 1952, it was announced recently by Stanley C. Allyn, president, following a meet ing of the board of directors. Sales in the first half of this year totaled $125,016,365, an increase of $18,181,087 or 17 per cent over the $106,835,278 reported in the corresponding six months’ period a year ago. The earnings were equivalent to $2.83 a share in the first half of this year as compared with $2.56 per share in the comparable period of 1952. The com pany, which produces accounting and adding machines as well as cash reg isters, has 1,969,807 shares outstand ing. The board of directors declared the regular quarterly dividend of 75 cents per share on the outstanding common shares of the company payable Octo- ber 15, 1953, to stockholders of record at the close of business September 30, 1953. Bank Purchase Horace C. Flanigan, president of Manufacturers Trust Company, and Fred G. Wolff, president of Peoples Industrial Bank, announced that an agreement had been reached under which Manufacturers Trust Company will purchase the assets and assume the liabilities of Peoples Industrial Bank. A.B.A. Air Service Excellent air service is available from Iowa to Washington, D. C. Fast, frequent flights to and from Washing ton will enable you to attend the A.B.A. convention and yet spend a minimum of time away from your home and business. For example, one popular schedule leaves Des Moines at 1:30 p. m. and arrives in Washington at 9:30 p. m. The return flight leaves Washington at 5:30 p. m. and arrives in Des Moines at 8:50 p. m. Similar schedules are also available from Fort Dodge, Mason City, Waterloo, Dubuque and Clinton on Braniff Airways. United Air Lines has service from Omaha, Des Moines. Cedar Rapids, Moline and Iowa City. Half fare family plans can be ar ranged. Washington Trip A S A IN T Russell F. Hunt, vice president of The First National Bank and Trust Company of Tulsa, attended the Na tional Air Force Association meeting held in Washington, D. C., last month. Mr. Hunt, who is a national director of the organization, was one of over 600 expected to attend the meeting, which included representatives of the nation’s top Air Force Command. In AVashington he joined Harold Stuart, another Tulsan, who is this year chairman of the board of the National Air Force Association, and who officiated at the meeting. PA U L B A N K E R ’S BLANKET BOND WITH EXTENDED COVERAGE Tulsa Award • The most comprehensive coverage you can • Unexcelled claim service C A LL Y O U R S A IN T PA U L A • s s * * » Nort hwest ern Banker, Septem be r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TODAY The annual report of The First Na tional Bank and Trust Company of Tulsa for 1953 has set a national rec ord in the public relations field. This year, in awards given annually by Financial World, is the tenth straight year that the First of Tulsa has received a merit award for ex cellence. The award, announced recently, was received by N. M. Hulings, vice presi dent in charge of public relations, and J. W. McLean, vice president in charge of the annual report committee. ¡3 W eH l se e yo u in W u sh ln yton f Wm. A. McDonnell President James P. Hickok Meredith C. Jones Exec. Vice-President Sr. Vice-President W e hope you’ll be among those attending the 79th annual convention of the American Bankers Association in Washington, D. G. This year’s convention promises to be one of Carroll F. Burton lrice-President W. C. Collins Frank Fuchs Vice-President Vice-President Wm. Moeller Alfred C. Pohle John F. Hallett Vice-President the most successful and best attended in A B A history. Officers of the First National Bank in St. Louis, pictured at right, will journey eastward for this national event, and they look forward to seeing you there. W. R. Mesenbrink Vice-President Vice-President Vice-President I^eonard J. Schrewe Asst. Vice-President THE FIRST N A TIO N A L B A N K IN ST. LOUIS FIRST IN ST. LOUIS for correspondent banking services Collections Credit Information Excess Loans https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Foreign Services Operating Methods Public Relations Security Safekeeping Special Services U. S., State and Municipal Bonds M e m b e r F e d e ra l D eposit Insurance C orporation Northwestern Banker, Se ptembe r, 1953 58 BANKER PROVED AND APPROVED! “ The reputation good Banks have for being conservative is not an unmixed blessing. Some p eop le carry it farther and say we are stingy. By being good fellow s and giving something away occasionally, we prove they are wrong. Paul M. Ferguson, V. Pres., The Owensboro National Bank Owensboro, K entucky. V Here are four of many Newco items used successfully by Banks and other Financial Institutions. As a matter of comparison, we are showing prices in 5 0 0 lots. Other prices on request. Imprinted with your ad and “ Time to Save” or some similar slogan, this attractive plastic Grandfather’s Clock Thermome ter typifies the mature experi ence of your o r g a n i z a t i o n . 500— 40c each. A SPECIAL OFFER FOR SEPTEM BER A N D O CTO BER makes it pos sible for you to buy both the Mr. and Mrs. Combs for the regular price of the Bobby Pin style alone. This gives you an inexpensive, useful gift for Mr. and Mrs. Public. 500— 13c per set, in cellophane bag. No. 52— Grandfather’ s Clock Thermometer No. 500— Mr. and Mrs. Comb Set A handsome Retractable Ball Point Pen. W ill not smudge or transfer. Approved for use on legal papers. 500— S i.10 each. Eversharp Retractable Ball Pen A Nebraska Banker wrote “ Send us another 1,000 No. 47 Desk Mirror Calendars, and rush them please. People come in every day asking for them and we’ve run out.” 500— 23c each. No. 47— Desk Mirror and Calendar FREE! A No. 47 Desk Mirror Calendar will be sent with our compliments in response to every inquiry. Write today to N EW TO N M FC . CO . B ox N. B. Banker, Se ptem ber, 1953 Digitized forNorthwestern FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Newton, Iowa [ 59 How Hanks Use Advertising S p e c ia lt i A NORTHWESTERN BANKER Survey T O FIND out how banks are mak ing effective use of advertising specialties and calendars to pro mote their services and gain good will, the N orthwestern B anker asked a number of well-known banks through out its area to tell how they have used them, what results they have obtained, and what advice they would offer oth er bankers on this method of adver tising. Many unique plans are being profit ably carried out and a wide variety of items are being used, as can be seen from the comments from the fol lowing bankers: R. E. McDowell, cashier, Security State Bank, Bake Park, Iowa: “We have always given away calendars. W e use the farm record type and usu ally buy three different pictures with hunting scenes for the sports men and pastoral views for the farm ers. In addition, we give each gradu ating class of our high school auto matic pencils carrying the school col ors, with suitable working imprinted on them. Last Christmas we gave all our local business houses a zipper bag to be used for checks, deposits, coin and currency. This year we are giv ing ball point pencils with an imprint. The customers’ response to these gifts has been gratifying. This year, for example, we received a thank you card from the senior class which bore the signature of each graduate.” AV. L. Caley, cashier, Baker National Bank, Baker, Montana: “We have at different times used glass ash trays for distribution to business houses, pencils with our imprint on them, and a farmer’s year book. We have had the best results in this territory by furnishing our farmer customers with this year book, which is printed by a Minneapolis firm.” \ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis H. M. Krogh, vice president, The First National Bank, McCook, Nebras ka: “The main advertising specialties which we use are calendars and farm record books at the end of the year, and they have been very popular. We also use calendar banks and give them quite a play around Christmas time. Everyone seems to like them as Christ mas presents.” Vincent Kelly, president, State Bank of Lawler, Iowa: “Our customers are 80 to 90 per cent farmers and we have for several years handed them a small calendar with sheets showing the sales of the various kinds of farm produce sold. These calendars seem to be in good demand and we have customers early in December each year call for them. We do not have any way to judge the actual return that we get from these calendars but we do know they are used and looked at for 12 months. They seem to be a reason able and practical way to advertise for a small country bank.” L. S. Lillibridge, cashier, Jones County State Bank, Murod, South Da kota: “We have for years used the regular farm record calendar which is put out by a Minneapolis firm. These calendars are mailed to everyone dur ing the month of December, with re ceipt calendars going to the people in town. Excellent reaction has been re ceived from the use of these calendars and they are liked very well. Also, we have purchased and resell little plastic visible banks, bell type, and have for the past three years. We sell them out at cost and feel that we get considerable advertising from them, as our imprint and date of ori gin is on each bank. The only other item which we have used is the rain gauge, which is one of the best spe cialty items that can be placed in an entire area, in our opinion. One year we used pencils with the bank’s name on them and placed them where peo ple could pick them up. They were of the plain lead pencil type and we feel that very little advertising value was received from their use.” Peter C. Abler, cashier, Exchange State Bank, Glendive, Montana: “Up to the present time we have not used advertising specialties to any extent; however, in the near future we are planning to have a remodeling and open house, at which time we plan to use some coin banks as gifts.” George Christie, vice president, First National Bank of Arizona, Phoenix: “Our bank has developed a novel ap peal to potential savers in the form of a coin bank which takes the shape of the trademark used by First Na tional Bank. That trademark is, of course, an outline of the state and superimposed is the bank’s name and message. The coin slot is in the top of the bank, keys remain with the institution and a deposit of a dollar is requested. People have come in in large numbers since- these displays were placed in the bank’s window and taken the banks, which are of a pleas ing copper color, and is in conso nance with one of the prime indus tries of the state, namely copper min ing. People can have their dollars back at any time they wish, of course. The coin banks are not sold, but given with the dollar deposit.” B. G. Paige, cashier, Flint Creek Val ley Bank, Philipsburg, Montana: “We believe that when specialties are used they should be of a useful nature and something that the recipients will find valuable at all times. In our opinion, specialties should also be confined to better quality items. We have used informational booklets, such as tax Northwestern Banker, Septembe r, 1953 60 one ill feeling person than is gained from 50 who received the gift. If you have a specialty it is best to ad vertise that it is available in the bank for those who want to come and get it. It surely should be worth that much.” information, and have very good re sults.” Ralph L. Johnson, president, Bank of Bridger, Montana: “Our experience on specialties has been through the use of systemtary calendars, bullettype pocket pencils and windshield scrapers. We don’t mail the calendars because we feel they are wasted. In stead, we have our customers ask for them and place them on a table in the lobby, feeling that if they will come in for them, they will use them. Study Pension Practices Pension practices in American in dustry have been further liberalized during the past several years. Marked changes are highlighted in the new survey, (<A Study of Industrial Re tirement Plans—1953 Edition,” which has been compiled and published by the pension division of Bankers Trust Company, New York. “The pencils are placed on the desks in the lobby and are available to those who pick them up. A few, of course, will pick them up every time they are in the hank. The scrapers are also placed in the lobby and here again some people avail themselves of more than their share. The survey shows the following trends: (a) Pension benefits of older plans are being adjusted upward, both as to past service and future service bene fits. (b) Fewer plans are requiring em ploye contributions on the first $3,000 or the first $3,600 of annual compensa tion. (c) More companies are providing pension benefits for all or substan tially all classifications of their em ployes. fd) The requirements for eligibility “We have had the most compli ments on the calendar, as they are an established standby for many people. We could not quit this even if we wanted to because a number of our customers remark that they have to have the same type of calendar each year to fit the mark on the wall. “Our feeling is that specialties should not be mailed out because of the possibility of missing someone. That particular person is hurt and more business is lost because of the in conventional plans are being liberal ized. (e) Minimum pensions are included in a greater number of conventional plans. In the plans of the survey, 63 per cent had minimums. The com parable percentage in the 1948-1950 survey was 28 per cent. (f) Maximum limitations on pen sions are being liberalized further. Of the new conventional plans, 63 per cent had no maximum limitations on pensions. Of the 138 older conven tional plans covered by the survey, 60 liberalized their maximum pensions. Of these 60, 22 companies eliminated the maximum limitation entirely. The 145-page book is a study of new pension programs and of the amend ments to old programs, in the period 1950 through 1952. It includes some of the largest plans in the country and also a representative group of me dium size and small size plans. In total, more than three million em ployes are covered by the new or amended programs of the surveyq which represents approximately 25 per cent of all employes covered by plans currently in effect in private in dustry. The study was written and edited by the bank’s pension officers and is the fifth survey which Bankers Trust has made within the last 10 years. CALENDARS will always carry the STRONGEST and MOST EFFECTIVE Advertising Message for the Least Investment 1 2 -S H E E T S T Y L E S FOR THE OFFICE + + + RECORD S T Y L E S FOR THE HOME DESK CALENDARS TO INFORMATION S T Y L E S FOR FARMERS AND SMALL BUSINESSES Carry Effective M essage to Your Client’s Desk for Close Range View A complete line of calendars and gifts is available from your regular supplier. Ask him to show you the E-Line, Eagle Line or Exel-O-Craft Line today. NOTE, this page, attached to your first CALENDAR order from any o f these lines during the balance of 1953, will entitle you to an extra discount of 5%. Call your supplier today to assure delivery this year. Nort hwest ern Banker, Se ptembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 61 Sp oriti It §§ Firm s fíivr Êtints on H o tv to t sr Httod 117#/ Hiits ITH many of the nation’s banks u sin g advertising specialties and calendars to maintain and promote good will, the N orthwestern H anker has asked a number of leading specialty firms to describe some of their popular products and tell how they can be used effectively. Coin banks are being used by a great majority of banks, both large and small, as a means of building sav ings accounts. A friendly Illinois bank recently bought 500 little plastic piggy banks to be given to farmers in con nection with a special occasion. The Newton Manufacturing Company of Newton, Iowa, who sold the banks, suggested an imprinted slogan en titled, “You Feed Me—I’ll Feed You— Third National Bank,” and it added tremendously to the effectiveness of the gift. It is the feeling of the New ton firm that people always like clev- W BU TLER-ETTE A S H T R A Y — Quality products of this type make a suitable exec utive gift for banks to offer clubs, cafes and certain commercial accounts. er copy and a light touch. Little slo gans and catch lines don’t cost any thing, yet add a lot to the value of the souvenir. One of the country’s leading manu facturers of piggy banks is A. N. Brooks, Ltd., Merchandise Mart, Chi cago, Illinois. The firm has a wide assortment of unusual creations, beau tifully finished, for use by banks and business houses. A bungalow savings bank made by The Lee Plastic Manufacturing Com pany, 175 Lee Avenue, Bridgeport, Connecticut, has found wide appeal among bankers, as a business stimu lator. The bungalow bank is made of brilliant styrene plastic in contrasting colors, having all the fine details of a real home, including a movable ga rage door, open windows, flag-stone path, stone wall, green lawn, shingle https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis roof, clapboard siding and permanent colors. Savings banks sold by the Parisian Novelty Company, 3510 South West ern Avenue, Chicago 9, Illinois, have been proven business builders for banks for many years, being particu larly effective in opening savings ac counts and keeping them alive. Other effective specialties manufactured by this firm, now in its 55th year, in clude blotters, thermometers, calen dars, buttons, rulers, key tags, card cases, letter openers, pocket knives, tape measures and mirror paper weights. Calendars Calendars represent an important item in the advertising budget of many banks. The manufacturers of such well-established and popular lines as Excel-O-Craft, E-Line and Eagle Line have watched the growth of the popularity of their calendars and spe cialties for over 20 years with a re markable year after year repeat order patten indicating popular acceptance of the items and calendars selected from their line of manufacture. Spe cialized calendars designed to satisfy the needs of the farmer, the house wife, poultry raisers, dairy industry and sportsmen are changed yearly to keep pace with the times and techno logical developments. Embossed art calendars, hangers and plasticoated hangers are also included among the varied styles offered by the manufac turer of the Eagle and E-Lines. The Butler-ette ash tray, another Excel-OCraft product, is a neatly designed, safe, plastic ash tray which locks in smoke, ashes and cigarette ends. It is an ideal specialty because it is use ful in the office, club house, home or patio. Although these popular trade names are not sold direct by the manufac turer, there are many well-established FO R MO R E D E T A I L S on i t e m s f e a t u r e d h e r e w rite MALCOLM K. FREELAND Advertising Director N O RTH W ESTERN BANKER 527 Seventh St., Des Moines 9, Iowa and aggressive wholesalers with sales representatives in practically every city who are familiar with the details and are anxious to be of service to banks with Exel-O-Craft, E-Line and Eagle Lines. The Newton Manufacturing Com pany, Newton, Iowa, believes in un usual copy on its calendars, as well as on its coin banks and other prod ucts. One item handled by this firm of particular interest is a combina tion desk mirror and calendar. It contains a calendar and advertise ment on one side and a little mirror on the other. The unusual copy starts out with a slogan, “Turn This Over and Meet a Friend of Ours—First National Bank.” R A IN SCARF — This type of specialty appeals to feminine customers o f banks and is particularly effective for use at open houses and anniversaries. Familiar to many bankers are the calendars and products offered by The Thomas D. Murphy Company of Red Oak, Iowa, whose trademark is “the birthplace of the art calendar indus try.” In addition to exclusive art and specialized calendars, Thomas D. Mur phy, under the direction of Malcolm Lomas, president, offers maps, book lets, business and social greetings, blotters, wood, bullet and mechanical pencils, ball points, pens and many other varieties of specialty items. Unusual Gifts Frequently it is best to select an item which is useful, yet different, from many items being offered by oth er business firms. A shoehorn comb, made by the F. J. Kirk Molding ComNorf hwest ern Banker, September, 1953 ()2 Let This All-Day Every-Day SALESMAN Open NEW Accounts for YOU! pany, 22 Brook Street, Clinton, Massa chusetts, has immediate appeal to ev eryone. Carried in pocket, purse or travel kit, it is in constant use and a constant reminder of your bank’s many services. Already a great suc cess with leading banks, insurance companies and large businesses, it is made of durable plastic and is attrac tively priced. Another item which is unusual, yet has a wide appeal among feminine cus tomers of banks, is a rain scarf han dled by the Johnston Specialty Com pany, 842 Fifth Avenue, Des Moines, Iowa. The rain scarf is made of light weight clear vinyl plastic in a trian gular shape, size 24 by 36 inches. The material can be folded without crack ing and is enclosed in a case 4 by four and one-half inches which has elec tronically welded seams. A bank’s advertising is attractively printed on the case, and when it rains or snows the recipient will gratefully remem ber you. “Put Your Name in Your Prospect’s Hand.” This is the slogan used by the Rainbow Pen Company, 487 Broad way, New York 13, New York, which handles an attractive pen that can be imprinted up to four lines in white or gold. The pen is retractable and won’t smear or leak. It is offered in quantity prices and makes a fine gift for banks to offer their customers. Many banks are now reserving a good portion of their advertising dol lar each year for the purpose of in telligent distribution of some good will gift to constantly remind those with whom they are doing business that their patronage is appreciated. Traffic “America’s Leading PIGGY BANK Mfrs.” New Shoehorn Comb has immediate appeal to everyone. Carried in poeket, purse or travel kit, it is in constant use . . . a con stant reminder of your many serv ices. Already a great success with leading banks, insurance companies and large business. Durable plastic; attractive priee. F.). SPARK KIRK MOLDINGCO., INC. Unusual Creations — Beautifully Finished -— Practical, Worthwhile Premiums for All Ages. Write for literature showing various models, sizes, and prices. 22 Brook Street CLINTON, MASS. I | I F. J. Kirk Molding Co., Inc., Clinton, Mass. Please send me complete iniormation on your shoehorn comb. A. N. BROOKS, LTD. Dept. N B -9 , Merchandise Mart, Chicago 54, III. j I N am e ........................................................................ I | C o m p a n y .................................................................. I [ S treet .......................................................................... | C ity.......................................... j S ta te ................ NB Northwestern Banker, Se ptembe r, 7953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A Sure Bet— Always a Winner P I G G Y B A N K S to Your Next P R E M I U M P R O M O T I O N JOHNSTON into your bank can periodically be stimulated by the offering of useful good will items carrying your imprint. New accounts can be rewarded and old accounts can be kept secure by > X COIN BANKS— The use of coin banks is a proven business builder. Here’s one that has been particularly effective for the First National Bank of Arizona. the systematic use of specialties and calendars. Regular consultation with a specialty firm or salesman will help you develop ideas to promote your services and build the accounts in your bank.—The End. 'X' OPEN HOUSE . . . (Continued from page 21) account statements and given out at all of our tellers’ windows. Cakes to Civic Clubs Another idea that brought a lot of comment was the sending of a special anniversary birthday cake to the noon luncheon meetings of the various serv ice organizations — Rotary Club, Kiwanis Club, Optimist Club, Lions Club and the Friday Noon Club. In concluding this article I would like to mention that the First Na tional was organized one year before the city of Oshkosh became incorpo rated as a city, so the history of the bank is inseparable from that of the city which is celebrating its centennial this year. Today, with over 25,000 customers, the First National is the third oldest and the eleventh largest bank in the state of Wisconsin.—The End. SPECIALTY COMPANY EFFECTIVE GIFT ADVERTISING 842 Fifth Avenue DES MOINES, IOWA Phone 2-2923 V 63 A tlrrrlisiu f/ S p e e io U ie s 4 im ItuiU! H nsiuvss fo r Y o u r Munii terms. What does one bank have that the other lacks. Personality— the type that’s friendly and inviting. You like to deal with firms of that nature and the public feels the same way. Written Especially for The Northwestern Banker By H. A. LUFKIN Vice President Newton Manufacturing Newton, Iowa GOOD many years ago that grand old man of merchandising, John A Wanamaker, said: “Give me the good will of my cus tomers and you can have my store. I could build a new one in a few months, but it would take me the rest of my life to rebuild the good will which we have worked so hard to establish.” Now when everything has been said and done, when all the fancy adjec tives have been used up and the fancy theories advanced, the basic funda mental of any business is good will. And that is to some degree even more true with banks than with other busi ness institutions. How is a bank to create and foster good will among the public generally? The best way is by personal, friendly contact, but you can’t see every man in the county every day or even every year. Yet you can give him some use ful and attractive token that will serve as a seven-day-a-week reminder of you and your business. There’s something about a useful gift that gets under the skin. From the dim edges of historical times down to the present, gifts have been used as an evidence of friendship. Just because you give a man a key case or pencil or pocket knife or a stick of gum it doesn’t necessarily fol low that you’re going to get his busi ness, but certainly it does no harm and PUT YOUR NAME fa In Your Prospect's Hand! Premium Quality . . . Reasonably priced! many times it becomes ing factor between you petitor. After all, banks are same commodity and Company the tiny decid and your com dealing in the on the same There are many community events that lend themselves to a distribution of specialty advertising, such as Farm Bureau meetings, centennials, fall openings, anniversaries, fairs, home shows and what have you. It is an especially fíne thing for a bank to use specialties in connection with their yearly anniversaries, be cause it tends to re-emphasize the age How to Build Up BANK BUSINESS... BANKS BLOTTERS TH ERM O M ETERS C A LEN D A R S BUTTONS RULERS KEY T A G S CA RD C A S E S LETTER O PEN ERS P O C K E T KNIVES Savings Banks are proven business builders for opening savings accounts and keeping them alive. They bring customers to your bank regularly to have the banks opened and to make deposits. This creates the savings habit. Larger models take coins up to 50c, paper money too. Small ones take dimes only or all coins lc to quarter. Tape measure (lower left) and mirror paperweight (extreme right) are favorites among adult customers, personal and commer cial accounts. W R IT E US TO D A Y on your letterhead, for samples and prices o f these and many other PARISIAN advertising specialties. “For 55 years, manufacturers of Advertising Specialties” • R ET R A C TA B LE • S A LE S R E P R E S E N T A T IV ES IN P R IN C IP A L C IT IE S BANKERS APPROVED • W ON'T SM EAR • W ON T LEAK • Beautifully designed Imprinted up to 4 lines in white or gold. NOVELTY Inquire about quantity prices. Dept. NB T e l e p h o n e V i r g i n i a 7-1212-13-14-15 RAINBOW PEN CO. 487 Broadway, N. Y. 13, N. Y . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis COM PANY 3510 SO. WESTERN AVENUE • C H IC A G O 9 Northwestern Banker, September, 1953 64 and soundness of the institution. The line of copy “38 Years of Service” never fails to make an impression, particularly when it is being constant ly seen, not just glanced at once and then thrown away. In buying an advertising souvenir, or convention item, or Christmas spe cialty. don’t trust your own personal preferences. The test of any advertis ing project is the direct reaction you get from your customers, prospects and friends. Does it make an impres sion? Is it generally useful? Is it attractive and in keeping with the dig nity and the standing of your organi zation? Is it timely? Is it suitable for the purpose? In business it is often the intangible things that count most, and what eas ier way is there to convince a custom er or prospective customer of your friendly attitude than by giving him a useful and attractive gift? This is nothing new. It is literally as old as the hills but it’s effective now as always and more and more bankers are finding that the “ Something for Nothing” idea is bringing the kind of results they want. Instant Appeal! The LEE Bungalow SAVINGS BANK Made of brilliant Styrene Plastic, in contrast ing colors. Fine details of a real home. Mov able garage door, open windows, flag-stone path, stone wall, green lawn, shingle roof, clapboard siding and other features. Perma nent colors— not just paint. LARGE SPACE FOR IMPRINT— IN GOLD See your advertising spe cialty salesman THE 173-175 LEE Lee PLASTIC A ve., MFG. Bridgeport, CO. Conn. W h a t ’s N e w ? Four recently published booklets are now available to bankers. A brief de scription of each follows: Called “Easy, Fast Statistical Typ ing,” this free folder describes Inter national Business Machines’ electric typewriter with decimal tabulation and how to use it in preparing statis tical reports. The machine has nine additional touch tabular keys on key board above the numeral row, and does not require a specially-trained typist for operation. Descriptive book lets available from Department of In formation, International Business Ma chines Corporation, 590 Madison Ave nue, New York, New York. A six-page booklet entitled “ Copyhex Speeds Paper Work in Modern Banks” tells how manual copying is being eliminated in some of the coun try’s largest banks and trust compa nies by use of a new method called Copyflex, simple method for making low-cost, top-quality, black-on-white copies of practically anything writ ten, typed, printed or drawn. Write Charles Bruning Company, Inc., 4700 Montrose Avenue, Chicago 11, Illinois, for illustrative folder. A new 64-page book titled “ The Household Record Book and MoneySaver” provides an easy way for bank depositor to “keep his home in order” with scientifically worked out pages of earnings and deductions and other vital records, and also contains money saving, income-protecting features. To be used primarily as give-away by banks. Sample copies and full infor mation are available from the publish ers, Promotion Press, Inc., 49 West 57th Street, New York 19, New York. Building Booklet A practical guide on “ How to Save Money When You Buy or Build Your Own Home” is now available from Wadsworth Homes, Inc., of Kansas S&x THE THOS. D. MURPHY CO. LINE EFFECTIVE sales promotion media Exclusive art and specialized calendars, maps, booklets, business and social greetings, blotters, wood, bullet and mechanical pencils, ball points, pens, also an elaborate variety of specialty items. RED OAK, IOWA "The Birthplace of the Art Calendar Industry" Digitized forNorthwest FRASER ern Banker, Se ptembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis City, Missouri. The new booklet has been completed by R. J. Potts-Calkins and H o l d e n Advertising Agency. Wadsworth Homes will mail copies to any mortgage loan department execu tive on request, without charge, and in limited quantities for lobby reading copies. The booklet explains in lay persons’ language a description of the various types of mortgage and home financing plans, plus a description of the things to look for and guard against in construction of a home. A special check chart is enclosed for evaluating a home and the digest of facts are completely objective. Write John M. Gaughan, Advertising Man ager, Wadsworth Homes, Inc., 2949 Chrysler Road, Kansas City, Missouri. X Two Nebraska Projects The Nebraska Bankers Association is preparing for two major projects that will take place next month. The first will be “Know Your Bank Week” from October 5th to 9th. All banks in the state have been supplied with special kits by the association office for the purpose of planning some type of program during this week. The second project will be the asso ciation’s first Agricultural Credit Con ference, to be held at the Agriculture College of the University of Nebraska in Lincoln, October 14th to 16th. The three-day conference is co-sponsored by the state bankers and the univer sity. Total number of enrollees will be restricted to 75. Several subjects announced for the conference are: “The Agriculture Fi nance Situation,” “ Adapting B a n k Credit to the Needs of Modern Farm ers,” "Short Term Lending Policies Under Adverse Price Conditions,” “ Ir rigation,” “Commercial Fertilizers” and other topics of timely interest. Speakers for the various sessions will include educators, farm operators, farm managers, bankers and agricul ture research men. American Trust Elects James K. Lochead, president of American Trust Comany, San Fran cisco, announced the promotion of Ed ward J. McBride and William L. Mar tin to vice presidents. Mr. McBride is manager of the bank’s foreign banking department and has been associated with Ameri can Trust Company since 1930, He has been identified w7ith this depart ment for the past 22 years and was named assistant vice president in 1945. William L. Martin is chief appraiser, real estate l o a n department, and joined American Trust Company in 1929. X 65 s m i A ;, i i r s C O N T A IN E R TO ACCOM M ODATE EVERY B A N K RECORD V E R T IC A L FILE P O CK ET V E R T IC A L FILE FO LD ER C L A S S IF Y IN G "S e r v in g th e A LL BANK H a n ks ALPHABETICAL AND MONTHLY FOLDER RECORDS a f A m e r ir a * * S in ee 1 9 0 0 ™ S m https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis u u ¿ MANUFACTURING CO., INC.-HASTINGS, MINNESOTA Northwest ern Banker, Septembe r, 1953 fib ★ ★ P e r s o n a l C o n t a c t ... Whenever you have business to transact for your bank or customers— a call or visit quickly puts you in contact with an officer of this bank. He is known to you personally. He directs our staff and facilities in the han dling of your requirements . . . and personally sees to it that your needs are handled promptly and to your complete satisfaction. T h e Northern Trust Company offers a distinctive, personal service to assist your hank in every financial requirement ★ ★ Com plete facilities and services for you and your customers Broad, fast collection service + Assistance in m aking loans ★ Credit information ★ Investment research facilities ★ Safekeeping service ★ Advice on financing foreign trade ★ Purchase and sale o f U . S. G overnm ent and municipal bonds T h e h a n k o f p e r s o n a l s e r v ic e TH E N O R TH ER N TR O S T C O M P A N Y LOCK B O X N, C H I C A G O 90 • FRANKLIN 2-7070 M em ber Tederal Deposit Insurance Corporation NEW Y O R K ★ Banker, Se ptem ber, 7953 Digitized forNorthwestern FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis REPRESENTATIVE • 15 BROAD STREET, N E W Y O R K 5 ★ 67 117###/ Should He Yield Spread for /.#>###/-/>'#•### 3 l A9s and The Question of Basic Yield Relationships Is Again Coming to the Foreground By RAYMOND TRIGGER Investment Analyst New York City S THIS is written, the Treas ury’s new issue of 30-year 314 per cent bonds has at last risen in price to 100%, a premium of onehalf point above the issue price in the spring. This may he a good time, then, to try to bring the market back into a focus which was lost during the distressing price break of the early summer. In the spring, when the new bond was first appraised in pre-marketing discussions, an advance of a halfpoint or so from issue price was re garded as a probable floor level for the new issue’s taken-for-granted pre mium. At that time, if there was any question about the market value of the new issue, it was in the price ceil ing, not the floor. Market men are now sadder and wiser but, characteris tically, they are now tempted to shrug off the stresses and strains of the re cent bear market and to ask them selves if this is not where they came in last April. Didn’t a new long-term 3!4 per cent bond then seem to be worth a 3.20 per cent yield basis, or even something richer And, if so, what should be the spread in yields between the new bond and outstanding Treasury obli gations of nearest term; that is, the various issues of 2%s due from 1967 to 1972? A lending to business offset substantial ly by the unfreezing of more than $1 billion of bank reserves, the question of basic yield relationships is coming again to the foreground. What should be the yield spread between a non-callable 30-year Treas ury bond selling at a premium, and various issues of callable bonds due in from 14 to 19 years and selling at dis counts ranging from five to seven points? Questions Made Academic Spread 20 to 25 Points These arresting questions were just being raised when successive waves of money requisitions coming in un precedented volume from all direc tions swamped the new-capital market and made basic yield relationships largely academic compared with the sudden erosion of profits and capital resulting from the sharp market break. Now, with the corporate demand for long-term capital shrunken visibly, and with the Treasury’s deficit finan cing and the seasonal swelling of bank At this writing the spread is run ning to from 20 to 25 yield basis points. In the spring, the persistence of a spread of one-fourth of 1 per cent in yield between the return on such in vestments was viewed as hardly war rantable, and some analysts looked for a shrinkage in the spread to oneeighth of 1 per cent or perhaps to even 10 basis points. The apparent distor tion in yields was, however, thrown into eclipse by more pressing immedi ate considerations stemming from the market decline. The result was that https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis spreads of up to one-fourth of 1 per cent have hung on. A further reason for the continu ance of such spreads has been the ap praisement of the special market worth accruing to a discount bond by reason of the fact that the increment to par at maturity is taxable at capital gains liability rates instead of at the twice-as-high corporate income rates, it could well be, however, that the tax advantage ascribed to the discount bond has been over-appraised by rea son of an excessive submission to arithmetic, and an insufficient consid eration of the fact that highly market able bonds of Treasury issue are not generally held to maturity by insti tutional investors, but are rather sub ject, with the shortening of bond life, to switchout sales for the sake of maintaining portfolio balance. If the continued apparent distortion in long Treasury yields is due in sub stantial degree, as has been suggested, to the overvaluing of the tax advan tage of the discount bond, it is likely that the yield spread between the new 314s and the old 2%s will be narrowed, as time goes on, to considerably less than 20 basis points. This could hap pen either by the 314 s rising sharply further in premium price, or by the 2%s drifting price-wise back toward the low levels of the early summer. Or by the S^s and the 2%s moving in opposite directions for a while. Two Offerings Possible It may be that the Treasury’s next big market transaction, the refunding of $7,986,000,000 of 2 per cent bonds due September 15th, will play some part in rationalizing the present lop sided yield structure of the longer market. The Treasury is considering effectuating the September refunding by a choice of two exchange offerings under which the holders of the matur ing 2s could turn them in either for short-dated paper, like the issue of Northwestern Banker, Se ptembe r, 1953 68 JO IN THE M ARCH O N D ETR O IT— to attend the 38th annual convention o f the Financial Public Relations Association beginning O ctob er 11. T he convention program is man-sized — jam -packed with meet ings, lectures, sales clinics and departmental sessions. If you're new at the game, the four-day meeting w ill be a g o ld mine for you. Y o u ’ ll be exposed to ideas, m ethods, p e o p le — to help you d o a better job at hom e. If you have been with us at an FPRA conven tion before, you k now h ow rewarding and challenging these special days can be. D o n 't delay. Send your conven tion reservations to Preston E. Reed, Executive V ice President, Financial Public Relations Association, 231 S. LaSalle Street, C hicago 4. 3 8 th ANNUAL F. OCTOBER 11, 12, 13, 14, 15 Northwest ern Banker, Septembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis P. R. A. CONVENTION The Sh erato n C a d illa c, D etroit Investments $2,881,000,000 of one-year 2% per cent certificates of indebtedness offered in exchange for 2 per cent certificates due August 15th, or could apply for exchange into a longer-term security, like the issue of $619,000,000 of fiveyear 2% per cent bonds put out dur ing the late winter under the Eisen hower Administration’s first optional debt exchange offer. Going market yields on three-tofive-year Treasury investments are so little different from those accruing to one-year debt that investors, under present market circumstances, would be little tempted to accept a note in optional exchange for the maturing September 2s when they could get the same return on a short-dated invest ment. Longer-dated paper might of fer a more satisfying field for explora tion if a one-year rollover of the whole September maturity is to be avoided. A 10-year bond bearing 3 per cent in terest has been suggested. The length ening out of the debt payment com mitment would at least constitute some offset to the higher interest cost, and would point the Treasury again toward the debt management goals from which it was sidetracked during the summer. in the background of the market’s potentialities, however, still lurk the dilemmas in credit and debt manage ment which have beset Federal Re serve System and Treasury officials recurringly ever since the nation broke out of the fiscal straightjacket of the war period. Fed Retreats In the face of sharply rising interest rates, a relatively stable price struc ture, and the Treasury’s need to raise vast aggregates of deficit money on the eve of a period of seasonal indus trial expansion, the Federal Reserve saw fit to raise the credit base of the nation’s banking system to an extent that will support a $5 billion increase in loans, the first major relaxation of credit controls on the quantitative side since 1949. This represents a retreat from high policy statements emanating from the central bank ear lier in the year, but how much is still the big question. Although the Reserve Board ex plained its lowering of bank reserve requirements w i t h generalizations bearing on its statutory responsibility for meeting the needs of business and for maintaining stability in the econ omy. the about-face seems to have been precipitated by two factors: (1) the sharp rise in interest rates caused by the raising of $11 billion of inter mediate and long-term capital—a new high peacetime record — during the first six months of the year, and (2) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 69 a pace visibly relaxed from the moneydevouring years of 1951, 1952 and 1953 What if the formation of capital through personal saving, now unfold ing at the highest peacetime rate in history, should go into decline. What if the play of supply and demand in a period of high business activity should again press against the inter est structure? Under such circumstances, would the central bank feel compelled again to ease the credit mechanism “to let the money supply catch up with pro duction?” And, if so, to what extent, that is, will the central bank seek only to brake a further rise in interest rates, or to enforce some new ceiling? With agriculture, business and indus try poised again on the threshold of a major seasonal period of expansion, the unforeseen swelling of the Fed eral government’s budget deficit on account of the failure of the tax take to come up to conservative estimates. At the moment it is difficult to pin point the perspective of the central bank administrators. Cold-decked by circumstance, the Reserve System seems to have taken refuge momen tarily with those critics who were most critical of the central bank’s pursuance of a restrictive credit pol icy in the spring. What If Economy Rides On? Of course, if business activity de clines measurably, the '•conflict of thinking about credit policy will van ish; the central bank can be expected to inject funds into the market with out constraint. But what if the econ omy keeps riding on, even though at Mutual Funds MUTUAL, IN C An open-end management type mutual fund diversifying its invest ments among com m on stocks, preferred stocks and bonds. SELECTIVE FUND, IN C An open-end management type mutual fund diversifying its invest ments am ong bonds, preferred stocks, and other senior securities. STOCK FUND, IN C An open-end management typ e mutual fund diversifying its invest ments am ong com m on stocks and other equity securities. Face Amount Certificate Company SYNDICATE OF AM ERICA. INC. A fa ce am ount certificate com pany issuing installm ent certificates o f 6, 10, 15 and 20 year m aturities and single paym ent fa ce am ount certificates. T his is not an offer to sell these securities. T h ey are subject to the registration and prospectus requirements o f the Federal Securities A ct. Inform ation about the issuer, the securities and the circum stances o f the offering is contained in the prospectus which must be given to the buyer. Copies o f the prospectus relating to the shares o f capital stock or certificates o f the above com panies may be obtained from the national distributor and invest ment manager: 251 Roanoke Building " M inneapolis 2, Minnesota P lease sen d m e the p rosp ectu s relating to the c om p a n y I have checked: □ Investors Mutual, Inc. NAME □ Investors Stock Fund, Inc. □ Investors Selective Fund, Inc. □ Investors Syndicate of Am erica,Inc. ADDR SS.............................. C IT Y .....................................................STATE . . . IO W A MUNICIPAL BONDS UNITED STA TES GOVERNMENT SECURITIES G ENERAL M ARKET MUNICIPAL BONDS CORPO RATE & PUBLIC UTILITY SECURITIES FIRST OF I O W A CORPORATI ON Des Moines 9, Iowa 200 Equitable Building Phone 4-7158 Northwest ern Banker, Se ptembe r, 1953 70 Investments the course of basic investment mar kets lies hidden in these challenging questions which still confront the Fed eral Reserve. For clues to the answers, market observers can best keep under scru tiny the changing volume of bank lending to business, and the redis counting and open market operations of the Reserve Bank. Secondary clues will be found in the terms of debt issue to be designated by the Treasury for its further refunding and deficit financing this year. At this writing it looks as if the nation’s business will call the prime tune, with the Federal Reserve and the Treasury making ad justments as prudence and expediency dictate. Some may regard this as “free market,” others as “managed money.” Probably it will continue to be a compound of both.—The End. Investment Field Day The Annual Field Day of the Iowa Investment Bankers Association will be held at the Wakonda Club in Des Moines, Thursday, September 17th, re ports Sherman W. Fowler, president of the organization. The Field Day will start with a breakfast at Hotel Savery with all reg istrants as guests of the association. Golf will be played at the tough Wakonda course throughout the day. Following usual custom, there will be numerous golf prizes for golf compe tition, in addition to many other door prizes to be awarded at the banquet. For reservations, contact Eugene P. Kearns, secretary, T. C. Henderson & Company, '206 Empire Building, Des Moines. Federal Reserve System in Washing ton, being chief of the Government Finance Section, Division of Research and Statistics. His former banking connections were with Harris Trust & Guaranty Trust Elects Guaranty Trust Company of New York recently announced the election as treasurer of Ralph F. Leach. Madi son H. Haythe has been promoted to be a second vice president. For three years Mr. Leach has been with the Board of Governors of the R A L P H F. L E A C H Treasurer, Guaranty Trust Pays When Your Borrowers Can't" Colorado Insurance Group — specialists in credit life insurance for banks, will p ay off loans w hen your borrower is unable to, through death or disability. W ire or phone the hom e office collect for information. ALLEN J. LEFFERDINK C.L.U., PRESIDENT Insurance for Financial I n s t i t u t i o n s ’’ HOME OFFICE — BOULDER COLORADO INSURANCE G R O U P == Colorado Credit Life == = Colorado Insurance Company == = Colorado Credit Life Underwriters Scarborough’s Chattel Mortgage Non-Filing Insurance leaves no doubts or "unprotected gaps”. You are cov ered the moment you and your customer sign the chattel loan contract. Northwestern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Savings Bank in Chicago and Valley National Bank in Phoenix, Arizona. Mr. Haythe has been an assistant treasurer in the treasurer’s office since 1947. He came with the bank in 1941. New Investment Department On the recommendation of Frank N. Belgrano, Jr., president and chairman of Transamerica, the corporation’s board of directors recently author ized the establishment of a complete ly equipped investment department with a view to improving the results of Transamerica’s big investment op eration. Mr. Belgrano said the new Trans america facility would be a counter part of those maintained by many large financial organizations with an important portfolio of securities. It will provide analytical and counsel ling service for Transamerica’s many subsidiaries. Selection of the executive to head Transamerica’s important new opera tion also was revealed when Mr. Bel grano announced that Willsie W. Wood had been appointed a vice presi dent of the corporation, effective Sep tember 1st. Mr. Wood is resigning his position with the General Paint Cor poration to join Transamerica. S c a rb o ro u g h C o m p a n y & 'n“,ro"IS c'>' F IR S T N A T IO N A L B A N K B U IL D IN G . C H IC A G O Banks 3, I L L I N O I S . STate 2 - 4 3 2 5 71 IN S U R A N C E What's the Secret tor Yo tutft Agents*Success? E d u c a tio n % Written Especially for the Northwestern Banker By ALLEN K. BROUWER, JR. Morales & Potter Toms River, New Jersey A L L E N K. B R O U W E R , JR. “ Be prepared for a lifetim e of study” OW does a young man break into and start on the road to success in today’s highly competitive general insurance world? The answer to this question, I have found, lies in one thing, education! After graduation from the Univer sity of Pennsylvania in 1949, I had little or no idea of just what I wanted to do. A Veterans Administration aptitude test pointed me to the field of selling and I decided to give real es tate a try. I was fortunate enough to get a job in my home town of Toms River, New Jersey, with one of its largest and most respected real estate and insur ance firms, Morales and Potter. For the first year or so I was mainly in terested in the real estate end of the business, not knowing anything to speak of concerning the ins and outs of the insurance world. During the first year I sold only $1,360 in pre miums, the largest part of which re sulted from fire and C.P.L. policies sold in connection with real estate transactions. That a little knowledge is sometimes worse than none at all, was the main thing I learned during that first year. If people are going to rely on you to give them protection, you have to know how and what kind of protec tion to give. Norman Stull, fieldman for the Aetna Casualty and Surety Company, was the one person largely responsible for starting and keeping me religious ly studying insurance. At first he H https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis convinced me that 1 should sign up for an Aetna Comprehensive Course, which was completed during my sec ond year in the business and which in no small way got me really interested in this field. My second year’s pro duction records mirrored the results of the course as I wrote $5,100 in new business during the year. From January to October of 1952 I increased my volume to $9,000. In October, again at Norm Stull’s persua sion, I enrolled in the Aetna Casualty and Surety Sales Course, which con sisted of five concentrated weeks of study at the home office in Hartford. By concentrated study, I mean study ing every day from 8:15 in the morn ing to 12:00 or 1:00 at night, but it was well worth it. Upon completion of the course I was for the first time really sure of myself. I felt I now could walk into a man’s office and talk intelligently, and most important, give him the right answers. That’s the key to successful selling, know the right answers. The insurance man who is constantly tell ing his prospects he’ll have to check with the company on this and that isn’t going anywhere. Although 1 wasn’t the honor man of my class, 1 did in two weeks win the $20 that the school offered to the first man who sold a diversification of 20 policies consisting of personal acci dent, office burglary and comprehen sive personal liability. In the first two months I also qualified for the Aetna Sales Award Charm for attain ing a specific sales goal within six months following graduation. My first two months production ap pears below on this page in chart form. Since graduation from the sales course I realize more and more what education means to the insurance man, especially the young man. One of the greatest obstacles in the path of the young salesman in today’s highly tech nical insurance business is his age. His prospective clients nine times out of ten are older and successful men, (A fter attending hom e office sales training cou rse) 11 3 3 9 3 1 1 1 10 2 1 Personal Accident _____________________________________$ 517.00 Automobile ___________________________________________ 240.00 Burglary (Office, Storekeepers), (2 Valuable Papers)____ 160.00 Comprehensive PersonalLiability----------------------------------176.00 Owners, Landlords andTenants__________________________ 62.00 Compensation _________________________________________ 15.00 Comprehensive G eneral________________________________ 299.00 Three-D _______________________________________________ 804.00 F i r e ___________________________________________________ 2,688.00 Marine ________________________________________________ 320.00 Boiler _________________________________________________ 104.00 Northwest ern Banker, Septembe r, 1953 72 insurance who show little or no confidence in the abilities of the young newcomer, who has no success or reputation to back him up. The young man’s greatest asset, therefore, is a complete and sure knowledge of the business. If he proves he knows more and has a bet ter understanding of the business than the successful agent down the street who has been resting on his laurels for the last ten years, the young fel low doesn’t have to worry about his production increasing. All a man’s education and knowl- SP EC IA LIZ IN G IN AUTOMOBILE FIRE WINDSTORM INSURANCE CENTRAL STATES M UTUAL INSURANCE ASSO CIATIO N Mb P leasant, Iow a E. A. H A Y ES President O. T. W ILSO N S e c re ta ry Fire Extended Coverage Inland Marine Automobile edge are to no avail at all, however, if Be sure you like and have aptitude for he doesn’t know how to use them and a highly technical field and be pre he will gain nothing. The insurance pared for a lifetime of study as compli man has to have some general plan cated and time-consuming as law or along with pet policies to use as door medicine. openers. I have had very good suc If you have no connection in the cess with both commercial and per field, I suggest you only apply for po sonal surveys, They not only give sitions with successful agents, who the agent a complete picture of the represent one or more of the large prospect’s insurance program, and companies. You will not only gain thereby his needs, and expirations, from the experience of the agent, but but also give the prospect a good im the tie-in with one of the large compa pression of the young agent's thor nies will give you the decided advan oughness. tage of their educational programs. A good line to a new client is acci Take all the courses possible and dent and health coverage. Even if when and if you can, try to get into the prospect has coverage he usually a home office school, where the latest hasn’t enough or there are other mem forms are fully explained and the most bers of his family, wife or children, successful sales techniques are taught who have no coverage. There are so by some of the best men in the field. many forms, especially in the. accident Take advantage of every educational field, that it is unusual to run across opportunity open to you, be deter a prospect who is completely covered. mined to become the best informed Another good line is the compre agent in your territory, decide once hensive liability policy. This policy, and for all you are going to learn ev which is tailored to meet the expo erything there is to know about the sures, covers the loopholes that can insurance business. You never will, nearly always be found in owners, but as long as you keep trying you landlords and tenants, or manufac will find yourself equal to or ahead of turers and contractors liability forms. the competition. The unknown hazard coverage is an When actually selling there are two especially good selling point as it gives words that should describe your every the assured a sense of complete secu move—honesty and dependability. To rity in his business operations. the successful insurance man his repu Of course, there are many more tation is everything. Your clients have forms which are used with great suc to feel you are a person who can be cess in gaining new clients, C.P.L., confided in, trusted and relied upon. valuable papers, business interrup Be honest with yourself and your tion, accounts receivable, etc., but it clients. When you run across a client is up to the individual agent to decide who is completely covered, tell him so. for himself which are the best forms It will pay many more dividends than to develop and use. trying to sell some unnecessary cover To any young men just entering the age. But above all, with every policy insurance field, I have one warning: you sell remember one thing, the pro tection you are giving can very pos sibly save or ruin your client’s future life, so be sure you are right.—The End. WRITE US ABOUT OUR AGENCY CONTRACTS! W e have some choice agency openings . . . You'll like our liberal Agency Contract! Authorized in Imca, Nebraska, South Dakota 1900 . . . Mutual Fire and Automobile Insurance Company HOME OFFICE Northwestern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1 1 X X New York Appointment OVER 50 YEARS OF DEPENDABLE SERVICE Established in > CEDAR RAPIDS, IOWA George M. Bragalini, recently acting postmaster of New York City, has been appointed a vice president of Manufacturers Trust Company, it was announced by Horace C. Flanigan, president. In his new capacity Mr. Bragalini will be supervising officer of the bank’s 14 offices in the Borough of Queens. Lowry Elected Director Goodrich Lowry, executive vice president of Northwestern National Bank, Minneapolis, has been elected a director of Northrup, King & Com pany, Minneapolis, seed house. The firm has headquarters in Min neapolis and 23 branches from Madi son, Wisconsin, to the west coast. A y Insurance Named Vice Presidents Fred M. Staker Robert J. Kent and Albert H. Adams have been elected vice presidents of the Western Mutual Insurance Com pany, Des Moines. Mr. Kent, who had been assistant Fred M. Staker, 68, retired vice pres ident of Commerce Trust Company, Kansas City, died last month. Mr. Staker was one of the founders of the Financial Public Relations Association r 73 and had been active in bank advertis ing and public relations circles for many years. Mr. Staker joined Commerce Trust in 1911, was elected vice president in 1940 and retired in 1950. That New MORTGAGE PROTECTION PLAN Is A R eal LOAN BUILDER Bankers who have seen it agree . . . here is one of the finest mortgage protection plans of all. It provides maximum protection to you and your customers at minimum costs. In fact, the net cost in most cases is only a fraction of one per cent per year for the duration of the mortgage. It's "tailor-made" to fit your customers' needs. Let us give you the complete story. WRITE FOR DETAILS NOW . . . R O B E R T J. K E N T W estern M utual v ic e president secretary and agency manager, will continue as agency manager. Mr. Adams, legal counsel for the company, also will continue in that position. Other appointments made by direc- B A N K E R S S E C U R I T Y LI FE INSURANCE SOCIETY LIFE DEPARTM EN T . AGENCIES 0 ES M O IN ES 7, IO W A INVITED H ERE'S O P P O R TU N ITTI Join the fastest growing insurance organization in the Northwest— The "Department Store of Insurance" dedicated to building better agencies through the famous "Blueprint" plan. Specialists in Consumer Credit, Bus, Cab, House Trailer and Long Haul Truck risks. SEDornberger i DORNBERGER & CO. General Agents 201 Gas Company Building Sioux Falls, S. 0. W rite Us About An A G EN CY CO N TRACT • Workmen's Compensation • Public Liability • Full Coverage Automobile A L B E R T H. A D A M S W estern M utual v ice president tors of Western Mutual include: John C. Stougard as assistant secretary in the casualty department, and Clyde M. Corbin as assistant secretary in the fire underwriting department. In addition to the above, other offi cers of Western Mutual are: J. D. Kent, president; Floyd E. Yoast, assist ant to the president; M. S. Stokely, treasurer, anti Glenn S. Blount, secre tary. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis • Fire and Extended Coverages I In Iowa Only A t This Time I Plenty of Trained Field Help A LLIED M UTUAL C A S U A L T Y C O M P A N Y Harold S. Evans, President 4th and Fork Streets Des Moines 9, Iowa N orthw estern Banker, Se ptembe r, 1953 74 X > i i Rapid Credit Information . . . to m ake that w inning spurt. 24-Hour Transit T h e prom pt and efficient fulfillm ent o f your Dealings in Government and Municipal Bonds correspondent banking requirem ents often takes extra effort, too . . . the kind you can count on at Chem ical Bank & Trust C om pany. Safekeeping Facilities Portfolio Analysis It is traditional for “ O ld B ullion” to go all the w ay to serve you better. In addition to com plete facilities, Chem ical offers you the World-Wide Banking Fast Wire Service skill o f long experience to help you build revenues b y satisfying you r custom ers’ every Experienced Consultation banking need. Y es, you can ca ll on C hem ical w ith confidence. C h em ic a l Ba n k Nort hwest ern Banker, Septembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TRUST COMPANY 165 B R O A D W A Y , N E W Y O R K 15 M e m b e r F e d e r a l D e p o s it In s u r a n c e C o r p o r a t io n K 75 Karlstad Increase Announcement was made recently by N. O. Folland, president of the Karlstad State Bank, Karlstad, Min nesota, that an increase in the rate of interest to 2 per cent on savings account deposits and 2 V2 percent per annum on time certificates of deposit issued for six months or more. Aitken Remodels New Osseo Director Harold Lien has been named a di rector of the Farmers State Bank. Osseo, Minnesota. Mr. Lien, 55, is affiliated with the Bishman Manufac turing Company, Osseo, an automo tive supply firm. George N. Millard George N. Millard, 72, chairman of the First National Bank, Internation al Falls, Minnesota, died last month. Mr. Millard had been associated with the bank since 1908 and served as president from 1931 until early this year. Courtland Plans Directors of the Courtland State Bank, Courtland, Minnesota, met re cently to discuss the possibility of building a new bank building and a decision will be made within the near future. H. H. Berg of Jordan, Minne sota, is president. St. Stephan Builds Ground was broken recently for a new modern one-story bank building for the St. Stephan State Bank, St. Stephan, Minnesota. Attending the ground breaking ce r e m o n y were Frank Peternell, president; William F. Vouk, vice president; August Legatt, director, and E. W. Wendt, cashier. Albert Lea Change The F r e e b o r n County National Bank, Albert Lea, Minnesota, has changed its name to Freeborn Na tional Bank, authorization for the change having been granted by the Comptroller of the Currency, accord ing to an announcement by E. T. Sletten, president. Changes Announced James A. Irving was recently elected vice president of the First National Bank, Owatonna, Minnesota. He was previously with the First Farmers Na tional Bank, Alexandria, Minnesota, where he served as vice president. Donavon W. Johnson is the new vice president at the First Farmers National Bank, Alexandria. He is re turning from Minneapolis where he served in the credit department of the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis First Service Corporation. The banks in Alexandria and Owatonna are both members of the First Bank Stock Cor poration. Joins Mankato Bank Gordon M. Elden has been elected assistant vice president of The Na tional Citizens Bank, Mankato, Minne sota, according to an announcement by P. R. Kenefick, president. Clarks Grove Anniversary The State Bank of Clarks Grove, Minnesota, observed their 50th anni versary last month by holding an open house for over 400 customers and friends, according to a report from R. B. Johnson, cashier. Officers of the bank, in addition to Mr. Johnson, are: Peter C. Sorenson, president; J. O. Peterson, vice presi dent; C. C. Cavanaugh, assistant cash ier, and Donald H. Benson, assistant cashier. Total deposits as of June 30, 1953, were $1,301,375. Capital, surplus and undivided profits total $126,291. Russell Change James A. Ulvilden has been named an assistant cashier of The Farmers State Bank of Russell, Minnesota, ac cording to Lewis H. Gregg, cashier. Mr. Ulvilden will be an agricultural consultant for the bank. Also announced was the retirement of Harrison L. Gregg as an active offi cer of the bank. He will continue to be president and will serve as chair man of the board. Elk River Addition New vault ventilators were recently installed by the F. E. Davenport Com pany of Omaha in The Bank of Elk River, Minnesota, according to M. J. Dwyer, executive vice president and cashier. Sleepy Eye Remodels Remodeling has started on the First National Bank, Sleepy Eye, Minne sota, and will be completed early next year. The bank’s interior will be modern ized and a new front will be installed, according to P. E. Wilms, executive vice president. The First National Bank, Aitken, Minnesota, is making extensive plans for remodeling of its bank, according to T. R. Hassman, vice president and cashier. Floor space will be doubled, a new safety deposit vault will be added, a new bookkeeping department will be constructed, and the insurance department will have its own quar ters. Roseau Banks Join The Citizens State Bank, Roseau, Minnesota, recently purchased the as sets and banking house of the First National Bank of Roseau. The Citizens State Bank is increas ing its capital to $100,000 and its sur plus to $100,000. Total deposits will approximate $4,500,000. Officers will be: J. R. Chappell, president; C. B. Dahlquist, vice president; R. E. Pom eroy, vice president, and J. M. Wilson, cashier. Mr. Pomeroy and Mr. Wilson were with the First National Bank. Record Clinic Attendance Eight clinics were held by members of the Minnesota Bankers Association last month. 'Meeting places were Hibbing, Bemidji, Moorhead, Alexandria, Rochester, Mankato, Marshall and St. Cloud. Total attendance for the clinics was the highest since they were originated six years ago. W. L. Boss, vice presi dent of The First National Bank of St. Paul and president of the Minne sota Association, presided at all meet ings with Floyd Larson, secretary of the association. Featured speakers for the 1953 clin ics included C. Gilbert Wrenn, profes sor of psychology at the University of Minnesota; Ralph M. Jones, vice presi dent and cashier, LaCrescent State Bank. LaCrescent, Minnesota; A. G. Sirex, executive vice president, State Bank of New Prague, Minnesota; P. R. Kenefick, president, National Citi zens Bank of Mankato, Minnesota; John P. Lynch, general agent, John Hancock Mutual Life, St. Paul, and Charles E. Harmon, vice president, Northwestern National Bank, Minne apolis. Chairman of the 1953 clinics was Kenneth T. Martin, vice president of the First National Bank, Minneap olis. Northwestern Banker, Septembe r, 1953 76 y <>. JENKINS, president of the . First Bank Stock Corporation, has joined J. Cameron Thomson, pres ident of Northwest Bancorporation, in opposing proposed Federal legislation to regulate bank holding companies. Mr. Thomson testified against three proposed regulatory laws before the senate banking and currency commit tee. Mr. Jenkins, who was prevented from testifying when hearings were postponed because of the press of other legislation, made known his views on returning to Minneapolis. He said his company will support reasonable bank holding company leg islation, but all three of the present bills contain unacceptable provisions. Mr. Jenkins said bank holding com panies have filled an important role in the northwest economy for 25 years. * * * Bank Shares, Inc., parent organiza tion of the Marquette National Bank of Minneapolis, has been awarded hon orable mention for its 1952 annual re port in the 13th annual survey of annual reports conducted by Financial World magazine. * * * Northwest Bancorporation reported consolidated net income, including its affiliated banks and companies, of $3,552,515 for the first six months of 1953 after provision for charge-offs and write-downs, income taxes and minority interests. E M id la n d N ational Bank Minneapolis 1, Minn. — MAin 0511 MEMBER FEDERAL D EPO SIT IN SU RA N C E CORP. ern Banker, Se ptembe r, 19S3 Northwest https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis This was equal to $2.22 a share and compared with $3,154,889, or $2.02 a share, for the first half of 1952, accord ing to J. Cameron Thomson, presi dent. * * * Bussell L. Stotesbery, president of the Marquette National Bank of Min neapolis, announces appointment of Donald E. Nelson and William H. Greshman as installment loan officers of the bank. Mr. Nelson joined the bank in 1950 and Mr. Greshman a year later. =t= * * Clarke Bassett of Fargo has been elected a vice president of the First National Bank of Minneapolis. He was scheduled to assume duties September 1st in the hank’s commercial banking department. The 1952 annual report of the First Bank Stock Corporation received a merit award in the annual survey by Financial World magazine. This marked the eighth consecutive year the corporation’s report has been hon ored for excellence. * * * Outside of the serious wheat rust situation, the northwest’s economy continues to go “merrily booming along” with that of the nation, the Federal Reserve Bank of Minneapolis points out in its monthly review. It states, however, that farmers in areas devoted largely to production of small grains “are much less opti mistic over the cash crop outlook than they were a month ago.” * * * Maiian E. Mattson, assistant cashier of the Northwestern National Bank of Minneapolis, participated in a pan el discussion on economic education at the annual meeting of the Associa tion of Bank Women in Washington, D. C. H = * * The Farmers & Mechanics Savings Bank of Minneapolis now ranks 27th in the nation among mutual savings banks. As of July 1st the bank had deposits of $199,851,697. Only 52 such banks have deposits in excess of $100,000,000. * * * i 1 Theodore I). Montgomery has been named manager of the investment re search department of the First Service Corporation, Eugene W. Leonard, pres ident, announces. Mr. Montgomery succeeds G. Sidney Houston, who has headed the department since its or ganization in 1933. Mr. Houston will devote full time to his duties as econ omist and vice president of the corpo ration. Mr. Montgomery joined First Service in 1934. * * * Y Russell E. Stotesbery, president of the Marquette National Bank of Min neapolis, discloses that the bank’s board of directors has transferred $500,000 from undivided profits to the bank’s surplus account, increasing Marquette’s capital and surplus to $1,500,000, plus undivided profits ap proaching $500,000. Mr. Stotesbery said the increase maintains the ratio between capital structure and growth in deposits this past year. The latter increased $3,600,000, while total resources increased to $46,572,774. * * * Minneapolis bankers are among a group of business men who feel that the Korean truce will not reduce the high level of business activity in the near future. J. Cameron Thomson, president of the Northwest Bancorporation, said: “ In the long run peace is a better basis for business than war. I don’t believe it will result in enough reduc tion of military spending to have any effect on general business. It isn’t likely that we are going to reduce our armed forces by any substantial num ber for a long time.” Edgar F. Zelle, board chairman of the First National Bank of Minneap olis, commented: “ I think we’ll hardly feel the change from ffghthig to truce. F W r i Minnesota News Our defense program will have to roll along on a high level. 1 can see no immediate effects of the truce and the final effects will depend largely on what happens in the peace negotia tions.” Robert E. Pye, former Minnesota franker, has been named general man ager of the Minnesota 10,000 Lakes Association. The association publi cizes advantages of living, working and vacationing in Minnesota. Mr. Pye, whose job it will be to expand the organization’s scope and activities, formerly was cashier of state banks in Stanton and Medford, Minnesota. He also was vice presi dent of the State Bank of Morristown, Minnesota, and executive secretary of the Minnesota Bankers Association. More recently he operated his own public relations firm. 5|i ijc ijl Northwest business activity kept ahead of last year’s pace in July, bank debit figures compiled by the Federal Reserve Bank of Minneapolis show. Debits in 137 Ninth Federal Reserve District cities in July totaled $3,457,833,000, up 4 per cent over July, 1952. The total for the first seven months of 1953 was $22,848,862,000, up 3 per cent over last year. The Minneapolis July total was $1,359,247,000, down 1 per cent from last year. St. Paul’s was $601,092,000, up 10 per cent. Falcon Heights, St. Paul suburb, showed a 31 per cent gain with debits of $2,443,000. The Marquette National Bank of Minneapolis scored an advertising ex clusive recently by running a news paper ad in the Minneapolis Star on Monday, July 27th, to commemorate the signing of the Korean armistice, the ad appeared less than 18 hours after the armistice was declared! The Marquette ad, which also ran Tuesday morning in the Minneapolis Tribune, caused considerable comment in financial and banking circles in this area, and Marquette has received many congratulatory calls from the general public. Marquette’s advertising committee, headed by R. W. Crouley, cashier, in anticipating the signing of the armis tice, ordered the preparation of the ad in May of this year, and requested the newspapers to run it immediately after the end of hostilities. Headline of the ad read, “Korean hills will grow green again,” and illustrated a typical Korean family moving across the Korean hills. In the background was a map of Korea showing the 38th parallel with such https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis famous hills as “Old Baldy,” “Pork Chop,” “Unnecessary Mountain,” and “T-Bone” indicated. The copy point ed out that although the guns were silenced, there is still need to remain strong, and keep those hills from be coming broken and charred again. * * * Robert W . Purcell, who was elected president of Investors Diversified Services, Inc., in March of this year, has been elected chairman of the board of the company at a meeting of the I.D.S. directors. Mr. Purcell will be succeeded in the presidency by Joseph M. Fitzsimmons, who has been a director of the large investment company for the past two years. Mr. Fitzsimmons has resigned the position which he has occupied for the past 16 years as treasurer and manager of investments of Modern Woodmen of America, Rock Island, Illinois. E. E. Crabb, who had ueen chairman of the board and who has passed the company retirement age, was elected chairman of the executive committee where he will serve in an advisory capacity. * * * Directors of First Bank Stock Cor poration at their recent meeting in St. Paul declared a special stock divi dend, one additional share for each 50 shares outstanding, to be paid Octo ber 10, 1953, to stockholders of record at the close of business August 20, 1953. In addition to the special stock divi dends, First Bank Stock’s directors voted a regular quarterly cash divi dend of 30 cents per share, payable September 10, 1953, to stockholders of record AugUst 20, 1953. Since the Corporation has 2,831,188 shares of capital stock outstanding, the special stock dividend means ap proximately 53,000 additional shares of stock will now be issued. Mr. Jenkins reported that consoli dated net operating earnings of First Bank Stock Corporation, 75 bank affili ates and three other affiliates for the first six months of 1953 amounted to 77 $3,958,343. This is the equivalent of $1.39 per share, and compares with $1.25 per share in the first six months of 1952. These figures are subject to the usual year-end adjustments. * * * The surplus account at ChicagoLake State Bank has been increased to $200,000 by the addition of $50,000 from undivided profits, Carl H. Poblad, president, has announced. * * * Chairman of a civic group seeking to obtain a major league baseball team for the Twin Cities is Lyman B. Wake field, Jr., vice president of First Na tional Bank of Minneapolis. Recently named to the post, he is head of a Minneapolis committee which has been working with a sim ilar group from St. Paul for several months, making plans for a concerted campaign to get a major league fran chise for the Twin Cities. * * * The Marquette National Bank re ceived nation-wide publicity l a s t month when two former employes, Russell Nelson and Olga Alfredsson, were married on the CBS television program, “Bride and Groom.” The couple told on the show how they had met at Marquette National where both worked. Mrs. Nelson, a Swedish immigrant, arrived in this country in June, 1952, and was soon employed in Marquette’s messenger department. Mr. Nelson worked in the installment loan department. * * * The board of directors of Investors Diversified Services, Inc., has recom mended splitting both classes of the stock of the company on the basis of five shares for each outstanding share. There are outstanding 114,908 common voting shares and 175,836 common class A (non-voting) shares of the company’s stock. Splitting the stock of I.D.S., the parent company which acts as distributor and invest ment manager for an integrated group of subsidiary and affiliated investment companies, is dependent upon approv al of the Securities and Exchange Hospital and Surgical Insurance for Bankers Now your preferred risk classification as a Banker makes it possible to include your wife and children at the same LOW RATES. Room and Board from $4.00 to $12.00 per day Surgical Benefits of $75.00, $100.00 or $125.00 Fee of $4.00 pays for $8.00 a day Hospital policy to Mar. 15, 1954 Minnesota Commercial Men’s Association 2550 Pillsbury Ave. So. M inneapolis 4, M innesota North western Banker, Se ptembe r, 1953 78 Minnesota News Commission and L.D.S. stockholders. Shares of affiliated mutual funds man aged by I.D.S. would not be affected by the proposed split which applies only to the parent company’s stock. * * * Directors of First National Bank of Minneapolis have named Carl O. Lindeman of Northwestern Bell Telephone Company to the advisory committee of the bank’s St. Anthony Falls office. East Hennepin at Fourth Street.—The End. New St. Cloud Cashier announced. He has had a wide expe rience in the banking business. He succeeds O. A. Olin, who has served as cashier for nearly two years, and who resigned because of ill health. Moves to LaCrescent G. J. Gilbertson, cashier at the First National Bank, St. James, Minnesota, has resigned to accept a similar posi tion with the LaCrescent State Bank, LaCrescent, Minnesota. Winona Progress The First National Bank, Verndale, Minnesota, has announced the instal lation of Recordak for the purpose of keeping a permanent record of trans actions on microfilm. Work is being completed on the ex tensive remodeling project at the Peo ples State Bank, Winona, Minnesota. Forward position of the main floor and the vault have been lowered three feet to street level and a new book keeping room provided in the base ment. The main banking room is walled in a mahogany veneer and the floor will be of flexotile. A ceiling of acoustic tile and new fluorescent lighting are also new. Fixtures will be of walnut. Joins Prior Lake Bank Two Harbors Change J. J. (Jerry) Kigin was elected cash ier of the Guaranty State Bank and Trust Company, Saint Cloud, Minne sota, at a meeting of the firm’s board of directors recently. Verndale Has Recordak C. M. Poepl, Detroit Lakes, is the Paul A. Essen, vice president and new cashier of the Prior Lake State cashier of the Commercial State Bank Bank, Prior Lake, Minnesota, it was of Two Harbors, Minnesota, has pur chased a block of stock from the Sellwood families of Duluth. It was also annoucned that at a meeting the bank’s board of directors had elected Erland Cavallin and Boyd Q. Helgeson as members to replace Joseph G. Sellwood and Harry Otterblad, who resigned. A > Trygve Trandum Trygve Trandum, 52, a director of the Peoples State Bank in Warren, Minnesota, died last month in a War ren hospital following a long illness. Wins Bankers Award Donald H. Nesbit, a graduate of the St. Charles High School, won a schol arship to the University of Minnesota School of Agriculture at St. Paul. The scholarship, which is sponsored in conjunction with a state-wide program of the Minnesota Bankers Association, was given by the following Winona county banks: Altura State Bank, Altura; Security State Bank, Lewiston: First State Bank, Rollingstone; First National Bank, St. Charles, and First National Bank, Merchants National Bank and Winona National & Savings Bank, Winona. i A CARL L. FREDRICKSEN President CLIFFORD L. ADAMS V ice President “Tops”, of Course! WILLIAM C. SCHENK V ice President STANLEY W . EVANS V ice President Correspondent service here at the Live Stock JOHN S. HAVER C ashier National Bank in Sioux City is "to p s ," whether JAMES L. SMITH Asst. C ashier a n d Auditor on special, or routine items. A n d w hy shouldn't KINLEY W . SMITH Asst. C ashier it be the very best, with our special stock yards BEN E. HOLTDDORF Asst. C ashier location and our 58 years of experience back RAW S A. JENSEN Asst. C ashier of it? R. K. DRAPER R epresentative MEMBER Northwest ern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis FEDERAL DEPOSIT INSURANCE CORPORATION Y 79 president, First National Bank, Aber deen, South Dakota, have been ap pointed associate councilmen for South Dakota for The American Institute of Banking for the 1953-54 period. South D akota NEWS CARROLL H. LOCKHART President Watertown CARL E. 6AHMEIER, JR. Secretary Huron M itc h e ll Hutf T HE persistence of Harold McConkey, 12-year-old Mitchell, South Da kota, boy, in wanting to see how a safe is made has been rewarded. In June, the boy left for Hamilton. Ohio, with $100 of his own money to visit the Mosler Safe Company. Traveling alone, the boy reached Joins Rapid City Bank fino f “ I admire your courage, ambition and resourcefulness,” he told Harold. “ I hope you will give the people of Ohio a chance to prove that they know a good man when they see one, even if he happens to be only 12 years old.” Harold’s father was unable to make the trip, so the firm arranged for him to be escorted by V. A. Hanson, presi dent of Brown and Sanger, a Mosler dealer in Sioux Falls, South Dakota. The firm paid all travel and living ex penses. For three days Harold was the guest of Mosler at a leading Cincinnati ho tel. In addition to a complete tour of the safe company, they were taken to a Redlegs-Giants baseball game, went through a Cincinnati amusement park, visited the Cincinnati Zoo, and had dinner on a private cruiser on the Ohio River. Richard H. Putman, 52, has been named vice president and director of the Rushmore State Bank, Rapid City, South Dakota. He was formerly with the Miners National Bank, Butte, Montana, where he served in a similar capacity. He is a native of Red Wing, Minnesota. Names Frank A. Olson Frank A. Olson, president of the Bank of Toronto, South Dakota, was appointed for a three-year term on the 1953 Group Meetings IN TER ESTED IN SAFES— Harold McConkey, 12, Mitchell, South Dakota, gets pointers on a bank vault door from an ex pert, Edwin H. Mosler, Jr., president of the Mosler Safe Company, Hamilton, Ohio, dur ing his tour of the plant recently. Toledo, Ohio, only to be picked up by police when he tried to register at a hotel. Toledo police returned him to his home with the warning that “ such a little boy with such a big bankroll should not travel alone.” Harold had become interested in safes nine months earlier when he had seen newsreel pictures of Mosler’s installation in the National Ar chives Building, Washington, D. C. From that time on he had done odd jobs for his father and uncle, care fully saving his money for the trip and doing a lot of “reading up” on safes. The incident was called to the at tention of Edwin H. Mosler, Jr., pres ident of the 105-year-old safemaking firm, who wrote Harold, inviting him and his father to inspect the plant. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Dates and sites of the 1953 South Dakota group meetings have been an nounced by Carl Bahmeier, Jr., exec utive secretary of the South Dakota Bankers Association. They will be as follows: Group V — Monday, October 5th, Rapid City. Group IV — Tuesday, October 6th, Mobridge. Group III—Wednesday, October 7th, Mitchell. Group I — Thursday, October 8th, Madison. Group IT—Friday, October 9th, Wa tertown. F. W. Bunday F. W. Bunday, executive vice presi dent and cashier of the Farmers and Merchants Bank, Wessington Springs, South Dakota, died recently following a two year illness. He had been active in banking in Wessington Springs for 27 years. He was 51 years of age. A.I.B. Appointments C. B. Erickson, assistant cashier of the Union Savings Bank, Sioux Falls, South Dakota, and C. C. Lind, vice F R A N K A. O L S O N A p poin ted to banking board South Dakota banking commission by Governor Sigurd Anderson recently. He succeeds W. P. Jones of Mobridge. Mr. Olson is a member of the Ameri can Bankers Association and the In dependent Bankers Association. He has headed the bank at Toronto for 25 years and is widely known through out South Dakota and the middlewest. Elect Webster Banker T. E. Porter, president of the Secu rity Bank of Webster, was elected president of the eastern South Da kota district of the National Associa tion of Bank Auditors and Comptrol lers. Other officers elected by the group were R. H. Frei, Commercial State Bank, Wagner, vice president; O. L. Bonacker, First National Bank, Sioux Falls, secretary, and N. L. Lind, First Citizens National Bank, Watertown, treasurer. New directors are Boyd Knox, McNorthwesf ern Banker, Se ptembe r, 1953 80 South Dakota News S io u x F u iis T WO new red neon signs have been In the recent modernization of the Peoples State Bank, DeSmet, South Dakota, the heavy iron steps and rail ing were removed and new brick steps with wrought iron railing were added. Full glass doors were also installed, according to S. Neal Meyer, vice pres ident. Another pioneer institution of the Black Hills reached a historic mile stone recently when the First Nation al Bank of the Black Hills marked 75 years of service to residents of the area. National bank charter number 2391 was issued to the First National Bank of Deadwood in 1878. This marked the start of the organi zation which now has headquarters at Rapid City and offices at Deadwood, Lead, Belle Fourche, Hot Springs, Sturgis, Spearfish, Newell and Villa Ranchaero, near Rapid City. The group, which is now known as the First National Bank of the Black Hills, Rapid City, is the direct de scendant of the Deadwood branch. The last statement of condition is sued on June 30th shows resources of $37,293,606.78, with deposits totaling $34,698,741.87. Officers of the corporation are R. E. Driscoll, Rapid City, chairman of the board of directors; John Ryan, Rapid City, president; H. R. Horlocker, Rapid City, vice president, and Kenneth C. Hanna, Rapid City, comp troller. mounted atop the First National One has been set up at each corner of the building, overlooking Phillips Avenue. * * * A course in business administration, sponsored by Sioux Falls Chapter, American Institute of Banking, was announced to open September 15th. A two-hour class is to be held every week for 21 weeks. Instructor is C. R. Beck, economics teacher in the Washington High School. The course is for officers and employes of banks in this city and neighboring area. * * * Erling Haugo, president of the Sioux Valley Bank, accompanied by Mrs. Haugo and their son, Houston, took a two weeks’ motor trip through the state of Washington this summer. * * * Local bank clearings increased from $25,477,040 in July, 1952. to $27,727,216 in July, 1953. * * * W. C. Duffy, president of the Union Savings Bank, and G. L. Hill, vice pres ident of that institution, are taking a leading part in the United Boy Scout finance campaign for the Black Hills, Pheasant and Sioux Councils, Boy Scouts of America. Mr. Hill is Sioux Council treasurer. * * * F. E. Duffy, cashier of the Union Savings Bank, attended the ninth ses sion of the School of Banking at the University of Wisconsin. * * * The Northwest Security National Bank was host to 4-H Club exhibitors at the Sioux Empire Fair. Ralph M. Watson, president of the bank, re ported that a barbecue, featuring prime beef from John Morrell & Com pany, was served to about 900 4-H members, leaders and livestock com missioners. * * * Carl J. Odegard is back at work as vice president and manager of the Huron branch of the Northwest Secu rity National Bank. He underwent major surgery last spring in Roches ter, Minnesota.—The End. Webster Promotion Aberdeen Honor NEWS AND VIEWS . . . J. J. Warkentin, president of the First National Bank, Aberdeen, South Dakota, has been named chairman of the 1953 campaign of the Aberdeen Community Chest. Mr. Warkentin is a past president of the board of direc tors of his area’s Community Chest. Goal for the Aberdeen area this year is $59.000. (Continued from page 26) lar house in Scarsdale and a hunting lodge in the Adirondacks. (Oh, boy!) “ Other assets?” Well, about thirty thousand dollars, a good chunk of it right in this bank. (Wow!) Dizzy with visions of what 4Vz per cent interest on. say, a hundred thou sand dollars—-or maybe five hundred Bank. REM ODELED quarters of the Lincoln State Bank of Hankinson, South Dakota, are shown at left. The staff of the bank is shown at left below. In front row are Darcy Miller (left) and Arlene Jarski, bookkeep ers. In back row, left to right, are John A . Roth, assistant cashier; William Coppin, teller, and Fred O. Healy, cashier. Cook County National Bank, Salem; W. H. Manning, First National Bank, Aberdeen, and L. L. Steele, Farmers and Merchants Bank, Huron. The next meeting will be held at Aberdeen November 5th. Milbank Progress Work is progressing rapidly on the new bank building for the First Na tional Bahk of Milbank, South Dakota. The beauty of the exterior, which is of light brick and granite trim, can now be seen by citizens of Milbank. Eliminate Quinn Branch The Quinn branch of the Under wood State Bank, Underwood, South Dakota, has closed and accounts have been moved to the bank’s branch at Wall, South Dakota. DeSmet Change Ethel Norris was elected assistant cashier of the First State Bank, Web ster, South Dakota, recently. Roshoit to Remodel The Roshoit Community Bank, Ros hoit, South Dakota, will soon be en larged and remodeled, according to L. F. Waddington, president. Northwest ern Banker, Se ptembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Black Hills Anniversary > i < T X Y ~< South Dakota News thousand—would come to. the loan department man asked how much money was required. “ Fifty dollars,” his petitioner said, in a voice of ice and steel. “Fifty measly dollars. Apparently there’s no other way to get my money out of this cathedral of finance.” The banker stared at him in admi ration, tore up the form, guided him to the teller’s window, and got him the dough, in return for a hastily scratched I.O.U. =t= W. Harold * Brenton, president of the American Bankers Association and of the State Bank of Des Moines, Des Moines, Iowa, has been named by Sec retary of Defense Charles E. Wilson as a member of a 12-man committee, to be known as the Advisory Commit tee on Fiscal Organization and Pro cedure, which will study and decide on changes to be made in the fiscal procedures of the United States mili tary establishment. The committee will study and rec ommend changes in financial proce dures in the Defense Department, and the changes it recommends may be put into effect when approved without waiting for a final report. The com mittee will not he concerned with methods of procuring goods and serv ices or of inventories. * * * Answers to advertisers’ own ques tions about livestock and feeding prac tices of Iowa farmers are now avail able in a series of three survey re ports by Wallaces’ Farmer and Iowa Homestead, Des Moines, Iowa. The surveys are on hogs and pigs, beef and dairy cattle, and chickens. Elach report contains 24 pages of data, broken into three categories of information: (1) numbers and types raised, (2) feeds fed, (3) point of pur chase. Richard S. Pierce, associate publish er of Wallaces' Farmer and Iowa Homestead, stated, “These surveys were made as a service to the adver tisers who have made our publication first among all other farm publications in the amount of feed lineage carried. The returns are based on sound, reli able samples so that the information is of maximum value to all advertis ers.” School teachers from all over the United States examined currency from all over the world in Chicago recently. The teachers, part of a group of 22 who recently explored the intricacies of big-city banking at The Northern Trust Company, among othei things, inspected the currency of far-off lands in the bank’s foreign department. A https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis complete tour of The Northern Trust’s facilities occupied the better part of a day for the teachers, who were attend ing a special summer session at the University of Wisconsin. Ralph G. Hulett, of the investment research department, showed the teachers what makes a metropolitan bank tick.— The End. Joins Mitchell National j. M. Patton, president of the Mit chell National Bank. Mitchell, South Dakota, has announced that Bradley Young, former manager of the .1. C. Penney Company in Mitchell, has joined the bank staff and will be in 81 charge of advertising, employes and public relations. Donates Park Equipment Equipment for the city park at Tripp, donated by the Lions Club and the Dakota State Bank, Tripp. South Dakota, was enjoyed by residents at a city get-together last month. Mayor Walter Isaak proclaimed the get-together in appreciation of the do nations. The Lions Club provided outside gymnasium equipment for the chil dren and the bank had two fireplaces built for the public to use. NORTHWEST SECURITY NATIONAL BANK oí Sioux Falls, South Dakota South D akota's L eading Bank BRANCHES AT BROOKINGS, CHAMBERLAIN, DELL RAPIDS, GREGORY, HURON, M AD ISO N A ffiliated w ith N orth w est B ancorporation M em b er F ed era l D e p o sit Insu ra nce C orporation Northwestern Banker, Septembe r. 1953 82 H THESE NBT SERVICES JL > < These routine services plus N B T ’s other specialized departments can be o f real benefit in speeding the operations o f your bank. In the M id-Continent or Rocky Mountain Area, you w ill appreciate National Bank o f T ulsa’s adequate resources, up-to-theminute information and prom pt action w orking in your behalf. Oiû ^ qmÍz oí Gjwihica N a t i o n a l O ffering Complete I î \ \ i v b a n k in g a n d o r T N ort hwest ern Banker, Se ptem ber, 1953 l s a T rust Services Member Federal Deposit Insurance Corporation https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis u 83 X o r t li D a k o ta NEWS SHARPE PRUETZ President Kulin .V o f / / i O u k ota Oil H vpuvt IL operators completed 18 suc cessful wildcat wells in the Williston Basin during the first half of 1953, according to a recent report in The Wall Street Journal, North Da kota counted nine, the eastern Mon tana portion of the basin four and Saskatchewan five. North Dakota also led the total number of wells drilled, 93 oil wells and 32 dry holes. Of the 125, 33 were wildcats. As of July 1st, 183 producing wells had been completed in North Dakota since Amerada Petroleum Corporation of Tulsa discovered oil April 4, 1951. All but six are on the Nesson anti cline in Williams, McKenzie, Mountrail and Burke counties. The others are in Bottineau county, where pro duction has been obtained at 3,000 feet in contrast to the 8,500-foot depths on the Nesson anticline. Oil production in North Dakota the first six months was 2,586,000 barrels, compared with 1.5 milion all last year. Because of the difficulties in marketing oil shipped in by tank car, production a well is limited to about 85 barrels daily although almost all could make the 200 allowable set by the state. Eastern Montana’s successes include two wildcats which promise the most prolific flow and thickest pay section of any wells yet drilled in the Williston Basin. Empire State Oil Com pany’s No. 1 Smith, two miles north west of the East Poplar field in Roose velt county, flowed at the rate of 6,000 barrels of oil daily in short tests which had to be curtailed because stor age tanks were filled. Pending build ing of additional storage the well has not been able to complete a 24-hour test. Shell Oil Company scored its fifth Montana discovery with the No. 22-23 Northern Pacific Railway in the Cabin Creek area of Fallon county. This wildcat indicated in drill stem tests the thickest total potential pay section of any basin well, finding oil in the Mississippian, Devonian, Silurian and Ordovician fo rm a tio n s. Production tests were carried out only in the Silu O https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C. C. WATTAM Secretary Fargo rian and Ordovician, with casing per forated in six zones from 8,508 to 8,957 feet. After acid treatment the well flowed at the rate of 4,253 barrels a day. The Silurian perforations were sealed off and the well completed as an Ordovician producer at 242 barrels a day. Sun Oil Company and Phillips Pe troleum Company completed the deep est well in Montana, the No. 1 Dynneson in Richland county. Drilled to 12,643 feet, the well flows 100 barrels of oil daily from 12,585 to 12,605 feet. Williston Oil & Gas Company com pleted a wildcat four miles southwest of the Glendive discovery well in Daw son county. The No. 1 Entzel pumps 200 barrels a day from the Ordovician formation, being held down from a potential 400 barrels because of mar keting difficulties. Grand Forks Party The First National Bank in Grand Forks, North Dakota, headed by Fred Orth, president, held a dinner party for 50 bankers of its area recently. The banks represented correspond ents of the First National Bank and was the second annual party of its kind. Fred Born Fred Born, 70, president of the Farmers State Bank in Richardton, North Dakota, died recently at Chico Hot Springs, Montana, where he was visiting. Mr. Born had been in ill health for some time. He is survived by his wife, a son and two daughters. Hillsboro Open House About 1,400 persons attended last month’s open house at the newly re modeled Northwestern State Bank in Hillsboro, North Dakota, Leonard Beal, bank president, announced. An attractive color scheme, walnut fixtures, m o d e r n lighting, ladies’ lounge and a new conference room are eye-appealing features that first at tract visitors. In general, areas serving major de partments of the bank have been re shuffled. The bookkeeping department has been moved to the basement, old fixtures removed and new walnut fix tures installed. New desks were in stalled throughout the firm. Present bank officers include Mr. Beal, president; R. T. Jahr, vice presi dent; Howard K. Haugen, assistant cashier. Bank directors i n c l u d e Messrs. Beal, Jahr and J. I. Hegge, a former president of the bank. Other employes of the bank are Eleanor Seim, Douglas Mergenthal, Grace Evans, Marjorie Steffens and Mavis Waters. Fargo Change Clarke Bassett, president of the Mer chants National Bank and Trust Com pany of Fargo, North Dakota, and a director of the United States Chamber of Commerce, was elected vice presi dent of the First National Bank of Minneapolis recently. At a meeting of directors of the Fargo institution, Adrian O. McLellan, CLARKE B ASSETT A D R IA N M cL E L L A N who has been vice president and trust officer, was elected to succeed Mr. Bassett. Mr. McLellan was named president, trust officer and a director. Mr. Bassett has been president of the Fargo Bank since 1944. No other changes among officers were made. Frank R. Scott is chairman of the board. Grand Forks Purchase The Red River National Bank of in Grand Forks, North Dakota, has purchased a 50 by 140 foot lot for possible building use in the future, ac cording to D. W. Westbee, president. Earlier the Clifford Building in Grand Forks was purchased for use in ex panding and the lot is at the rear of the building. Munich Purchase J. J. Hillman, M. I. Hoffman, T. A. Dawley and D. P. Wold have pur chased the controlling stock owned by the late L. E. Callahan of the First State Bank, Munich, North Dakota. Officers are: J. J. Hillman, presi dent; D. P. Wold, vice president; M. I. Hoffman, cashier, and T. A Dawley, assistant cashier. Northwest ern Banker, Se ptem ber, 1953 84 North Dakota News New Rugby President J. W. Moffatt has been named presi dent of The Merchants Bank of Rug by, North Dakota, succeeding the late George D. McClintock. Mr. Moffatt has served as cashier of the bank for the past 25 years. Set Group Meetings The time and places of the annual fall group meetings of the North Da kota Bankers Association have been announced. They are: Southeast Group— Monday, October 12th. Rudolph Hotel, Valley City, 5:30 p. m. (CST). Dinner, 6:30. Northeast (¿roup—Tuesday, October 13th, Dacotah Hotel, Grand Forks, 5:30 p. m. (CST). Dinner, 6:30. Northwest Group — Wednesday, Oc tober 14th, Clarence Parker Hotel, Mi not, 5:30 (CST). Dinner, 6:30. Southwest Group — Thursday, Octo ber 15th, Lewis and Clark Hotel, Mandan, 5:30 p. m. (MST). Dinner, 6:30. Secretary C. C. Wattam reports an interesting program is being arranged. George Wilkens, secretary of the Min neapolis Grain Exchange, will give an illustrated lecture on grain. This talk has been well received before other groups. fry Lee M. Stenehjejn, vice president, First International Bank of Watford City, and chairman of the association’s public relations committee, will dis cuss his committee’s recommendations in connection with the radio program which a large majority of North Da kota banks have already approved. He will he followed by H. R. Kurth, president, Citizens Bank of Hutchin son, Minnesota, and a past president of the Minnesota Bankers Association, who will give the Minnesota banker’s viewpoint on the necessity for some kind of a workable public relations program. A report on work of the Soil Con servation Committee will be made by C. C. Lehr, vice president. First State Bank. Cackle. Banks Loan the Most North Dakota banks had loaned over $138,000,000 to the farmers, merchants and residents of North Dakota as of June 30. 1953, according to figures just released by North Dakota State Ex aminer John A. Graham, and the Fed eral Reserve Bank of Minneapolis. During the current year North Da kota farmers called upon the state’s banks to provide them with more cred it than was extended by any other type of farm lending agency. The largest volume of loans made by the banks of North Dakota was N ort hwest ern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis to farmers who borrowed a total of $49,913,000 from their banks to finance their farm operations. Those loans comprise credit extended to finance the growing and marketing of crops, breeding, raising and fattening of live stock, purchasing equipment, etc. Banks held $37,119,000 of these produc tion loans at the beginning of 1953, compared with $5,744,000 held by Pro duction Credit Associations and $6,539,000 held by the Farmers Home Administration. The rest of the state’s economy was not overlooked. Over $45,000,000 was loaned to the town and city dwellers to build and improve their homes. Almost $22,000,000 was loaned to working people and other individuals to finance new cars, refrigerators, modernize homes and to consolidate debts. Twenty-one million dollars was loaned to the merchants of North Da kota to aid them in the conduct of their business. Columbus Remodels B. M. Harris, president of the Yel lowstone Banks, Columbus and Laurel, Montana, reports the Columbus bank is undergoing a modernization and face-lifting program that will give it nearly twice the working floor space, much more conveniently arranged for the service of the people of Stillwater county and vicinity. The old front entrance will be closed and a larger entrance will be opened on the side where there is parking space for 13 cars, and it will bring both the customer and the staff of the bank in closer contact with his business or his work. Two new, mod ern conference rooms or offices will "Sales Tools" Kit “ Sales Tools for Banks” is what take the place of the smaller offices Hamilton James Associates call their now in us'e, with a large outside office kit of bank advertising samples which directly connecting with the private is being sent to banks on request. The offices. Five tellers’ cages and a lobby kit, an attractive acetate jacket, con 12 by 42 feet will occupy the old front tains 15 promotional pieces designed quarters of the bank. A new vault is for statement enclosures, lobby count being installed, with a new one and ers, and other uses where descriptive one-half inch steel door. The space literature on bank services is required. formerly occupied by apartments will Write to Hamilton James Associates, be used now for the bookkeeping 2702 Monroe Street, Madison 5, Wis department. New plate glass doors consin, at no obligation, for "Sales will form means of ingress and egress. The lower portion of the trim on the Tools for Banks.” building will be embellished with pol ished granite. The new fixtures will come on the Promotes Two Officers S. Sloan Colt, president of Bankers same pattern and plan as at Laurel, Trust Company, New York, has an but in the case of the Columbus bank nounced the promotion of two officers the finish will be blond, in prima vera. to new posts of responsibility. William a warm tropical hardwood. The pres H. Moore, vice president, who has ent furniture will be used in the book been in charge of the bank’s far west keeping quarters and the new, modern ern business, has been named head furniture will be installed in the new of the metropolitan division. Fred offices and lobby. .J. Leary, Jr., was elected vice presi dent and was named to succeed Mr. Havre Installs Teletype Moore in the western territory. The Citizens Bank of Montana, Mr. Moore, who has been with the Havre, Montana, has installed a tele bank since 1938, is a graduate of Yale type machine as a news service, accord University, and is a member of the ing to O. R. Rubie, president. Through board of directors of American Can the facilities of the teletype, direct Company, Delaware, Lackawanna and stock market quotations are received Western Railroad, as well as other by the bank twice daily, 9:00 a. m. and 12 o’clock (noon) market closing companies. Mr. Leary, a graduate of Harvard time, Mr. Rubie stated. This new serv University, has been with Bankers ice has been added for the conven Trust Company since 1945. He was ience of the residents of northern elected assistant treasurer in 1950 and Montana, he said. A direct contact with larger banks two years later was named assistant vice president. He has been associ and financial institutions throughout ated with Mr. Moore in the west coast the nation is also offered with this new service, Mr. Rubie pointed out. group of the bank. North Dakota News 85 Columbia Falls Remodels The Bank of Columbia Falls, Mon tana, has recently completed the re modeling of its interior with the lat est style tellers’ windows. Panel ing is in natural birch. Ceilings were lowered and new lighting fixtures were installed. The bank floor has been beautifully decorated in a white and and green rubber tile and additional lobby space has been created. The additional space and modern fixtures were added to serve the new aluminum plant be ing completed at Anaconda near Co lumbia Falls. I n th e MAGIC EMPIRE VS. ter y mo. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis □ TRANSIT SERVICE □ SAFEKEEPING □ INVESTMENTS Deferred Profit Plan J. Cameron Thomson, president of Northwest Bancorporation, has an nounced that the board of directors has called a special meeting of stock holders to seek approval of the adop tion of a Deferred Compensation Prof it Sharing Plan by the corporation, and authorization for voting the stock of affiliates owned by the corporation in favor of the adoption of the plan by the affiliates. In substance, the plan provides for setting aside in a trust fund each year, beginning with the year 1953, for the ultimate benefit of employes age 30 and over who have completed five or more years of service, a small part of the profits of the corporation and its affiliates. The total amount so to be set aside will not exceed the smaller of (a) 3 per cent of the combined net earnings from current operations for the year, or (b) one-fourth of the com bined net profits for the year in ex cess of 5 per cent of the total capital accounts for the year, thus assuring retention for stockholders of profits after taxes equal to 5 per cent on total capital accounts, plus 75 per cent of all pi'ofits above that amount. On the basis of 1952 results, the amounts set aside for covered employes would have been 7.1 per cent of their salaries if the plan had been in effect. Amounts set aside in trust each year will be fully deductible for income tax purposes by the corporation and its affiliates but will not be taxed to the employe beneficiaries until distri bution is made to them after retire ment, upon termination of employ ment, or to their beneficiaries in the event of death. Had the plan been in effect during 1952 as to all eligible employers, it is estimated that approximately 20 em ployes of the Northwest Bancorpora tion and 1,230 employes of other par ticipating employers w o u l d have shared in contributions for that year. Total number of employes of North west Bancorporation and its affiliates as of December 31, 1952. was 4,321. Think .. FIRST.. and let ELMO THOMPSON, JOE BYRD, HARRY LANE, DICK WAGNER o r DEAC RHODES help You with Personal Serv ice on — □ EXCESS LOANS □ CURRENCY □ BANK OPERATIONS a n d in □ PERSONAL th e □ COLLECTIONS OIL INDUSTRYIfs Is □ CREDIT INFO □ FOREIGN SERVICE BOTH □ TRUSTS Remember, the other 38 officers o f our bank, many of them specialists in varied fields, give help to our correspondents. Just . . "Think . . F IR S T ’ PROFITABLE and PLEASANT NOW! . . TRANSIT .. . for Faster »- „ . ,-v __ _____ M T -., l -AService THE fir s t n a t i o n a l bank AND TRUST COMPANY O F Member F ederal Deposit I n s u r a n c e T U L S A C o r p o r a t i o n Northwestern Banker, Se ptembe r, 1953 86 • COMPLETE CORRESPONDENT FACILITIES * COMPLETE CORRESPONDENT FACILITIES Northwest ern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis * COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES * COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES » COMPLETE CORRESPONDENT FACILITIES COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES * COMPLETE CORRESPONDENT FACILITIES » COMPLETE CORRESPONDENT FACILITIES * COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES » 87 W h r a s k a NEWS WILLIAM F, WENKE President Pender CARL G. SWANSON Secretary Omaha 2 2 A tte n d S ch ool o f litui li in if “TWENTY-TWO Nebraska bankers | were among the 776 enrolled at the Ninth Annual Session of the School of Banking at the University of Wisconsin, Madison. They are: George Soker, president, State Bank of Hildreth; Russell Harris, vice presi dent, The First National Bank, Holdrege; Thomas Horn, executive vice president and cashier, First National Bank, Hay Springs; James Ivins, pres ident, Sioux National Bank, Harrison: Howard Johnson, Live Stock National Bank, Omaha; Herbert Brune, execu tive vice president, Nebraska State Bank, South Sioux City; Clarence Han sen, F.D.I.C., North Platte; Joseph Krohn, cashier, Ulysses State Bank, Ulysses; Walter Pleiss, Federal Re serve, Omaha; Walter Rankin, assist ant cashier, First Security Bank, Holdrege; R. P. Rhine, First National Bank, Fairbury; Keith Roberts, assist ant cashier, Beatrice National Bank; Max Schneider, assistant vice presi dent, First National Bank, Lincoln; Victor Smith, assistant cashier, Omaha National Bank; Myron Weil, vice president, National Bank of Com merce, Lincoln; James Black, assistant cashier, First National Bank, Fuller ton; Walter Clark, vice president, Douglas County Bank, Omaha; Eugene Dietz, Federal Reserve, Omaha; James Dietz, cashier, Adams County Bank, Kenesaw; Leonard Duerfeldt, vice president, First National Bank, Gor don; John L. Lewis, assistant cashier, Bank of Peru, and Richard Smith, assistant cashier, Pender State Bank. New Kearney Checks The new “panoramic” checks being distributed by the Fort Kearney Na tional Bank, Kearney, Nebraska, will not only serve its customers’ needs but will advertise Kearney and the surrounding territory. Observe Anniversaries The Commercial State Bank, Repub lican City, Nebraska, recently cele brated its 50th anniversary and its president, C. H. Waldo, 73, added to the occasion by completing 37 years at the bank. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The bank has experienced steady growth since its founding. In 1905 the assets were $71,253.72, in 1930 they had grown to $249,102.94, in 1952, $1,447,969.61 and in 1953 they reached another high, at $1,480,667.10. Mr. Waldo is assisted at the bank by his two sons, Haskell and Jim, who are cashier and assistant cash ier, respectively. Mrs. G en ev iev e Maxie is bookkeeper. main bank building. A modern alumi num door has been added, and the floor in the entrance has been lowered to sidewalk level. The windows are glazed with heat resistant plate glass, and the ledges are of forest green marble. Dalton Bank Sold Leo Van Dittie, formerly assistant vice president of The Central Bank and Trust Company, Denver, Colo rado, has purchased controlling inter est of the Dalton State Bank, Dalton, Nebraska, and will become its new president. Lyle Rabe will be vice president of Allen Bank Plans The Security State Bank of Allen, Nebraska, installed an air condition ing system recently, according to a re port from Millard M. Martin, vice president and cashier of the bank. West Point Remodels Contractor Earl Fauss has been awarded the contract for remodeling the First National Bank at West Point, Nebraska, for $35,000. Woodwork will be in walnut and two new concrete vaults will be installed. Mr. Fauss recentty completed a similar job at the Hooper First National Bank. LEO VAN D IT T IE N ew president of D alton State Bank the bank and Lawrence Marrin will be cashier. The Dalton bank has resources of Retires at Homer about two million. Dalton is located F. M. Church has retired from manin the rich table land of western Ne agement of the Homer Co-operative braska in the heart of a wheat grow Credit Association after 31 years of ing section. Oil and gas interests are service in Homer, Nebraska. developing in this area also. Mr. Van Mr. Church’s successor is R. G. Dittie will retain his position with the Fuhrman of South Sioux City. Central Bank, where he is a member of the correspondent bank depart York Election ment. The election of W. E. Stover as a director and vice president of the York Joins Bellevue Bank State Bank, York, Nebraska, was an William B. Schultz has been ap nounced last month by Dean Sack, pointed assistant cashier of the Bank president of the bank. The new vice of Bellevue, Bellevue, Nebraska. The president had acquired stock interests appointment was made at the board in the bank and the York Cold Stor of directors’ meeting last month. age Company. He was also elected director of the latter company. Prank J. Taylor Frank J. Taylor, 87, retired lawyer Humboldt Remodels and president of the Citizens National New construction at the Home State Bank, Saint Paul, Nebraska, until Bank, Humboldt, Nebraska, consists 1952, died recently at his home after of major alterations to the existing a long illness. bank building, plus a recently ac quired adjoining store building. The MORE NEBRASKA NEWS exterior of the acquired building will ON PAGE 102 be faced with stone similar to the Northwest ern Banker. Se ptembe r, Í9S3 88 He became an officer two years la ter and moved steadily upward to positions of responsibility. FRANCIS McDERMOTT, 58, sen vJ. ior vice president of the First National Bank of Omaha, King of AkSar-Ben in 1951, and a leader in many civic and religious fields, died last month at his Omaha residence. He became ill three months ago on a plane while traveling from Chicago to New York with his three sons. Aft er some time in a New York hospital he returned to Omaha. He underwent a major operation in November, 1950, but had recovered sufficiently to return to many activi ties. As a public-spirited citizen, business man and church layman, he tackled many things. He was also a director of the First National Bank. As a Catholic layman he became the youngest Bapal Knight of St. Greg ory in the nation at the age of 45. His work as chairman of the World War II Savings Bond drive drew com mendation. He had served in two world wars. As a Republican party worker he was an advisor of Presidential candidates. He and two brothers received their degrees in the same class at Creighton University. His boyhood home was in Council Bluffs, Iowa. He became a Creighton faculty mem ber at the age of 19, and had students as old or older than he. Shortly after returning from World War I, he re signed his teaching job to become a junior executive of the First National Bank. m m ■ In Size In Service In St. Joseph J. F R A N C IS M c D E R M O T T 1895-1953 A forceful and witty speaker, he ^ often appeared at banquets, both at home and throughout the nation. * * * The Live Stock National Bank of Omaha has increased its capital stock from $1,000,000 to $1,500,000 by decla ration of a stock dividend. Henry C. Karpf, president of the bank, made the announcement after a special '*' meeting of shareholders of the bank. The $500,000 dividend will be trans ferred from the bank’s present undi vided profits and will give the bank k a combined capital and surplus of $3,000,000, Mr. Karpf stated. He said total capital structure of the bank has now reached the sum of $3,950,000, compared with the initial ^ capital of $100,000 when the institu tion was organized in 1907. * * * Officials of the nine Omaha banks y have announced that the summer Sat urday closings will be continued. At the same time the banks agreed to retain the present extra Friday hours. Eight of the nine banks now are open from 4:00 to 6:00 p. m. on Fridays. One is open from 5:00 to 7:00 on Fridays. The banks decided to continue the summer hours because, bank officials said, 60 to 70 per cent of Omaha’s workers now are on a five-day week. FIRST NATIONAL BANK In St. Joseph, Mo. hwest ern Banker, Se pte m ber, 1953 Digitized forNort FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION YOUR STATE BANKERS ASSOCIATION OFFICIAL SAFE, VAULT AND TIMELOCK EXPERTS F. E. DAVEN PORT & CO. A OM AHA 1 < https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 89 I f it pertains to Livestock we can serve you better Northwest ern Banker, Se ptembe r, 1953 90 Nebraska News The two extra banking hours on Fri days were retained for the conven ience of business and the public. These other changes in bank open ings also were announced: 1. Banks henceforth Avill be open for business on Lincoln’s Birthday, Feb ruary 12th; Washington’s Birthday, February 22nd; Arbor Day, April 22nd; Columbus Day, October 12th, and Ar mistice Day, November 11th. Banks were formerly closed on these days. 2. Omaha banks will not be open on the six national holidays—Christmas, New Year’s, Decoration Day, inde pendence Day, Labor Day and Thanks giving. * * * Victor B. Caldwell, 60, a vice presi dent of the United States National Bank of Omaha, died last month at his residence. His grandfather, the late S. S. Cald well. was one of the founders of the United States National. His father, the late Victor B. Cald well, Sr., served as president of the same bank. Mr. Caldwell became assistant cash ier in 1925, assistant vice president in 1930. and vice president in 1932. In his junior year at Yale Univer sity, he joined the Red Cross Ambu lance Corps in France. After the United States entered World War I, he entered the Army Air Corps and saw service in Europe as a lieutenant in a balloon squadron after attending the Omaha Balloon School. Mr. Caldwell also attended Lawrenceville, New Jersey, Preparatory School and was a graduate of Yale, where he was a member of the Elihu Club. He was a member of the Omaha Pro Tern Club, Omaha Chamber of Com merce, American Legion and St. Barn abas Episcopal Church, % * * Albert R. Stelling, 47, vice president 9 ** J li4 tc o l* € — G o+ U ¿*te*U < U — Ask Our Trust Department About Estates and Estate Taxes and trust officer of the Live Stock National Bank of Omaha, will head the Omaha Community Chest drive in South Omaha this fall. * * * W. B. Millard, Jr., president of the Omaha National Bank and Omaha’s chairman of the National Fund for Medical Education’s Committee of American Industry, announced that the fund has made grants of $51,000 to Creighton University School of Medicine and $42,630 to the University of Nebraska College of Medicine, both at Omaha. Mr. Millard was only recently named chairman of the Omaha Com mittee of American Industry. Other members of the Omaha com mittee are Henry C. Karpf, president of the Live Stock National Bank, and E. F. Pettis, department store execu tive and former Omaha banker. * * * The Northern Natural Gas Company of Omaha planned to issue and sell 250,000 shares of $100 par value pre ferred stock when authorized by the company’s common stock holders. Treasurer Harry H. Kiert announced recently. * * * Howard M. Johnson of the Live Stock National Bank was among grad uates of the School of Banking at the University of Wisconsin, Madison, at commencement exercises early this month. Mr. Johnson completed his third year of attendance at the annual two-week specialized school on bank ing, and had completed extension work required of students during the (ONTÌNENTÀL |\|a TIONAL fWK of- L IN C O L N Member Federa) Deposit Insurance Corporation Banker, Septem ber, 1953 Digitized forNorthwestern FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Oldest National Bank. From Omaha West Member Federal Deposit Insurance Corp BANKS SnWolS A CONFIDENTIAL, F O U N D E D ON 2 5 PERSONAL SERVICE YEARS EXPERIENCE B a n k e r s S ervice C o m p a n y HENRY H. BYERS. Pres Lock Box 1415 DES MOINES 5 IO W A N. B SHAFFER. V P I . G. UNT1EDT, V.P. Lock Box 1421 COLORADO SPRINGS. COLO 91 *• ? _ k »v« rtC^ _ '■ " LEGAL LIABILITY BOND _" ini I $ 1 ,0 0 0 ,0 0 0 .0 0 Legal Liability H $1,000,000.00 ttdelity Coverage TERM INAL *.r . . . behind every WAREHOUSE RECEIPT S ’ f ■* ~ I ) the most modern, extensive field warehous ing service, (2) sound financial resources, and (3) the most complete and comprehensive bond coverage. W e can help you to extend accommodations to Offices in P r i n c i p a l C i t i e s valued customers in excess of open-credit limits Des Moines Office 511 lowa-Des Moines National Bank Bldg. George V. Mickelsen, District Mgr. 2-1208 — with the protection of sound and dependable Omaha Office 312 Electric Bldg. W. H. Otto, District Mgr. Atlantic 7190 and control inventory— and convert it to highly collateral. Experts in every phase of inventory loan procedure, we inspect, organize, supervise preferred collateral for you. ST. PAUL T E R M I N A L W A R E H O U S E CO. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 425 EAST 8th STREET ST. PAUL, MINNESOTA Northwestern Banker, Septem ber, !953 92 T HE 289 state banks in Nebraska showed a gain of $22,283,400 over a year ago, the Nebraska State Bank ing Department said. J. F. McLain, state banking direc S in c e - tor, said that from June 30, 1952, to June 30th this year total resources jumped from $425,581,807 to $477,965,252. Total deposits increased from $392,- 1 S 7 1 . . . For over eighty-two years, and yet today, The First National Bank stands ready to serve you in Lincoln THE FIRST NATIONAL BANK OF LINCOLN LINCOLN, NEBRASKA 552,248 to $411,170,139 for the corre sponding period. This is a hike of $18,617,981. Mr. McLain said the biggest share A of this increase was $13 million more in U. S. government obligations. Loans went up from $133,940,090 to $140,174,871, but Mr. McClain said this ^ might be misleading, because much of it involves Commodity Credit Corpo ration loans. Actually, non-real es tate loans to farmers declined about $10 million during the year ending > June 30, 1953. Of the $140 million in loans, $16.5 million were CCC loans, $71.5 million were non-real estate farm loans, and $17.8 million were real estate loans, a substantial portion of which are guar anteed by the Federal Housing Ad ministration or by the Veterans Ad \ ministration. The capital accounts gained by about $3 million through new capital and retained earnings and now consti tute 7.7 per cent of total assets. Interestingly, in the six months from December 31, 1952, to June 30, 1953, total resources dropped by $21,631,242; total deposits increased $23,502,425; total liabilities fell $23,184,554 Y and total accounts showed a gain over the six months period of $1,533,312. * * * Mr. and Mrs. Carl Ganz are on a y 49-day trip through Europe. Mr. Ganz is vice president of the National Bank of Commerce. The tour will take them through England, Belgium. Hoi- , land, Germany, Switzerland, Italy and France. * * * Plans are going ahead for the Lin coln chapter’s courses under the •*American Institute of Banking plan. Three classes will be held. A total of 34 have signed up for “Fundamentals of Banking,” 22 for “Analyzing Finan- ^ cial Statements,” and 23 for “Money and Banking.” Wilbur Baack of the National Bank of Commerce is local president. * * * X Fifty-eight Lincoln teachers were given a full day tour of the downtown Lincoln banks as part of the Lincoln Chamber of Commerce “Business Education Day.” First National Bank en tertained 25 teachers, National Bank of Commerce 18, and Continental Na tional 15. The teachers were given tours through the various bank de- * BANKS 48 Y E A R S M em ber F ed era l D e p o s it Banker, Se ptembe r, 1953 Digitized forNorthwestern FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis In su ra n ce BOUGHT O F C O N F ID E N T IA L A ND D IG N IF IE D SOLD S E R V IC E C o rp o ra tio n ¡H it ' (M il % d ta b lp il CHARLES E. WALTERS CO. 1313 FIR S T N A T IO N A L B A N K B U ILD IN G O M A H A. N EBR. Y 93 Nebraska News partments, lunch with bank officials, and question and answer and panel sessions. For the second year the en tire Chamber of Commerce program in this connection with “bossed” by Glenn Yaussi, vice president of Na tional Bank of Commerce. He is chairman of the education committee of the Chamber. * * * Allen .1. Mart, guard at the First National Bank, has continued his win ning ways in pistol competition. Re cently he won individual honors in the Heart of America pistol match at Kansas City, Missouri. He was grand over-all winner in .45, .38 and .22 cali ber competition. Mr. Mart is a member of the Lin coln Rifle and Pistol Club team which this year won the National Indoor Pistol Championship for the second straight year. Mr. Mart took top honors in individual competition there also. * * * Summer weather turned thoughts at First National Bank to golf. A bank golf tournament was played and Ray Becker, vice president, won med alist honors with an 80. Linus Southwick, vice president, was second medalist. Gene Reece, assistant cash ier, won low handicap and John Burn ham, discount teller, took second low handicap. * * * Max Peterson, assistant cashier, Con tinental National Bank, addressed offi cers of the First National Banks of Shelby and Osceola at a recent month ly meeting. * * * The infant son of Mr. and Mrs. Charles Ganz of Alvo died in an acci dent last month. The paternal grand parents are Mr. and Mrs. Carl Ganz. Mr. Ganz is vice president of the National Bank of Commerce. George E. Porter, president of the First National Bank, St. Joseph, also went to Wismo Club, Stone-Lake, Wis consin, last month. J. M. Ford II, vice president, returned from a vaca tion at Alexandria, Minnesota. Loyd A. Walker, assistant cashier, returned from a trip to Seattle to visit his son and go salmon fishing. Milton Tootle, Jr., vice president and cashier, Tootle-Lacy National Bank of St. Joseph, and Charles Rich mond, assistant vice president, Ameri can National Bank, attended the twoweek term of the School of Banking at the University of Wisconsin. This was their first term. A LETTER OF I NV I T AT I ON Na t i o n a l B a n k of Co m m e r c e Lncont.NsBaAeKA A u g u s t 15 1953 D ea r B anker M a n y o f y o u r c u s t o m e r s w i l l b e c o m i n g to L i n c o l n to a t t e n d o n e o f o u r f in e s c h o o l s t h is w i n t e r o r f o r th e S t a te F a i r S e p t e m b e r 6th t o 11 th I f y o u w i l l w r i t e u s o r g iv e t h e m o n e o f o u r i n t r o d u c t i o n c a r d s , w e c a n h e lp y o u s e r v e t h e m b y c a s h i n g th e ir p e r s o n a l c h e c k s on y o u r ban k S e n d t h e m to th e b a n k w it h th e " C a l e n d a r C l o c k " a t 13 th a n d •O'* S t r e e t s LINCOLN . . . (Turn to page 102, please) S i . » Josep h EVERLY PITTS, vice president of National Bank, St. Jo Bseph,American returned last month from a NATIONAL BANK of COMMERCE LINCOLN, NEBRASKA 50 Y e a r s a t 13th a n d O S t r e e t s H o m e o f C o m p l e t e Banking Service O r g a n iz e d A u g . 4, 1902 vacation at Wismo Club, Stone Lake, Wisconsin. Benton Calkins, Jr., cash ier, returned from a motor trip to the Bad Lands of South Dakota, the Black Hills, Yellowstone Park and the Grand Tetons. Member Federal Deposit Insurance Corporation SCARBOROUGH Associates Group Insurance Plan covers the entire bank staff, including Directors. It provides the most complete benefits at lowest cost. Let us send you the details. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis P R O V ID IN G TAl DEATH GROUP AND A C C ID E N T A N D AND LIFE, A C C ID E N - D IS M E M B E R M E N T , S IC K N E S S , H O S P IT A L S U R G IC A L B EN EFITS F IRST N A T I O N A L B A N K B U I L D I N G , C H I C A G O 3 , I L L I N O I S Northwestern Banker, Septembe r, 1953 SPEED . . . ESSENTIAL FOR TRANSIT ITEMS TOO! Night and Day . . . Sundays and Holidays, the effi cient transit department works to save you valuable time. Items received at night are processed and on their way by plane or train the next morning * . . . before you even come to w ork ! The strategic location o f the Live Stock National Bank means it is possible to reach most major cities within one day. We are happy to offer this extra transit service to our many correspondent banks along with other extras. W e feel sure we can he o f service to your organization, and are looking forward to hearing from you. L IV E t S TO C K i Digitized forNFRASER orthw estern Banker. Se ptembe r. Ì 9 S I https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis NATIONAL B A N K O M A H A , N E B R A S K A MEMBER Of FEDERAL RESERVE AND FEDERAL DEPOSIT INSURANCE CORPORATION 95 on savings accounts has been in creased to IV2 per cent and interest on time certificates has been increased to IV2 per cent for six months and 2 per cent for 12 months. Monroe Stock Sold New Bank Building Construction of a new building for the Clinton National Bank, Clinton, Iowa, is now being contemplated, ac cording to L. J. Schuster, president. A large, frame two-story home, known as the McAndrews Clinic, has been purchased and it will be razed to make room for the new bank struc ture. No plans are available at this time as to when the actual construc tion will start, but specifications and drawings will be made soon. Buchanan Increase Seven Iowa banks in Buchanan county have announced an increase in interest rates. Interest on savings deposits will be 1V2 per cent beginning January, 1954. Interest on time cer tificates issued after July, 1953, will be 2 per cent. The banks making the interest in creases are: Fairbank State Bank, Fairbank; Farmers State Bank, Jesup: Farmers State Savings Bank, Inde pendence, L a m on t and Winthrop; Rowley Savings Bank, Rowley, and Security State Bank, Independence. Offer Certificates All Cedar Rapids banks have started offering depositors time savings de posit certificates which will pay 2V2 per cent non-compounded annual in terest after three years. Interest on regular savings will remain at 1 per cent. A minimum of $500 is required by the banks to begin participation in the savings certificate program. After that, certificates can be purchased in multiples of $100. at the country club. The afternoon was devoted to golf and a dinner was held in the evening. Grinned Drive-In Grinnell will have its first drive-in banking facilities late this fall when the Grinnell State Bank completes its present plans, according to C. A. Fra sier, president. Hampton Bonds The First National Bank of Hamp ton, Iowa, was lowest bidder and bought the entire $58,000 bond issue recently put up for sale by the Inde pendent school district of Hampton. The purchase was made on a 2.42 per cent interest basis. Anthon Change Carleton C. Van Dyke was recently elected president of the First Trust and Savings Bank, Anthon, Iowa, suc ceeding Earl Hoffman, who is retiring. Mr. Van Dyke is also vice president and director of The Toy National Bank, Sioux City. Directors also voted to further increase the surplus ac count of the banks and capital and surplus now total $100,000. Interest Itunli H ohls Arthur Vander Ploeg, of the Vander Ploeg Motor Company in Monroe, Iowa, has purchased stock in the Mon roe State Bank from Ulrie Clevenger. Mr. Vander Ploeg will be active in the bank. Mr. Clevenger, who was cash ier, will retire October 1st. Joins Cambridge Bank John L. Scott of Cambridge, Iowa, has been elected assistant cashier of the Cambridge State Bank, according to an announcement by L. I. Hattery, ^ashier. Mr. Scott was formerly em ployed in a furniture store in Maxwell, Iowa. Dayton Change The first instance of a national bank changing over to a state bank under an act of the 1953 Legislature was re ported recently by the secretary of state’s office. The First National Bank of Dayton, Iowa, transferred its in corporation to the Iowa State Bank and Trust Company of Dayton. New Depository The Iowa Trust & Savings Bank, Oskaloosa, Iowa, is completing instal lation of a new day and night deposi tory service for bank depositors. A feature of the new service in cludes a letter slot for use of any of the bank’s depositors day or night. H ou se Blencoe Improvement The Blencoe State Bank, Blencoe, Iowa, has recently installed 175 new safety deposit boxes. Resigns at Victor Bernadine McDonald, who has been employed at the Victor State Bank. Victor, Iowa, for the past two and onehalf years, has resigned her position to be married. Hardin County Meeting The Hardin County Bankers Asso ciation met recently at Ackley, Iowa. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N E W B U ILD IN G — The picture above shows the lobby arrangement in the newlyerected. building of the Early Savings Bank, Early, Iowa. On the day of its “ open house,” more than 2,000 persons called to view the newT quarters, and congratulate the officers on their accomplishment. In a town of 750 population, that many people in one day is something of a record. The Early Savings Bank was organized in June of 1927, with Ray Stevens as cashier. Mr. Stevens is now president of the bank. Other officers are H. R. Motter, cashier, and Marvin G. Hansen, assistant cashier. Northwest ern Banker, Se ptembe r, 1953 96 Iowa News N ew Vault H oars fo r W a te rlo o Work on the building is being done by the Tusant Construction Company of Des Moines, which is handling both the construction and the fixtures. The Pella National Bank is one of the oldest banks in the state of Iowa, organized in 1857. Officers include: President, J. R. Drake; cashier, C. Smorenberg; vice presidents, C. F. Dykstra, J. G. Boat and G. A. Andreas, and assistant cashiers, Will Baer and C. Vander Linden. Tipton Increase The First National Bank, Tipton, Iowa, has increased its surplus fund from $25,000 to $50,000 during the first half of 1953, according to a report from G. L. Daedlow, cashier. The transfer from profits affords a total capital and surplus of $125,000. W esley Promotions P hoto C ourtesy W a te r lo o D a ily C o u rier. 15-TON" DOOR— Workers are pictured as they unload one of the vault doors from the Mosler Safe Company for the new National Bank of Waterloo, Waterloo, Iowa. Robert L. Penne, president of the bank, stated that the circular door being lifted by the crane weighs 15 tons and is the door for the vault in which the safety deposit boxes will be housed. Also on the truck is a rectangular door, weighing about 10 tons, which is the door for the cash vault. Bank Building and Equipment Corporation of America, St. Louis, is in stalling the furnishings and fixtures at present, and the new quarters are expected to be completed on or about November 1. Bond Increase Gerard S. Nollen, Des Moines, state chairman of the U. S. Savings Bonds Division, has announced that pur chases of Series E and H Bonds in Iowa during fiscal 1953 (July 1, 1952, through June 30, 1953), were 44.63 per cent greater than were purchases of Series E Bonds during fiscal 1952. Mr. Nollen said that a “Minute Man” trophy has been presented to Iowa for having the best record during the fis cal year among “group one” states. Pella National Remodels The Pella National Bank, Pella, Iowa, is remodeling its hanking home and is adding to its floor space by a new addition to the structure. The hank will have new vaults, new safety deposit boxes and a new night depos itory. J. D. Lowe has been elected presi dent of the Exchange State Bank, Wesley, Iowa, succeeding the late John Hutchinson. Mr. Lowe was for merly vice president of the bank. Ralph Tjaden has been named vice president and L. T. Root has been elected a director. L. H. Kleinpeter continues as cashier. The bank recently completed a con sulting room and has installed consid erable new equipment. Ed T. Dunlap Ed T. Dunlap, president of the First National Bank, Hawarden, Iowa, died of a heart attack last month. He had been ill several months. Mr. Dunlap, 72, had been a resident of Hawarden since 1921 and had served as president of the hank since 1943. Dr. A. A. Hoffman YOUR COLLECTION ITEMS ARE PRESENTED DAILY BY SPECIAL MESSENGERS FOR COMPLETE SATISFACTION — SEND Dr. Alfred A. Hoffman, 62, director of the Peoples Savings Bank, Water loo, Iowa, died recently while vacation ing at a Minnesota resort. Dr. Hoff man’s brother, Alois M. Hoffman, is a director of the Federal Discount Corporation of Dubuque. YOUR SIOUX CITY ITEMS TO US THE TOY NATIONAL BANK SIOUX CITY, IOW A MEMBER FED ERA L D EPO SIT IN SU R A N C E C O R P O R A TIO N Scarborough’s Transit Cash Letter Policy is the only way you may waive your right of charge-back to a good customer's account. You'll like the good-will it fosters — the savings that accrue. Digitized forNorthwest FRASER ern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E |! ACORN Sale Registers "A ccepted Sale Registers by Bank Clerks Everywhere" For information write THE ACORN PRINTING CO. OAKLAND, IOWA Scarborough & Company 1 n s u r a n ce Counselors to B a n k s FIR ST N A T IO N A L BAN K B U IL D IN G . C H IC A G O 3, IL L IN O IS . STafe 2 -4 3 2 5 97 „ J f r¡re S e rv ic e s You are cordially invited to use the Bankers Trust Company Wire Service. A telephone call to us gives you a private wire system for your important banking transactions. Participating correspondents in all principal cities from coast to coast. Des Moines, Iowa M em ber: Federal Deposit Insurance Corporation Federal Reserve System > https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, Se ptembe r, 1953 effective in the other banks in the city, but was overlooked in reporting the increased rates in the July N orth w ester n B anker . * * * Last month marked the 75th anni versary of Capital City State Bank in Des Moines. Big plans are being made for Capital City’s Diamond Jubilee, according to Rolfe O. Wagner, chairman of the hoard, but the actual celebration will Don Moi nos Xows I AMES B. MORRISON, 28, vice presvJ ident of the Valley Bank and Trust Company, well known artist, died in his sleep at his home last month. He lived with his mother, Mrs. Frederick M. Morrison, widow of Frederick M. Morrison, who was pres ident of Valley Bank and Trust from 1938 until his death last fall. James Morrison had been critically ill last spring with encephalitis, but had apparently recovered and had re turned to work where he appeared to be in good health. His death was a distinct shock to the staff at the bank and to his many friends. Mr. Morrison was graduated from Hill School at Pottstown, Pennsyl vania, and attended the University of Iowa and Grinned College prior to joining the bank in 1947. At the time of his death he was a director of the bank as well as vice president. His interest in art had gained him wide fame among contemporaries and he had won numerous awards, includ ing three first awards in state-wide Drive-up teller window in use at Capi tal City State Bank. Since 1905 JAMES • The latest equipment and methods, plus a friendly attitude, are geared to be of service to you at any time. B. M O R R I S O N 1925-1953 competition in Iowa. His paintings had been exhibited in Philadelphia, Chicago and other important art cen ters. * MEMBER FDIC FRS The Friendly AMERICAN TRUST & SAVINGS BANK Dubuque, Iowa * The Iowa-Des Moines National Bank is now paying 2 per cent interest on all savings accounts, regardless of amount, which is the same rate being paid by other Des Moines banks. This new rate went into effect July 1st, the same date as interest changes were S tro n g Frien d o f The I n d e p e n d e n t B a n k e r not be until October, when the com pletely remodeled first floor is ex pected to be finished. In 1948, new services and facilities were added to Capital City’s already modern banking service when it be came the first drive-in bank in Des Moines. This spring Capital City State Bank also built a new drive-in teller lane to make drive-in banking easier and faster. The drive-in teller’s win dow now handles up to three cars a minute. A 42-car parking lot adjoins the bank. Capital City’s 20.8 per cent gain in deposits for 1952 is five times greater than the gain made by the nation’s 18 biggest banks, whose deposits rep resent about 25 per cent of the total for all banks in the nation. Capital City’s deposits have approximately doubled since 1945. Capital City led all Des Moines banks in dollar volume of new savings in 1952. Highlight of the anniversary month for bank employes and stockholders were two family picnics at Mr. Wag ner’s home. BANKS a B°dUsGoH LÎ A CONFIDENTIAL, F O U N D E D ON 2 5 PERSONAL SERVICE YEARS EXPERIENCE Bankers Service Company M A R Q U E T T E fta S ü H O ß B A I I K P» Mi n n e a p o l i s Digitized forNFRASER orth w estern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis HENRY H BYERS. Prêt Lock Box 143 S DES MOINES 5. IO W A N B SHAFFER V P E. G. UNTIEDT, V P Lock Box 1421 COLORADO SPRINGS COLO. 99 ALW AYS READY TO S E R V E YOU IN DES MOINES V A LL E Y BANK AND TRUST CO M PAN Y DES M O IN E S MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern B anker, Sep tem b er, 1953 100 Iowa News In keeping with a national trend to offer greater parking accommodations for bank customers, The Iowa State Bank in East Des Moines has opened the second of two large parking lots. The two lots will accommodate over 100 cars at any one time, according to George H . Borg, executive vice presi dent. The first parking lot located just east of the bank was opened in 1951. Accommodating about 50 cars at any one time, it was thought that the park ing facilities would be adequate for some years to come, but the increas ing number of customers presented a problem of obtaining additional park ing space. This has been accomplished by ac quiring the 60x100 foot area directly south of the bank. An old rooming house was torn down and the area surfaced in concrete. * * 4. * As the first step in its plan to pro vide free parking space for customers, the Iowa-Des Moines National Bank last month opened the first section of the new parking area directly behind the bank. Several old buildings were ~T \ TU R N — . . . to the W aterloo S avings Bank for fast, d ep en d a b le and friendly service in connection with all types of correspondent items. An old customer was first to use new parking lot facilities provided by IowaDes Moines National Bank. razed to make room for the lot. Other buildings standing on the re mainder of the property purchased by the bank will be torn down in the near future, thus giving the bank a quarter square block of parking space. Joins Akron Bank Clark T. Arnott has resigned as cashier of the Bank of Centerville, Centerville, South Dakota. He has purchased a substantial block of stock in the First National Bank of Akron, Iowa, and has been elected executive < X You'll Always Receive a Cardial Welcome at Iowa’s □ldest Bank— A Strong Bank Since 1B5G. C L A R K T. A R N O T T M o v e s to Akron, Iowa COUNCIL BLUFFS SAVINGS BA NK C O U N C IL BLU FFS, IO W A Member Federal Deposit Insurance Corporation Digitized forNort FRASER hwest ern Banker, Se ptem ber, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis vice president and a member of the board of directors. The Bankers Serv ice Company of Des Moines, Iowa, ne gotiated the sale. Before he became cashier of the Bank of Centerville Mr. Arnott was cashier of the Citizens State Bank of *■ < Iowa News Buy Champion Shorthorn Redwood Falls, Minnesota. He was associated with the latter bank for 11 years. The last published statement of the First National Bank of Akron shows: Capital, $50,000; surplus, $50,000; prof its and reserves, $102,462, and depos its, $2,112,617. C. A. Frasier, president, and H. A. Blakely, vice president of the Grinnell State Bank, Grinnell, Iowa, purchased the champion Shorthorn at the Powe shiek county fair recently for their bank. The bank bought the animal to provide meat for the Farm Forum which the bank will sponsor on Sep tember 21st. Hiram Keeler Hiram J. Keeler, 61, custodian of the Clinton National Bank, Clinton, Iowa, died last month. He was a lifetime resident of Clinton. Vigilantes Meet The Central Trust and Savings Bank, Eldridge, Iowa, won the pistol competition at the annual Scott Coun ty Bankers Vigilantes Shoot held re cently by posting a score of 788 out of a possible 900. Muscatine county bankers won the peace officers’ trophy, while the Farm ers Savings Bank, LeClaire, Iowa, was runnerup in the pistol matches. Iowa Bank Changes The following changes have taken place in Iowa state chartered banks recently, according to N. P. Black, superintendent of banking: First Security Bank & Trust Com pany, Charles City, increased capital from $100,000 to $200,000 by a stock didivend. First Trust & Savings Bank, Remsen, increased capital from $85,000 to $100,000 by a stock dividend. State Bank of Archer, Archer, in creased capital from $15,000 to $25,000 by a stock dividend. Carlisle Sponsors Contest The Hartford-Carlisle Savings Bank, Carlisle, Iowa, is cooperating with the County Extension Service and the Iowa Crop Improvement Association by sponsoring a corn and soybean yield contest. The bank is awarding trophies to the first, second and third place win ners of both crops. All contestants whose corn yields 100 bushels or more per acre or whose soybeans yield more than 30 bushels per acre will be awarded certificates of achievement. 101 F. L. Hays MRS. D O RIS SPRAGUE Resigns from Creston bank has been with the bank since 1909. First change in personnel the bank has had since 1950 occurred recently when Doris Sprague resigned to join her husband, who recently returned from service. F. L. Hays, 88, father of Ira Hays, vice president of the City National Bank, Council Bluffs, Iowa, died re cently. Mr. Hays was at one time a mem ber of the police force and then opened the first dry cleaning establishment in Council Bluffs. Chartered by Congress 1890 Practice Creston Record The Iowa State Savings Bank, Cres ton, Iowa, has established an enviable employment record, according to a re port received from J. G. Knock, presi dent. The bank has a total of 11 employes and the oldest is Ralph Meadows, who Makes Perfect Athletes and musicians, great and small, turn in their best performances when they keep “ in practice.” Most of us, in fact, do an increasingly good job as we gain experience. J in correspondent banking. So it is Inter- State is proud of its long record in that field. We invite you to check with any of our correspondent hanks as to the quality of our service. IOWA • LITHOGRAPHING • COMPANY SOUNDED BY GEORGE H. RACSDALE • • • EDWIN G. RAGSDALE • »ICRJETARY the Inter -State National Bank LIVESTO CK EXCHANGE BLDG. ^ liTH . AMD GENESEE STS. 515 TWENTY EIGHTH STREET DES •M O IN ES q u a l it y - e x p e r i e n c e https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis •s ervice Member Federal Deposit Insurance Corporation Northwest ern Banker, Se ptembe r, 1953 102 Iowa News S. Ray Emerson Oakland Increase The Citizens State Bank and the Oakland Savings Bank, Oakland, Iowa, have announced an increase on inter est rates. The rate on time deposits will be 2 per cent. MERCHANTS MUTUAL BONDING COMPANY S. Ray Emerson, chairman of the board of the Iowa State Savings Bank, Creston, Iowa, died recently after suf fering a stroke. He had been ill for several years. Mr. Emerson, 64, was a former may or of Creston, a former state senator and a former member of the state highway commission. M. S. Heggen M. S. Heggen, 67, manager of the Slater office of the College Savings Bank, Ames, Iowa, died last month from a cerebral hemorrhage. He had been manager of the Slater office since 1934 when it was established. Incorporated 1933 Stanton Farm Plan The Stanton County Livestock Feed ers Association announced recently that their quarterly meeting sched uled for Wednesday, September 16th, will now be held in conjunction with a special meeting arranged by the Stanton National Bank, Stanton. Ne braska. Earlier, bank officials had secured J. M. Shonsey of the Livestock Nation al Bank in Omaha, recognized through out the midwest as a cattle expert, to speak to a group of feeders at that time. G. A. Noreiius Home Office 2100 GRAND AVEN U E Des M oines, Iowa This is Iowa’s oldest surety company. A first prize is $20, second prize is $15, third prize is $10, and fourth prize is $5. progressive company with experi enced, conservative management. W e are proud of our three hundred bank agents in Iowa. To be the exclusive representative of this company is an asset to your bank. G. A. Noreiius, 84, president of the Abbott Picnic Kiron State Bank, Kiron, Iowa, died Over 150 employes of the 11 Abbott recently at the home of his daughter banks attended the third annual com in Denison. pany picnic at the Chadron, Nebras He was elected a bank director in ka, state park recently. 1899 and served as bank president Member banks include the Bank of since 1925. Active in civic affairs, Hemingford, the Bank of Chadron, Mr. Noreiius had been a member of Anchor Bank of Merriman, Bank of the town council and a former mayor. Wood Lake, Farmers State Bank of At one time he served as postmaster. Winner, South Dakota, Citizens State Recently, Mr. and Mrs. Noreiius ob Bank of Thedford, the Bank of Mullen, served their 62nd wedding anniver the Bank of Hyannis, First State Bank sary. Mrs. Noreiius survives. E. A. of Scottsbluff, Gordon State Bank of Norlius, a son, was appointed a direc Gordon and the Guardian State Bank tor to succeed his father. of Alliance. MORE NEBRASKA NEWS E. H. WARNER Hayes Center Award President and Manager The First National Bank of Hayes Center, Nebraska, will sponsor the talent contest at the 4-H fair. The W. W. WARNER Secretary-Treasurer IN V EN T O R Y L A R G E OR LOANS S M A LL Platte Valley Open House The Platte Valley State Bank, Kear ney, Nebraska, held an open house re cently to observe the completion of their remodeling program. The bank has more than doubled the amount of floor space. New tellers’ windows have been added in the new lobby, safety deposit facilities have been ex panded, new machines have been pur chased and the entire interior of the bank has been modernized, according to J. W. DeBord, president. Beaver City Project FIELD WAREHOUSE RECEIPTS issued by WILLIAM H. BANKS WAREHOUSES, INC., reduce element of risk in connection with your INVEN TORY LOANS. Readily accomplished with a minimum of detail. Inventory remains right on the borrower’ s own premises. W rite or 9phone us today for details. MAIN OFFICES 209 S. LaSalle St. Chicago, Illinois Phones: State 2-0204 0205 0206 hwest ern Banker. Septem ber, ?953 Digitized forNort FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DIVISION OFFICES St. Louis, Mo.— Phone Main 5227 Des Moines, Iowa— Phone 3-4465 San Antonio, Texas— Blackstone 7-7317 Angola, Indiana— Phone 193-L The First State Bank of Beaver City. Nebraska, sponsored an exhibit at the Furnas County Fair and offered cash prizes for open competition in all va rieties of fresh garden and farm pro duce and home canned foods and floral displays. LINCOLN . . . (Continued from page 93) The Nebraska attorney general’s office has handed down an opinion in regard to computation of reserve requirements in state banks. J. F. McLain, state director of bank ing, had asked Attorney General C. S. Beck this question: “Under the provisions of Nebraska Iowa News law, is it proper that the deposit bal ance as of the opening of business each day shall be used as the basis for computing the minimum reserve which a state bank is required to have on hand at the close of business the same day?” The answer was “yes.” The statute in question states, . . banks, in cities having a population of 25,000, shall maintain a reserve, in available funds, of at least 20 per cent of their deposits.” The opinion, written by Assistant Attorney General C. C. Sheldon, said, in part: “Banking laws should be construed in such a manner as to meet the re quirements of banks and also to pro tect depositors and the public. Due to the inevitable fluctuation of depos its during the course of a business day, it is impossible for banking offi cials to predetermine what will be the deposit balance at the close of busi ness on any particular day. “This calculation must necessarily be arrived at some time after the close of business. Obviously, it is ex tremely difficult for banks to effect increases in their reserves after the close of business. By the same token, no withdrawal of deposits would oc cur after the close of business on any particular day. “The prospects of reserves falling below or rising above the legal mini mum at some time during the course of a business day are the same under either method of computation. We find no basis for a conclusion that use of the proposed method of computing reserves, as opposed to the method now employed, would result in any prejudice to the interests of deposi tors or the general public. . . .”—The End. 103 we have connections, too Banking connections that make First National in Sioux City the bank you can depend on for com plete correspondent service. Connections not only in Sioux City, but in other reserve centers of vital importance to the country banker. First National in Sioux City serves the bankers of 4 states and serves them right. Your account is more than welcome. JOE T. GRANT, President HAROLD V. BULL, Senior Vice Pres. WILLIAM L. TEMPLE, Vice President JOHN R. GRANING, Vice President EARL E. SNELL, Vice President HAROLD H. STRIFERT, Cashier M em ber F e d e ra l PRINTING . BOOK BINDING . BOOKS M em ber F e d eral DIRECT MAIL ADVERTISING . INDEX EDWARD V. HOFFMAN, Asst. V. Pres. ERNEST A. JOHNSON, Asst. V. Pres. ERNEST A. KENNY, JR., Asst. V. Pres. HOMER V. GARRETSON, Asst. Cashier IRA J. SMITH, Asst. Cashier GEORGE D. VINSON, Asst. Cashier R eserv e S yste m D eposit Insuran ce C orporation CARDS . CHECKS . OFFICE FORMS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T JjtdeA w A jJjM u ------------------------ ---------------------- ---------------- IO W A AND NEBRASKA MUNICIPAL BONDS Public Utility, Industrial, Railroad & Corporate Securities CENTRAL REPUBLIC COMPANY INVESTMENT BANKERS CHICAGO 90, ILLINOIS DES M O IN ES HAROLD V ice R. Pres. OMAHA CLEMENTS & R es. INS. E X C H A N G E HARRY M gr. V ice BLDG. M E M B E R S R. G R E E N W A Y Pres. & FARNAM M ID W E S T STO C K R es. M gr. BLDG. E X C H A N G E N orth w estern B an ker, Septem ber, 1953 Acorn Printing- Company........................... Allied Mutual Casualty Company........... American National Bank and Trust Company— Chicago .................................. American Trust and Savings Bank—Dubuque ....................................................... KARDEX, ACME, GLOBE-WERNICKE, YAWMAN &ERBE, RAND Visible Cabinets, wood and steel. Addressograph Cabinets and Trays, Ledger Trays, steel and insulated. Reconditioned first-class. UNI VERSAL OFFICE EQUIPMENT CO., INC., 7 Waverly Place, New York 3, New York. 96 73 12 98 B Bank of America.......................................... 2 9 Bank Building and Equipment Corp. ...1 0 7 Bank of Montreal........................................ 12 Bankers Security Life Insurance Society ........................................................... 73 Bankers Service Company, Inc............. 90,98 Bankers Trust Company— Des M oines.. 97 Bankers Trust Company— New Y o rk .. 47 Banks, William H., Warehouses, Inc. ..102 Brooks, A. N., Ltd........................................ 62 Burroughs Corporation, The................... 49 C Canadian Bank of Commerc................... 38 Central National Bank and Trust C o... 16 Central Republic Company........................ 103 Central States Mutual Insurance Assn.. 72 Chase National B ank.................................. 39 Chemical Bank and Trust Company. . 74 City National Bank and Trust Com pany— Chicago .......................................... 42 Colorado Insurance Group....................... 70 Continental Illinois National Bank and Trust Company................................ 35 Continental National Bank— Lincoln.. 90 Council Bluffs Savings B ank.................... 100 Credit Bureau Reports, Inc..................... 48 EDITOR WANTED Leading N. Y. C. banking and in vestment weekly needs young man as understudy. Practical experience and/or college equivalent. Must be hard worker with desire to own business and not “8 hour 5 day cog” in a big organization. Single man (or no family wor ries) desiring metropolitan resi dence preferred. Must be fast, ac curate typist; excellent at details, good disposition, ability to write readily and pleasing personality. Unusual opportunity if aim is finan cial career. Write complete details in confidence. Box RHA, NORTH WESTERN BANKER. Financial Public Relations Association 68 First of Iowa Corporation...................... 69 First National Bank— Chicago ............. 41 First National Bank in D allas............... 13 First National Bank— Lincoln ............... 92 First National Bank— Omaha ............. 90 First National Bank— St. Joseph......... 88 First National Bank— St. Louis ......... 57 First National Bank— St. Paul ........54-55 First National Bank— SiouxCity ...........103 First National Bank and Trust Com pany-— Tulsa ............................................... 85 G Guaranty Trust Company....................... 6 n Davenport, F. E., and Company. . . . 88, 104 De Luxe Check Printers, Inc..................... 50 Des Moines Savings and Loan Asso ciation, The ............................................... 104 Diebold, Inc....................................................... 48 Dornberger and Company......................... 73 Douglas-Guardian Warehouse Corp... 40 Drovers National B ank................................ 46 E Emarines .......................................................... 104 Exel-O-Craft Line ........................................ 60 CASHIER WANTED Man with general banking ex perience for active manager of bank with one million deposits in agricultural community. Must be able to handle general lines of insurance and assume responsibility of loans. Write W. H. Pierce, President, First National Bank, Shelby, Nebraska. YOUR STATE BANKERS ASSOCIATION OFFICIAL SAFE, VAULT AND TIMELOCK EXPERTS F. E. DAVENPORT & CO. J Jaeger Manufacturing Company........... 30 Johnston Specialty Company................. 62 1\ Kirk, F. J., Molding Company, Inc........ 62 Koch Brothers ............................................. 103 La Monte, George and Son....................... Lawrence Warehouse Company............. Lee Plastic Manufacturing Co., T h e.. LeFebure Corporation ................................ Live Stock National Bank— Chicago.. Live Stock National Bank— O m a h a .... Live Stock National Bank— Sioux City M Manufacturers Trust Company............... 51 Marquette National B ank....................... 98 Merchants Mutual Bonding Company.. 102 Merchants National Bank......................... 2 Midland National Bank............................ 76 Minnesota Commercial Men’s Association ................................................ 17 Mosler Safe Company........................ 10-11-33 Murphy, Thomas D., Company............... 64 Mutual Fire and Automobile Insur ance Company .......................................... 7’2 jV National Automobile Dealers Used Car Guide Company................................ 37 National Bank of Commerce................... 93 National Bank of Tulsa............................ 82 National Cash Register Company.......... 18 National City Bank— New Y o rk ........... 43 Newton Manufacturing Company........... 58 North Central Life Insurance Co............ 3 Northern Trust Company ....................... 66 Northwest Security National B a n k .... 81 O Omaha National B ank................................ 27 P •Oldest in Des Moines* 63 4 44 Des Moines Savings and loan Association St. Paul-Mercury Indemnity Company. St. Paul Terminal Warehouse Co.......... Scarborough and Company.............70,93, Smead Manufacturing Company. . . . . . Spencer Chemical Company................... Stock Yards National Bank— Omaha. . 56 91 96 65 7 89 _______ Investments Insured Dividend $ 1 0 ,0 0 0 To Toy National Bank...................................... 96 U United States Check Book Company. . . .104 United States National Bank— Omaha 86 Universal Office Equipment Co., Inc. ..104 V Valley Bank and Trust Company........... 99 W Dial 2-8303 Walters, Charles E., and Company. . . . 92 Waterloo Savings B ank............................ 100 Weaver School of Real E state................104 Western Mutual Insurance Company. . 52 WANTED: Section 25 safety de posit boxes. Spink County Bank, Redfield, South Dakota. PÄYC / \ m a k in g s u b sta n tia l in c o m e s . S tart and ru n y o u r o w n b u s i n e s s q u i c k l y . M en , w o m e n o f a ll a g es, le a rn e a s ily . C o u rse c o v e r s S a les , P ro p e rty M a n a g e m e n t, A p p r a is in g , L o a n s, M ortg a g e s, and re la te d s u b je c t s . S T U D Y A T H O M E o r in c la s s r o o m s in le a d in g c it ie s . D ip lo m a aw a rd ed . W r ite TO D A Y f o r fr e e b o o k ! N o o b lig a tio n . A p p r o v e d f o r W o r ld W ar II and K orean V etera n s W E A V E R S C H O O L O F R E A L E S T A T E (E st. 1 9 3 6 ) Law B ld g . D e p t. NB Kaunas 1 ■ PAYS BIG! SEN D FO R F R E E , B IG , IL L U S TRATED CATALO G NOW! G rad u ates re p o rt 300 C ity , Digitized for Northwest FRASER ern Banker, Septembe r, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 63 34 T Current High 3% 210 Olh Ave. S u ite 9 8 64 34 36 94 78 Parisian Novelty Company....................... Polk, R. L., and Company....................... it Rainbow Pen Company.............................. Republic National Bank .............................. Royal Bank of C a n a d a ....'................... OMAHA NEED HELP in making better use of vault and counter space, speed ing up service at the window, sav ing extra steps, organizing work flow for great efficiency ? If so, call, write or wire us collect. No obliga tion for preliminary survey. Satis fied references available. EMARINES (bank service department), phone 5521, Council Bluffs, Iowa. II Hanover Bank, The...................................... 45 Harris Trust and Savings Bank........... 53 I Imperial Bank of Canada......................... 32 Inter-State National Bank—-Kansas City ........................... 101 Investors Diversified Services, I n c .... 69 Iowa-Des Moines National B ank............108 Iowa Lithographing Company................101 Irving Trust Company................................ 31 M o. X 1 Pay-As-You-Check ! c/ No Minimum Balance Check Plan \ U n it e d S t a t e s C h e c k B o o k C o m p a n y 1311 HOWARD ST. OMAHA 105 For No Reason , Either A hillbilly was hailed into court for fighting. “Tell your story,” said the judge. “Well, I was in a phone booth, talkin’ to my gal,” said the hillbilly, “when this guy wants to use the phone. He opens the door, grabs me by the neck, and tosses me out of the booth.” “Then you got angry?” asked the judge. “Yes, but I didn’t really get mad till he grabbed my gal an’ threw her out, too!” v. Improvement ■' Optometrist: Well, how do you like your new glasses? Patient: Fine, Doc. You know, I used to see spots before my eyes—re member? Optometrist: Yes—and they’re gone now? Patient: Oh, no — but I see ’em much better. , v It Didn't Work The jealous wife, preparing to send some clothing to the cleaners, went through her husband’s pockets and found a card bearing the words “Jane Gray, Main 421.” Of course, she de manded an explanation. “Jane Gray is the name of a horse I bet on,” explained the husband. “What about this word, Main?” she asked. “That’s the name of the street my bookmaker’s place is located on.” “421,” she snapped. “Let’s see you crawl out of that if you can.” “Why, dear, that’s the odds on the horse—four to one.” Nothing more was said—then. The following evening he came home and greeted his wife, “Anything new?” “ No, nothing much,” she said, “ex cept that horse you bet on called up!” Cheerful Cuss Sick man: Doctor, the other doctors disagree with you in their diagnosis of the case. Doctor: I know, but the post mor tem will show that I’m right. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C ant Believe It A man walked into the editor’s office and announced, “ My name’s Johnson.” “ So what,” demanded the editor. “ So you got it in the paper today that I’m dead,” declared Johnson. “ I’m sorry,” said the editor. “ Ob viously there has been a mistake. I’m very sorry.” “Very sorry,” said the man frigidly. “Do you realize what a fix I’d be in if I was one of them fellows what be lieve everything they see in the pa per?” Shattered Dream Jack: Have any of your childhood dreams been realized? Glen: One of them—when my moth er used to comb my hair I wished I didn’t have any. It Still W orks Old Jake, a weather-beaten guide, and his tenderfoot companion were camping out in rattlesnake country. The tenderfoot spoke: “Jake, is there any cure of snake bite besides whiskey?” Jake, squatting on his heels by the fire, looked up with a grin and drawled, “Who cares, son, who cares?” No Helping Hand Jones was sitting with his wife be hind a palm on the hotel veranda late one night when a young man and a girl came and sat down on a bench near them. Hidden by the palm, Mrs. Jones whispered to her husband: “Oh, John, he doesn’t know we’re here and he’s going to propose. Whis tle and warn him.” “What for?” said Jones. “Nobody whistled to warn me.” C O N Y E N T iO N S September 15, Annual Field Day, Ne braska Investment Bankers Assn., Omaha Country Club. September 17, Annual Field Day, Iowa Investment Bankers Association, Des Moines, W akonda Club. September 20-23, A B A Annual Conven tion, Washington, D. C. October 5-9, Nebraska Bank W eek. October 11-15, Annual Convention, Financial Public Relations Associ ation, Detroit, Sheraton-Cadillac Hotel. October 14-16, Nebraska Bankers Assn, first Agricultural Credit Confer ence, University of Nebraska, Lin coln. October 19-21, Annual Convention, Iowa Bankers Association, Hotel Fort Des Moines. October 19-22, National Association of Bank Auditors and Comptrollers, National Convention, New Y ork City. November 4-5, Mid-Continent Trust Conference, Drake Hotel, Chicago. November 10-11, Annual Convention, Nebraska Bankers Association, Omaha, Hotel Fontenelle. November 30-December 5, Investment Bankers Association of America, Hollywood Beach Hotel, H olly wood, Florida. Just the Way Boss: I want every married woman in the country to read this message. Adv. Manager: I know just the way. We’ll address the letters to their husbands and mark them “ Personal” and “ Private.” He Knew How Samson understood advertising. He took two columns and brought down the house. Good Friends First Mother: How did that naughty little boy of yours get hurt? Second Same: That good little boy of yours hit him in the head with a rock. Perfect Disguise A staid gentleman, honorary judge at a horse show, was upset by the dress of some of the girls. “Just look at that young person there with the poodle cut, the ciga rette and the blue jeans,” he decried to a bystander. “ Is it a boy or a girl?” “ It’s a girl,” was the reply. “ She’s my daughter.” “ Oh, forgive me, sir,” apologized the old fellow. “ I never dreamed you were her father.” “ I’m not,” snapped the other. “ I’m her mother.” N o r t h w e s t e r n B a n ke r, S e p t e m b e r , 1953 106 LEGAL Í an Lift* I n s u r a n t Eft* A ssiijn ed io P e r so n triih N o In su ra b le In te r e s t? Q. Transactions occur from time to time in which a person obtains an assignment of an insurance policy on the life of another person on which he has no insurable interest. A typical situation would be where Jones takes out insurance on his own life, subse quently comes to need money, and sells and assigns the policy for cash to a stranger. Does the simple fact that a person has no insurable interest in another’s life prevent him from col lecting as a general rule on a policy covering it that he has come to own? No, except in five jurisdictions. In the majority of the states the view point prevails that the assignment of a life policy by the insured or the beneficiary to a person who has no in surable interest in the life of the in sured is not necessarily void as a mat ter of law but will be upheld if the transaction is in good faith and not merely colorable and if it is not in tended to evade the law against wager contracts. Iowa, Minnesota, Nebras ka, Wisconsin, Arkansas, Colorado, Illinois, Indiana, Louisiana, Michigan, Mississippi, Missouri, New Mexico, Ohio, Oklahoma and Tennessee hold with the majority. The five states holding such assignments void as a matter of law are Kansas, Kentucky, Alabama, Texas and Virginia. Q. A Minnesota bank had certain dealings with what its executives thought was a partnership. Difficul ties developed. Thereafter, and for the first time, the individuals behind the organization sought to take a posi tion with the bank that it was not «a partnership. They asserted this was the fact because in the articles of agreement between them the state ment was made that such organization was not a partnership. The bank had no previous knowledge of such state ment. Did it, standing alone, cause the organization to not be a partner ship? No. A partnership is an association of two or more persons to carry on as co-owners a business for profit. It is essential to the existence of a part nership that there be a joint contri bution to the enterprise and some thing in the nature of a community of interest. When parties contribute Banker, Septembe r, 19S3 Digitized forNorthwestern FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Q . A bank employed a real estate - 7dealer on a commission basis to find a purchaser for a tract of land which it owned. The contract was an ordi nary one and did not specify that the broker was empowered to accept payment for the property. The bank did not do anything to imply he had such power. He entered into a purported sale of the land, pocketed the funds, ^ and disappeared. Under the general rules applicable did the fact that the funds were accepted by the broker bind the bank? T' L E G A L DEPA RTM ENT of the N O R T H W E S T E R N BANKER their experience, capital and energies to a common enterprise, in which they are to share the profits, a partnership may result, notwithstanding an ex pressed intention not t.o create such a relationship. Whether or not a partnership exists is a fact question, and the persons involved in an or ganization cannot escape partnership liabilities by simply stating in the or ganization agreement that it is not a partnership. The Minnesota Supreme Court has so ruled in a recent decision. Q. Suppose that a mercantile agency in good faith furnishes a credit report on a banker to one of its subscribers who has a legitimate interest therein. Suppose further certain unfavorable things appropriate to his credit are mentioned in the report. If they are untrue and damage him, can he sue and recover from the agency? No, as a general rule. Although there is some authority to the con trary, in the majority of the cases it has been held or recognized that re ports of mercantile agencies furnished in good faith to persons having a legitimate interest in the information are privileged, and the fact that a report contains erroneous, unfavor able statements does not make the agency liable. The harm that such statements occasionally do to appli cants for credit is believed to be small in relation to the benefits that sub scribers derive from frank reports. No. It has been generally held or stated that a real estate broker under the ordinary contract of employment giving him authority merely to pro duce a purchaser willing to contract v with the seller upon the terms pre scribed, or a broker or other agent whose authority is specifically limited to finding a purchaser for the property < or who is simply authorized to sell the property or negotiate its sale, has no implied authority, in the absence of additional circumstances not in ^ point here, to receive from the pur chaser the price for the property. G ). Virtually all of the states of the union as a part of their statute of frauds bar actions to enforce oral * agreements made in consideration of marriage. Suppose that a trust officer is confronted with the following: A man customer of his bank and a worn- !— an agree orally that the man will con vey a house to her if she will marry him; she marries him; he does not convey; he dies; the trust officer is in charge of his affairs. Would the part performance by the woman, as a gen eral rule, enable her to sue and secure the conveyance of the house to her? No. A recovery by the widow would — be barred by the statute providing oral contracts made in consideration of marriage are unenforceable. The courts have been almost unanimous in holding that the subsequent mar- * riage of the parties is not in itself sufficient part performance of their antenuptial agreement in considera tion of marriage to remove the agree- < ment from the operation of the statute of frauds. Such holdings may be found in Iowa, Nebraska, Wisconsin, Illinois, Kansas, Michigan and elsewhere. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis they've got something to talk about! Texas today has some o f the most modern and most efficient banking quarters in America. The phenomenal growth of this great state has become a national legend. Industrial, agricultural and population expansion has brought about an acute need for new facilities in service institutions. Midland National’ s handsome new quarters are an out standing example o f how progressive Texas bankers are "facing-u p” to this need. Engineered to provide smooth daily routine, to step-up customer service and increase employee productivity . . . this modern bank is designed to offer better service at a greater profit for its stockholders. * During the past five years, Bank Building Corporation has worked with over 4 0 banks in the state o f Texas alone! Our forty years experience in this highly specialized field o f architecture and building has given us unequalled knowledge o f what constitutes sound banking operation. W e are equipped to handle any phase or all o f your mod ernization. Large or small, your project will be engineered by America’s finest team o f bank building specialists. ¿¡fir/ / / / OF A M E R I C A Headquarters: ST. LOUIS, 9th & Sidney Streets Offices in: NEW YORK, 103 Park Avenue • ATLANTA, Western Union Bloc. • SAN FRANCISCO, Mechanic’ s I nstitute Bloc. ill I ■ : 'I Operating outside continental U.S. as: BANK BUILDING CORPORATION, INTERNATIONAL . ■ ■ . ■. H 1 ; ■ i l s i : v" ■ ■ ■ i i t t ■ ■■ ■ COLLECTION OF GRAI N DRAF TS From Iowa Bank s to A l l Sections of the United States! « You can route grain d rafts and other transit items to this Bank with full assurance of prom pt and effi D E P A R T M E N T OF BANKS AND BANKERS cient handling. W e are sure that you will find our location at the business and g eog rap h ical cen ter of Iowa, and our desire to serve you better are a co m bination for your a d v an ta g e . We invite you to make full use of low a-D es M oines N ational's co m plete co rresp o n d en t bank services. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Gerald O . Nelson, V ice President Everett M. Griffith, V ice President E. Stanton Miller, Assistant Cashier Michael J. Costello, Assistant Cashier
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