Full text of The Northwestern Banker : September 1977, 84th Year, No. 1368

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91st Annual Iowa Convention
• Annual Livestock Survey
* • Interview with RM A President

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Federal Reserve Bank of St. Louis

I

• ABA 103rd Annual Convention
• Service Charge Survey


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Federal Reserve Bank of St. Louis

You’r e
In v ite d ...
Again this year, we’re holding our traditional Kolache Party after the
Convention Theater Party. We’ll be serving coffee and kolaches at the
Hilton Coliseum, right next door to the C. Y. Stephens Auditorium in Ames.
We are looking forward to seeing you as our guest again this year on
Sunday evening, September 25th.

Merchants National Bank
222 Second Ave. S.E.

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Federal Reserve Bank of St. Louis

Cedar Rapids, Iowa 52401

is i

A BANKS OF IOWA’ BANK.
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Banker, S e p te m b e r

1977

X,J

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Federal Reserve Bank of St. Louis

When the Mosler marketing, system s and
service professionals meet, they represent
more than 150 years of cumulative experience
in all facets of EFTS. About as many years as
Mosler has been servicing the financial indus­
try. These professionals fly in from all over
the United States and Canada to share and
discuss the newest concepts concerning the
burgeoning world of EFTS. They know this
latest information will affect the financial
industry. Many of them come to Mosler from
the marketing, data processing and opera­
tions departments of all types of financial
institutions.
When you call Mosler, you can share
insight into EFTS with some of the most
knowledgeable minds in the country,
including many with extensive automated
retail banking experience.
MOSLER MARKETING PROFESSIONALS
ASSURE YOUR SUCCESS FROM THE
WORD “GO.”
Much of the success of any EFTS program
revolves around your marketing efforts. The
Mosler marketing group offers you the most
experienced consulting team in the financial
industry. This experience allows them to help
you plan your long-range EFTS strategy, start­
ing from a base of Teller-Matic’ automated
tellers.
To get you started off right with a success­
ful Teller-Matic program, Mosler offers you
another first—total ATM responsibility. Mosler
continues where other vendors leave off.
Mosler goes beyond basic sales, installation
and service, with complete marketing imple­
mentation programs, including cards and sup­
plies and advertising/promotional campaigns.
We call it “complete, single-source program
assistance”—something no other ATM vendor
offers today.
MOSLER SYSTEMS PROFESSIONALS
GUIDE YOU ALONG THE WAY.
Buying an ATM system is a lot easier than
selling it to your customers. There’s more to
EFTS than equipment alone. A lot of attention
to details and follow through are necessary to
fit the ATM smoothly into an existing opera­
tions and data processing system.
Mosler provides you with a systems
coordinator with in-depth knowledge of EDP
equipment and operational requirements to
assist you every step of the way. He helps you
establish an “EFTS Critical Path” for

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Federal Reserve Bank of St. Louis

implementing your Teller-Matic program.
And what’s more, he can help you plan for
orderly expansion of your ATM system into
a full EFTS network, from introduction to
implementation to expansion.
MOSLER SERVICE PROFESSIONALS
HELP PREVENT COSTLY DOWNTIME.
Mosler has a service organization com­
mitted to excellence. ATM’s are sophisticated
electronic systems, and as such, require ser­
vice by skilled specialists to maintain reliability.
We provide a nationwide service team, the
largest in the industry, that responds to your
needs 24 hours a day, 7 days a week.
In addition to superbly trained technicians
in the field, we have ATM professionals at our
service headquarters available to help you solve
any system s problems. Of course, the best,
most economical service is preventive service,
and Mosler has a variety of service contracts
designed with this in mind.
BANKING 1985:
ARE YOU READY FOR IT?
There are startling, new developments about to
occur in the banking industry which could dra­
matically affect your success or failure.
BANKING 1985: A FORECAST, is an 85 page
booklet which describes
and summarizes data of
pertinence to the financial
industry. It includes
dozens of examples and
charts depicting past
economic and operational
projections plus trends
for the future. Copies of
this very important study
are available to you
postpaid, at $15 each. For your copy write
Mosler: Banking 1985, 1561 Grand Blvd.,
Hamilton, Ohio 45012
Mosler brings you the P eople...the System
...an d the knowledge to get you ready for
banking 1985.

Share the knowledge
of the Professionals
An

American-Standard

Hamilton, Ohio 45012

Company

6

STERN
SEPTEM BER 1977

• 84th Year

No. 1368

V OLDEST FINANCIAL JOURNAL SERVING THE CENTRAL AND WESTERN STATES
MEMBER OF AUDIT BUREAU OF CIRCULATION • MEMBER BANK MARKETING ASSOCIATION

ON THE COVER

58 Western art
Stan Slocum tells why It’s a good investment

OTHER FEATURES

37

New look at service charges

Exclusive survey shows what banks are doing

40 Annual livestock report
Exclusive survey reports on months ahead

50 Commercial lending
Exclusive interview with RMA President Bill Rich

55 ABA annual convention
Houston hosts 103rd meeting, Oct. 15-19

61

Monetary and banking trends

L. Wayne Dobson looks at Fed’s independence

62 Mobile salesroom
How to save bankers’ time

64 Women in banking
Harriet Tedrahn comments on changing role

SPECIAL SECTION

111

91st Iowa convention

Program highlights and related features

DEPARTMENTS
10
12
26
67
75
76

Calendar
Bank Promotions
Corporate News
Illinois
Minnesota
Twin Cities

90
93
94
96
96
98

South Dakota
North Dakota
Colorado
Montana
Utah
Wyoming

98
99
99
101
102
108

Idaho
W ashington
Nevada
Nebraska
Omaha
Lincoln

NORTHWESTERN BANKER
306 15th Street, Des Moines, Iowa 50309

Publisher

Editor

Malcolm K. Freeland

Phone 515— 244-8163

Business Manager

Ben Haller, Jr.

Mike Freeland

Associate Editor
Linda L. Rhein

Advertising Assistant

Auditor

Field Representative

Field Representative

Field Representative

Delene Finch

Mildred Barnes

Al Kerbel

Paul Masters

Glen Hicks

No. 1368 Northwestern Banker is published monthly by the Northwestern Banker Company, 306 Fifteenth Street, Des Moines, Iowa
50309. Subscription $1.00 per copy, $12 per year. Second class postage paid at Des Moines and at additional mailing office. Address all
mail (subscriptions, change of address Form 3579, manuscripts, mail items) to above address.
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Federal Reserve Bank of St. Louis

1977

!

!

o

Somebody has to set the standards*
r.

•

. •' .

O

O

I
i

o
o
o
o
o

o

The center court at
Wimbledon. It's there for
all who can meet the
challenge.
Service. Ace. Volley.
A shot down the line. Game
Set. Match.

It's the standard.
At Deluxe, the challenge
is to meet the standards
we've set for ourselves.
Service. Quality.
Accuracy. A complete line of
products that meet our

customers' needs. Unmatched
in the industry.
But the key is service. We
work hard to keep it strong
and reliable. It's demanding.
But then, our customers
love it.

CHECK PRINTERS, INC

;
Digitized forSA
FRASER
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Federal Reserve Bank of St. Louis

ST PAUL. WIN. 55165 • STRATEGICALLY LOCATED PLANTS FROM COAST TO COAST


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Federal Reserve Bank of St. Louis

totally com nuttea
tocorresponde
the good times, This past g e a r proves
MEMBER FDIC


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Federal Reserve Bank of St. Louis

10

Convention Calendar
ABA— American Bankers Association
ABHC— Association of Bank Holding Com­
panies
AIB— American Institute of Banking
BAI— Bank Administration Institute
BMA— Bank Marketing Association
IBAA— Independent
of America
NABW— National
Women, Inc.

Bankers Association

Association

of

Bank

RMA— The Robert Morris Associates

Sept. 12-15— NABW 55th Annual Conven­
tion, Atlanta Hilton.
Sept. 18-21— ABA National Personnel
Conference, Hyatt Regency, Atlanta.
Sept. 25-27— Iowa Bankers Association
91st Annual Convention, Hotel Fort
Des Moines.
Oct. 15-19— ABA
Houston.

Annual

Convention,

Oct. 29-Nov. 2— BMA 62nd Annual Con­
vention, Hilton Hawaiian Village, Hono­
lulu.
Oct. 30-Nov. 2— RMA 63rd Annual Con­
vention, New York.
Nov. 6-9— BAI 53rd National Convention,
The Hyatt, Houston, Tex.

Nov. 6-18— ABA National Commercial
Lending School, University of Oklaho­
ma, Norman.
Nov. 14-16— ABA National Agricultural
and Rural Affairs Conference, Kansas
City, Mo.
Nov. 27-30— ABA National Correspondent
Banking Conference, Fairmont Hotel,
New Orleans.
Nov. 30-Dec. 1— BAI Affirmative Action
Programs Short Course, Park Ridge, III.
Dec. 4-7— American Society of Farm Man­
agers and Rural Appraisers 49th Annual
Convention, Denver Hilton.
Dec. 7-9— BAI Money Transfer Seminar,
New York.
Dec. 13-14— BAI Seminar on Trust Opera­
tions, Washington.
Dec. 28-30— American Finance Association
36th Annual Convention, New York Hil­
ton.

Kansas City To Host
Agricultural Bankers
The 1977 National Agricultural
Bankers Conference will be held No­
vember 13-16 in Kansas City, Mo.,
according to C. N. (Chick) Finson,
conference chairman and president of
the National Bank of Monticello, 111.
It is sponsored by the agricultural

CUSTOM BUILT TO YOUR SIZE AND
SPECIFICATIONS IN ACCORDANCE
WITH LOCAL CODES FOR INTERIM
OR PERMANENT USE.

bankers division of the Americ^i
Bankers Association (ABA).
“The conference will feature a full,
expanded schedule of forums, special
interests sessions, workshops and
smaller breakout clinics,” he saicn
“General sessions will focus on major
banking and world trade issues, agri­
culture outlooks and perspectives from
Congress.”
FDIC Chairman Names
Special Assistants
Chairman George A. LeMaistre of
the Federal Deposit Insurance C o 0
poration (FDIC) has announced the
appointment of William A. Longbrake
and Sherwin R. Koopmans as special
assistants to the chairman.
Mr. Longbrake has five years of e?P
perience with the FDIC and was
deputy director of the economic re­
search and analysis division of the Of­
fice of the Comptroller of the Currencv
until he joined the FDIC last June. M *
Koopmans has been with the FDIC on
the examination staff since July of
1964, most recently as a review ex­
aminer in the Madison regional officeMr. Koopmans is a graduate of Cen­
tral College in Pella, la.

S TA N D A R D FEATURES IN C LU D E
CENTRAL AIR CONDITIONING &
H E A T IN G , DRAPES, C A R P E TIN G ,
TELLER COUNTERS, CHECK
DESKS. SIZES: 12x50, 2 4 x5 0 , 12x56

ALL UNITS ARE READILY AVAILABLE, EITHER NEW or USED • YOU CAN LEA SE, BUY or LEASE PURCHASE

MOBILE LEASING, Inc. I/
Affiliated with McDONALD MOBILE HOMES, Inc.

23820 W. 8 M ILE R O A D
S O U T H F IE L D , M IC H IG A N 48034

CALL DICK MILLER Phone 313/356-0366
18 YEARS IN THE TEMPORARY BANKING BUSINESS • OVER 100 UNITS THROUGHOUT THE COUNTRY
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Banker, Se p tem b er


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Federal Reserve Bank of St. Louis

1977

o feasibility studies, market surveys, site
evaluations, space allocations and function
BASEMENT

SITE

PLAN

FLOOR

PLAN

PLAN

TO

a facility to serve you now and in the future
t«gsr<

M idwest B ank B uilders and D esigners
OMAHA, NEBRASKA 68131

(402) 553-4459

Serving Iowa, Kansas, Missouri, Nebraska, South Dakota

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Federal Reserve Bank of St. Louis

Call Collect

402—553—4459

12

Bank Promotions
and other an­
P ROMOTIONS
nouncements have been made by

a 5-character
message center!
Words change or
travel. W ith tim e
and tem perature.
Now even the smaller financial Institu­
tions can afford a message center display
f o r a d v e r t is in g o r p u b lic s e r v ic e .
Daktronics Venus 500 has 32 columns of
lamps with seven 15-watt bulbs per column
for displaying 18” high characters. Flash
on as many as 16 words of five letters, or
less, plus time and temperature or run a
traveling message of up to 16 words of up
to 16 characters each. (The word “ Con­
g ra tu la tio n s” is shown traveling in the
photo.) Plus time and temperature
M essa ge s are pro gra m m e d from a
desktop keyboard console that lets you
see the message on the screen before it
appears at the message center.
At far less investment than our standard
10-character display.

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DAKTROWÍCS

INC

Write for literature and prices -

DAKTRONICS, INC.
Box299-K Brookings, S.D. 57006

Telephone 605/692-6145

N orthwestern

B anker, S e p te m b e r


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Federal Reserve Bank of St. Louis

1977

the following banks:
BankAmerica Corporation, San
Francisco: BankAmerica Corporation
has announced the merger of two real
estate oriented subsidiaries, BA Mort­
gage Company (BAMCO) and Bank­
America International Realty Corpora­
tion (BIRCO). The succeeding com­
pany, BA Mortgage International
Realty Corporation (BAMIRCO),
will provide real estate investment ad­
visory services and mortgage lending
services. It will be headed by Jerry G.
South. The company has offices in
San Francisco, Denver, Dallas, At­
lanta, Kansas City, Minneapolis, Chi­
cago, Tampa, Houston, and Columbus,
Ohio.
Lawrence E. Nerheim, 42, has been
advanced to executive vice president
and head of the trust department of the
nation’s eighth largest trust operation
with more than $19 billion under trust
administration. Mr. Nerheim moves up
from senior vice president in charge
of BankAmerica Corporation’s non­
banking activities and corporate busi­
ness planning, the position he has
held since joining the corporation two
years ago. Prior to that he was general
counsel and chief legal advisor of the
Securities and Exchange Commis­
sion, Washington, D.C. Before that he
practiced law with a Minneapolis
law firm for 14 years, specializing in
business and corporate matters. He is
a 1959 graduate of the University of
Minnesota Law School. Mr. Ner­
heim succeeds Executive Vice Presi­
dent Joseph Schmedding, 61, who
elected to take early retirement.
Peter M. Nelson, 46, will succeed
Mr. Nerheim as senior vice president
in the BofA post held previously.
Mr. Nelson has been senior vice presi­
dent and head of the bank’s Southern
European area office in Paris.
Mr. Nerheim continues as a member
of the bank’s management advisory
council and Mr. Nelson joins that
group in his new post.
Central National Chicago Corpora­
tion, Chicago: Two executive appoint­
ments have been announced by Joseph
G. Lutz, chairman of the holding
company and its principal subsidiary,
Central National Bank in Chicago.
Jackson W. Smart, Jr., has been
elected president and chief executive

J. W . SMART

P. D. OLSON ^

officer of both the holding company
and the bank, effective September 1.
Paul D. Olson was recently pro­
moted to senior vice president in the
bank and is responsible for correspon­
dent banking, central automated finan­
cial systems and personal banking
departments.
Mr. Lutz, who joined Central in
1973 as vice chairman and has bten
chairman and president of both the
holding company and the bank since
1976, remains as chairman.
Mr. Smart, 46, has most recently
been chairman of the finance commit­
tee and on the executive committee
of Federal Express Corporation, which
he joined earlier this year from his
position as president and chief execu­
tive officer of The Delos Intemati<®al
Group, Inc., Princeton, N. J., a subsid­
iary of Automatic Data Processing,
Inc. Prior to that time, Mr. Smart
was president from 1969-75 of MSP
Industries Corp., Center Line, MBh.,
a wholly-owned subsidiary of W. R.
Grace & Co.
A graduate of the University of
Michigan and Harvard Business
School, Mr. Smart spent the first^2
years of his career with The First
National Bank of Chicago (1956-64)
and Bank of the Commonwealth
(1964-68) where he was executive
vice president-commercial banking™
Mr. Olson joined Central National
Bank in November, 1974, as a second
vice president. He was promoted to
vice president and group head in^he
correspondent banking departmentin
1975. He was previously vice president
and chief operating officer of the First
Wisconsin Investment Corporation.
Mr. Olson received his BBA ^ id
MBA from the University of Wis­
consin at Madison. He has attended
the Harvard School of Business and
Stonier Graduate School of Banking
at Rutgers University.
£
Lake County National Bank, Paines-

It’s hard to maintain your image as a full service
banker while you’re turning down m ortgages.
Maintaining your full-service image is awfully
difficult when you have to turn down mortgage
applicants just because they lack a large down
payment.
Besides, making mortgage loans builds strong
customer relationships. That gives you a unique
opportunity to expand your customer
base while boosting your image. Conti­
nental Mortgage Insurance can help you ALTE
do both.
We make it possible for you to lend
money safely to families with low down
payments by insuring you against default.
So you can make more loans to the
young progressive families you need to
build your business. You’ll grow together.
And, with their home mortgage as a base,

you can cross sell them other services.
Insuring mortgage loans makes good business
sense for another reason. It improves the sal­
ability of your loans in the secondary market,
making them liquid investments for better port­
folio management. Last year alone, our Secondary
Market Center was successful in helping
move more than $450 million in mort­
gage loans by matching mortgage origi­
nators and investors for no fee.
Making low down payment mortgage
loans is part of being a full-service banker.
You can use the opportunity safely and
profitably with the alternative:Continental
Mortgage Insurance. Call toll-free at 800356-8080. Wisconsin bankers should call
800-362-8070.

Continental Mortgage Insurance
150 East Gilman Street, Madison, Wisconsin 53703. Toll Free 800/356-8080 (Wisconsin 800/362-8070)

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Federal Reserve Bank of St. Louis

N orthw estern

B anker, S e p te m b e r

1977

14
ville, O.: Ralph W. Abelt, 48, a veter­
an Chicago bank­
er, has been elect­
ed president, chief
administrative of­
ficer and a direc­
tor of the bank,
according to Al­
ber t R . Pi ke,
chairman.
Mr. Abelt pre­
viously was a vice
president in the
correspondent banking division at
Continental Bank, Chicago. He joined
that bank in 1953 and held various
positions in the commercial banking
department. He was first elected an
officer in 1957 and was advanced to
vice president in 1967. He was named
manager, correspondent banking-mid­
western division, in 1973.
Mr. Abelt received his BS degree
in 1952 from the University of Colo­
rado and an MBA from Indiana Uni­
versity in 1953. He was also gradu­
ated from the University of Wisconsin
Graduate School of Banking in 1958.
Lake County National Bank has
total assets in excess of $275 million,

with 19 branches serving Lake County,
adjacent to Cleveland.
Banco Financial Corporation, Min­
neapolis: Clarence A. Adams, presi­
dent and chief executive officer, has
announced the company’s move to new
and larger quarters at 830 North­
western Bank Building. The new,
4,400 square feet of space now brings
together all of BFC’s personnel who
had been located formerly on three
different floors of the same building.
Banco Financial Corporation is the
secured lending subsidiary of North­
west Bancorporation, the financial
holding company comprised of 82
regional banks and several financial
services subsidiaries.
Commerce Bank of Kansas City,
N.A.: Elected directors are Fred W.
Lyons, Jr., president, chief operating
officer and director of Marion Labora­
tories, Inc., and Jack W. Steadman,
president of the Kansas City Chiefs
Football Club and Mid-America En­
terprises.
First National Charter Corporation,
Kansas City, Mo.: Stanley H. Durwood, president of American Multi-

LEASE (les) leased, leasing. 1: an instrument

conveying property or equipment to another fora
definite period, in consideration of
compensation. 2: to grant or obtain the
temporary possession or use of (capital
equipment) for compensation.
Can your bank offer the above method of finance to your
customers?
If your answer is no, please contact LeaseAmerica
Corporation. LeaseAmerica has several programs (referral
and participation) that can help your bank and make
money for you at the same time.

Richard W. Myers

L E A S E A M E R IC A

N o rFRASER
thw estern B anker, Se p tem b er
Digitized for
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Federal Reserve Bank of St. Louis

1977

Vice President
LeaseAmerica Corporation
400 American Building
Cedar Rapids, Iowa 52401
800-553-5458 out of state
800-772-2051 in state

Cinema, Inc., has been elected to the
board.
First National Bank in St. Louis,
Mo.: Lawrence R. Chapman has been
elected a senior
®
vice president. He
continues as vice
president of First
U n i o n Bancor­
poration, parent
company of the
bank. Five new
a s s i s t a n t vice
presidents h a v e
been e l e c t e d .
L. R. CHAPM AN
They are: William
J. Barnett, Jr., Edward L. Campbell,
Michael E. Murphy, James E. Welzbacher and Joseph C. White.
a

C. M . BLISS

S. G. HARRIS, JR.

Harris Bankcorp. Inc., Chicago:
Charles M. Bliss has been elected chief
executive officer and president, effec­
tive October 1. He also was namRl
chief executive officer of Harris Bank,
of which he has been president since
July, 1976. As chief executive officer,
he succeeds William F. Murray, wfc)
will retire on September 30. Mr. Mmray has served as chairman and chief
executive since 1971 climaxing his 43
year career with the bank.
Stanley G. Harris, Jr., was elect^l
chairman of both the bank and its
holding company.
Mr. Bliss, 55, joined Harris Bank
in 1944 and in 1976 was elected presi­
dent and a director of both the ba#:
and Harris Bankcorp. Mr. Harris, 59,
also joined the bank in 1944 and has
served as vice chairman of the bank
and Harris Bankcorp since 1971 and
1972 respectively. He is a grands#!
of Norman Walt Harris, who in 1882
founded the investment banking firm
of N. W. Harris & Company, prede­
cessor of Harris Bank.
Thomas S. Hardin has been elect^l
vice president. He is national sales
manager of the municipal bond divi­
sion. Also named vice presidents are
BANK PROMOTIONS . . .
(Turn to page 19, please)

Have a coffee break
with Central National Bank & Trust Company
during the 91st Annual Convention of the Iowa Bankers Association
in suite 1014, Fort Des Moines Hotel


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Federal Reserve Bank of St. Louis

A cordial welcome to the 91st Annual Iowa Bankers Association Convention
from all of us at Central National Bank & Trust Company
CORRESPONDENT BANK DEPARTMENT

SIMON W. CASADY
C h a irm a n

RAYMOND G. JOHNSTON
President a n d
C h ief Executive O fficer

DALE C. SMITH
Executive V ic e President

EDDIE A. WOLF
V c e President

BANK ADMINISTRATION

BARTON R. PEDDICORD
Cashier

JACK P. WIGNER
C ontroller

L. L. RETHERFORD
V ic e President

CLAUDE D. DAWSON, JR.
C o m p u te r Services
O fficer

CLARENCE N. DICKSON
Assistant C ashier

MICHAEL E. FUSON
Assistant O perations
O fficer

RAY L. JOHNSON
Systems O fficer

FRANCES L. KIRKPATRICK
Process C o ntrol O fficer

JOHN MARTIN
C o m p u te r O perations
O ffic e r

CHARLES E. RADLOFF
Systems O fficer

PALMER INGEBRITSON
V ic e President

DALE L. KLAUSS
V ic e President

GREGORY W. BURT
C o m m e rc ia l Loan
O fficer

EDWARD L. MABUCE
Assistant V ic e President
a n d M o rtg a g e Loan
O fficer

DWIGHT L. LeRETTE
Installm ent Loan O fficer

JO N A. G OOKIN
Assistant O perations
O fficer
à

ELECTRO N IC INFORM ATION PR O CESSIN G AND PLANNING DEPARTMENT

HARRY J. LAVIGNE
V c e President

GERALD L. GRAFF
Asst. V ice President a n d
Asst. D a ta Processing
O fficer

CO M M ER C IA L LO AN DEPARTMENT

IVAN L. JOHNSON
Senior Vice President

A. B. DRESSLER
V ice President

AUDITING DEPARTMENT

INSTALLMENT LO AN DEPARTMENT

HOWARD R. HARRIS
A u ditor

J O H N ! WATERS
V c e President

LOUIS J. EUBANK
Installm ent Loan O fficer

ERBIE B. FOX
Installm ent Loan O fficer

WILLIS O. CAIRO
Senior Trust O fficer

DIRK C. VAN ZANTE
Senior Trust O fficer

NORMAN D. WILSON
Senior C o rp o ra te
Trust O ffic e r


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Federal Reserve Bank of St. Louis

HANS H. LOEFFLER
Installm ent Loan O fficer

RAYMOND SCHNEIDER
C o rr e s p o n d e n t Bank
^ re p re s e n ta tiv e

RICHARD BRO
C orrespondent Bank
Representative
PERSONNEL DEPARTMENT

KENNETH W. HALL
Custom er Services

^fficer

DENNIS D. MCDONALD
Assistant C o ntroller

LINDA SKJEVELAND
C u stom er Services
O fficer

DEWEY P. TULLIS
Assistant Cashier

RICHARD H. HICKMAN
Assistant Investm ent
O fficer

LOU ANN SANDBURG
Assistant Investm ent
O fficer

E. ROBERT WELSCH
V c e President a n d
Personnel O fficer

INVESTMENT DEPARTMENT

JAMES C. KING
V c e President

JAMES E. WEISER
Investm ent O fficer

DAVID T. SOLLENBARGER
Assistant Investm ent
O ffic e r

WEST DES M O IN ES O F F IC E

INGERSO LL O FFIC E

M OTOR BANK

LAWRENCE L. CRAWFORD
M anager

FLORENCE CAIRO
M anager

PHILLIP E. HARTMAN
M anager

FARM M ANAGEM ENT DEPARTMENT

CREDIT DEPARTMENT

HILDA N. ROBINSON
M anager

LELAND S. LONG
M anager

MARVIN L. VANDER VELDEN
Assistant M a n a g e r

LAWRENCE L. MALLY
Assistant M a n a g e r
BUSINESS DEVELOPMENT AND
PUBLIC RELATIONS DEPARTMENT

RICHARD R. BILSLAND
Trust O perations
O fficer

CAROL T. STONE
Trust O fficer


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

WAYNE I. WILSON
F inancial Planning
O fficer

MARILYN CARLSON
Assistant Trust
O p e ra tio n s O fficer

ROBERT H. CLARK JR.
V c e President

We look forward to seeing you again during the Annual Iowa Bankers Convention. You
are invited to visit us in our hospitality suite 1014 at the Fort Des Moines Hotel.
An invitation is also extended to visit the Big “C ” and meet some of our officers and
bank personnel.
Our main office is downtown at Locust at Sixth. Drive-in office at Fifth and Grand. Our
other offices are at 35th and Ingersoll, and in West Des Moines in the West Towers Office Building,
35th and I-235.
Cordially,

Raymond G. Johnston,
President and
Chief Executive Officer

C entral N ational Bank & T ru st C om pany
DES MOINES (515) 245-7111 MEMBER FDIC
LOCUST AT SIXTH / FIFTH & GRAND / 35TH & INGERSOLL
WEST DES MOINES: WEST TOWERS OFFICE BUILDING, 35TH & I-235
^ A F F IL IA T E D WITH CENTRAL NATIONAL BANCSHARES, INC.

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Federal Reserve Bank of St. Louis

19
has been promoted and transferred to
BANK PROMOTIONS . . .
the region 11 regional office, Dallas,
(Continued from page 14)
Clifford M. Lind, trust department, Tex. His new position there is deputy
and Craig H. White, government bond regional administrator for planning
V ision. New assistant vice presidents and operations.
Kenneth W. Littlefield, former re­
are: Larrance M. Noel, New York,
James M. Deegan III and Stephen W. gional director for special surveillance,
Theobald, all in the investment de­ has been promoted and transferred to
partment, and Mildred T. Sass, per­ the comptroller’s office in Washing­
ton, D. C. He will work with associate
forine! division.
deputy comptroller for special surveil­
Mercantile Trust Company N.A., lance Paul M. Homan in the special
St. Louis: Donald B. Wehrmann has projects area.
been elected execWayne Hummer Expands
<Oive vice presi­
Wayne Hummer & Co., a welldent in charge of
the regional bank­
ing department of
the $2.1 billion!Pset Mercantile
Trust, Lynn H.
Miller, president,
announced l a s t
onth.
T h e regional D- B- w e h r m a n n
banking department includes the St.
Louis group with responsibility for
commercial banking in the St. Louis
etropolitan area, the central group
ich has responsibility for commer­
cial and correspondent banking in
Missouri and surrounding states, and
the credit administration group.
^ Mr. Wehrmann, 40, joined the staff
m Mercantile Trust in May, 1959,
following graduation from Washington
University where he earned his degree
in Business Administration. He was
^|ected a vice president in 1965 and
a senior vice president of the bank in
1973.

known brokerage firm whose offices
have been at 105 West Adams Street
since 1931, has moved into larger
quarters in the Insurance Exchange
Building, 175 West Jackson Boule­
vard, Chicago.
The new quarters, located on the
17th floor, will contain 17,000 square
feet. The 125-employee firm special­
izes as a securities broker for about
1,500 community banks in 20 states.
Philip Hummer, partner, estimates that
90% of the company’s business is
done by telephone through eight na­
tionwide WATS lines and four Illinois
toll-free lines.

«

Regional Administrator
Announces Appointments
John R. Burt, regional administrator
of national banks, tenth national bank
region, Kansas City, announces the fol­
lowing appointments: Gary M. Brick0ian as deputy regional administrator
for planning and operations; Ronald
M. Langford as regional director for
banking operations, and Ronald L.
George as regional director for special
#irveillance.
John W. Rogers, who has been
serving as deputy regional administra­
tor in Region 10 since 1968, will con­
tinue in that capacity. His title has
#een changed to deputy regional ad­
ministrator for examinations. He will
have responsibility for all examination
functions and the national bank sur­
veillance system.
Stephen R. Steinbrink, former re­
gional director for corporate activities,

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

To let you know we're a Mutual of
Omaha Company serving the
financial community with a complete
line of credit health and life insurance,
mortgage accident and health
coverages and other insurance plans.
Formerly St. Paul Hospital & Casualty Co.
Home Office: Bloomington, Minnesota

Omaha Financial
Lifp iiisnriinr.p OumpuiHi
A M u w .il ul I hii.ilui ( 'omiiiimj
N orthw estern

Banker, Se p te m b e r

1977

People have
been calling
us names
for over
half a century


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Collateral
Control
Corporation
is our
new name.

We think it’ll be easier for you to
remember the business we’re in if
the business we’re in is in our name.
So our new name says what we do.
Collateral Control Corporation.
We’re one of the world’s oldest
financial companies specializing in
collateral control services.
You’ve known us in the past as
NYTCO Services, Inc., the outgrowth
of St. Paul Terminal Warehouse
Company, founded in 1916; New York
Terminal Warehouse Company,
organized in 1936; and Haslett Field

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Warehousing, founded in 1913.
Our services embrace many
aspects of commercial lending and
financing activities including Field
Warehousing, Inventory Certification
Control, Credit Security Service,
Accounts Receivable Certification,
Document Supervision Service, Floor
Plan Audits and full service Bank
Participation leasing. All are designed
to protect your yields and help
you make good loans.
Next time you’re thinking about
third party collateral control services,

you’re already thinking about our
name. So your next move is as simple
as a phone call. Just dial 800/328-1434
(toll free) and we’ll put you in touch
with one of our 35 nationwide offices
in a matter of minutes. Or, drop us
a line beforehand. W e’ll send you
complete information on how we can
provide the security you need to
collateralize your loans.

Collateral Control Corporation,
444 Lafayette Road,
St. Paul, Minnesota 55101.

22

2 Vie for ABA 1978 President-Elect Post
candidates have been selected
T WO
for the office of president-elect of
the American Bankers Association for
1978-79. They are Lee E. Gunderson,
president of the $10.6 million deposit
Bank of Osceola, Wis., and C. C.
Hope, Jr., vice chairman of the $1.5
billion deposit First Union National
Bank, Charlotte, N. C.

C. C. HOPE

L. E. GUNDERSON

Mr. Gunderson has received the
endorsement of ABA’s Region V.
Mr. Hope won the endorsement of
Region III recently at a runoff elec­
tion of Region III held in Washington,
D. C. Under ABA election rules, one
of these men will be selected as the
president-elect candidate on the ABA
slate for election at the convention
in Honolulu, October 21-25, 1978.
That pre-selection will take place next
April during the ABA governing coun­
cil meeting at the Greenbrier.
The ABA’s official candidate for
president-elect at the convention next
month in Houston is John H. Perkins,
president of the Continental Bank,
Chicago.

has served on a number of committees
and study units for the Wisconsin
Bankers Association, which he served
as president in 1975. He was chairman
of the finance committee, the Hunt
Commission Study and the highly sen­
sitive EFT study program. That latter
study produced the workable EFT pro­
gram acceptable to the different bank­
ing philosophies in that state. He was
also chairman of the Bankers AreaWide Advertising Program sponsored
by the associations in Minnesota, Wis­
consin, North Dakota and South Da­
kota.
At the national level, Mr. Gunder­
son was ABA vice president for Wis­
consin from 1972-74. He has been
involved with the communications
council since 1972, serving as chair­
man of the council since 1975. He is
completing his second year on the
ABA board of directors, as well as a
term as an ex-officio member of
the governing council.

1973, has served as chairman of Bankpac since 1973, and was chairman of
the task force on relations with the
Comptroller and the committee on
relationships with regulatory agenci^.
He has been a member ex-officio of
the governing council of ABA since
1976.
Bond Monitoring Service
•
The Illinois Company, 30 North
LaSalle Street, Chicago, is offering
a unique service to holders of munici­
pal bonds.
Termed “The Municipal Monit<0ing Service (MMS), the plan moni­
tors bonds for three purposes:
“ 1. When bonds have been called
early you should know so as not
to lose interest.
#
“2. When the ratings on your
bonds are lowered, you should
know as soon as possible so
that the principal amount does
not depreciate to an unheald%
level.
“3. MMS has an early warning
system that will alert you to
the possibility that your bonds
may be acting poorly, r e la te
to the rest of the market. The
system attempts to anticipate
a lowering of the rating. This
tells you that a particular issue
may have some inherent prc^lems which warrant further
investigation.”
For those problem bonds that show
up through MMS the firm will do an
in-depth study to find the causes lm
their difficulties.
Further information is available
from Douglas Asad, vice president.

C. C. Hope Jr.
Mr. Hope has been a banker since
completing his Navy duty during
World War II, at which time he joined
First Union National Bank. He was
first elected an officer in 1950, then
progressed through various positions of
responsibility to the office of executive
vice president in 1960. He was named
director in 1970 and was elected vice
chairman of the bank in April of this
year.
Mr. Hope was born in Charlotte
on February 5, 1920. He was gradu­
Lee E. Gunderson
ated from Mars Hill College in 1941,
Mr. Gunderson, if elected ABA later receiving a BS degree in business
®
president, would be only the second administration from Lake Forest MGIC Offers Booklet on
banker from Region V to hold that University in 1943, then attended Low Down Payment Loans
office in 25 years. Region V consists Harvard’s Graduate School of Business
Mortgage Guaranty Insurance Cor­
of Montana, North Dakota, South in 1943-44. He is also a graduate of poration (MGIC) has produced a new
Dakota, Nebraska, Iowa, Minnesota the Stonier School of Banking at eight-page booklet that outlines £»
and Wisconsin. He has had a wide Rutgers University.
lenders and realtors the advantages of
variety of association experience dur­
Within the North Carolina Bankers low-downpayment insured loans.
ing his 25-year career as a banker. Association, Mr. Hope has served
Titled “The MAGIC Home Loan
A native of Sioux Falls, S. D., he on three committees. He has been Can Cut The Downpayment In
grew up in Parker, S. D., attended active in the Association of Bank Half,” the colorful easy-to-read irqp
the University of South Dakota and Holding Companies, U. S. Chamber booklet shows lenders, realtors and
is a graduate of the Graduate School of Commerce, Assemblies for Bank their prospects the advantages of a
of Banking at the University of Wis­ Directors and Robert Morris Associ­ MAGIC loan and explains how a lowconsin. He was employed in South ates. He also has been a member of downpayment loan insured by MGIC
Dakota banks from 1952 to 1961, then the Comptroller’s regional advisory can help sell more houses and close
them faster by eliminating government
moved to Wisconsin in 1961. He committee.
Mr. Hope became active in ABA red tape.
joined the Bank of Osceola as its
Lenders and realtors who wish to
executive vice president and chief in 1972 as a member of the Regula­
executive officer in 1966, and was tion Y Task Force. He has been a obtain a free copy can write to: MGIC
member of the government relations Booklet, MGIC Plaza, Milwaukee, ^
elected president in 1976.
Within Wisconsin Mr. Gunderson council administrative committee since 53201.
N orthw estern

Banker,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Septem ber

1977

23

THIS MAN IS SOMETHING O FA FANATIC.
•WE THINK YO U'LL LIKE HIM.
H e’s an Account Representative
# for Northwestern Bell. And his business is to
dig into your business and solve your
communications problems. You can ask him
• all the tough questions you like, but
chances are he’ll fire some even tougher
ones back at you. Like exactly what is your
* share of market? H ow efficient is your
channel of distribution? W hat’s your anti# cipated growth potential?
Account Reps are communications
professionals. Each specializing in communications equipment and
• systems for a particular industry (such as retail, transportation, financial,
etc.) So they are trained to probe extensively into your company to
determine exactly what communications services you need.
*
Besides being a “problem solver” an Account Rep acts as an
“orchestrator!’ Consulting with Northwestern Bell specialists to
insure that each system proposed is the best possible approach, the best
possible solution. And it has to be, because Northwestern Bell’s
commitment is to take total responsibility for the design, installation and
• maintenance of your communications
I’m game. I’d like one of Northwestern Bells prob­
lem solvers’ to study my company s communications
system.
system. Please phone and we 11 arrange a meeting.
Name___ ____ ______________________ ________
A fanatic? Maybe. But when
A ddress---------------------------------------------------------- -—----• you’ve got a reputation as a “problem solver
Company----------------------------------—-----------------City----------------------------—--------------------------- —
you’ve got to live up to it.
State------------------------------------ rCp-----------------Phone your Account Rep or mail Title______________________ _________________
Telephone Number______
this coupon. See if we can improve your
Mail to: Northwestern Bell, I 00 South I 9th Street,
Suite 702, Capital Plaza. Omaha, Nebraska.
business by improving communications.
__________________ NWB 9-77

•

Northwestern Bell
N orthw estern


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Banker,

Septem ber

1977

24

This advertisement is neither an offer to sell nor a solicitation of offers to buy any of these securities.
The offering is made only by the Prospectus.
NEW ISSUE

August 11,1977

4,000,000 Shares

Chemical New York Corporation
$1,875 Cum ulative C onvertible Preferred Stock
(without par value)

The Convertible Preferred Stock is convertible, unless previously redeemed,
into Common Stock of the Company at a conversion price of
$56 per share, subject to adjustment in certain events.

Price $25 per share
plus accrued dividends, if any, from date of issuance

Copies of the Prospectus may be obtained from any of the several underwriters,
including the undersigned, only in States in which such underwriters are qualified
to act as dealers in securities and in which the Prospectus may legally be distributed.

The First Boston Corporation

Dean Witter & Co.

Kuhn Loeb & Co.

I n c o r p o r a te d

I n c o r p o r a te d

Morgan Stanley & Co.

Bache Halsey Stuart Shields

Blyth Eastman Dillon & Co.

I n c o r p o r a te d

I n c o r p o r a te d

I n c o r p o r a te d

Donaldson, Lufkin & Jenrette

Drexel Burnham Lambert

S e c u r it i e s C o rp o rm tio n

I n c o r p o r a te d

E. F. Hutton & Company Inc.

Hornblower, Weeks, Noyes & Trask

Dillon, Read & Co. Inc.
Goldman, Sachs & Co.

Keefe, Bruyette & Woods, Inc.

I n c o r p o r a te d

Lazard Frères & Co.

Kidder, Peabody & Co.

Lehman Brothers

Merrill Lynch, Pierce, Fenner & Smith

Paine, Webber, Jackson & Curtis

I n c o r p o r a te d

I n c o r p o r a te d

Salomon Brothers

M. A. Schapiro & Co., Inc.
White, Weld & Co.

Wertheim & Co., Inc.

I n c o r p o r a te d

N orthwestern

Banker,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Loeb Rhoades & Co. Inc.

I n c o r p o r a te d

I n c o r p o r a te d

Septem ber

1977

Reynolds Securities Inc.

Smith Barney, Harris Upham & Co.

Warburg Paribas Becker

I n c o r p o r a te d

I n c o r p o r a te d

Bear, Stearns & Co.

Shearson Hayden Stone Inc.

25

This advertisement is neither an offer to sell nor a solicitation of offers to buy any of these securities.
The offering is made only by the Prospectus.

August 11,1977

NEW ISSUE

$ 100, 000,000

Chemical New York Corporation
8%% D eb en tu res Due 2002

Price 99.47%
plus accrued interest from August 1, 1977

Copies of the Prospectus may be obtained from any of the several underwriters,
including the undersigned, only in States in which such underwriters are qualified
to act as dealers in securities and in which the Prospectus may legally be distributed.

The First Boston Corporation
Morgan Stanley & Co.

Kuhn
Loeb & Co.
I n c o r p o r a te d

Goldman, Sachs & Co.

Merrill Lynch, Pierce, Fenner & Smith

I n c o r p o r a te d

Salomon Brothers

I n c o r p o r a te d

Bache Halsey Stuart Shields

Blyth Eastman Dillon & Co.

I n c o r p o r a te d

I n c o r p o r a te d

Dillon. Read & Co. Inc.

S e c u r it i e s C o r p o r a tio n

Drexel Burnham Lambert

Hornblower, Weeks, Noyes & Trask

I n c o r p o r a te d

I n c o r p o r a te d

Keefe Bruyette & Woods, Inc.

Donaldson, Lufkin & Jenrette

Kidder. Peabody & Co.

E. F. Hutton & Company Inc.

Lazard Frères & Co.

Lehman Brothers

I n c o r p o r a te d '

Loeb Rhoades & Co. Inc.

Paine, Webber, Jackson & Curtis

I n c o r p o r a te d

Reynolds Securities Inc.

M. A. Schapiro & Co., Inc.

I n c o r p o r a te d

Smith Barney, Harris Upham & Co.

Warburg Paribas Becker

I n c o r p o r a te d

I n c o r p o r a te d

Dean Witter & Co.

Bear, Stearns & Co.

Wertheim & Co., Inc.

White, Weld & Co.
I n c o r p o r a te d

Shearson Hayden Stone Inc.

I n c o r p o r a te d


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N o rth w e s te rn

Banker, S ep te m be r

1977

26
in control of all the railroad’s planning,
accounting, purchasing and real estate
operation.
and other an­
P ROMOTIONS
nouncements have been made by
the following firms:
Bank Building Corporation, St.
Louis, Mo.: John F. Howe, vice presi­
dent, has been named director of mar­
keting, and Jack R. Peat has been pro­
moted to general manager of the cen­
tral division. Mr. Howe has been with

J. PEAT

J. F. HOWE

the company since 1973, and previous­
ly was with Hickory Valley Farm, Inc.,
as president, the Inmont Corporation
as vice president, corporate planning,
and Monsanto as director of corporate
planning and evaluation. Mr. Peat
formerly was a consultant services
manager with the company’s southern
division.
Carroll McEntee & McGinley In­
corporated, New York: Charles V.
Glennon has been named national sales
manager for this major dealer in gov­
ernment securities and money market
instruments. Mr. Glennon, 31, was
named a vice president in 1974. He
joined the firm in 1972 as a salesman
in the New York office. Formerly he
had been a lending officer with the
Chemical Bank in New York.
Kirchner, Moore & Company, Den­
ver: John Vogt has joined the compa­
ny’s trading de­
partment. He pre­
viously was pres­
ident of Portfolio
Evaluation, a sub­
sidiary of Kirch­
ner, Moore which
provides compu­
terized bond ap­
praisal a n d a c ­
c o u n t reporting
services to th e
municipal bond industry.
Lawrence Systems, Inc., San Fran­
cisco: James H. Leonard, chairman
and president, has announced the sale
of Lawrence’s security guard business­
es to Drake International Limited.
N o rth w e ste rn

Banker,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

S e p te m be r

1977

Included are Lawrence Security, Inc.;
Retail Security Agencies, Inc.; Uniguard Services, Ltd.; and Uniguard
Security Canada Limited.
Scarborough and Company, Chica­
go: J. Cornel West has joined the com­
pany’s special risks department. He
has a strong insurance background
having been a commercial property
and casualty underwriter for the At­
lantic Companies, and most recently
fire and package policy underwriter for
the Kemper Insurance Company.
James Talcott, Inc., New York:
Anthony DeMonte has been named as­
sistant vice president and James L.
Cox loan officer of Talcott Business
Finance in Minneapolis. Mr. DeMonte,
account executive, formerly was as­
sistant vice president with Lawrence
Systems, Inc., Chicago, and was a
lending officer at Northwestern Na­
tional Bank, Minneapolis. Prior to
joining Talcott, Mr. Cox was a com­
mercial loan officer for the North­
western National Bank and Marquette
National Bank, Minneapolis.
Tom Hagan & Associates, Kansas
City, Mo.: Linda Blue Smith has been
promoted to president and Ruth
Franklin to controller. Mr. Hagan will
serve as chairman and will devote
special attention to the training
division, Bankers Training Institute
(BAI), as well as to special problems
of specific banks. Shirley Spousta
has joined the BTI. Mrs. Spousta,
who has 20 years of banking experi­
ence, formerly was an officer with
United Missouri Bank of Blue Springs.
United Guaranty Residential In­
surance Company, Bettendorf, la.:
Sharon Threlkeld
has b e e n p r o ­
moted to regional
underwriter in the
new St. L o u i s
area office, Pierre
Laclede Center,
7733 F o r s y t h
B 1v d., Clayton,
Mo. She formerly
w a s underwriter
in the company’s
home office in Bettendorf.
Union Pacific Railroad Company,
Omaha, Nebr.: Thomas B. Graves,
Jr., 45, has been named to the newly
established position of vice presidentfinance and administration. He will be

Conrad E. Lawlor Is Named Regional Director of SBA
Conrad E. Lawlor, Certified Com­
mercial Lender (CCL), has been ap­
pointed regional
director of the
S m a l l Business
Admi ni st r at i on
for Region VII,
serving Missouri,
I o wa , Nebraska
and Kansas. His
a p p oi n tm en t,
which became effective July 31,
c. e. l a w l o r 1
was announced by
#
A. Vernon Weaver, Jr., SBA’s admin­
istrator in Washington, D. C.
Region VII, headquartered in Kan­
sas City, has jurisdiction over five dis­
trict offices in the cities of Des Moin#.
Wichita, Kansas City, St. Louis and
Omaha. The four-state loan portfolio
on April 30, 1977, totalled 16,463
loans for $678,557,000. This is one of
the highest loan volumes per popu®tion with the fewest amount of delin­
quent loans.
Mr. Lawlor, 47, a career civil ser­
vant, was named acting regional direc­
tor last March. He joined SBA
Des Moines branch manager in May,
1964. For the past 13 years he has
served Region VII in various key
executive positions. He was distrmt
director for 1965 to 1970 in St. Loras
and Des Moines. Under his super­
vision, his financial assistance division
in the Des Moines office won SBA’s
Technical Unit Achievement Natioi^l
Award in 1976.
Mr. Lawlor is a native of Ames, la.,
receiving his BS degree in Commerce
from DePaul University. He earned the
CCL title from the ABA in 1974. ^
EFT Conference for Bankers
And Supermarket Execs
A jointly sponsored conference on
supermarket electronic funds tran sit
services will be presented October 67 in Dallas by Bank Administration
Institute and the Food Marketing
Institute. Results of an extensive twopart BAI/FMI research project ii#>
the design factors influencing consumer
acceptance of supermarket EFT ser­
vices will be reported. Details about
the program may be obtained from
BAI, located at Box 500 in Pa0:
Ridge, 111. 60068.

Associates Commercial Corporation
^
55 E. Monroe Street
\
Chicago, Illinois 60603
^ \
(312) 781-5888
\
A subsidiary of
W fr \
Associates Corporation of North America
S B iS k - a Gulf + Western Company.

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

28

New Orleans to Host ABA Correspondent
Banking Conference, November 28-30
ONALD
. Loose, conference
chairman for the American
R
Bankers Association’s correspondent
a

banking division,
has revealed ad­
vance details of
the 1977 Nation­
al Correspondent
Banking Confer­
ence to be held
November 28-30
at the Fairmont
H otel in New
Orleans.
The sixth an­ RONALD LOOSE
nual conference, expected to attract
more than 400 correspondent bank­
ers, has as its theme, “The Profes­
sional-Prepared for Change.”
Mr. Loose, who is also senior vice
president of The First Naitonal Bank
of Denver, said the program will
feature a full schedule of workshop
sessions, expert panel discussions,
correspondent consulting sessions
and general sessions. More than 40
guest speakers will participate.
Mr. Loose also noted that
registrants will be brought up-to-

prior to August 1, 1987. On and after
that date the debentures are redeem­
able at 103.86% and declining
date on current banking regulations annually thereafter to 100% fft
and legislation , how to meet those redeemed on and after August
increasing competition, new corre­ 1, 1997, plus accrued interest.
spondent services to offer, how to Annual mandatory sinking fund
determine cost of services, and many payments in each of the years 1988
other current banking issues.
through 2001 are calculated to retift
Advance registration and program 80 % of the aggregate principal
information about the conference amount of the debentures prior to
was to be mailed to correspondent maturity.
bankers early in September.
The First Boston Corporation,
Kuhn Loeb & Co. Incorporated aril
Dean Witter & Co. Incorporated
were managing the group which
Raise $100 M illion
offered the preferred stock at a price
For Chem ical Bank
of $25 per share and is convertible,
Chemical New York Corporation, unless previously redeemed, in ^
New York, announced that it was common stock of the company at a
offering through separate under­ conversion price of $56 per share
writing groups $100-million of 8V\ % (equivalent to approximately .4464
debentures due 2002 and 4-million shares of common stock for each
shares of $1,875 cumulative conver­ share of preferred stock), subject ro
tible preferred stock.
adjustment in certain events.
The First Boston Corporation and
The preferred stock is not
Kuhn Loeb & Co. Incorporated were redeemable prior to August 1, 1980.
managers of the group which offered On and after that date the preferred
the debentures at a price of 99.47% stock is redeemable at $26.31 p®
to yield 8.30% , plus accrued share declining annual thereafter to
interest.
$25 per share for those redeemed on
The debentures are not redeemable and after August 1, 1987.

Hoti/uyh’
By TRUMAN
BOLINGER
BRONZE

HT. 14”

EDITION 20

OTHER WORKS BY: J. ABBRESCIA • BILL BARBER • ROBERT BLAIR • SHERYL BODILY • TRU­
MAN BOLINGER • RON CROOKS • A. FITZSIMMONS • DAVE GARRISON • RAUL GUTIERREZ
• ROY HAMPTON • E. E. HEIKKA • NED JACOB • WM. JASPER • RAMON KELLEY • HANK
LAWSHE • TED LONG • LEN McCANN • GERRY METZ • KEN OTTINGER • GREG PERILLO
• DON POLLAND • ACE POWELL • DON PRECHTEL • ROY PURCELL • WM. REESE • JAMES
ROYBAL • A. SINCLAIR • RON STEWART • DEE TOSCANO • LARRY VEEDER • R. WESTBY
• HAROLD WHITLEY & OLD MASTERS OF THE WEST.

IMAGES.,/ivOLD V E S T
G A LLER Y
PAINTINGS • BRONZES • ARTIFACTS • WESTERN AMERICANA
SUITE 3 1 3 CITIZENS STATE BANK BLDG.
5 0 5 0 EXCELSIOR BLVD. - MINNEAPOLIS, MN 5 5 4 1 6 • PHONE (612) 9 2 7 -5 5 6 5

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Federal Reserve Bank of St. Louis

29

Now, Manufacturers Hanover
* offers you the newest way
. to keep employees smiling...
group dental insurance.
benefits, employee and dentist
know in advance who’s respon­
sible for how much. And
because the Plan provides
benefits in specific dollar
amounts, you are able to
control the Plan’s costs.

The fastest growing
employee benefit.
The new Dental Assistance
Plan from Manufacturers
Hanover Trust is an idea
whose time has come.
Everybody benefits. For
your bank, it means less
absenteeism due to dental
disorders. For employees,
it’s a “fringe” that
nearly all can put
to use.

Economical and
easy to administer.
Group participation by our cor­
respondents is the key to the
reasonable costs of our Dental
Assistance Plan. Also, rates
are based on regional dental
charges. And everything you
put into the Plan is tax deduct­
ible. You’re not saddled with
administrative chores, either;
claims are filed directly by
employees with our
insurance carrier,
Connecticut
General Life
Insurance
Cornpan y- &

MHT, for all your
benefit needs.
“Painless” bills for
checkups.
To motivate your employees to
seek regular dental checkups,
the MHT Plan pays all “reason­
able and customary” costs for
preventive services. An ounce
of prevention today keeps
people on the job tomorrow.

J|^ Reduces bills for
IP^ major work.
The MHT Plan foots a hefty
portion ofthecostsfor over 400
dental procedures. Through a
Pre-Treatment Review of

The Dental Assistance Plan,
which provides DENTAL in­
surance only, is just the newest
headliner from Manufacturers
Hanover, the leading supplier
of Correspondent Benefit
Plans. These include group life
insurance, group major medi­
cal, long-term income protec­
tion, pensions. What can we do
for you?
For more information, write
or call Charles R. Burrows,
National Division,
Manufacturers Hanover, 350
Park Avenue, New York, N.Y.
10022. Tel: (212) 350-3359.

MANUFACTURERS HANOVER

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Federal Reserve Bank of St. Louis

N orthw estern

Banker, S e p te m b e r

1977

30

Full House To Consider Fed Reform Act
HE United States House of Rep­
T
resentatives is scheduled to take up
in September H.R. 8094, the “Federal

Reserve banks would have to furnish
a verbatim transcript of every directors
meeting to Congress within one year.
Chairman Burns said such a state­
ment in the bill would restrict free
discussion at directors’ meetings, it has
no precedent and would lead to “fish­
ing expeditions.” Mr. Cavanaugh was
defeated, 19-12 on his motion.

ing short-term obligations to the cor­
poration incurred in connection with
their activities.

BAI Announces Convention
•
Reserve Reform Act of 1977.” The bill
John Connally, former secretary
was passed July 28 on a 40-0 vote by
of the treasury and governor of Texas;
the House Banking, Finance and Ur­
Joyce Brothers, psychologist and
ban Affairs Committee.
syndicated columnist, and Bob Hop£
The bill would permit the President
will all be featured at Bank Admini™
to name his own Fed chairman one
tration Institute’s 53rd national con­
year after taking office. An amend­
vention in Houston November 6-9.
ment offered by Rep. Jim Mattox Manufacturers Plans Stock
The theme of this year’s convention
(D., Tex.) authorizing the President Issue and Debentures
is “New Directions.” Fifty-nine tecl^
in office in 1981 to pick his own chair­
Manufacturers Hanover Corpora­ nical sessions will be divided into the
man starting in 1982 was passed, 19- tion, New York, parent of Manufac­ major areas of general administration,
17.
turers Hanover Trust Company, an­ automation, accounting, auditing, op­
The Fed chairman presently is nounced recently its plans to market erations, community banking, person­
chosen by the President, either from 2,750,000 shares of common stock nel, security and trust.
^
among existing Board members or as and $150,000,000 of 30-year sinking
The four-day meeting, to be held at
a new member of the Board. Senate fund debentures through underwriters the Houston Convention Center, be­
confirmation of new Board members, led by Salomon Brothers, Goldman, gins with registration and a reception
who are appointed to 14-year terms, Sachs & Co., and Merrill Lynch, in the Nieman Marcus store in the
presently is required. Senate confirma­ Pierce, Fenner & Smith Incorporated.
Galleria Shopping Center. In additit||
tion of the President’s choice of chair­
The corporation plans to invest the to the sessions, the program includes
man is required only if that chair­ net proceeds of about $100 million two other receptions, entertainment,
man also is a newly appointed Board from the sale of common stock in addi­ continental breakfasts and a closing
member. H. R. 8094 requires Senate tional equity capital of Manufacturers luncheon, as well as an extensive non­
confirmation of the Board chairman Hanover Trust Company to support delegate program.
^
under any circumstances.
Further information and registra­
the growth of its general banking busi­
Fed Chairman Dr. Arthur F. Burns ness. The major portion of the pro­ tion forms are available from BAI,
and many others oppose this portion ceeds of the corporation’s debt offer­ Meeting Services Division, P.O. Box
of the bill, maintaining it would ing will be advanced to one or more 500, Park Ridge, 111. 60068 (312/
politicize the chairmanship and ad­ subsidiaries for the purpose of repay- 693-7300).
*
versely affect activities of the Board.
Critics maintain it would lead to an
easy money policy, followed by higher
inflation.
One provision in the bill as debated
by the committee would have pre­
vented the Fed from contacting bank­
ers about federal legislation concern­
ing the Fed.
This controversial passage, also op­
posed by Chairman Burns and other
Fed members, was defeated, 21-28,
through the efforts of Rep. Thomas
Ashley (D., O.), who moved to delete
that passage. Committee Chairman
Henry S. Reuss (D., Wis.), who SHOWN is an architect's rendering of the remodeled main lobby of the First Natl. Bank
favored the section making the chair­ of Kansas City.
manship subject to current presidential
appointment, also favored the deleted
First of Kansas City To Remodel Lobby
passage and stated such a measure
IRST National Bank of Kansas to retain the character, strength and
would keep Fed members from “put­
City, Mo., has begun an extensive beauty of the lobby’s present tradition­
ting an arm on banks to do their
monkeyshines for them.” The Carter remodeling of its main banking lobby. al design, while creating a new and
Administration also opposed that mea­ Construction will be undertaken in open look. Plans call for new carpet­
sure, and Rep. Ashley’s motion pre­ three phases over a period of several ing, painting, furniture and drapd®
New lighting will be designed to
months.
vailed.
brighten the lobby area and accentu­
This
will
be
the
first
major
remodel­
H.
R. 8094 further broadens the
makeup of boards of individual Fed­ ing of the classic banking lobby since ate its classic beauty.
The bank is also proceeding with
the building at Tenth and Baltimore
eral Reserve Banks.
a
self-service
surface parking lot acre#.
was
completed
in
1906.
Gordon
E.
Rep. John J. Cavanaugh (D., Neb.)
Baltimore
Avenue
to the west.
Wells,
president,
said
the
bank
hopes
wanted the bill to stipulate that all 12

F

o rth w este rn Banker. Se p te m b e r
Digitized Nfor
FRASER
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

31

In c o r r e s p o n d e n t
b a n k in g s e r v i c e s , w e ’r e
t h e s p e c ia lis t s .
Here’s how First Chicago,
a $19 billion banking corporation,
can help you serve your customers more productively.
You know what your correspondent
banking n eed s are. You also know what
services your present correspondent
bank provides.
Check this list of First Chicago's com ­
prehensive services. See if there aren't
many ways we can work together more
productively.
Then call a correspondent banker at
First Chicago, (312) 732-4101, or write us.
DATA PROCESSING

Point-of-Sale Techniques
Bank Accounting Services
Bank Information Systems
Electronic Funds Transfers
CREDIT FACILITIES

Holding Company Lines of Credit
Participations: Upstream and Downstream
Intermediate Term Credit
Liquidity Lines of Credit
Commercial Finance Services: Inventory and
Receivable Financing
Corporate Financing Advisory Services
Leasing Activities and Analysis
Credit Information
Small Business Administration:
Loan Counsel
MANAGEMENT ASSISTANCE

Loan Portfolio Review Techniques
Economic Forecasting
Profit Planning and Forecasting
Marketing and Business Development Advice
Personnel Assistance
Operations Planning
Organization Planning

FOCUS: Lockbox Location Model
Visual Aids: Slides and Closed Circuit
TV Production
TRUST BANKING

Personal and Corporate Trust Services
Trust Investment Advisory Services
Monthly Investment Services
Stock Transfer and Shareholders Serv ices
Dividend Reinvestment
PERSONAL BANKING ASSISTANCE

Bank Promotions
YES Card1“
BankAmericard®
Savings Programs
Automobile Leasing Program
Bank-At-Work Direct Deposit Program
OPERATIONAL SERVICES

Cash Letter Clearings: End-Point &
Float Analyses
Coin and Currency
Collections
Money Transfer
Federal Reserve On-Line Settlement
Securities Custody
Security and Coupon Collection
Payroll Accounting
Student Loan Servicing
INVESTMENTS

Government Securities
Municipals
Federal Agency Securities
Federal Funds
Repurchase Agreements
Commercial Paper
Certificates of Deposit
Treasury Tax and Loan Accounts
Money Desk Reviews
Portfolio Analysis Services

SPECIAL CORRESPONDENT SERVICES

INTERNATIONAL BANKING

Annual Correspondent Conference
Account Referrals
Mini-conferences and Workshops,
Special Events Planning
Record Retention and Reconstruction
Cash Management Consulting: Collection,
Concentration, Disbursement and Control

Worldwide Locations
Merchant Banking
Money Market Instruments
Letters of Credit
Foreign Exchange Transactions
Transfers and Remittances
Ex-Im Financing

M EM B ER F D IC


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Federal Reserve Bank of St. Louis

N orthw estern

Banker, Sep tem ber

1977

32

NABW To Hold Convention in Atlanta

share, in the first half of 1976.
At June 30, 1977, United Guaran­
ty had consolidated insurance in force
of $6.6 billion, compared to $5.3 bil­
lion at mid-year 1976.
£

66T> EYOND Tomorrow — Your Atlanta convention committee is Irene
Place in Banking’s Future” is Carpenter, assistant vice president,
the focal point of general sessions and Citizens and Southern National Bank,
workshops slated for the fifty-fifth an­ Atlanta; vice chairman is Eloise Wash­
nual Convention of the National Asso­ burn, training officer, Trust Company To Keynote BMA Meeting
Former NBC news correspondent
ciation of Bank Women, Inc., at the of Georgia, Atlanta.
Robert
Goralski will be the keynote
Atlanta Hilton Hotel, Atlanta, Ga.,
speaker at the Bank Marketing A ss^
September 11-14.
United Guaranty Reports
ciation’s 1977 National Convention m
More than 1,000 women banking Record Earnings Level
Honolulu, Hawaii, October 30-Noexecutives of the nationwide organiza­
W. L. Hemphill, president of Unit­ vember 2. Mr. Goralski, currently
tion are expected to attend.
ed Guaranty Corporation, Greens­ public relations director for Gulf Oil
General sessions and workshops will boro, N. C , re­
Corporation, Washington, D.C.,
probe the accelerated changes expected p o r t e d recently
speak at the opening session on “The
in the next decade in the economy, that the company
Media and the Message.”
society and banking that will shape h a d record level
Other featured speakers at the con­
future trends in the industry. Con­ s e c o n d quarter
vention
will include banking legisladucting the sessions are experts in the and first half re­
tive/regulatory
authority Carter ^
fields of economics, legislation, man­ venues and earn­
Golembe
and
advertising
executive
agement and banking.
ings.
John E. O’Toole, president of Foote,
Former White House Aide Jill
After securities
Cone & Belding, New York.
Ruckelshaus, who is adviser to the transactions, n e t
National Center for Voluntary Action, i n c o m e for the
Senate OKs Robt. McKinney ^
W . L. HEMPHILL
and Under Secretary of the Treasury mortgage insurer
As
Chairman of FHLBB
and former NABW President Bette B. was $2,601,000, or 68^ a share, the
By
a vote of 12 to 3, the United
Anderson will address the assembled highest quarterly amount yet attained.
States
Senate Banking, Housing and
bankers at the opening banquet on
The net in the same period of 1976 Urban Affairs Committee recently ap­
Sunday, Sept. 11.
was $1,546,000, or 4(ty a share. Sec­ proved the nomination of Robert ^
Presenting the Convention’s key­
ond quarter revenue was $7,484,000 McKinney to become chairman of the
note address, “The Economy of the
Future,” will be Dr. Marina Von Nue- compared to the 1976 figure of Federal Home Loan Bank Board. The
committee vote defeated the commit­
mann Whitman, economist and for­ $6,113,000.
For
the
six
months
ended
June
30,
tee chairman, Sen William Proxmire
mer member of both the President’s
Mr. Hemphill reported, income before (D., Wis.), who openly opposed t|£
Council of Economic Advisers and
Federal Price Commission. The gener­ securities transactions was $4,846,000, nomination made by President Jimmy
al session, “Our Changing Environ­ or $1.26 a share, about 63% over the Carter. Sen. Proxmire allied himself
ment: The Forces Shaping It,” will fea­ 1976 figure. After securities transac­ with consumerist Ralph Nader, who
tions, net income for the six month pe­ had opposed Mr. McKinney, chair­
ture as speakers Gerald Lowrie, execu­
riod was $4,914,000, or $1.28 a share, man of an Indianapolis savings aiQI
tive director, government relations, compared to $3,049,000, or 79^ a
loan association.
American Bankers Association, and
Michael H. Mescon, chairman of the
department of management, College
of Business Administration, Georgia Business Credit Course Is Offered
URRENT business credit develop­ ented by Mr. Katcha to be particularly
State University.
ments will be given major empha­ useful to persons in commercial bank­
Margaret Fenn, professor of man­
agement, University of Washington, sis in the Commercial Finance and ing, public accounting, industrial cred­
Seattle, will team with Alene Moris, Factoring Institute course being offer­ it, corporate finance, corporate conNABW consultant and director of the ed by Marquette University’s Con­ trollership and corporate law. Thojg
Individual Development Center, Seat­ tinuing Education Division and the registrants completing the course will
tle, to conduct the concluding general National Commercial Finance Con­ be presented with an engraved certifi­
session on “Pulling It All Together — ference, Inc., with classes starting cate of achievement.
September 12 on the Marquette
The institute’s instructors, in addi­
Taking Charge of Change.”
Workshops stemming from the gen­ University campus in Milwaukee. tion to Mr. Katcha, include fo^*
Conducted under the direction of officers associated with Aetna Business
eral sessions will explore the future of
electronic funds transfer systems, Robert J. Katcha, vice president, Credit. They are: W. Jack Engelke,
bank lending policies, the energy Aetna Business Credit, Inc., the district manager; Kenneth J. Krueger,
crisis, branch management, new bank­ eight-session (Monday nights) course regional vice president, and Robert
ing markets, personnel utilization, will employ a practical approach to J. Javens, loan officer, all of the Mj^
developments in the trust field, and providing applicable, up-to-date infor­ waukee regional headquarters, and
mation on commercial financing, its Dale M. Olson, regional vice president
trends in related banking areas.
Presiding at the convention will be impact upon working capital, and its in the Minneapolis office. Other
NABW President Edith E. Calliham, role in business credit availability. course instructors are Allan Polacheck
The Commercial Finance and Fac­ and Floyd Harris, partners in a M £
vice president, First National Bank of
South Carolina. Chairman of the toring Institute program has been ori- waukee law firm.

C

N orthw estern

B a n k e r , S eptem ber


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

33

2

3

4

I
OLD S T Y L E COIN W R A P P E R
A U T O M A T IC COIN W R A P P E R
Basic coin w ra p p e r in extra stro ng k ra ft stock. P rinted in 6
A m o unts and d e n o m in a tio n s a u to m a tic a lly in d ic a t e d by
d iffe re n t stan d a rd colors to d i f f e r e n t i a t e d e n o m in a tio n s.
p a te n te d “ re d bo rd ered w in d o w s ” . A m o u n ts in window s
T r ip le d e s ig n a t io n th r o u g h colors, p r in t in g and letters.
alw ays in re g is te r. . . e lim in a te s m is tak e s . A ccom m odates
Tapered edges.
a ll coins fro m 1c to $1.00.
1
K W A R T E T COIN W R A P P E R
T U B U L A R COIN W R A P P E R
W raps 4 d e n o m in a tio n s in h a lf size packages. A m in ia tu re o f
E specially designed fo r m a c h in e f illin g . . . a real tim e -sa v e r.
th e p o pular “ A utom atic W ra p p e r” . . . 25c in penn ies, $1.00 in
Packed fla t. In s ta n t p atented “ Pop O p e n ” action w ith finger
nickels, $2.50 in dim es, $5.00 in q u arte rs .
tip pressure. D en o m in a tio n s id en tifie d by color coding . . . 6
d iffe re n t s tan d a rd colors.
7
F E D E R A L BILL S T R A P
R A IN B O W COIN W R A P P E R
Package contents c learly id en tifie d on faces a nd edges by
color coded panels w ith in verted and reverse figures. M a d e
C olor coded fo r quick, easy id e n tific a tio n . Red for pennies . . .
o f extra strong stock to assure un broken deliveries. O nly pure
b lu e fo r nickels . . . green for dim e s . . . to in d ic a te q u a n tity
d e x trin e g u m m in g used,
and d e n o m in a tio n s . . . e lim in a te s m is tak e s . T a p e re d edges.
i
C O L O R E D BILL S T R A P
D U Z IT A L L COIN W R A P P E R
E ntire strap is color coded to id e n tify d e n o m in a tio n . P rinted
Extra w ide . . . extra strong D esigned fo r areas w h e re halves
a m o u n t appears on top and bo ttom of package. Extra w ide
a re w ra p p e d in $20.00 packs . . . " re d bo rd ered w in d o w ” fo r
for m ark in g and stam p in g . Extra stro ng stock fo r safe delive ry
eas e o f id en tific a tio n . A ccom m odates $20.00 in dollars, $20.00
a nd storage. Pure dextrine g u m m in g .
in halves. T a p e re d edges.
8 BANDING S T R A P S
Id ea l fo r packing currency, depo sit tickets, checks, e t c . . . . do not bre ak
or d e te rio ra te w ith age Size 10 x \ inches and m ad e of strong brown
K raft stock w ith g u m m e d end fo r ease of sealing. Packed 1000 to a c arto n .
SEE

THE

Y OU R

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Federal Reserve Bank of St. Louis

OR

*

S E N D

FOR

F R E E

HANNI BAL,

S A M P L E S

MI SSOURI
N o rth w e s te rn

O E P T .N
B a n k e r , S e p te m b e r

19 7 7

34

Tax Reform Facts Available to Banks

Guide to Developing a Written Lend­
ing Policy,” a concept endorsed by the
four major regulatory agencies.
Statements by the Comptroller of
the Currency, the Federal Deposit I<q
surance Corporation, the Federal Re­
serve System and the Conference of
State Bank Supervisors are reprinted
in the guide.
It can be purchased for $6 from
der Processing, American Bankers
Association, 1120 Connecticut Ave.,
N.W., Washington, D.C., 20036.

HE Tax Reform Act of 1976 has been widely used for reference
brought the most far-reaching and as a gift to persons interested
estate and gift tax changes in 35 years. in farm estate planning. Just revised
Bankers and their customers can get to include the impact of the Tax
many ideas on estate planning and Reform Act of 1976, the book has
business organization under the new been lengthened 70 pages and now
Tax Reform Act from the newly totals 220. It has 20 chapters, an
revised “How to Hang on to Your appendix and a helpful index. Cost is
Assets” programs authored by Dr. $6.95 plus $1 shipping and 3% tax
for Iowa residents.
Neil E. Had.
Dr. Harl is a member of the Iowa
Bar, an economist and distinguished
professor of agriculture at Iowa State
University, Ames.
The “How to Hang on to Your
Fed Amends Reg. Z
Assets” programs consist of over six
The Board of Governors of the
hours of narration on cassettes, plus
Federal Reserve System has amended
the written text for reference or read­
its Truth in Lending Regulation Z to
ing; and some 60 pages of supple­
clarify provisions that permit discounts
mental written material to help use
for cash customers.
the information he discusses.
The amendments are effective irm
Many lenders own the programs and
mediately. They carry out provisior®
use them as a sales aid to alert cus­
of Public Law 94-222 specifying that
tomers to the need for estate planning,
merchants may give discounts to cus­
as a resource in conducting seminars
tomers who pay in cash (or by check
To order any of Dr. Harl’s materi­
or meetings on estate planning, to let
or similar means) rather than by usinv
prospective trust customers hear how als, or for more information, write a credit card. Such discounts need n®
a trust may be useful in their estate Bill Brantley & Associates, Inc., be disclosed as a finance charge to
plan, and to train new representatives P. O. Box 397, West Des Moines, those using credit cards. Discounts
or as a refresher for experienced Iowa 50265.
may not exceed 5% of the credit card
financial advisors.
price.
^
“How to Hang on to Your Assets”
The amendments adopted by tne
comes in two parts, sold together or Midwest Master Charge
Board were substantially the same as
separately. Part one is on estates — Volume Increases by 26%
amendments proposed for public com­
The dollar volume of Master Charge ment in December.
reducing estate and income taxes,
wills, gifts, titles, trusts, life insurance, transactions in the midwest trade area
The amendments allow merchants ^
etc. Part 2 looks at ways to bring a increased 26% during the first six use either a discount or a “two-tag
young person into the operation, the months of 1977, compared with the pricing system to indicate discounts for
tax effects of partnerships and incor­ first half of 1976.
cash. Examples of pricing systems that
Master Charge cardholders gen­ may be used without being disclosed
poration, plus the pros and cons of
these methods of farm business organi­ erated a record $403,042,000 in re­ as a finance charge include:
£
tail purchases and bank cash ad­
zation.
1. A discount pricing system: the
Both parts include inventory forms, vances during the first six months, merchant posts or tags goods with a
examples, checklists, and worksheets according to Credit Systems Incor­ single price — the price charged if a
for you or your customers to use. Up­ porated, St. Louis, CSI is the operat­ credit card is used — and offers a 5%
dates will be available in the future ing center for Master Charge in the (or less) discount off this price to cas^
to keep the programs current. Cost is five-state area of Missouri, Kansas, customers.
$89.95 each or $149.90 for both, Iowa, southern Illinois, and western
2. A “two-tag” system: the mer­
Kentucky.
plus 3% tax for Iowa residents.
chant posts or tag goods with both a
The peak month during the first half credit card and a cash price.
Two other valuable estate planning
references for bankers also are au­ was June, with a record $81,000,000
3. Another “two-tag” system: tlif
in volume.
thored by Dr. Harl:
merchant neither tags nor posts prices,
The CSI Master Charge program but offers to accept from customers
• The Tax Reform Act of 1976 —
consists
of 786 participating banks, paying by cash a price 5% (or less)
Major Estate and Gift Tax Changes.
This cassette has 65 minutes of inter­ over 55,000 merchant outlets, and lower than the price charged to cus­
pretation of the new tax law, and more than 1,700,000 cardholders.
tomers using credit cards.
#
comes with a complete script for easy
The amendments adopted also in­
reference or reading. Cost is $9.95 plus
clude a provision that the amount of
3% tax for Iowa residents.
ABA Offers Guide For
any discount for cash is not, in the
• Farm Estate and Business Plan­ Written Lending Policy
case of credit card users, a charge for
ning — This is the updated edition of
The American Bankers Association credit under any state law, such as •
Dr. Harl’s popular paperback which has published a new edition of “A usury or credit disclosure law.
N o rth w e s te rn

B a n k e r , S e p te m b e r


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Federal Reserve Bank of St. Louis

1977

35

Try us
for a short term
on Short Terms
*

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High Performance Securities Servicing.

Take the Chase Performance Test.
We know that Chase has put together a
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Special Processing Unit. You’ll have
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through direct communciation with the New
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government and government agencies'
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N o rth w e s te rn

B a n k e r , S e p te m b e r

1977

36

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Federal Reserve Bank of St. Louis

1977

%

37

A
ANKERS anticipate that if
interest bearing NOW accounts
B
are authorized by Congress, such
legislation would result in:
• Conversion of 54% to 83% of
current demand deposits, increasing
from small to large size of bank, into
NOW accounts.
# • Increased interest expense of up
to 20% among 70% to 93% of the
banks above $10 million deposits,
and up to a 1 0 0 % increase among
banks under $10 million deposits.
• • An adverse effect of up to 20 %
on earnings among 60% to 70% of
banks above $20 million deposits,
with smaller banks again expecting a
much higher impact on earnings.
^ These figures are part of the
results shown in a survey of 500
banks in upper m idwest and
mountain banks by the N orthwest­
ern B a n k e r . A total of 304
^íestionnaires were returned, for
just over 60% return. Of this

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Federal Reserve Bank of St. Louis

number, 288 questionnaires were
used in compiling the data shown in
the accompanying report; eight did
not list deposit size so were not used,
and eight arrived after the statistics
had been compiled but a quick
comparison showed them in line with
replies from other banks of similar
size.
The topic of the survey, “WTiat
Bankers Are Thinking About Ser­
vice Charges,” reflects the specific
scope of this latest special report.
The 288 responses were divided into
these deposit categories, with
number of replies for each shown in
parentheses: Under $10 million
(113), $10-$20 million (82), $20-$30
million (31), $30-$50 million (33) and
over $50 (29). Questions and
responses follow, with all charts
showing these five deposit groups.
Q.l. Do you presently offer free
checking accounts, special checking
accounts; with what limitations, if

N

o r th w ester n

B

a n k e r

Survey

any; please describe briefly your
formula for assessment of service
charges.
In all deposit sizes banks
consistently said they offer free
checking accounts in over one-half to
three-fourths of the banks respond­
ing, shown in the following chart.
Because of wide variances from
bank to bank, it was impossible to
chart in a meaningful way the
answers that would show limitations
to free or special checking accounts,
or the formula for assessment of
service charges. Several points did
stand out. Throughout all deposit
sizes, approximately 15% of the
responding banks listed free check­
ing for senior citizens. Among banks
up to $30 million deposits, another
half dozen or more banks in each
deposit size said they offer free
checking accounts to special groups
such as students and local charitable
or civic organizations, although
N o rth w e s te rn

B a n k e r , S e p te m b e r

1977

38
A monthly charge of $3.00 !i
imposed by the greatest number of
banks in all deposit sizes, averaging
at least 6 6 % or more.
Q.6. Of your total deposits, how
much is in demand deposits?
®
The 113 responding banks of
under $10 million deposits said they
have 38.8% in demand deposits,
while the rest of the responding
banks said they have just over 3 0 *
in demand deposits. Replies by
deposit grouping were:

“Do You Offer Free Checking Accounts”
Yes
No

Under $10
53%
47%

$10-$20
54%
46%

$20-$30
68%
32%

$30-$50
58%
42%

Over $50
76%
24%

“Do You Offer Special Checking Accounts”
Yes
No
No Ans

Under $10
26%
46%
28%

$10-$20
63%
35%
2%

$20-$30
39%
23%
38%

$30-$50
64%
27%
9%

Over $50
62%
17%
2 1%

these were not mentioned by any
bank over $30 million.
No minimum free checking was
listed by 24% of banks under $10
million, by 1 2 % of banks of $ 10-$20
million, ajid 10% of banks $20-$30
million.
It appears as though nearly every
bank offers a different formula for
computing service charges. The
most common denominator of the
varied approaches is 50 cents to 75
cents per month maintenance charge
in combination with a certain
number of free checks (5-10, e.g.) or
a certain minimum balance ($100 to
$300, e .g .). A $1.00 monthly
maintenance fee is mentioned more
frequently as bank size increases. In
many banks, unlimited free checking
is offered as minimum balance
passes a higher level, such as $ 1,000
or more average balance.

Demand Deposits to Total
all banks of $30 million or
over—1 0 0 %.
•
Under $10.............. ............ .38.8%
A surprising 39 % of banks under
$1 0 -$ 2 0 .................. ........ .. . .30.4%
$10 million state they have their
$20-$30................ .............. 31.2%
checking accounts on computer
$30-$50................ .............. 31.0%
Over $ 5 0 .............. .............. 32.2%
in-house. By contrast, 26% of the
$ 10-$20 million banks are in-house,
•
only 9% of banks from $20-$50
A book just released last month by
million, and 38% of banks over $50 the FDIC titled “Summary of
million. Most banks have their Deposits” and based on June 30,
checking accounts on computer with 1976, call reports, shows that
correspondent banks as noted by commercial banks’ demand deposi*
these responses: Under $10 —52%; nationwide are 26.3% of total
$10-$20—58%; $20-$30—55%; $30- deposits.
$50—70%, and over $50—31%. The
When asked what interest rate
balance said they have their they are paying on passbook saving^
accounts on computer with other and on what basis, banks in t *
sources, or did not give an answer.
under $10 million category replied
Q.4. Are your checking account that 44.2% pay interest daily,
customers’ service charges automat­ 20.2% pay quarterly and 13.2% pay
semiannually. The rest pay monthly
ically figured on computer?
Exactly half of the under $10 annually or didn’t answer. A m o *
million banks said “yes,” while all the rest of the banks, interest is
Q.2. Are you considering revising other banks answered affirmatively credited daily by 75% of banks
from 93 % to 97 %. About half of the $10-$20 million, by 71% of banks
your service charge policy?
Less them half the banks respond­ banks of over $20 million deposits $20-$30 million, 79% of banl^
ed “yes/ ’ although the number of said they have the capability of $30-$50 million, and 6 6 % of banks
affirmative answers shows consider­ running a parallel computer check over $50 million. Practically all other
able current interest in seeking a way with a new schedule of service interest paym ents are credited
charges to see their effect on quarterly among these banks. One
to offset increasing expenses.
small bank in Nebraska reports £
checking accounts.
has 1 0 0 % demand deposits and pays
Q.5. Do you offer some kind of no interest.
“packaged
services” program (e.g.,
“Are You Considering Revising
Q.7. If NOW accounts should be
Banclub,
New
Outlooks, VIP, etc.)?
Your Service Charges?”
While only 1 1 % of banks under authorized, what percent of your
No
$10 million said “yes” to this present demand accounts do y d t
Yes
No
Ans.
think would convert to NOWs?
42%
Under $10
55%
3% question, 48% of banks over $50
See chart below.
million
said
“yes.”
In
the
middle
$1 0-$20
2 1%
62%
17%
range,
about
28%
of
banks
between
$20-$30
42%
58%
$30-$50
64%
33%
3% $10-$20 and $30-$50 million said
SERVICE CHARGES . .
Over $50
52%
45%
3% “yes,” while banks in the $20-$30
range responded with a 39% “yes.” [Turn to page 99, please]

Q.3. Are your checking accounts
presently on a computer, either
in-house or with an outside source?
The use of computers in banking is
evident in these responses. Affirma­
tive replies were received by deposit
sizes as follows: Under $10—59%;
$10-$20—84%; $20-$30—87%, and
N orthw estern

B anker, S e p te m b e r


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

How Much Would Convert to NOWs?
% of Deposits
that would
convert
Wouldn’t
offer
No answer

Under $10
54%

$10-$20
60%

$20-$30
58%

$30-$50
64%

Over $50
83%

24%

15%

7%

6%

14%

22%

25%

35%

30%

3%

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Federal Reserve Bank of St. Louis

STATE

ZIP

40

1977 Annual Livestock Outlook
A

N

o r th w ester n

N ABUNDANCE of feed grains, accompanied by
lower grain prices in late summer, will lead to
A
increased livestock feeding programs, more tonnage of
red meat eventually on the market, and a tougher bout
with slaughter prices. This is the consensus of livestock
bankers and professionals who have taken part in the
N o rthw estern
B a n k e r ’s
1977 Annual Livestock
Outlook.
On average, the respondents expect steer calves of
400# to sell at $46.70 this fall, with a slightly higher
price of $48.45 next spring. Heifer calves run $5 under
the steer price. Choice feeder steers of 650# are expected
to go for $41.70 this fall and $43.25 next spring. It
should be noted that this is an average, and range
bankers and ranchers obviously are looking for a higher
price than the average of these respondents.
Choice steers of 1150# are pegged at $40.25 for this
fall, and up to $42.00 by spring.
Pork prices are expected to be slightly lower. The
price for 200# hogs is anticipated at $41 this fall and
$38.31 next spring, while 40# feeder pigs are expected
to go at $32 this fall and $31 in the spring.
Most areas in the upper plains and mountain states
orth w este rn B anker, S e p te m b e r
DigitizedNfor
FRASER
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

B

a n k e r

Survey

had adequate moisture to make a crop, with many areas
getting normal to “abundant.” This was in shai^
contrast to 1976 when large blocks of counties in South
Dakota, Nebraska, Minnesota, Iowa and isolated
western areas were almost totally lacking in rainfall.
This year, the hardest hit area appears to be a
12 -county area right in the heart of Iowa, including Dd®
Moines and land to the north.
Replies from participants in the survey follow:
WALT NYSTUEN
Senior Vice President
Foster County Bank & Trust Company
Carrington, N. D.

®

numbers are down in this area because of low
C ATTLE
prices during the past three years. Shortage “
roughage also contributed to a reduction in cattle
numbers. Better prices by this time had been expected,
but have not materialized. Ranchers are hopeful of better
prices for their calves this fall because of reports erf
large feed supplies in the corn area.
9
We went into the spring season very dry, but since

41
J^ril 1 we have had 10 inches of rain. This is about
normal for this area, and has made for nearly adequate
hay crops and pastures,
Because of very low oat prices, some will consider
wintering their calves hoping for a better price for the
rats by marketing them through their calves.
JAMES E. WILLRETT
||

President
Illinois Livestock Feeders Association
Malta, III.

located in Northern Illinois and this area seems to
have stabilized as far as feeders and numbers are con­
IfinAM
e d . Most of those now feeding keep their lots full
year-round.
Our biggest problem in the feeding industry, as I see it,
is the feeder who still doesn't know what he’s doing. By
this I mean the ones who do not know their rate of
£.in, feed conversion and cost of gain. Lacking this
information, they do not know if they are making or
losing money on their cattle. I hey may be doing a good
job of feeding, but having this information we would have
less high choice and prime beef and, therefore, I believe,
©higher market.
I have told my banker that I wish when a feeder comes
in for a loan that he, the banker, would ask for the past
record of A.D.G., F.C. and cost of gain, etc. If the
farmer does not have this information, do not turn down
#ie loan this year, but demand these records when
needing a loan next year. The simplest way to get this
information is a mixer wagon with scales. If a feeder can't
afford this equipment, or isn’t interested enough to be this
ind of a businessman, I say he shouldn't get the loan or
l in the livestock business.
I realize I’m stepping on toes when I say this, but this
I believe.
I don’t see much price improvement until we get our
jiumbers lower yet. We “approved'' the beef referendum,
with 56% voting yes, but we needed 6 6 % to pass it. Now
we can’t do much more advertising for lack of funds, so
we need a shortage of beef as was “believed’’ during the
price freeze, then the news media will have our product
¿¡i the headlines (advertising it). Naturally by human
nature, if it’s in short supply the public will buy it and be
willing to pay more for it.
As long as we produce 130# per capita and give it to
them, they’ll eat it. We cannot afford to continue to do
||iis. We have two options — organize, or get the per
capita down to around 8 5 # per capita. I’m sorry I can’t
say we’ll do one or the other in the near future.

^

GARY PENNINGROTH
#

Vice President
First Central State Bank
DeWitt, la.

E HAVE an excellent corn crop coming on. Recent
rains have helped the pastures and third crop hay
should be tremendous. All in all we’ll most likely have a
large feed supply this fall and we expect our farm custom­
ers to be bidding up feeder cattle and hogs to consume
this large supply. Where many farmers have been selling
^ a in they may start filling their yards with livestock
again, hoping to get a better price.

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Federal Reserve Bank of St. Louis

FEED TRUCK with automatic auger system continuously mixes
feed rations at Farr Feeders, Inc., Greeley, Colo., with capacity
output of 2,100 pounds of fully mixed rations per minute.

MITCHEL M. MAYCOCK
Assistant Vice President
Stockmens Bank and Trust Co.
Gillette, Wyo.

T T IS very difficult to predict prices when the livestock
situation is as unsettled as it is now. However, I feel
that with the large crop that is being harvested, we should
see some good improvement over last year in the price of
feeder cattle. I think that we could possibly see some
light steer calves go out this fall at close to $50 cwt. I

Livestock Price Predictions
by participants in the
Northwestern Banker Annual Livestock Survey
(Providing the average of all respondents, as well as the
low and high dollar guesses in each category as noted in
parentheses.)
Fall 1977
$ 46.70
(44 - 50)

Spring 1978
$ 48.45
(43 - 52)

Heifer calves

41.60
(38-47)

43.35
(37 - 47)

Choice feeder steers (650#)

41.70
(37 - 46)

43.25
(39-47.50)

Choice feeder heifers

38.35
(35-44.50)

39.90
(36 - 45)

Choice steers (1150#)

40.25
(38 - 42)

42.00
(38 - 46)

Choice heifers

37.94
(34 - 40)

39.50
(38 - 43)

40.94
(35-47.50)

38.31
(32 - 48)

32.00
(16-40)

31.36
(16-46.40)

185.00
(150-225)

185.00
(140-225)

Steer calves (400#)

Hogs (200#)

Feeder pigs (40#)

Bred sows

N orthw estern

Banker, Septem ber

1977

42
means competition for bach of these commodities again^
one another for counter space and retail promotion, and
the consumer dollar.
E. W. CLAUSSEN
President
Farmers State Bank
Schleswig, la.

•

UR CROPS in this area should be at least a good
O
average in corn and soybeans and exceptional £
hay. The “drying bin” business is booming.

“It is my feeling we have many more cattle on the range than is
realized by some that might be writing agriculture legislation.”

also feel that yearling feeder cattle will go out at close to
$44 cwt.
Some people don't think that prices will go this
high but based on personal observation and first-hand
reports from people who do extensive traveling, I think
that we don't have the cattle numbers that the government
surveys say we do. Also, the weather and drought condi­
tions are, in my opinion, somewhat overstated. I am
very optimistic over price prospects this fall and into
the early part of 1978.
CARL R. STEWART
Director — Livestock Division
Farmers Grain & Livestock Corp.
Des Moines, la.

T^ARMERS Grain & Livestock Corp. serves many
thousands of members in 29 states in marketing and
production advice. Our advisory staff talks to several
thousand clients each day and has a very good feeling as
to what is happening, both in grains and livestock.
FGL feels that the hog industry is still in an expansion
stage and will continue this expansion because of many
cheap feed grains. This, naturally, means more pork
products available during the last two quarters of 1977
and into the first and second quarters of 1978. During this
period we feel the prices will deteriorate to the mid-thirty
and possibly low thirty dollar range for butchers.
The cattle industry as a whole has been in a reduction
cycle for nearly three years at present!
The first segment of the cattle industry that will benefit
from the reduction will be the cow and calf operator. We
feel the prices for feeder cattle this fall will be higher
than last fall and could see light steer calves in the 50
to 60 dollar per hundredweight range. Cheaper feed grains
are sparking the demand for feeder cattle.
As we continue to see more cattle placed into feedlots
each month we can certainly see more than adequate num­
bers of fed cattle available during the next 6 to 9 month
period.
The combination of more pork, beef, poultry, and
turkeys available during the rest of this year and into 1978
N orthw estern

B anker, Se p tem b er


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Federal Reserve Bank of St. Louis

1977

The fat cattle market has been in the doldrums for
over four years. It has reduced the number of feeders in
our area and this trend would have continued had feed
grain prices held in the levels of $2.50 for corn a r^
$5 to $6.00 for soybeans. However, since this does not
appear likely, at the time of this writing (August 1,
corn (a $1.50 to $1.75) it would seem to me that the
“lost” interest in cattle will return in many instances.
Because of the price of feed grains, I think the price ot
feeders this fall may be higher than the fat cattle market
on the live futures will justify. Two of the important fac­
tors in the price of feed grains are the use of wheat as a
feed grain rather than a cereal grain and the all im porta^
farm bill currently before the legislature. A 25% increase
in the price of corn means approximately $2.00-$2.50
per cwt. in the cost of producing fed beef.
I feel the cattle market on an average will continue
a slow uptrend because of the continued reduction in t<^
tal numbers, but there will also continue to be periods of
very poor markets, because of bunching and overfeeding.
The hog producer (farrow to finish) on the other hand,
has had consistently good returns, but here again low feed
grain prices are going to be an incentive to get back inlQ
pork production. We have had an increasing interest in
both farrowing and finishing confinement hog units. I
expect this to continue, and even increase, because of low
feed costs.
It would appear to me that, except for natural disaster^
feed grains will continue to stay on the low side of what
the farmer needs and it will also be difficult for him
to make extra profits through a livestock feeding program.
Doom and Gloom? No. Tough? Yes.
J. MARVIN GARNER
Executive Vice President
National Pork Producers Council
Des Moines, la.

^

POTTED feed grain yields will balance out with an
S
increase over ’76 for most of this area. Lower feed
grain prices may be attractive to the short term, fast turn
hog man, but he and his kind are getting fewer in number.
Once in, they find it difficult to drop out and leave today^
kind of facilities empty. Most bankers won’t let them.
HOWARD H. PETERS
President
American State Bank
Wessington Springs, S. D.

9

local area the small grain crop was probably
INoneOUR
of the very best ever raised. Wheat yields were higE
also protein this year is up to 16%. There are reports ot
winter wheat of 60 bushels, spring wheat of 50 bushels,

43
o

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Federal Reserve Bank of St. Louis

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YO U R N A M E

TITLE

BANK NAME

AD D R ESS__
CITY _______

STATE

N orthw estern

ZIP.
H onker, S e p te m b e r

1977

44
barley up to 55 bushels, oat yields up to 90, with a few
to 100 bushels. Quality is good on all these grains.
Corn is feeling the usual central South Dakota dry
weather; however, there are spots where the rains just
keep coming. I would say there are about a dozen counties
where the corn is hurt rather badly and another dozen
counties where the corn can still make corn and make
good silage if a few showers are received.
I might add that a great deal of the small grain was
stored, both farm and elevator storage. Farmers are
awaiting the outcome of the new farm program and hoping

deficit is horrible and must be turned around, as this is
one of the most dangerous aspects of all. I think we can
take a lesson of what is and has happened to England with
a big trade deficit.
CLIFFORD G. KASER
President
The First National Bank of Fort Morgan
Fort Morgan, Colo.

HERE will be an abundance of grain and roughage
in this area for feeding both cattle and hogs this fall
and during 1978. The 1977 crops look good and there is
a large supply of 1976 corn on the farms. Most of the
cattle yards in this community are filled as the cattjp
feeders have continued to keep their yards full of cattle
regardless of past feeding margins.
The hogs have been profitable and with the present
low com prices should continue to be profitable, even if
hog prices should get lower.
0
Due to the low grain prices, we would not be sur­
prised if cattle and hogs are marketed at heavier
weights, which would have a depressing effect on the
market prices.

T

J. H. OLIVER
Chairman of the Board
Commercial National Bank & Trust Co.
Grand Island, Nebr.

•
N SPITE of a dry spring, crop production will be
average or better in northeastern Colorado, but
depressed grain, corn and bean prices will make profits
narrow or negative for many farmers this year.
Corn production will be average or better in nortl#
eastern Colorado this year. Irrigation water from the
South Platte river system will be short, but with
widespread rain in the latter part of July and early
August, irrigation water will be adequate to finish the
crops in our area. We will need above average snow #
the mountains if there is to be sufficient water for next
year’s crops, as usable storage in reservoirs is empty or
nearly so at this time.
Corn production, in our area, will be above last year
due to increased acreage and good growing condition#
It is about three weeks ahead of normal in maturity and
should be out of the way of frost damage by September
1.
Cattle feedlots in northeastern Colorado are current
with inventories somewhat higher than a year a g #
Corn is being purchased here now at about $3.25 per
cwt. or less. Cattle feeders, generally, have been
operating in the black this summer, which is a change
from the preceding six months. However, we are seeing
feeder prices working up, due, no doubt, to depressor
corn prices over the com belt so that at present it is
difficult to project a feeding profit on cattle now being
placed on feed. Yearling steers are costing $40.00 per
hundred or more, and heifer mates between $36.00 and
$38.00 f.o.b. the feedlots.
®
Our range customers are anticipating good profits on
yearlings purchased last spring, and calves are being
priced at $42.00 to $48.00 on choice mixed steers and
heifers for October delivery. Grass is generally good m
our area with good pasture gains anticipated.
w
Hog finishers have had a very good summer market

I

“ Where many farmers have been selling grain they m ight start
fillin g their yards w ith livestock again, hoping to get a better
price.”

the cash grain price might react if a more favorable
government program is forthcoming.
In regard to livestock, it is my feeling that we have
many more cattle on the range than is realized by some
that might be writing agriculture legislation. It is difficult
to agree with the Department of Agriculture on their pro­
jections and their figures. In view of this, I doubt very
much if there will be any great increase in cattle prices. It
is apparent that we have ample supply of hogs and this
market, too, will do well to hold its present levels. Sheep
market is excellent and should remain so.
Hay, silage and roughage of all types is ample in central
South Dakota; therefore, livestock men will be able to hold
their foundation herds. Our general condition is a great
deal better than last year. There won't be any cattle
wintered out of the area.
The inflation roars on and with the cost factor of
replacement equipment, repairs, land prices, operating
costs, etc., this all tends to make it very difficult for even
the better farmers to show much progress.
Foreign purchases of meats and grains don’t appear
to look too bright in the coming 12 months. Our trade
N orthw estern

B anker,

Septem ber


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

45

Mother
Cows
Need Basic
Equipment
IT'S A M ATTER OF $ AND SENSE

A beef herd's future depends on the ability of each mother cow
to calve and to see that calf through to weaning.
That mother cow has to be a true mother. She needs the machinery
to produce large amounts of milk and the udder to carry that milk.

ss
4#

Here is a heifer with her first calf, four usable teats and the capacity
for milk. She is doing the job!
How much milk will this cow have with
such limited capacity? Can we expect her to
provide the milk for a growing calf? She
just doesn't have the equipment. Can any­
one afford to keep her?

The photos were from the same herd. The good udder on the
first-calf Tarentaise cross heifer shows this breed's influence
on mothering ability. Simmental and Gelbvieh are two more
breeds that can help.
Milking ability can be bred into a herd. And it can be done
fast. Crossbreeding, with breeds designed for more milk and
sound udders, can bring the needed change in just one
generation.

BBS

Think of your customers' herds. What about the cows? Do
they have the basic equipment?Thoughtful crossbreeding is
one logical solution. It can be done through artificial
insemination. We know, because it's our business.
We offer the best in sires in 19 beef breeds ... and the programs
for beef herd success.
Let's work together in beef herd improvement. Call it $ and
sense.

Address.
Town_
Send Information on:

NWB-0119

CD U sing A .I. fo r b e e f herd im p ro v e m e n t,

Call or send the coupon. We have a beef expert in your area
willing to work with you for beef herd improvement.

ABS is an authorized distributor of ^ n d e Cryogenic refrigerators.
Quality equipment for quality service.

......... J

AMERICAN BREEDERS SERVICE/D»

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Federal Reserve Bank of St. Louis

W
8^

N orthw estern

B anker, S e p te m b e r

1977

46

“We have had an increasing interest in both farrowing and
finishing confinement hog units. I expect this to continue, and
even increase, because of low feed costs.”

here, with most feeders and the banks quite apprehen­
sive about profits in hogs in 1978.
Prospects for pinto bean production is down 10-15%
here, with sugar beet acreage down in this area, but the
crop looks good and tonnage should be normal or
above.
Potatoes in this area are mostly grown on chipping
contracts that should make a profitable crop this year;
however, hot dry weather in late June and July may
have reduced yields from last year’s 300+ sack
overages.
Our hay crop is fair to good this year, with prices
anticipated to be $2 0 .0 0 under last year’s $60.00 per
ton.
DELH. LANDEN
Agricultural Representative
First National Bank in Wheatland
Wheatland, Wyo.

UR marketing area covers central Nebraska, east
and west slope of Colorado, and northeast New
Mexico; therefore, the moisture conditions vary vastly.
Most of Nebraska’s corn producing area has abundant
moisture, thus the prospects for a bumper crop are
excellent and maturity is two to three weeks ahead of
schedule. Silage cutting is getting into full swing with
the price being in the $13 to $15 range. Customers are
expressing growing concern over what they will do with
the corn crop at harvest time. Elevators are expressing
reluctance at taking grain they are not buying; and if
they do take grain for storage, there is a charge of 10
cents handling and 25 cents annual storage. With this
type of arrangement, I believe cash corn could drop into
the $1.50 to $1.60 range during harvest and work back
up to the $2 range in the winter and spring.
Moisture conditions in the eastern Colorado wheat
area are good, and there should be adequate moisture to
give the wheat crop an excellent start. Prices remain

O

N o rth w este rn B anker, S e p te m b e r

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

low for wheat, and I don’t see much hope for improve­
ment with the tremendous wheat crop world wide.
Generally speaking, the hay crop throughout Ne­
braska is excellent and will be more than adequate for
the needed feed supply; however, Colorado is short qp
the east slope and nonexistant on the west slope. Prices
range from $30 per ton in Nebraska to $65-$75 in
Colorado. Denver area is bidding $125 for good native
hay for horses.
Pasture conditions range from excellent in Nebrasi»
to terrible in western Colorado. The Nebraska Sandhills
look like an oasis in the spring; however, western
Colorado looks like a desert. A lot of herds have already
been partially or totally liquidated. The pairs are
bringing from $275 to $325, and most of them qps
moving out of state or to local slaughter.
I have revised my guessing on prices after last
Friday’s on-feed report; however, I have some dis­
agreement with their numbers, especially the percen­
tage placed on feed in July. I feel the total number of £1
cattle will be down at year-end. Also, I believe the price
in early fall could hold closer to the $40 level, and I
doubt some of the forecasts for $35 steers in September
and October. Further, I believe hogs will slip into the
$35 range before cattle do. Feeders are going to 9e
forced to use extreme caution in buying because the
excess feed crop (along with low price prospects) is
creating a demand that is keeping feeder prices higher
than the fat market warrants.
In conclusion, I believe we should back d®r
customers to stay in the business but look carefully at
the margin to regulate numbers.
JAMES A. MAURICE

#

President
Monticello State Bank
Monticello, la.

UR AREA in southeastern Wyoming has be(p
blessed with above average moisture for June and
July which has greatly improved our grass and
livestock water. Our hay crop will be a little short in our
area and priced high compared to cattle prices. It is
hard to see much improvement in feeder prices with tjp?
present fat cattle market as it is. Livestock producers
will be hard pressed to break even, especially the
cow-calf operator.
Lambs continue to be a bright spot in livestock
operations; sheep numbers down in our area.
£
Most of our feeder cattle are sold direct through order
buyers or at livestock auctions. We do have some
calves wintered in the irrigated portions of our area.
These are warm-up operations making use of a silage
and hay program.
#

O

LARRY EHLERT
President
Biozyme Enterprises
St. Joseph, Mo.

-

INALLY, the cattle business has put the cow-calf
man in the driver’s seat!
With all grain prices the lowest they’ve been sin ^
March, 1973, the time is here for all cattlemen to caSt
in on the situation. By taking advantage of the cheap

F

47

die in Des Moines plan to

: ATTEND
.

Learn How to Hedge'... a
seminar designed to help you
• better serve your ag-clients
• H ow margin accounts w ork for you
and your customer
• B a s i s — how it is used
• Hedging vs. forw ard contracting
• Insuring loans and profits
• Storage, transportation, shrink,
interest costs and many other topics
relating to marketing options avail­
able to your farm clients to realize
the greatest possible pro fit potential.

Sunday, September 25, 1977
9 AM to 5 PM at the Ramada Inn
^Intersection of 1-235 and 6th Avenue
Des Moines
If you w ant to m aintain aggressive
leadership in your ag-com m unity — if
* y o u w ant to better evaluate the col­
lateral of your ag-loans — if you want
to increase your ag-portfolio — then
^ yo u 'll w ant to learn more about how
you can help your ag-customers.
"Learn H ow to Hedge" is a w orking
seminar designed specifically for the
• ag-lender. You'll hear and participate
in comprehensive discussions about:
• Principles of futures trading and
profitable ag-marketing
w • What hedging is and how it works
for you and your customer

It's a fu ll day packed w ith valuable
inform ation to help you be a more
knowledgeable financial advisor to
your ag-customers. Plan now to
attend. Sim ply send the registration
form below.

! Farmers Grain and Livestock j
| 1200 35th Street West Des Moines, Iowa 50265

1
|
i

Sunday, Sept. 25, 9 AM Ramada Inn
Intersection o f 1-235 and 6th A v en u e, D es M oines

I I plan to attend your “Learn How To Hedge" seminar:

•

For further information
call FGL at (515) 223-2200.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

I
|

|
|

□ Check for $65 enclosed. Registration fee
includes luncheon, coffee breaks, study materials and workbook. |

|

N a m e __________________________________________________

|

1 A ddress___________________________ ______________________
1
■

1
I

-----------------------------------------------------------------

1

I Bank____________________________________________________

1

1

N orthw estern

B anker, Se p te m b e r

1977

48

10th Fed Ag Credit Still
Tight

•

The following paragraphs summarize a report
prepared by D. Kerry Webb and Dr. C. Edward
Harshbarger of the research division at the F ederal
Reserve Bank of Kansas City, based on results of
an Agricultural Credit Survey compiled by the 10th
Fed and published August 10:
GRICULTURAL credit conditions in the Tenth^
Federal Reserve District remain tight and low
A
crop prices continue to create problems for farmers

“I think that we don’t have the cattle numbers that the
government surveys say we do.”

grain, the cost of production is going to drop sharply.
This will show up on the bottom line for the cattlemen.
The following points help to build our case:
1) According to reports we receive, feedlot capacity
is presently running about 50% occupied, and
competition will be good.
2) The packing industry is overbuilt and will need
large numbers to operate effectively.
3) There will be more profit for the calf producer to
carry 1 calf to 800 lbs. than to carry 2 calves to 400 lbs.
each. Many producers could make their best profit by
carrying their calves to market weight.
4) Beef supplies will be shrinking. 1976 beef
consumption added up to 129 lbs. per person. It’s pre­
dicted that by 1980 per capita beef output should back
off to 115 lbs.
5) Choice cattle in 1978 should average about $45; in
1979 they’ll be above $50; and in 1980 could be as high
as $60, as predicted by some economists.
6 ) With latest estimates, if we produce a 6.2 billion
bushel com crop this year, we could see $1.60 or less per
bu. com by the fall of ’77, plus a large crop of other
cheap grains.
7) The above points show that there will be a great
demand for all calves of all sizes.
When 100 lbs. of beef will pay for 20 bu. of com, the
cattle feeder does O.K. by converting grain to beef. If
com should get as low as $1.60 per bu., then the grain
producers by thousands will buy cattle to feed, rather
than sell corn. Brought conditions have forced a lot of
grain men to put up silage so the only way he can sell
silage is by feeding cattle. Our estimate is that 1 ton of
silage will produce 100 lbs. of beef, so silage offers a
good plan of recovery. The prospects for wheat pasture
never looked better and good wheat pasture for the first
time in several years is a renewed market for calves.
We’ve found the attitudes of the cow-calf men
changing in the last few weeks. Things look brighter.
The gloom and doom season is coming to an end. We
can finally see a great future for the cow-calf man.
N orthw estern

B anker, S e p te m b e r


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

and rural bankers. According to the July 1 agricul­
tural credit survey of the Federal Reserve Bank ol#
Kansas City, about two-thirds of the 177 bankers
surveyed reported agricultural loan demand higher
than a year ago largely because many farmers need
loan renewals and extensions.
The survey of primarily agricultural banks in#
Colorado, Kansas, Missouri, Nebraska, New Mex­
ico, Oklahoma, and Wyoming showed that more
than 40% of the bankers report a shortage of
loanable funds to fully meet loan demand. Although
most banks are continuing to make farm loans, m os#
are not actively seeking new accounts now, and
many are referring customers to correspondent banks
and nonbank credit agencies.
The lack of funds in agricultural areas is due
partly to a reduction in farmers’ ability to repay®
debts, and to relatively slow growth in deposits in
some areas because of poor crop receipts. About
two-thirds of the respondent banks reported the
rate of loan repayments slower than a year ago.
A consequence of the high demand and shortage®
of funds situation is that loan-deposit ratios of the
surveyed banks was about 65% on July 1, compared
to less than 59% a year ago. A majority of the re­
spondents indicated their loan-deposit ratios were_
greater than desired. Nevertheless, average interest^
rates for agricultural loans at the surveyed banks
have remained stable over the past year, the survey
revealed.
Farmers apparently are deferring new equipment^
purchases. More than 85% of the bankers reported
equipment buying was off from a year ago and that
their lending terms for new equipment, with a few
exceptions, had been tightened somewhat. In this
connection, the bankers also noted that their non-^
farm agribusiness customers also are experiencing
cash flow and collection problems.
While many farmers have cash flow difficulties,
and some are turning to government loan pro­
grams, real estate borrowing, and land liquidation#
to continue operations, the surveyed bankers re­
ported no general decline in farm real estate values.
Average land values throughout the region were up
7 to 8 % over a year ago, although some localized
decreases were reported.
#

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I
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Federal Reserve Bank of St. Louis

in c

G entlem en: Please send me m ore inform ation and
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50

RMAs new president looks ^

Commercial

A NORTHWESTERN BANKER Interview with
WILLIS F. RICH, JR.
President
Robert Morris Associates
Executive Vice President
Northwestern National Bank
Minneapolis, Minn.

HE CURRENT softness in commercial loan
demand reflects the determination of corporate
finance officers of larger companies to develop
alternative money sources and keep their options open
outside the traditional stream of commercial bank
loans. In expressing this opinion, Willis F. Rich, Jr.,
incoming president of Robert Morris Associates, the
national association of commercial bank lending
officers, adds that money center and regional banks are
fully capable of meeting the loan demands of big
business, but corporate finance officers are keeping
their cash requirements down as well as looking
elsewhere for needed funding.
Mr. Rich expressed this opinion during an inverview
with the editor of the N orthwestern B anker and
responded to a number of other questions dealing with
commercial lending and the RMA. The questions and
his answers follow:
Is banking really able to handle the lending
Q needs
of very large industries today?

T

There is a pretty strong feeling by money
centers bankers, which we share, that money
center banks plus leading regional banks can handle the
loan demand of big business, but there is no indication
that this demand will pick up significantly in the near
future.
Keeping in mind the 1974-75 financing problems,
including high interest rates and bank allocation of
funds, corporate financial planners have put
themselves on record they won’t be as reliant on banks.
To be specific, corporate finance officers have done and
are doing several things:
• They request billing on a fee payment basis for
lines, loans and services, instead of using compensating
balances.
• This eliminates that portion of borrowing for

A

N orthw estern Banker, Septem ber

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

carrying compensating demand deposits and provides a
tighter corporate cash position. Banks continue to
prefer demand deposits as a necessary ingredient for
balanced growth.
• They are accelerating their collection 0
receivables. With the help of banks’ cash management
programs, they are getting the use of good funds
quicker, and this will be a permanent type of process.
Northwestern National Bank, like many of its
competitors, intercepts in a lock box, processes iten®s
promptly and gives irreducibly fast credit. This cash
management service, plus other operating techniques,
accelerates the collection and availability of good funds
for our active corporate customers.
• Most corporations are continually controllii%
inventory levels on a very conservative or tight basis.
This is a conscious effort to avoid the excesses of the
past. They are making darn sure they won’t get stuck
with slow-moving inventory even though it may cost
them in sales. With computer programs, they ha^ft
more accurate and immediate control of their inventory
position than in the past. Inventory and Receivable
ratios will be watched more closely than ever before.
• Efforts are being made by major corporations to
secure fixed rate loans so they won’t be caught in^l
sudden upswing in short-term rates. Current
aberrations indicate that insurance companies are
occasionally providing five-year fixed rate loans and
banks now are going as far as 10 to 15-year fixed rate
terms. These are exceptions, but seven to ten years %
more and more prevalent.
The commercial paper market has been steadily and
actively used by major corporations during the past
two years when bank borrowing dropped. Thn
commercial paper rates have been significantly low®
than bank rates during this period but the spread
differential has recently narrowed so either a slightly
higher prime rate or modest increase in bank borrowing
may result.
In view of these developing changes — some
subtle and some very pronounced — in
commercial lending, do you foresee further specializa­
tion in banking?
A The largest corporations have their o\Hl
specialists. However, the commercial lending

Q

V

51
panelists focusing on current topics at the annual RMA
convention at the New York Hilton this fall, October 31
- November 3, which will be attended by about 1,000
members and 700 spouses. These panels should again
be extremely popular with active audience parti­
cipation.
A moment ago you referred to a bank's loan
policy. What importance do you place on a
written loan policy and how do you react to the
insistence on such a written policy by the Comptroller
of the Currency?

Q

¡ending

officer working with medium and smaller sized
companies is usually expected to provide money
managment and cash planning help in addition to his
normal lending functions. He must be able to discuss
intelligently a variety of banking services and be able to
identify opportunities even though he may eventually
need help from his own shop or from his correspondent
bank.
Here at Northwestern National, each commercial
Ending trainee must go through our Financial Services
Division as an integral part of the commercial training
program.
This need for broadened financial training is one
reason why RMA likes to work with other banking
Organizations — in order to help develop such
programs. In this case, we have worked with the
American Bankers Association, Bank Marketing
Association, Bank Administration Institute and
similar groups.
^ In major banks, however, there is still room for
specialists.
Does Robert Morris Associates, then, have a
usable program for properly training new lending
Oficers?

Q

Yes. RMA formulated the Loan Officer
Development Seminars in 1973 jointly with the
American Institute of Banking. This is a program for
t*nks to administer themselves. More than 10,000
have made active use of this training program.
Normally, it is done over one week of time with a time
investment of 36 hours of study.
In addition, each of RMA’s lending councils and
committees offers a variety of workshops. These are
held throughout the year and all have been subscribed
up to the limit of attendance. When they are
over-subscribed we put on added workshops on that
subject. Just as an example, more than 1,000 persons
^tended RMA workshops in various cities on “How to
Write a Loan Policy.”
We also have a one-week Loan Management Seminar
offered jointly each year at Indiana University by RMA
and the university. Enrollment is purposely kept small
t # maximize the benefit to participants.
Also, we will have our top commercial lenders as

A


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

A written loan policy is of great importance to
the bank — providing clear guidelines for officers
and directors alike. It helps examiners weigh our loan
purposes and procedures. If we are careful in spelling
out our loan policy and in following it, the examiners
should eventually be able to cut down their
examination time with confidence.

A

Q

H ow does your own bank’s written loan policy
work out in practice?

Our Commercial Loan Policy places top priority
on commercial loans which are economically
productive and which provide sound regional
employment as contrasted with speculative purpose
loans. We do also consider loans which serve social
goals or assist in community improvement even though
these do not fit our normal credit criteria.
For example, the Minneapolis Housing Agency
needed banking support for a home improvement
program in more depressed city areas. By using a
combination of bank funding in which all the larger
Minneapolis banks participated and a low cost bond
issue, loans of up to $ 10,000 at low interest rates to
lower income families were provided them so that they
could remodel or upgrade their homes. This has been a
successful, active program which will build value in
existing properties and provide an effective means of
real cooperation between the banks and the City
government authorities.

A

Since you’ve mentioned regulatory examinations
several times, how does RMA view the
Comptroller’s new bank exam procedures?
RMA received responses from more than 20
A banks
that had undergone the new exams.
Management of these banks generally felt the new
exams were more productive and more effective in
analyzing the condition of the bank currently as well as
its future objectives. Because it was new, it took
considerably longer but set the stage for shorter
examinations later. We reviewed these survey results
with the Comptroller’s office. The responses were
mostly favorable from the bankers involved, although
there were some com plaints about excessive
paperwork. We’ve also had RMA meetings with key
staff members from the FDIC and the Fed.
These meetings help RMA members keep up-to-date
and they give a means for RMA input to the regulators.
We did get a positive response in our survey on the
general ability level of examiners for all of the three
agencies which we contact.

Q

Q

On another subject now, le t’s discuss
responsibility in conflicts of interest regarding
N orthw estern

Banker, Septem ber

1977

52
Clarence Reed, Executive Vice President of our
association, went with me recently to see key officers of
three large Canadian banks to invite them to join with
the Bank of Montreal and the Royal Bank of Canada
who are already RMA members. The current Canadi^i
Banking Act, Which was passed for the normal ten
year period, expired last June but was extended to
March 1978. The new recommended Act would allow
foreign banks, including US banks, to operate in
Canada under controlled conditions and limi%.
Meanwhile Canadian banks continue to expand thenoperations in the US. RMA activities could be helpful
to our Canadian friends.

Q

What particular services of RMA do membe^p
find especially valuable?

The RMA Statement Studies is the most
comprehensive compilation of it kind. It
provides annually useful ratios from 50,000 statement;
for a wide variety of industries of all sizes. Ea®
member bank is encouraged to submit statements of its
clients. These are fed into the RMA computer to
produce the composite balance sheets and ratios which
all member banks use.
RMA has been very active in the international aria
both separately and jointly with BAFT in producing an
Offshore Lending book, in well-attended seminars and
in country statement analyses.
Our monthly issues of The Journal of Commercied
Bank Lending are not only extremely valuable to om
members but are distributed to over 12,000 other users.

A

Bill Rich reviews loan data with one of his Northwestern
National Bank associates, James R. Campbell, sr. v. p. in the
national accounts dept.

the bank, individual officers and directors. What is
acceptable, and what isn’t?
has had a number of Journal of
A RMA
Commercial Bank Lending articles dealing with
conflicts and business ethics. However, it is up to each
bank to assess its own situation and adopt a program
which will appropriately cover its staff. Regulations
and legal interpretations require banks to constantly
examine possible conflicts of interest and communicate
its policies to its staff.
about the use of leasing in commençai
Q What
lending?
This is one of the fastest growth areas in banks
and bank holding companies. Leverage leases are
normally made for larger transactions with the bank
becoming the equity owner of the property after having
made arrangements for the long term debt financing.
With the tax ramifications, leverage leases are
normally held on the bank’s books rather than in the
leasing subsidiary. Direct leasing is growing rapidly
with many major banks or bank holding companies
forming active leasing subsidiaries. RM A should have
an active demand by its members for leasing seminars
which is another important form of financing that the
bank can provide its customers or prospects.

A

Let’s talk about Robert Morris policies that will
receive emphasis by RMA during the coming
year when you are president.
RMA, although not a lobbying group, does keep
A actively
in touch with pertinent congressional
committees so that our members can provide expert
testimony on commercial lending matters.
We will continue to work closely with Accounting
groups as well as the Financial Accounting Standards
Board (FASB) to discuss accounting practices and
changes. RMA members are the largest users of
certified audits.
We want to work more closely with other banking
groups so that we coordinate rather than duplicate
efforts to improve banking effectiveness and service.
We want to bring Canada more fully into RMA.

Q

N orthwestern

B anker, S e p te m b e r


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

Is all this RMA activity of benefit to small and
medium sized banks?
^
very definitely. Many of these banks use
A Yes,
the RMA officer training program. Larger banks
not only participate in most RMA activities but
actively use RMA materials. Our RMA lending
committees show a solid mix of representations frop*
smaller banks as well as larger ones.
We continue to add new RMA members both by
bank and individually. A particular surge occurred in
1974 when commercial loan outstandings increased and
loan problems surfaced. We look for a continu#
increase in membership as more and more banks
become familiar with RMA goals and services.
Robert Morris Associates was founded in 1913 for the
original purpose of members gathering together to set
up a means of exchanging credit information and a c o #
of ethics to assure the confidentiality of bank and
customer information. This has been revised to update
procedures and language so that RMA members
continue to use it actively.
RMA has more than 6,700 banker members wlfc
represent 1,750 banks, and their institutions have
about 80 % of the commercial bank loans in the nation
today. These members belong to 31 RMA chapters
nationwide, some of which cover several states. Each
chapter can have its own rules for membership.
®
From this diverse array of membership —
geographically and by size of bank — RMA truly
represents a cross section of commercial bank lending.
Our goal is to continually improve the quality of bank
lending and through RMA we believe this goal can ^
achieved for banks of all sizes. □

Q

53

. A correspondent bank
should give you m ore
•
than ju st a
. correspondent banker.
We do.
When you choose First National Bank in
St. Louis as your correspondent bank, you get
more than a correspondent banker.
You get an entire
staff of specialists who
offer you daily assis­
tance for daily needs.
For example,
the “Rabbit Transit” check­
clearing systems our
people have developed
can help improve your earnings, because your
%ansit items become collected
balances rapidly.
We also offer you the
services of agricultural fi­
nance specialists who can
help you provide your cus­
tomers with expert advice as well as flexible
loan arrangements.
In the area of Fed Funds,
investments and the safe­
keeping of securities,
we offer a performance rec­
ord that’s highly regarded
in our industry.
Our electronic data processing team brings
you the most sensible
for getting work done—
•eliably and accurately. And
our computer specialists
offer counsel and advice in
all phases of EDP systems.

Our capacity
for overline lending,
based on our sizable
assets, allows you
the opportunity to make
larger loans than you otherwise might.
Annually, we sponsor seminars where
you and other top management of
your bank meet with the top
management of our bank
to exchange ideas and
share expertise. These
seminars also serve to
keep you up-to-date on recent
developments in our industry.
Of course, your correspondent
banker is always available for
individual consultation. He’s the
key to our relationship and the
person we depend on to make
fast decisions on our behalf.
He’s the one you can depend
on, too, when you want to get
more from your correspondent
bank. He can help you plan
for your bank’s future and for
our future together.
If you’re not already seeing
a First National Bank in St. Louis
correspondent banker, just call
Chuck Betz at (314) 342-6386. He’ll
make sure you get a correspondent banker...
and a whole lot more.

First National Bank in St. Louis
A F irs t Union Bank


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Member fdic

N orthw estern

Banker, Se p te m b e r

1977

54

W hat
can w e do
for you?
Just ask any one
o f these Commerce Bankers
attending the
ABA Convention.

B. M. Lamberson

P. V. Miller, Jr.

Vice Chairman,
Commerce Bancshares, Inc.

President

David A. Rismiller

Fred N. Coulson, Jr.

Tom C. Cannon

John J. Williams

Executive Vice President

Senior Vice President

Vice President

Vice President

# Commerce Bank

MEMBER FDIC

o f K ansas City
9th & Main
234-2000
N o rth w e s te rn B a n k e r,

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

S e p te m b e r

1977

10th & Walnut

12th & Charlotte

55

ABA Annual Convention
October 15-19
Houston

O ROFITABILITY of banks, banking’s competition, existing regulations
and proposed legislation will be the most prominent topics on the pro­
gram at the American Bankers Association’s (ABA) 1977 Annual Conven­
tion in Houston, October 15-19.
_ From the moment the convention opens at Astrohall in Houston’s
famous Astrodome complex, over 12,000 bankers and their spouses will
enjoy a wide variety of opportunities to gather new information on the issues
facing the banking industry and to exchange viewpoints and experience with
tteir equals from all over the country.
Saturday, Oct. 15
Convention activities on Saturday, Oct. 15, commence immediately after
Grand Opening Ceremonies with the opening of educational exhibits and an
EFT (Electronic Fund Transfers) Showcase.
- Saturday afternoon will be highlighted by two banking forums. The first
wm focus on the nation’s economic and investment outlook, with special
emphasis on the needs of bank portfolio managers. The second will examine
new federal laws and regulations which affect banking.

W . L. McPETERS
President

Sunday, Oct. 16
• A Fellowship Gathering in the Astrodome Arena will begin Sunday’s
activities. The speaker at the Fellowship Gathering will be Bishop Fulton J.
Sheen, the nationally-known religious leader.
More special events and presentations in the exhibits hall and EFT
Slmwcase will fill out the Sunday program, followed by a reception featuring
Rwiaissance decor at Houston’s Galleria shopping mall.
Monday, Oct. 17
One highlight of the convention’s first general session, Monday morn­
ing, will be a presentation on the Full Service Bank concept of advertising
aqg public communications. ABA’s new Full Service Bank advertising cam­
paign, to be formally announced before the Convention, will be an essential
element of the banking industry’s competitive strategy against non-bank
competitors.
Special interest sessions, many of them keyed to community bankers’
nc#ds, will be clustered in two separate series of meetings Monday afternoon.
Topics to be covered in the special interest sessions include:
• New national bank examination procedures.
• Agricultural lending in a cash flow crunch.
• Secondary market opportunities for community bankers, including
th# programs of the Small Business Administration, the Farmers Home
Administration, the Federal National Mortgage Association, etc.
• Community bank investment management, including techniques of
portfolio planning.
• The role of spouses of community bank chief executive officers.
• • Management skills and techniques applicable in banks of any size.
(continued on next page)

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

A. R. (B U D ) MILLIGAN
President-Elect

R. A. LYON
Treasurer
N orthw estern

Banker,

Septem ber

1977

56

ASTROWORLD, an unequaled cosmos of family entertainment, is one of the nation s
four great amusement centers.

O
ABA Shuttle Bus System
To Ease Houston Travel
A private bus transportation system
will simplify getting around in Houston
during the ABA Convention. Thdfcr
will be three shuttle routes, one serving
each of the hotel areas. The convention
badge is a free pass for boarding one
of a fleet of 60 buses which will take
you from your hotel to the Astilfcdome in about 20 minutes.
New to the convention this year will
be a special evening bus service which
will run until 10 p.m. To avoid confusion, all the special buses will #e
marked “ABA Convention.
The
final convention program will identify
routes and time schedules. If you don’t
care to use the shuttle bus, there mil
be cabs available.

• Major government relations issues of concern to banking.
• Methods of formulating lending policies and administering credit,
keyed to medium and larger banks.
•
• The role of directors in community banks.
• Employee stock ownership plans.
• Capital adequacy of community banks.
• Community bank insurance coverage.
• Marketing for new business and cross-selling in the community ba^k.
• Determinants of loan portfolio profitability in medium and larger
b2.nks
• Asset and liability management for medium and larger banks.
The two series of special interest sessions will be scheduled to allow
bankers a wide choice of topics.
^

W . W . ALEXANDER
Exec. Vice P resident

Tuesday, Oct. 18
Tuesday morning s general session will feature a discussion of baj^k
regulatory issues by representatives of the federal bank regulatory agencres.
Highlights of events Tuesday afternoon will be two forums. The first
will focus on community bank profitability, while the second will examine
methods of coping with new services such as NOW accounts.
A second gala reception Tuesday evening will round out the d|^ s
events.
Wednesday, Oct. 19
Wednesday’s general session will include a program segment set a^le
for association business, and noon ceremonies will mark the close of ABA’s
1977 Convention.

J. H. PERKINS
N om inee For Pres.-Elect

ABA Publishes Folder
On Common Swindles
A new statement stuffer describing
the activities of the con artist or
swindler is being offered for bank use
by the American Bankers Association.
Entitled “Don’t Be Swindled,” the
leaflet outlines nine of the more com­
mon schemes — actual cases of
swindles that are perpetrated on the
American public. The nine swindle

T. SMITH
N om inee For Treasurer
o rthw estern Banker,
Digitized forNFRASER
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Septem ber

1 9 77

techniques discussed in the folder were
originally recorded in another form by
the Detroit Bank and Trust.
The eight page statement stuffer
measures 3!4 by 7 inches when fol^d.
Minimum orders of 500 copies are
available for 1 1 cents each through the
Order Processing Division, American
Bankers Association, 1120 Connecti­
cut Ave., N.W., Washington, 1#C,
20036.

57

See you at the American Bankers Association Convention!

iiZSf;
Crosby Kemper

Jerry Scott

Bill Bolt

John Kramer

E.L. Burch

Mike Fleming

Fritz Krohmer

Duncan Kmcheloe

United we grow. Together!
Member FDIC

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N orthw estern

B anker, S e p te m b e r

1977

58

STAN Slocum, owner of “ Images of the Old West Gallery'' in
Minneapolis, and James W. Reagan, pres., American Natl. B&T
of St. Paul, Minn., look at “ A Portrait of Al — 1975" by James
Bama.

PICTURED Is “ Bunch Quitter” by Joe Abbrescia of Kalispell,
Mont.

W estern A r t- A Good Investment
W
HETHER you call it cowboy art, frontier art or
Western art, the oils, watercolors, prints and bronzes
indigenous to the West are demonstrating a wave ot
investor interest in 19th century Americana that is turning
heads in the financial community.
Since art became a popular form of investing some
10 years ago, the value of quality Western Art has
appreciated rapidly, yet in an orderly and progressive
manner, displaying a track record that places it in an
excellent “inflation hedge“ category.
The banker is in the somewhat unique position of acting
as both collector and financer of Western Art. Lending
institutions are frequently the setting for the showing of
the institution’s own collection, or for showing the works
of local talent.
By purchasing works of quality Western Art foi its
own collection, the bank not only performs a cultural
leadership role, but supports the art world in general
and the artist in his individual creative effort.
How can a lending institution be assured it is wisely
purchasing good art? The safest way, say the expeits, is
by consulting with a good gallery, most of which are more
than willing to offer professional guidance in establishing
a collection that will appreciate in value, whether the
investments be modest or of a larger scale.
“ Images”

One such facility recently opened in the Twin Cities
area. The husband and wife team of Stan and Sue
Slocum started their “Images of the Old West Gallery,’"
appropriately located in the Citizens State Bank building
in the Minneapolis suburb of St. Louis Park, last
September.
Collectors of various forms or art for over 15 years,
the Slocums closely followed the burgeoning market for
Western American Art before opening the only gallery
in the Upper Midwest dealing exclusively in the subject.
Digitized for
N o FRASER
rthw estern Banker, S e p tem b er
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Federal Reserve Bank of St. Louis

1977

Their spacious, modern gallery now houses over 2 5 ^
selected pieces that represent the works of more than 40
of America’s renowned Western artists, ranging in price
from $50 for a limited print to $30,000 for the classic
1895 Remington bronze, “Bronco Buster.”
A significant factor in the Slocum s decision to o pt^
“Images” was the success of a historical Western Art ex­
hibit for the public in late 1975 put on by the Northwest­
ern National Bank of Minneapolis in conjunction with the
Minnesota Historical Society.
ON THE COVER
Pictured on the cover is an oil painting titled
“Motherless Outlaw” by Bill Barber.
The Northwestern Bank’s success convinced us that this
area had a great deal of interest in Western Art,” Mr.
Slocum said, who retains a full-time representative #
consult with banks, corporations and individuals in estab­
lishing their private collections.
Mr. Slocum advises collectors to “buy art you like and
will enjoy, art you can live with.”
“Art is something you display and enjoy — you doi#
stash it away like securities. But like a good select stock,
Western American Art is an investment for the future and
has been appreciating in value faster than most other types
of art.
“Paintings that sold for $300-500 in the 1930s aW
frequently in the $50,000-100,000 category today. But the
value isn’t solely in the works of the old masters — con­
temporary artists painting or sculpting today have seen
WESTERN ART . . .
(Turn to page 64, please)

"Being a First correspondent bank
helped us succeed in landing
important new business
like Floyd Eiirleigh’s feed yard.”

*. J****»«*, *
r r»,.
The Security State Bank
rof Scott City, Kansas is a true
success story. A correspondent
bank relationship has helped it
grow and maintain important
new accounts.
It began in 1967 when
Duane Ramsey of Security State
solicited the agri-business of
Mr. Floyd Fairleigh of Scott City.
To handle his sizeable credit
needs, Security State sought
the participation of the First
.National Bank of Kansas City.
First National responded
>y offering a major line of credit
nd the agri-business expertise
of people like Gene Foncannon.
Correspondent help like
this has played a part in the
growth of Security State Bank.
And as Floyd Fairleigh’s small
feed yard operation has grown to
six agri-business corporations,
Security State has grown with
many new accounts.
If your bank needs a
productive correspondent
relationship to solicit and obtain
new business, extend credit, add
expertise and a depth of
personnel in your area of
interest, call the professional
staff of the First National Bank
Correspondent Department.
We take pride in the success
of Security State Bank.
Our correspondent banking
J tradition has been built on help
like this.
Why not put our strong
tradition of excellence to work
for your success.

ïplrst Natton&fc®anfeof Kansas’!

Ba^feoiJScott City*

Fairtei^Fairieiiti.FeectY^ds "

~"

Ibur success is our tradition.

First
.
National
R o n ly'of K

ansas city;

U u l 11VMISSOURI
An Affiliate of First National
Charter Corporation


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Federal Reserve Bank of St. Louis

Member FD 1C
N orthw estern

Banker,

Septem ber

19 7 7

our guarantee
is simple.

Conventional methods of planning
normally involve three basic steps.
1. ) The preparation of expensive pre­
liminary drawings by an architect;
2. ) your analysis of these plans; and
3. ) the acceptance of formal bids f r o m #
one or more general contractors.
Unfortunately, the price often turns out
to be far higher than the original
estimate . . . and you have four ways
to go: back up and start over again;
scrap the whole idea until later; com- #
promise your original plan by modifica­
tion, or bite the bullet and pay the
higher costs . . . hoping of course,

thatthefinaltabwillnotbeevenhigher.

Bank Building Corporation has a better £
way. When you work with us, we’ll
guarantee the total cost of your new
facility beforeyou invest a penny in
expensive working drawings. And if the
completed cost exceeds the price we
guaranteed, you pay only a fraction of ^
the difference. Bank Building picks up
the rest. And if it costs less . . . you get
practically all of the savings!
There’s not another firm in your city or
in the country that can back up a cost ^
estimate with a guarantee like ours, a n d ^
the only reason we can do it is because
we’ve been in this business for 64 years,
and have planned, designed, and built or
remodeled more than 6,000 buildings.
Our preliminary presentation gives y o u #
complete floor plans; outlines the full
scope of work, completion timetable, and
materials; and color sketches to show
what your facility will look like when
completed . . . and a GUARANTEED
COST ESTIMATE. We’ll be happy to
•
discuss your next facility. We have a
man in your arec

^ 4 0 as-T

S V <r t:.

Bank Building Corporation
n b -977
1130 Hampton Avenue
St. Louis, MO 63139
(314) 647-3800
Please send information about how
you can help build my business.

Bank Building
Corporation

NameT it le Firm _

We ’ll build you a business.

Address.
C ity ----
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Federal Reserve Bank of St. Louis

^

State

OFFICES: St. Louis, Washington, D.C.; Hartford, Conn.;
Chicago, Atlanta, Dallas, Denver, San Francisco

„

61

Monetary and
banking trends
By L. WAYNE DOBSON
Professor of Banking
University of Nebraska
Lincoln, Nebr.

if the Fed has the benefit of the wis­
been several proposals for fun­ dom of our elected officials. In other
damental changes in both the opera­ words, most of these proposals are de­
tion and structure of the Federal signed to lessen the Feds so-called in­
Reserve System. There is nothing un- dependence.
^ usual about such proposals being
Because of the importance of mone­
w suggested; in fact, they are a perennial tary policy to the functioning of the
exercise by Congressional Committees. economy, any proposed change in the
In general, such proposals are de­ structure of the Federal Reserve
signed to make the Federal Reserve should be seriously considered, partic­
^m ore responsive to the desires of either ularly if the change has the effect
the Congress or the Executive branch of making it more responsive to elected
on the assumption that it should be officials. When the Federal Reserve
more accountable to the public for System was established in 1913, the
its actions. Proponents of these changes objective was to insulate (not isolate)
0 apparently feel that the Federal Re­ its decision-making process from all
serve has conducted monetary policy potential pressure groups, including the
in a manner that is something less than Congress and the Executive branch.
At that time, the reasons were
desirable and that it can be improved
T \ URING recent weeks there have

ABOUT THE AUTHOR— L. Wayne Dobson received his AB and MA degrees
from Western Kentucky University, then earned his MA and Ph.D. degrees
in economics from the University of Kentucky, after which he did post­
doctoral work at the Unversity of Chicago. He is also a graduate of the
Graduate School of Banking at the University of Wisconsin. Dr. Dobson's
current positon is Abbott Professor of Banking and professor of economics
and finance at the University of Nebraska in Lincoln. His previous
positions were chairman of the department of economics at Western
Kentucky University; director of research and education for the Kentucky
Bankers Association, and research fellow at the Federal Reserve Bank of
Cleveland.
Dr. Dobson has written more than 30 articles and monographs for such
publications as Taxes, Banking Law Journal, Bankers M agazine and The
National Tax Journal. He is educational director of four banking schools
sponsored by the states of Kansas, Missouri and Nebraska and has been a faculty member of numer­
ous other banking schools, including the Graduate School of Banking, University of Wisconsin.


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Federal Reserve Bank of St. Louis

assumed obvious: politicians, as elect­
ed representatives, are constantly sub­
jected to pressures from their con­
stituents to satisfy their needs and de­
sires, and these demands are not les­
sened by discussions about the long
run implications if they are imple­
mented. Nor should the policymakers
be placed in the position of being
compelled to attempt to correct every
short run problem encountered by
the economy at the expense of its
longer run position.
Thus, both the elected officials and
the Federal Reserve would be less
subject to evanescent pressures if the
System were independent within the
government (not independent of the
government). In many instances this
arrangement has made the Fed a
convenient whipping-boy for the Con­
gress.
As we have become more accus­
tomed to the notion that the economy
should be managed, an effort has
been made to provide a more struc­
tured and co-ordinated policy-mak­
ing process. Since monetary policies
are considered to be key elements in
the accomplishment of economic ob­
jectives, it is argued that they be under
closer control by elected officials.
Two specific proposals are designed
to accomplish this objective. First, to
make the term of the chairman co­
terminous with that of the President,
and to make his appointment subject
to confirmation by the Senate. This
has recently been amended to have the
chairman’s term begin one year after
the President takes office. In either
case, it provides for greater control
over the chairmanship by the Execu­
tive branch and thereby lessens the
Fed’s insulation from pressures.
Second, to subject the Federal Re­
serve to a GAO audit. These audits
are normally for the purpose of deter­
mining that congressionally appropri­
ated funds are properly disbursed;
however, the Fed does not receive
congressional appropriations. Such a
requirement would be the first step
to forcing the Federal Reserve to rely
on Congress for its operating funds.
Many other proposals exist for
changing the System’s operation. These
should be critically evaluated. Are
they designed to lessen the indepen­
dence of the Fed or to provide more
complete information about its opera­
tion, such as monetary growth targets.
The former are of questionable value
and may prove to be disastrous; the
latter may perform a useful function.
N o rth w estern B anker , S e p t e m b e r

1977

62
Ron Doll at the recent North
Dakota Bankers convention with
his Argosy Brandtmobile.

Mobile Salesroom
Saves Bankers’Time
OTOR HOMES have become
the ideal display room for an in­
M
creasing number of companies whose
sales representatives cover a wide area,
yet must have demonstration models
of equipment available.
The experience of Ronald E. Doll,
district manager in Minnesota and
North Dakota for Brandt Money Han­
dling Systems, is typical. Located
in Wayzata, Minn., in suburban Min­
neapolis, Ron Doll and his two sales­
men have many miles to cover in order
to contact the more than 900 banks
in the district — 747 in Minnesota and
172 in North Dakota. Brandt, Inc.,
headquartered in Watertown, Wis., is
an old-line manufacturer of all types
of equipment serving the needs of
banks and other large volume money
handlers.
One of the problems experienced by
Mr. Doll and other Brandt representa­
tives was the difficulty bank executive
officers would have in scheduling the

time to visit the district office, a con­
vention site or perhaps another bank
to see a demonstration of the equip­
ment and have it explained. This con­
sideration, along with the incon­
venience of transporting heavy ma­
chines by automobile, led Mr. Doll
to consider a motor home as a mobile
salesroom.
As a result, he is now one of 14 of
Brandt’s 42 district managers who op­
erate a mobile home traveling display
room. Mr. Doll purchased a 28 foot
Argosy motor home, equipped it him­
self with Brandt money handling
equipment, and uses it exclusively for
sales purposes. “We don’t use it for liv­
ing quarters or cooking,” he com­
mented, “so it will always look like we
intend it to be — a place where the
banker can feel comfortable during a
machine demonstration knowing he is
in a business office atmosphere.”
Mr. Doll says the Brandtmobile is
used generally on two-day trips with

View from driver’s
seat of mobile sales
room shows Brandt
Model 934 Totalizer
on display. Quiet,
air-controlled
interior gives the
banker, his staff
and sales personnel
opportunity to discuss
details of equipment
without interruption.
Brandt is a
reg istered tradem ark.
N orthw estern

Banker,

Septem ber


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

Interior gives ample room to d is p la y ^
heavy equipment such as Brandt Model
1780 Automatic Wrapper (foreground).

appointments scheduled in each town
being visited. “We have had terrific re -^
ception from bank officials,” he states,
“because they are away from the
phone and lobby traffic. We find them
literally taking an hour to an hour and
a half going completely over the equip-^
ment and its operation to make sure
they understand its potential and the
economics involved in the purchase.
We not only can show top manage­
ment the equipment under these im- 0
proved conditions but they can then
bring out their operations people to see
it and discuss various points with them.
This adds greatly to the continuity of
the entire purchasing process when the 0
chief executive, his operations people
and the salesman can discuss matters
at one time.”
Results from the Brandtmobile have
been very satisfactory, according to 0
Mr. Doll. “We received the motor
home April 1 and have made six trips
with it in Minnesota and North Da­
kota, scheduling four or five ap­
pointments each day.”
0
Mr. Doll concluded by stating, “I
can’t say for sure we’re making sales
we wouldn’t have made, but I am con­
vinced we’re closing sales on larger
money handling equipment sooner. 0
Obviously, this is beneficial to us; how­
ever, it is also better for the bank
executive because it makes it easier for
him to make a decision when he has
a personal demonstration right at h is #
own bank.”
■

“GoWbst, young m an, goWbst!”
Was the message Horace Greeley
dispatched to his readers in 1859. He
saw unlimited promise and
^opportunity.
Like Greeley, Kirchner, Moore and
Company sees a bright future for the
West. As a leading underwriter of
municipal securities in the western
United States, we have confidence in
*the potential of its vast human and
natural resources.
Unlike other companies that sell
municipal securities, the people at
Kirchner, Moore are specialists. All of
>our time is devoted to helping
communities with the underwriting
and marketing of municipal bonds.
During the planning stages of
municipal financing, our public
.finance specialists have helped
'hundreds of issuers determine the
best method of financing
their capita]


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Federal Reserve Bank of St. Louis

No matter how large or small the
bond portfolio, Kirchner, Moore sales
representatives are committed to
providing personal service. And they
know the territory.
Our traders have instant access to
information affecting the overall
interest rate market. They maintain
constant communication with various
money centers throughout the country.

Kirchner, Moore knows the West will
play a leading role in our nation’s
future. Like the West, our reputation for
assisting municipalities in bringing
their financial needs together with the
resources of the capital market is
growing.
Tax exempt bonds are our only
business.

VM 4
lI V

KIRCHNER MOORE
I & COMPANY

Denver
Suite 2500
Colorado State Bank Bldg.
1600 Broadway
Denver, Colorado 80202
(303) 292-1600

Omaha
Suite 454
Plaza of the Americas
7171 Mercy Road
Omaha, Nebraska 68106
(402) 397-8520

64
quently generate new customer business in other areas.
Losses on art loans have been virtually nonexistent, a
(Continued from page 58)
factor that has persuaded other banks to follow suit.
Art loans, moreover, are not confined solely to cowboy
country. The giant Manufacturers Hanover Trust Co. ir^
their works increased by 20-25% annually for the past
New York has moved into the field of general art financ­
five years or so.”
ing, noting that, “Individuals with art collections are the
“The key to investment, I believe, is through quality
kind of customers banks like. They’re potential candidates
purchasing from responsible, established dealers.
for other bank services.”
“We work with collectors from as far as New Orleans,
In Chicago, the Amalgamated Trust and Savings B ank^
Denver, and Seattle, and exhibit the works of artists from
loss-free on art loans, extends credit to dealers as well as
Texas to Washington state,” Mr. Slocum says. “Our
collectors and, in some cases, to the artist as well.
theory is to constantly look for works by little-known or
How is the banker in the smaller community, limited in
regionally-known artists to blend with the older, more
his knowledge of the arts, to extend credit where he is
established artists whose work we represent.
relying on the art work as collateral rather than the finan#
cial condition of the borrower?
Loans
Mr. Slocom reiterates the importance of the careful
Loans to art dealers and collectors alike, are becoming
selection of a knowledgable and experienced dealer as well
increasingly commonplace as many of the nation’s lending
as the experiences of other banks. He points to banks
institutions, after cautiously testing this untapped market,
that have established their own collections as already#
are discovering that such loans are profitable and frehaving gained insight toward the subject, and cites a
wealth of information available in
trade journals and other published
material.
Western Art has repeatedly dem-#
W OMEN IN BANKING
onstrated that it is a sound investment
for future capital gains while provid­
ing a personal, enduring satisfaction
of an aesthetic nature. It is work that
will endure and become increasingly®
in demand by collectors and investors.
By HARRIET TEDRAHN
And knowledgeable collectors are
Vice President and Secretary
fully aware that the great artists of
Roselle State Bank & Trust Company
tomorrow are painting today.
Roselle, III.

Western Art

H. TEDRAHN

T 'W O weeks out of high school, 18 years ago, 1 began working at the
Roselle State Bank. After four years as a teller, I was transferred to a
secretarial position, which lead to becoming secretary to the board of directors.
This past January, I was promoted to vice president and secretary and am now
working in the area of personnel as well as retaining my duties in the admin­
istration division of our bank. I also am one-third of a responsibility group
which could be activated, on an interim basis, to share the responsibilities of
our CEO in his absence or inability to perform his duties. For the last year,
I also have been co-editor of the RSB Newletter, an in-house publication.
I have personally experienced the changing role of “Women in Banking”
and have seen other women in our bank branch out into areas quite different
than mine. This diversification should entice women to pursue banking careers
as the opportunities are limitless. However, we probably have at least one
thing in common. We need increased confidence in our own abilities to con­
structively affect the overall corporate structure. To successfully work with
our male counterparts, on an equal basis, we must first realize our own worth,
and then prove it. Productive, day-to-day wk>rk is one of the be^t ways to
make that point obvious to all.
Generally speaking, I believe women are less aggressive than men,
especially in the business world, partly because we are by comparison, novices
in “ladder-climbing.” Experience is the key factor, not purported unstable
emotions or other weaknesses attributed to women. The differences between
men and women can and should be a plus in the corporate structure, not a
minus. If we all, men and women, are performing our jobs properly, co-existence within the corporation will prove to be the best way.
N orthw estern

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Federal Reserve Bank of St. Louis

1977

Name Change for
St. Paul Hospital & Casualty
St. Paul Hospital & Casualty Com­
pany, an affiliate of Mutual of Omaha,
has changed its corporate name to
Omaha Financial Life Insurance Com­
pany, Warren Whitted, president of.
the company, announced.
The name change, which is effective
immediately, will more closely identify
OFLIC with its parent company,
Whitted said.
^
The new company name will also
eliminate any confusion with other in­
surance companies with similar names
and is more descriptive of the type of
coverage written by Omaha Financial^
Life, Mr. Whitted added.
Acquired by Mutual of Omaha in
1959, OFLIC offers credit health and
life insurance, mortgage accident and
health coverages and various other(
plans through lending institutions and
association groups. The company is
licensed in 44 states.
Omaha Financial Life’s executive
offices will remain in Bloomington,!
Minnesota, Mr. Whitted said.

A banker’s guide
to issuing plastics.
The best people to understand
your problems are other bankers.
We’re in the banking business ourselves
9 so we handle your cards as if they
were our own. We know what card
problems are and how to solve them.
When you plan to issue plastic cards to
• valuable customers it’s assuring to
know those cards will be treated with
the expertise and strict security only a
fellow banking company can provide.
We’ve been th ere before, so
we’re prepared for it. We’ve seen all
the problems in a card issue so we
know the right questions to ask. We
• then plan a program specifically for
you. A program which reflects your
needs as well as those of your customers.
9

^

Turn your card program into a
turn k ey proposition. Our Automated
Consumer Services Bureau will handle
the entire project. From issuing plastics,
designing and printing of forms,
• encoding, stuffing and mailing, through
housing of files, file maintenance, mass
issues and daily plastic production, ACS
can do it all for you.

inclusive. So you know exactly what
you’re getting for your money.
You’ll get realistic tim e
schedules. We work fast so you always
get a firm delivery schedule based on
your requirements. We’re experts at
mass issues and daily plastics production.
Be it a mass issue of a new card, a
reissue of an old card or daily issuance
of cards on an on-going basis, ACS
gets the job done.
Sound interesting? Send us the
coupon!
Send to:
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450 E. Washington St.
Indianapolis, IN 46277
317/633-5017
Card-Sense makes good sense to me!
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•

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you’re getting. Our cost estimates are
specific. Everything is itemized and all-

Phone_________________________________________
NB

• A M E R IC A N FLETC H ER N A TIO N A L B A N K AFNTB
Indianapolis, Indiana

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Federal Reserve Bank of St. Louis

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19 7 7

66

O ur idea of
correspondent banking!
THE COMMITTEE OF ONE.
Our people are real, live, experienced correspondent professionals,
with years of correspondent banking behind them. They aren’t
m anagement trainees or ju st goodwill ambassadors, so they can okay
loans or services—like our new EFTS services—on the spot.
Without going through unwieldy,
time-wasting committees.

WE CALL YOU BYNAM E.
NOT BY PHONE.
You see, National Boulevard
believes in person-to-person,
eye-to-eye contact with the
management of every
correspondent bank. Right
there a t the correspondent
bank. So things get done
faster, friendlier.

ooo o o

THE FUTURE STARTS TODAY.
And now our individualized services
will be better than ever, because
National Boulevard is ready for EFTS.
Electronic Funds Transfer
Systems. For instance, our
Central Information File is
capable of transm itting
information to correspondent
banks. Soon, checking and
savings accounts will be on line.
Then, step-by-step, every
correspondent service will be fully
integrated into the system for more
convenient, better banking.

'i cm

r\ Y V V Y V

(M m n n m °

r

O O O «P

J

The bank fo r th e N ew D ow ntow n
NATIONAL BOULEVARD BANK
OF CHICAGO
400-410 North Michigan Ave., Chicago, 111. 60611 Phone (312) 467-4100 Member FDIC
Northw estern

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Federal Reserve Bank of St. Louis

1977

67

Illinois
News
JO H N

R.

9>BERT

M O N TG O M ERY

C.

S C H R IM P L E

Exec.

P re s.

C h ic a g o

V.

C h ic a g .

P.

Bank of Hinsdale
Announces Promotions
• The Bank of Hinsdale has an­
nounced the promotions of Vera
K a v a n a , Sadie
Robertson a n d
Richard F. Morris,
W, to assistant
vice presidents.
Mr s . Kavana
has been with the
j^nk since 1967,
most recently as
personal banking
o f f i c e r . Mrs.
v.
Robertson, l o r ^erly assistant cashier, has been with
k a v a n a

S.

RO BER TSO N

R.

F.

the bank. No personnel changes are
expected.
Chairman of the board is Robert
H. Isensee, chairman of United Home
Bank and Trust Company, Mason
City; First State Bank, Britt; North
Iowa State Bank, Belmond, and First
Newton National Bank, all in Iowa,
and a director of Central National
Bank and Trust Company of Des
Moines, la.
The other two purchasers are Earl
W. Nelson, president and director of
Associated Bank Corporation in Iowa,
a company which owns six banks and
a leasing company, and John W.
Evans, Jr., who owns several lumber
companies in Iowa.

Morris Bank Announces
Three Staff Changes
William F. A. Palmer, president
of Grundy County National Bank of
Morris, recently announced three
changes in personnel. They are: John
L. Nagel, manager of consumer fi­
nance; Karen A. McGann, assistant
manager of consumer finance, and
Joseph M. Mattson, special consultant,
consumer finance.
Mr. Nagel previously was credit
and collections manager in the same
division. Ms. McGann comes to the
bank from the Wheaton Office of
Commercial Credit Corporation where
she was manager. Mr. Mattson has
served the bank for 30 years.

Chairman and CEO
Named at Arlington Heights
The Bank & Trust Company of
Arlington Heights has elected W. C.
Wolf chairman and chief executive of­
ficer. Mr. Wolf, who succeeds the late
John Henricks as chairman, has been
president of the bank since its opening
in January of 1960.

M O R R IS

the bank for eight years. Mr. Morris,
•rm erly instalment loan officer, has
been with the bank four years. He is a
management graduate of Arizona
State University.

Eureka Bank Sold
The Edwards family has sold con­
trolling interest in the First National
Aank of Eureka to a group of Iowans.
George Edwards has resigned as
chairman and Tom Edwards has re­
signed as president and director.
Dale R. Luckow, one of the pur^jpasers, is the new president and direc­
tor. Mr. Luckow, who also is presi­
dent and chairman of the Dyersville
National Bank in Iowa, will not be
living in Eureka. As executive vice
Resident, Kaywin McClure will con­
tinue to be in charge of operation of

Jefferson Bank in Peoria

Jefferson Bank, Peoria, To Have New Home
Bank in Peoria has
begun construction of new quar­
JtersEFFERSON
at the corner of Adams and Ful­
ton Streets. Five floors of an existing
building, formerly owned by Carson,
Pirie, Scott department stores, are
scheduled for renovation to accom­
modate the bank, according to Lester
Kassing, bank president. Planning, de­
sign and construction management are
being performed under contract with

The Bruce Corporation, St. Louis.
Altogether, 97,300 square feet of
space will be occupied by the bank
on the lower level, first and second
floors, and a mezzanine. The second
floor will include the bank’s computer
programming and data processing op­
eration, which will be ready for occu­
pancy in September. The remainder of
the bank area will be completed in
the fall of 1978.
N orthw estern


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Federal Reserve Bank of St. Louis

Banker,

Septem ber

1977

68

Illin o is

News

Ag Credit Conference Begins Sept. 14
HE 31st annual Agricultural Credit Conference spon­
sored by the Illinois Bankers Association will be held
T
September 14-15 at the Ramada Inn, Champaign. The
program follows:
Wednesday, Sept. 14

A.M.
9
9:45
10:30

“Stewards of the Soil”: multi-media presentation
by Stauffer Chemical Co.
“Production and Profits through People”: Larry
Wilson, Learning Corp.
“Regulation Compliance Related to Ag Lending”:
Panel by W. Harlan Sarsfield, FDIC assistant
regional director; John P. Sherry, deputy re­
gional administration of national bank exami­
ners of 111., and John E. Treston, chief exam­
iner, Commissioner of Banks & Trust Com­
panies
Question and Answer Period.
Luncheon. “Student Internship Program”:
Thomas L. Frey, associate professor of ag
finance at the University of Illinois, Champaign/Urbana.
“Food for Century III”
Annual Meeting and Election of Officers.

3
5:30
6:30

Walton, president, Farmers & Merchants State
Bank, Bushnell, and Thomas R. Smith, presi­
dent, Fidelity Brenton Bank & Trust, Mar­
shalltown, la.
^
Workshops repeated.
Complimentary Reception
Banquet and Speaker Arthur Holst of Peoria on
“The Challenge of a Pro.”
Thursday, Sept. 15

A.M.
7:30

Early Bird Sessions
Session A: “The Need for Realistic Accounting
in Agriculture”: Panelists Lonnie Doan, O ln #
Trust & Banking Co., and Thomas L. Frey.
Session B: “Farmers Home Administration-Bank
Participants Update”: Charles Shuman, Illinois
state
director, FMHA.
11
Session
C: “Leasing: A New Approach to A^
12
Finance”: Panelists John Bruss, president,
AgriStor Credit Corp., Milwaukee, and
Douglas Heppner, Citizens First National Bank
of Storm Lake, la.
8:45 Second General Session
“Changing Weather Patterns” (tentative): Dr.
P.M.
Gordon
Barnes, National Weather Service,
Concurrent Workshops
2
Washington,
D.C.
“Techniques of Customer Counseling”: Larry
9:45 “Outlook—Economy”: Frank Spinner, First N ^
Wilson.
tional Bank of St. Louis.
“Estate Planning Update”: panelists Donald L.
10:30 “Outlook—Grain”: Thomas E. Elam, University
Uchtmann, University of Illinois, Extension
of Illinois Extension Service.
Service, and Myron Otto, chairman, estate
11
“Outlook—Livestock”: Harold Heinhold, presi­
planning committee, 1BA ag division.
dent, Heinhold Hog Markets, Inc., Kouts, I n #
“Competing for Loan Funds”: Panelists Robert
two
drive-in
windows
will
be
phased
Promoted at Sterling
First of Des Plaines Names
out permitting additional parking space
Don E. Cousins, president of The
Executive Vice President
Central National Bank of Sterling, has
First National Bank of Des Plaines for customers.
Jean M. Sullivan, who joined the announced the election of Richard D.
has elected Frederick F. Webster,
bank
in 1956, will be manager.
Nowatka as assistant cashier, corP
Jr., executive vice president for cor­
sumer
credit department. He joined the
porate development, according to
bank in 1976 as a loan officer after
Arthur R. Weiss, president. Mr. Web­
being employed in the finance field for
ster also will remain a director of the
First Ogden Names
10 years. Mr. Nowatka attended MiL
bank.
waukee School of Engineering and ®
Mr. Webster, son of the late Fred­ Senior Vice President
Allan Schuster has been appointed now enrolled at Sauk Valley College.
erick F. Webster, Sr., past board chair­
senior
vice president of First Ogden
man, began his banking career in 1961
Corporation, ac­ First National of Lincoln
at the First National Bank of Chicago.
cording to Donald Opens Service Facility
He joined the Des Plaines bank in
The First National Bank in Linco#
H. Fischer, presi1966 serving as vice president of mar­
recently
opened its Woodlawn Office
|gg|
j | dent of the Naketing. In 1969 he was named board
at
909
Woodlawn
Road, according to
W
gg M
p e r v i 11 e-based
secretary and in 1972 a director.
bank service com- Sylvan L. Franklin, president.
The building includes three inside
p a n y. He will
First National of DeKalb
service
windows, three drive-up la n #
share overall re­
Opens Drive-up Facility
and
12
parking spaces. Inside is a sit
sponsibility f o r
First National Bank of DeKalb re­
down
teller-customer
window.
corporate
opera­
cently held a grand opening celebration
tions,
concentrat­
at its new drive-up facility on W. Lin­
Gladstone-Norwood Trust
A . SCH U STER
ing primarily upon Opens Drive-in Facility
coln Highway, according to Jack
^
management of the company’s data
Kuiken, president.
Gladstone-Norwood Trust and Saw
The facility, featuring six drive-in processing subsidiary. Mr. Schuster ings Bank recently opened a new driveservice lanes and a walk-up window was assistant operating general man­ up/walk-up facility office at 6355
in the lobby, is located directly across ager of systems technology for the North Central. The one-story struc­
the street from the bank’s main office. Continental Bank in Chicago prior to ture includes two drive-up lanes an*
Service at the main bank’s present joining the firm.
three lobby tellers,
N o rthw estern

Banker, S e p t e m b e r


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

9

69

W hat’s m ost im portant
in a correspondent
relationship?
Quality.

When you evaluate a corre­
spondent bank, you look not
only for specialized financial
and operational expertise, but
also for a high quality of
service.
That’s why throughout the
country, bankers rely on The
Northern Trust Bank. We offer
a complete range of advanced
banking programs, supported
by a tradition of excellence
th at is unsurpassed.

How can we
serve you?
At The Northern Trust, all
correspondent services are
designed with your needs in
mind. And these services are
constantly being improved to

keep pace with the latest
technology and regulations.
A ccelerated D eposit
Collection. To help your bank
have more cash on hand, The
Northern Trust accepts
unsorted cash letters, offers
late deadlines, and provides
immediate availability on
major financial centers
throughout the country.
B ond an d M oney M ark et
Services. You have complete,
accurate market information
with just one phone call.
FOCUS™ Your bank’s trust
investment officers have daily
access to the research that our
own portfolio managers use,
weekly reports th at can reduce
their paperwork, and periodic

seminars with top Northern
Trust officers.
Special P ro ject A ssistance.
When you need help with
operations analysis, float
reduction, marketing, or other
important projects, your
Northern Trust calling officer
and staff are available to assist
you. They will put you in
contact with other banking
specialists who provide
information and perspective
for your special assignments.
For a quality of corre­
spondent service th a t’s rare in
banking today, contact the
calling officer for your area at
The Northern Trust Bank,
50 South La Salle Street,
Chicago, Illinois 60675.
Telephone (312) 630-6000.

The Northern Trust Bank
B r in g y o u r f in a n c ia l fu tu re to u s.

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Federal Reserve Bank of St. Louis

N o rth w estern

Ban kers S e p t e m b e r

1977

70

Illinois News

First Natl, of Gibson City
To Build New Home
The First National Bank & Trust
Company in Gibson City recently
broke ground for its new main head­
quarters building to be located at 1 2 2
N. Church Street, according to Wayne
A. O’Neal, president.
The two-story structure will have
16,000 square feet of space and will
feature a ground level entry, customer
elevator service, two drive-up lanes,
and an after hours walk-up con­
venience teller. In addition, the bank
will install a 24 hour automatic teller.
The new building will cost in excess
of $1 million. It was designed by Illi­
nois Bank Building Corporation and
the general contractor is L. R. Wil­
liams and Sons. The building is sched­
uled for completion in the fall of next
year.

nancial institutions including three Illi­
nois banks.
Richard Lignoul was elected vice
chairman of the board and Richard
E. Binet was elected a director. Mr.
Lignoul also is vice chairman of the
Edwardsville National Bank. He was
commissioner of banks and trusts for
the state from 1974-May, 1977. Mr.
Binet is president of Chanute Military
Credit Union in Rantoul.
Mr. Abate announced that the man­
agement team at the bank will remain
intact. He will continue as chairman
and Richard D. Hughes as president
and chief executive officer.
In other action, the board elected
Lee Kaufman vice president. Mr.
Kaufman has served as loan officer
with the American National Bank of
Chicago, and until recently was with
the Busey National Bank in Urbana.

Elgin National Bank
Stock Interest Acquired
Robert P. Abate, chairman of The
Elgin National Bank, has announced
a major stock interest has been pur­
chased in the bank by an investment
group that has interests in other fi-

Peoria Bank Announces
Two Promotions
Commercial National Bank of Pe­
oria has announced the election of
Dale A. Clary to agricultural officer
and Larry L. Riekena to operations
officer.

Mr. Clary, a 1973 graduate of the
University of Illinois, joined the bank’s
farm department as a farm manager.
Mr. Riekena joined the bank in 1970
as a computer operator. In 1971 h f
transferred to the proof and transit
departments of the operations division
where he was promoted to department
manager in 1976.
^_______________________ •

Chicago
News

_______ 4
and
have been elected
H
directors of Chicago City Bank ancr
ARRY J. Lemanski

Divid R.

MacDonald

Trust Company, according to Gavin
Weir, chairman. Mr. Lemanski is
president of Century Molded Plastics,
Inc., of Glenview. Mr. Macdonald ra^
turns as a director of the bank aftar
having been nominated by President
Gerald Ford to serve as Under Secre­
tary of the United States Navy. He
is a partner in the law firm of Bak<^
& McKenzie in Chicago.
*

CONSULTING SERVICES
TO BANK MANAGEMENT

<,

*

*

Salute to Giant City Flag

This company, a subsidiary of Commercial
National Corporation, a bank holding com ­
pany, is qualified and prepared to advise bank
managements about marketing, site se le c­
tion, auditing, credit, operations, accounting,
holding company, personnel, plus other areas
of management responsibility.

For additional information, contact —
George Wasem, President
Commercial National
Management Consulting
Company
Commercial National Bank
Building
Box 749
Peoria, II., 61631
(3 0 9 )6 7 4 -7 7 8 1
o rFRASER
th w estern Banker, S eptem ber
Digitized Nfor
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

HAILING Chicago as the one big city you
can bank on, Merchandise Natl. Bank of
Chicago has installed a 49 by 26 foot re­
production of the city’s official flag on a
building opposite the bank’s M e rch a n di^
Mart headquarters. Here Chicago May“
Michael A. Bilandic (right) accepts a com­
memorative photo of the huge flag from
George B. Everitt (center), bank chmn., &
John L. Cooley (left), pres., during a dedi­
cation ceremony held in the mayor's
fice. Mr. Everitt said that flag sym bolizR
a bigger, brighter future for the city.

71

Why banks suggested
iEtn a Money for a larger
inventory in cheese and more
sales in peanut butter.
éééiS

Anticipating a rising market, a processor
wanted to quickly increase his inventory of
aging cheese. But this required a loan beyond
the bank’s lending limit.
The banker suggested the solution:
/Etna Money. Participating with the
bank, we promptly approved a loan secured
by inventory and accounts receivable.
Result? Timely action guaranteed higher
profits for the processor —and a more profitable customer for the bank.
Although the future looked good for the peanut butter
processor, the immediate situation was sticky:
Working capital was low, accounts payable were
due, and the bank was unable to increase its loan.
Solution? /Etna Money with accounts
receivable, inventory, machinery and equipment
as collateral.
Result? Payables were brought to current status.
Sales increased by 30% and profits rose 40% within
three years.
Titna Money. It’s flexible and quickly available for your customers.
It’s a workable alternative for you. Call us for details.
You get action with /Etna
because our business is
A iA na Business C re d it, Inc.
■ One of the TsTN A LIFE Si CASUALTY companies
to help your business.
A lthough certain identifying facts have been changed to protect client confidentiality, these are authentic examples of ditna Money at work,
530 North Water Street, Milwaukee, WI 53201 (4M) 272-3102 • 1717 Cargill Building, Minneapolis, MN 55402 (612) 339-2222 • One Post Street,
San Francisco, CA 94104 (415) 956-4373

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Federal Reserve Bank of St. Louis

Northw estern

B anker, Septem ber

1977

72

Illinois News

Richard P. Griffith has been pro­
moted to assistant vice president in the
financial institu­
tions group of
The Drovers Na­
t i o n a 1 Bank of
C h i c a g o . He
joined the busi­
ness development
d ep artm en t in
1974.
was promoted to
assistant cashier
R . P . G R IF F IT H
and assigned to
the financial institutions group. He is a
graduate of the University of Arizona.
* * *
Gary F. Span recently was promoted
to vice president and manager of the
correspondent
banking depart­
ment of Central
National Bank of
Chicago, accord­
ing to Joseph G.
Lutz, chairman.
Mr. S p a h n
joined the bank
in 1974 as an as­
sistant cashier and
was promoted to
second vice president in September of
1975. He previously was with Draper
and Kramer, Inc., as a mortgage loan
representative.
* * *
Herbert A. Dolowy, president, has
been named chief executive officer of
the Lincoln Na­
t i o n a 1 Bank of
Chicago, accord­
ing to Henry J.
Bertocchini, chair­
man. Mr. Dolowy
joined the bank
in 1974 as presi­
dent. A banker
for 25 years, he
received his BS
degree in banking
and finance from the University of
Illinois.
The following six promotions have
been announced: Charles R. Warren,
vice president and auditor; Gregory
Bork, vice president; Phillip G. Healy,
assistant vice president, division C;
Robert Gannon and Mildred Wilson,
operations officers, and Patrick Mulhern, programming officer, data pro­
cessing department.
Mr. Warren has served in the bank’s
auditing department for six years. He
N orthw estern Banker, Septem ber

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

is a graduate of De Paul Academy,
Chicago, and attended Northwestern
University. Mr. Bork has been with
the bank for two years in the commer­
cial lending department. He received
his undergraduate and graduate de­
grees from De Paul University. Mr.
Healy attended Wright Jr. College.
Harris Bank of Chicago
In 1975 he
Opens Second Facility
The Harris Bank has opened its new
facility in the Board of Trade Build­
ing at 141 West Jackson Boulevard,
Chicago. The street level facility pro­
vides personal banking service through
four Harris bankers, six regular teller
windows and a 24-hour electronic
banking machine.
The LaSalle-Jackson location is the
second off-premise personal banking
facility permitted Harris under Illinois
banking laws. The bank’s first such
facility has been housed since 1970 in
the Harris operations center, 311 West
Monroe Street.
Fred W. Hawk, assistant vice presi­
dent, is manager and Frederick M.
Parry, personal banking officer, is as­
sistant manager.
Continental Bank Publishes
New Investment Guide
Publication of the securities indus­
try’s only complete guide to state hous­
ing authority bonds was announced to­
day by Continental Illinois National
Bank and Trust Company of Chicago.
The product of an extensive study
by Continentals’ municipal research di­
vision, the “State Housing Finance and
Mortgage Finance Agencies” guide
gives detailed, comparative evaluations
of 7 7 bond issues and provides a
framework for judging the overall
credit quality of these types of securi­
ties. The comparative evaluation of
each issue contains an analysis of sig­
nificant credit features, an appraisal of
its principal strengths and weaknesses,
and a ranking of credit quality rela­
tive to other housing bonds issued un­
der similar programs.
First Chicago Announces
Increase in Dividend
Directors of First Chicago Corpora­
tion, parent company of The First Na­
tional Bank of Chicago, voted recent­
ly to increase the quarterly dividend
by 1 cent a share to 25 cents a share.
Chairman A. Robert Abboud said the
dividend increase, the first in two

years, reflects the definite turnaround
in the corporation’s earnings, per­
mitting an increase in the income yield
to stockholders.
First Chicago reported higher ear0
ings for both the second quarter and
first half of 1977 from a year earlier.
The annual dividend now is $1 per
share, compared to 960 per share
earlier. The new 250 per share pa0
ment will be made October 1 to share­
holders of record September 9.
Mr. Abboud said the corporation
has been able to whittle down the total
of its troubled loans, or cash b a #
loans. About one-third of the cash
basis loans are loans to real estate
investment trusts and another third to
non-REIT real estate borrowers, he
said.
•
Continental Bank Adds
46 Transaction Phones
Chicago’s Continental Bank hQ
added 46 additional telephone units
to its transaction telephone system,
bringing to 79 the total number of
transaction telephones installed in the
Chicago area as part of the banMfc
computer-linked credit verification
network.
The new telephones are installed at
a variety of retailer and merchant lo­
cations, including automobile servift
stations, a flower shop, an automobile
dealership, a car rental agency, hotels,
and a gift shop.
The transaction telephones, whidi
tie into regional credit card au th o ri^
tion centers, offer computerized, voiceresponse telephone authorization for
credit purchases. Merchants may ob­
tain authorization for Master Char^,
VISA (formerly BankAmericard), ot
American Express credit card pur­
chases. Continental was able to add
the VISA authorization capability to
its system when its application to iss^
the VISA card was approved in Au­
gust.
William D. Plechaty, senior vice
president for personal banking services
at Continental, said participating m ^
chants are processing 1,300 transac­
tions per week through Continental’s
system.
Deerfield State Bank
*
Receives Trust Powers
Deerfield State Bank’s application
for consent to exercise limited trust
powers has been approved. Frederic
Payne is president of the bank.

73

*
.

‘A holding com pany
is a holding com pany
is a holding com pany”
Or is it?

•
Let’s face it. Holding companies aren’t
always alike.
So if your correspondent bank thinks all holding
company financing is the same, maybe it’s time to
look for a different correspondent bank.
*
Like Continental Bank. At Continental we don’t
have any pre-conceived notions about what a
holding company in your situation might need. We
put together a credit especially made for a holding
company of just your size, in your state and in your
"ircum stances. With just the combination of terms
your individual situation calls for. And with any
necessary regulatory modifications, evaluation

analyses and even negotiation assistance you
might require.
At Continental Bank your credit requests
don’t go from committee to committee to committee.
They go to your account m anager—one officer who
has the authority to say “yes” or "no” on most loans.
So you get your decision fast —direct from the
person who made it. Call John Tingleff at (312)
828-2191 about your holding company financing.
W hether your needs are extraordinary or routine,
the credit we work out will fit your company just right.

We’ll find a way.

CONTINENTAL BANK

231 SOUTH LASALLE STREET, CHICAGO, IL 60693

Continental Illinois National Bank and Trust Company of Chicago.

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N orthw estern

Banker, Septem ber

19 7 7

74

YO U ’L L L IK E M IKE
Let him be your “ man from M idland.” Behind that big
sm ile is a background of financial experience and
good judgem ent. H e’ll be com ing your w ay with a
full range of M idland’s correspond ent banking
facilities, to benefit your bank and your custom ers.
Call him anytim e —(612) 372-7062.
Y ou’ll like the prom pt, personal attention you get from
Mike H iggins and Stan (the man) Peterson;
and y o u ’ll like the support you can get
from a bank the size of M idland!

What we offer is
right on the money.

M idland National
BANK Of Minneapolis
An Affiliate of Northwest Bancorporation
The Downtown Bank with Two Locations
S econd Avenue S outh at Fou rth Street
T h ird Avenue S ou th at S ixth S treet

Stan Peterson
Vice President
Correspondent Banking Division

Member F.D .I.C .
Northw estern

Banker,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Septem ber

1977

75

Minnesota
News
G.

T. ^

B E IT O

JEFFER S

P re s.

Exec.

T h ie f R i v e r

V .P .

F a lls

M in n e a p o lis
D.

G.

H ERZER

L.

W .

A N D ERSO N

MBA District Meetings—Sept. 13-22
HE 1977 Minnesota Bankers As­
sociation District Meetings will be
held at seven locations from September
13-22. Each meeting begins at 3:30
p.m. and will feature a fast-moving
af^rnoon program on important bank­
ing developments, district business,
cash bar reception, dinner and a con­
cluding talk by an outstanding hu­
morist-philosopher. MBA President
G ^ e Beito will preside at the evening
program.
2:30- Registration
3:30
3:30 Call to order and opening re#
marks: District president pre­
siding.
“The Bank Supervisory Agen­
cies Review Consumer and
Other Regulation Compliance
•
Examinations” — Panel
District Business Meeting, elec­
tion of officers and directors,
endorsements for MBA of­
ficers
® Report of the district council of
administration members
“State Banking Legislation:
Many Accomplishments and
Challenges Ahead” : Truman
L. Jeffers, MBA executive
vice president
“The Shape of Federal Propos­
als for Financial Institutions
^
. . . or, What do NOW Ac­
counts and Interest on De­
mand Deposits Mean to
You?”: Leslie W. Peterson,
MBA first vice president, and
£
president, Farmers State
Bank Trimont.
6:15 Social hour
7
Dinner.
Introductions a n d remarks:
#
MBA President Gene Beito,
president, Northern S t a t e
Bank, Thief River Falls.
“Attitude Makes All the Dif­
ference”: Luther Bjerke,
♦
Grand, Forks, N.D. (Sept.
13-15)

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

The National Bank of Wisconsin now
is
known as FIRST BANK-La Crosse
“Women, Horses and Taxes”:
Robert H. Jansen, Wauwa­ Division.
Under a reorganization of the
tosa, Wise. (Sept. 19-22)
merged
banks, Mr. Kelly will be chair­
9
Adjourn
man of the Milwaukee division and
David G. Herzer, Midland’s president,
will be president and managing officer.
First Bank System
Lyle W. Anderson, president of the
Buys Wisconsin Bank
National Bank of Wisconsin, will con­
The National Bank of Wisconsin in tinue in that capacity at La Crosse.
La Crosse, a unit of First Bank Sys­ A chairman and chief executive officer
tem, Inc., Min­
of FIRST BANK will be announced
neapolis, acquired
later.
the assets and li­
Mr. Kelly said Midland’s need for
abilities o f t h e
added capital resulted from continued
Midland National
rapid growth “coupled with previously
Bank of Milwau­
announced problems in our real estate
kee on July 24.
loan portfolio which will take some
The purchase was
time to resolve.” The best alternative,
announced joint­
he said, was the merger with First
ly by Midland’s
Bank System to effect an immediate
J. K ELLY
chairman, J o h n
injection of capital.
H. Ke l l y , and
Donald R. Grangaard, chairman and
chief executive officer of First Bank
System.
Fergus Falls Bank Names
Purchase price was $9.50 per share Assistant Vice President
for a total cost of $13 million. In addi­
Douglas Dietman recently was
tion, First Bank System injected $10 elected assistant vice president of the
million of new capital into the ac­ Security State Bank of Fergus Falls.
quired bank at the closing date, a re­ Mr. Dietman had been with Citizens
quirement for approval of the Comp­ Loan and Investment Company from
troller of the Currency.
1970-76 and managed the Fergus Falls
At the same time, the name of the Citizens Loan office for three years.
merged banks was changed to FIRST In 1976 he became assistant vice
BANK (N.A.). The Midland becomes president of the First National Bank
a major branch to be known as FIRST of Hastings. Last May he joined Se­
BANK-Midland Milwaukee Division. curity State Bank.

MBA District Meetings
Date

Sept.
Sept.
Sept.
Sept.
Sept.
Sept.
Sept.

13
14
15
19
20

21
22

District

7
8

9
1
2

3, 4, 5
6

Location

Sunwood Hotel, Morris
Kohler, Hibbing
Best Western, Thief River Falls
Kohler, Rochester
Orchid Inn, Sleepy Eye
L’hotel Sofitel, Minneapolis
Holiday Inn, St. Cloud
N o rthw estern

Banker, Septem ber

1977

76

IRST National Bank of Minneap­
olis has elected
F
and
as vice presi­

Bernard E. Conlin
Frederick Winston

dents in the international banking de­
partment.
Also, five other officers were pro­
moted to assistant vice presidents:
Sallie L. Kemper, national accounts;
Patrick F. Wells, sales finance; Kurt

B.

E.

C O N L IN

F.

W IN S T O N

W. Johnson, personal trusts; Thomas
T. Rusk, trust real estate, and Ellen
R. Williams, research and develop­

ment.
Mr. Conlin began his career with
the bank in 1957 and most recently
was assistant vice president in interna­
tional banking. Mr. Winston joined the
bank in 1963 and two years later
joined the international department.
He has been an assistant vice president
since 1960.
Steven R. Tomingas of Chicago has
joined the bank as a trust investment
officer in the trust
equity research di­
vision.
Mr. Tomingas
has been with the
F i r s t National
Bank of Chicago
since 1972, most
recently as a trust
officer in the trust
investment func­
S. R . T O M IN G A S
tion. He is a grad­
uate of the University of Southern Cali­
fornia and Northwestern University.
N o rth w e ste rn

Banker, S e p t e m b e r


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

The following eight new officers
were named: Jon C. Bell, credit offi­
cer; Colleen L. McCoy and Henry
H. Miles, commercial banking officers,
real estate finance companies division
II; Shelley B. Jaax, personal banking
officer; Marcia W. McCallum, trust
operations officer; trust systems re­
search; James C. LaMere, operations
officer, EDP operations; Rachelle M.
Herrmann, operations officer, student
loan servicing, and Waldo R. Jaax, Jr.,
personal banking officer, West Broad­
way Office.
* * *
George Fox, president of Piper,
Jaffray & Hopwood Incorporated and
its parent company, Piper Jaffray In­
corporated, Minneapolis, has resigned
from these posts, effective September
30, and is moving to California to ac­
cept the position of vice chairman of
R. L. Burns Corp., San Diego-based
oil, gas and coal company.
A graduate of the University of
Montana, Mr. Fox joined the compa­
ny in its Billings office in 1953. He
came to Minneapolis as sales and
syndicate manager in 1962 and was
named managing partner of the firm
in 1968. He became president upon
incorporation of Piper, Jaffrey & Hopwood in 1970.
* * *
Michael E. Swanton has been
named to the administering board of
the Minneapolis Community Action
Agency, which is responsible for seek­
ing out funds from private and public
organizations and implementing them
to assist people in poverty levels and
coordinating and evaluating various
programs. He is assistant vice presi­
dent and marketing officer for Third
Northwestern National Bank of Min­
neapolis.
* * *
Robert S. Branham, president of
Northwestern National Bank of South

St. Paul, has announced the addition
of Linda Hines to the bank’s staff as
credit officer.
Ms. Hines began her banking career
at the Northwestern National Banl^of
Mankato and was named marketing
director in 1974. In 1976 she moved
to the credit department of Northwest
Bancorporation in Minneapolis. Her
responsibilities at South St. Paul # ill
be in the commercial loan department.
*

*

*

Herbert W. Olson has joined P£nnesota investment banker, M. H.
Novick & Co.,
Inc. He will serve
as a sales repre­
sentative special­
izing in munici­
pal and governme n t bonds.
M. H. Novick is
located at 3J 20
IDS Center, Min­
neapolis.
H. W . O LSO N
Mr.
Olson
most recently was an assistant vice
president in the bond departmer# at
First National Bank of Minneapolis
where he developed a wide acquain­
tance with many bankers through a
several state area.

^

❖

❖

N. Bud Grossman, chairman, presi­
dent and chief executive officer of
Gelco Corporation, has been e l^ e d
to the board of Northwestern Nation­
al Bank of Minneapolis.
Mr. Grossman founded the corpora­
tion, an international transportation
management and leasing com^ny
based in Eden Prairie, in 1956. He
is chairman of Dyco Petroleum Cor­
poration, chairman of the Scottsdale,
Ariz., Hilton Hotel and the Denver,
Colo., Hilton Inn, and also servc^ as
a director of Arctic Enterprises, Inc.

77

Som etim es conventional bank m oney doe sn’t
fit the needs of a grow ing com pany. But you can
•s till help your clients by offering them Tailored
Bank M oney.”
Tailored m oney for leasing and asset money.
Two ways you can solve a cu sto m e r’s problem

when conventional bank services do not apply.
You get the business. Your clients get their
money. O r equipm ent. O r equity. O r whatever.
Tailored Bank Money is just that. A perfect
fit for m any of your clients’ financial needs.
For m ore inform ation, call direct.

Leasing
^ L e a s e Northwest, Inc. provides funds for equip­
m ent needs w ithout disturbing bank lines of
credit or clipping into com pany capital. Leasing
spreads payments over the life of the equipm ent
so cash flow rem ains undisturbed. Leased equip# m e n t pays for itself while it’s earning m oney for
you. Leasing provides a com plete tax deductible
expense. Lease Northwest will structure pay­
ments to meet the dem ands of your cash flow.

Contact Dave Michael at 968 Northwestern Bank
Building, Minneapolis, Minnesota 55480, (612}
372-7416. Or, 4425 Center Street, Omaha, NE
68105, (402} 536-2310.

LEASE NORTHWEST, INC.
Affiliated with Northwest Bancorporation

Asset Money
Banco Financial C orporation provides tailormade revolving credit lending program s secured
• prim arily by accounts receivable and inventories.
Additional funds available on m achinery, equip­
m ent and real property. O r for expansion, buy­
outs, m ergers and acquisitions. Bank participa­
tions. Call Clarence Adam s, Lee Mork, Robert

*

Olson or Paul W eingart, (612} 372-7988, 830
N o rth w e s te rn B a n k B u ild in g , M in n e a p o lis ,
MN 55402.

FINANCIAL CORPORATION
An Affiliate of Northwest Bancorporation

Achieve your goals with m oney services from affiliates of Northwest B ancorporation.
Assets over $8 billion.

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N orthw estern

Banker, Septem ber

1977

or I’ll get someflak’.’
Bob Anderson
Senior Vice President
First National Bank of Minneapolis


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

m m

“Our president promised that First
Minneapolis will be there when you need us
... and it’s my job to see that we keep
that promise.
“To do that, we’ve reorganized our
Bond Department so you deal with only one
person for all your investment needs.
You now have one specialist who keeps in
mind your total investment picture.
“We’ve also set up an internal
communications system to alert all depart­
ments to your needs. Now the complete
range of services from First Minneapolis is
ready to serve you.
“I’m committed to providing you
with better correspondent services, when you
need them ... at First Minneapolis, we’re all
committed correspondents!’
Bob Anderson
Senior Vice President
First National Bank of Minneapolis

Minneapolis
The Committed Correspondent


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

First National Bank of Minneapolis • 120 South Sixth Street

80

T w in

C itie s

News

First Minneapolis
Announces Plans

•

For Complex

PICTURED is the block square downtown
complex being developed by First Natl,
of Minneapolis and Gerald D. Hines In­
terests.
a

"TkETAILS of the block square
downtown complex being devel­
oped by First National Bank of Min­
neapolis and Gerald D. Hines Inter­
ests were disclosed recently.
The complex contains 1.5 million
square feet and includes a 36-story
Pillsbury tower, a 15-story First Na­
tional Bank tower, plus an eight-story
enclosed atrium and underground
parking for approximately 500 cars.
Early in March, the Pillsbury Com­
pany announced its decision to remain
in downtown Minneapolis and to lo­
cate its world headquarters in the First
Minneapolis/Hines project.
The major occupant of the new 15story tower will be First Minneapolis,
which will utilize 255,000 square feet
in that building and the connecting
atrium. The new tower will be inte­
grated with the bank’s present build­
ing, giving First Minneapolis over
425,000 square feet of banking space
on both sides of Second Avenue.
The complex is to occupy the en­
tire block bounded by Fifth and Sixth
Streets and Second and Third Ave­
N orthw estern

Banker,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Septem ber

1977

nues, between First Minneapolis’ pres­
ent main building and the Hennepin
County Government Center.
DeWalt H. Ankeny, Jr., president
of the bank, and Gerald D. Hines,
whose Houston firm was selected by
First Minneapolis as developer, jointly
announced the following:
• The development will have 1.5
million gross square feet of space, of
which 1.08 million is rentable.
• Pillsbury’s world headquarters
tower will be 36 stories with a height
of 490 feet, in which the firm will oc­
cupy 400,000 square feet of space.
• First Bank System, the regional
holding company in which First Min­
neapolis is the largest of 89 affiliates,
also will be headquartered in the
project with more than 80,000 square
feet of space.
• Demolition of the site is sched­
uled to start late this fall, with con­
struction expected to be underway by
early 1978. It is anticipated that pri­
mary tenants will start occupying their
space in the towers during the summer
of 1980.

* In advance of construction, 70%
of the rentable space in the proi^t
is committed, with approximately
340,000 square feet remaining avail­
able for lease as executive office space
and retail services.
• Construction costs are estima^d
at approximately $50 million.
To carry out its long-term objec­
tives, the First National Bank over sev­
eral years acquired the property under­
lying the project site in order to m ^ t
its expanding space needs. As the
project progressed it also created an
opportunity, according to Mr. Ankeny,
“to enhance the vitality of downtown
Minneapolis.”
£
“Once the property was all under
First Minneapolis’ ownership, the pre­
liminary planning for the site was un­
dertaken by The Hodne/Stageberg
Partners of Minneapolis. The bank • lected Gerald D. Hines Interests of
Houston as developer last November
and then we jointly chose the archi­
tectural firm of Skidmore, Owings &
Merrill in Chicago,” Mr. Anke%
added.

81

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NORTH DAKOTA

MINN.
Dennis Carlson

Russ Bennett

IR

■ Jn

& -/ i I°' BiBB& ■

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Jerry Dreier

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i

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I

WISCONSIN

■*»
SOUTH DAKOTA

a t ' - Â
Dirk Miller

1

I ä W
»mm WWWÍÁm
H
Jerry Miller

Andrew Myers
Don Bundy

IOWA

Russ Hendrix

&

Bob Okerstrom

\

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R epresented in Iowa by
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Federal Reserve Bank of St. Louis

1926

Financial Services Since 1926
51 st Year of Service

1977

82

Twin Cities News

“The planning process — long in
duration — is now reaching fruition.
The need, the location, the resources
have all come together at a point in
time to enable us to move ahead. We
at First Minneapolis feel fortunate to
have this opportunity to add to the
dynamics of the central city,” said Mr.
Ankeny.
This complex will be the first devel­
opment of significant size built under
the new Minneapolis Energy Code.
In following the Code guidelines,
Mr. Hines stated that Skidmore, Owings & Merrill had been charged with
the responsibility of designing not only
an architecturally exciting structure
but one which would be finely attuned
to the energy conservation needs of
Minneapolis.
One of the results will be a lesser
use of exterior glass in the project,
with emphasis placed on materials with
energy saving, insulating and reflecting
properties. The complex also will have
wide, landscaped plazas which will
provide a pleasing promenade around
the buildings.
The complex, which encompasses
1.5 million square feet of space in­
cludes: 845,000 square feet in the 36story Pillsbury tower, 370,000 square
feet in the 15-story First National
Bank tower, with the remaining square

footage located in the retail and res­
taurant space adjacent to the atrium
and in the two levels of underground
parking.
The project will be connected to the
downtown Minneapolis skyway sys-

tem, providing access from First Min=
neapolis’ present headquarters. It W
hoped that additional skyways will
connect the project with neighboring
buildings, including the Hennepin
County Government Center.
^

At a meeting last month of the
boards of directors of the investment
firm of Piper, Jaffray & Hop wood
Incorporated and its parent company
Piper Jaffray Incorporated, Minneapo­
lis, H. C. Piper, Jr. was elected
president effective upon the previously
announced resignation of George Fox
on September 30.
Mr. Piper intends to resign as
chairman of both boards at that time.
Piper, Jaffray & Hopwood also
announced the election of Harold J.
Bloom as an executive vice president,
effective immediately, and L. Craig
Carver, Walter R. Hansen and Ed­
ward J. Harrison as vice presidents.
Mr. Bloom, who has been financial
vice president and controller, will
continue to hold the office of control­
ler. A graduate of the University of
Minnesota with an MBA from the
University of Michigan, Mr. Bloom
started with Piper, Jaffray in 1954,
became controller of the firm in 1960
and was made a partner in 1967.
He was named a vice president and
treasurer upon the incorporation of

Piper, Jaffray in 1969 and elected
a director in 1972.
* * *
The Minnesota Chapter of Robert
Morris Associates, a national associa­
tion of bank loan
and credit officers,
recently elected
Rolf F. Bjelland,
senior vice presi­
dent of National
C i ty B a n k of
Minneapolis, as
its new president.
John W. Pulver,
vice president of
R . F. B J E L L A N D
Northwestern Na­
tional Bank of St. Paul, was elected
vice president and John E. McCauley,
vice president of First National Bank
of Minneapolis, was elected secretarytreasurer.
Other members elected to the board
include immediate past president, John
A. Kvam, vice president of Northwest­
ern National Bank of Minneapolis, and
a new director, William E. LeNeau,
vice president of Northern City Na-

tional Bank of Duluth.
* * *
Acquisition of Canadian America^
Bank, SA, a Luxembourg-based mer­
chant bank with a representative office
in London, by Northwestern National
Bank of Minneapolis has been com­
pleted, according to John W. Morrjp
son, bank chairman and chief execu­
tive. The acquisition had been subject
to approval by Luxembourg banking
authorities and the Board of Governors
of the Federal Reserve.
#
Jackson L. Schuiie, vice president
and treasurer of Northwest Bancorporation, is the managing director
and chief executive officer of Canadian
American Bank.
#
The bank will function as an exten­
sion of the bank’s international depart­
ment. Its primary business role will-.*
be the managing, syndicating and pai¿
ticipating in short and medium term
credits in the Eurocurrency markets.
Mr. Schutte joined the trust depart­
ment of Northwestern in 1969. Most
recently he was vice president an#
treasurer of Banco.

Northw estern

B an ker, S eptem ber


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

83

How to lick your money order
processing problems.
^

0

•

•

•

First, make sure they’re Financial
Institution Money Orders (FIMO)
from American Express.®
After that, simply put a stamp on
a weekly report and mail it to us. We’ll
do all the costly reconciling, storing,
ordering and filing. We’ll even run
down exception items and handle all
time-consuming refunds.
And you know what that means.
Backroom work eliminated, no refund
handling. Reduced cost and boosted
profit from an historically low-profit
but necessary customer service.
As for your customers, they’ll like
FIMO®as much as you do. Because
FIMO can be issued in under a min­
ute, it saves a lot of waiting.
It all adds up to greater profit, less
costly paper work, and added customer satisfaction.
To show you exactly how less


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

expensive our FIMO system is,
American Express would like to do a
financial analysis of your present
system. And then, together, we’ll
work out a favorable program includ­
ing the per-item charge.
To look further into the profitable

FIMO story, just mail the coupon to:
Mr. Gil Rosenwald, Director of
Money Order Sales Development,
American Express Company,
American Express Plaza, New York,
N. Y. 10004. Or call him collect at
(212) 480-3226.
Bp9 1

rAmerican Express Company, American Express Plaza, N.Y., N.Y. 10004Gil Rosenwald, Directo
The FIMO story interests me very much. □ I am interested in discuss­
ing a financial analysis. □ Please send more FIMO information.
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N orthw estern

Banker, Septem ber

1977

84

N o rthw estern

Banker,

Septem ber


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Federal Reserve Bank of St. Louis

1977

85

The dem and
for heroes
» lim ited
Frankly, we c a n ’t rem e m be r the last tim e
any one of us dash ed in and saved the
day.
Or the first time, either.
A nd our m em ories go b a ck a ways.
We range from 5 years to 21 years ex­
p e rie nce as M arquette C o rre sp o n d e n t
Bankers. 77 years of c o m b in e d staff
experience.
In that tim e w e ’ve learned if you ever
do need saving y o u ’ll p ro b a b ly take care
of it yourself. A nd w hat you can use from
us is p ra ctica l help, not heroics.
So we look for w ays to help an in­
d e p e n d e n t banker im prove his proof
proced ure s, c o lle ct his ch e cks faster or
better his portfolio position. C o n scie n ­
tious activities that dem an d expe rie n ce

rather than d e rrin g -d o :
The e xp e rie n ce of calling on m any
bankers for m any years and learn­
ing to see thing s thro ugh their eyes.
The e xp e rie n ce of e nco untering a
great variety of situations different
than those of larger city banks.
The e xp e rie n ce of a p p lyin g the serv­
ices and p ro d u cts M arquette can
offer to the d e m a n d s of your m arket
and your co m p e titive situation.
As a result we can do a pretty fair jo b
of keeping you from getting tied dow n on
the w rong track.
W hich, w hen you think about it, m ay
be the reason w hy the d em an d for
heroes is so lim ited.

Gary B. Wollan

Avery G. Fick

Bill Addington

Bill Rosacker

370-2154

370-2166

370-2165

370-2164

Dick Holmes

370-2167

Len Erickson

370-2168

Correspondent Banking Department

A Marquette National Bank
777 Marquette Avenue, Minneapolis, Minnesota 55480

THE BANKAMERICARD BANK

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Federal Reserve Bank of St. Louis

N orthw estern

Banker, Septem ber

19 77

86

Minnesota News

State Bank of Darfur Is Remodeled

Northwestern of Rochester
Announces Staff Changes
The retirement of a senior officer
and the promotions of five officers
were announced
by F r e d e r i c k
Hubbard, presi­
dent of the North­
western National
Bank of Roch­
ester.
Donald Grina,
senior vice presi­
dent, recently re­
tired. Mr. Grina
C. G LA RN ER
began his bank­
ing career in Fergus Falls in 1930

PICTURED above is The State Bank of Darfur which recently held an open house in
celebration of its 74th anniversary and the completion of its new addition and exten­
sive remodeling. New features are a night depository, private safe deposit box checking
booth and 2 more conference rooms. The basement has a large fire-proof room for stor­
age and a room for income tax services.

•'..■j

.

Hutchinson Bank Names
Assistant Vice President
Irvin Burich, president, Citizens
Bank & Trust Co., has announced the
appointment of LeRoy M. Ashfeld as
assistant vice president in charge of

YOUR
LEADER
AND
SURPLUS
LINES
• Aircraft • Professional Liabilities •
Comm ercial Um brella • Commercial
Auto • Excess and Buffer Layers •
Errors and Omissions • Casualty—
all lines • Product Liability

' 'm*...gfe&Jy 7F517L

the bank’s real estate loan operations.
Mr. Ashfeld had been with the First
National Bank of Minneapolis since
1973, most recently as commercial
banking officer in real estate finance.
He received his BA degree from the
University of Minnesota.
International Falls Bank
Names Assistant Cashier
David J. Knutson has been named
assistant cashier of the International
State Bank, Inter­
national Falls.
Mr. Knutson is
an accounting
graduate of St.
Goud State Col­
lege. While at­
tending college,
he interned with
the Bremer Ser­
vice Co., in St.
Paul as an exam­
iner, and held that position until join­
ing the International State Bank.

the

C row ther
People
JOHN H. CROWTHER, INC.
230 Soo Line Building
Minneapolis, Minnesota 55402

JOHN H. CROWTHER, INC.
Kirkwood Office Tower
Bismarck, North Dakota 58501

SMITH CROWTHER, INC.
106 East Eighth Street
Sioux Falls, South Dakota 57105

JOHN H. CROWTHER. INC.
1925 Grand Avenue
Billings, Montana 59102

MARK III
2126 Financial Center
666 Walnut Street
Des Moines, Iowa 50309

MARK lit
7171 Mercy Rd.
Suite 508
Omaha Neb., 68106

N o rthw estern

B anker, Septem ber


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

Melvin B. Siegfreid
Funeral services were held recently
for Melvin B. Siegfreid, 59, vice presi­
dent of Northwestern State Bank of
Austin.
Mr. Siegfreid began his career in
banking in 1937 in the bookkeeping
department. After managing the instal­
ment loan department, he was pro­
moted to commercial loan officer and
in 1957 to vice president.

D.

T.

RA N FRA N Z

R.

FO RBO RD

CLO W ES

and moved to Rochester in 1948. He
became cashier in 1951, vice president
and loan officer in 1958 and senior
vice president in 1970.
^
Officers promoted are Charles Glarner and Dean Ihrke to senior vice pres­
idents, DuWane Forbord to assistant
vice president, Thomas Ranfranz to
commercial lending officer and Rober^
Clowes to agricultural lending officer.
Mr. Glarner, who will head the
commercial loan department succeed­
ing Mr. Grina, joined the bank in
1953. He advanced to assistant cash^
ier, assistant vice president and vice
president in 1970. Mr. Ihrke is in
charge of the real estate loan depart­
ment. He began his career in 1955 and
also has held the positions of auditq^
and instalment loan officer. Mr. For­
bord joined the bank in 1973 as a
trainee after graduation from the Uni­
versity of Minnesota. He will continue
as a lending officer in the commercial
loan department.

87

^
w

“Answering our customers’ problems, questions and requests with a totally fresh
viewpoint Is essential these days. Creative correspondent banking techniques
is one important way to keep our customers satisfied. And to stay ahead of
“the other guys’. ’ The people here at the First National Bank of Saint Paul are very
Inventive in their approach, I feel. Otherwise, I wouldn’t be here’. ’
—Jim Eiller
Correspondent Bank Representative

•

lowa


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Federal Reserve Bank of St. Louis

Correspondent
Bonk Division

88

Minnesota News

Midwest Banking Institute Graduates 87

THE 11th annual session of the Midwest Banking Institute was held at the University of Minn., Morris campus, July 24-29. It is a 2
year course sponsored by the state bankers assoc, of Minn., Mont., Wis., N.D. & S.D., & is designed to assist bankers who are in­
volved in financing farming and ag concerns. Pictured above is the graduating class.

PICTURED are the 1978 2nd year class officers (left to right): Wayne Berthiaume, in­
stitute admin., MBA, Mpls.; Terry Baloun, class pres., Redfield Office, 1st Natl., Aber­
deen, S.D.; Albert Frankenstein, class v.p., First B&T, Burlington, Wise.; Dean Meyer,
class secy., Lake Crystal Natl., Minn.; David Eiesland, class treas., Northwestern Natl.,
Madison, S.D., & Richard Hawkins, institute academic coordinator, University of Minn.,
St. Paul.

1977 2nd year class officers (left to right):
pres., Leroy Louwagie, Northwestern N a ^,
Mankato, Minn.; v.p., Leland Mammen,
First Northwestern Natl., Marshall, Minn.,
and secy., Gary Knutson, Bank of New
Richmond, Wis.

First National of Mankato
Names Assistant Cashier
The First National Bank of Manka­
to has appointed Steven P. Opp as as­
sistant
cashier,
according to D.
W.
Thompson,
president. He has
been adjustor and
now will be work­
ing in the Person­
al Banking Center.
Mr. Opp began
his banking career
in 1975 a f t e r
S. P. O PP
graduation from
Mankato State University with a BS
degree in business administration.

vice president and Raymond 9 .
Galazan to vice president.
The bank’s loan division and loan
policy committee will continue to be
headed by Robert F. Poirier, execu­
tive vice president. Mr. Royer \Aml
have administrative responsibilities for
the entire loan portfolio. The commer­
cial loan department has been ex­
panded to include indirect instalment
lending headed by Darrel W. Radtlre,
assistant vice president. A loan review
and processing department has been
established and will be headed by S.
j . Maly, vice president.
^

First National of Hastings
Elects Two New Officers
Arvid B. Evensvold, president of the
First National Bank of Hastings, has
announced the elections of Gerald R.
Kamesch as vice president and LeRoy
G. Lucken as assistant vice president.
Mr. Kamesch previously was em­
ployed by the Northwestern Bank of

G . R. KA M ESCH

L.

G.

LU CKEN

Commerce of Duluth and the First Na­
tional Bank of Rochester.
Mr. Lucken previously managed the
Barron Credit Union in Barron, Wise.
N o rthw estern

Banker,

S eptem ber


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Federal Reserve Bank of St. Louis

1977

Announces Staff Changes
A restructuring of senior manage­
ment loan responsibilities and two
promotions have been announced by
the First National Bank of Duluth.
Henry Royer was promoted to senior

H.

RO YER

R.

GA LA ZA N

89

"Forty years of banking has
proven to me that prom pt
accurate, helpful service
produces mutually bene­
ficial results. A quarter of a
century as a Correspondent
Banker has also m ade it
clear to me that the friend­
ships m ade with those we
serve Is the cornerstone of
our growth and progress."

Art Hœssig
Vice President
American National Bank
and Trust Company

Am erican
National
Bank
and Trust
Com pany
American Correspondent Bankers look forward to seeing
you at the American Bankers Association Convention in
Houston.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Correspondent
Division

5th and Minnesota Streets
St. Paul, Minnesota 55101
6/l2/298-6000
Member F.D.I.C.
Northw estern

Banker, Septem ber

1977

90

South Dakota
News
CH A R LES

J.

I.

T.

M IL T O N

U N O L IN

P r e s id e n t

SCH W ARTZ

R a p id

S e cre ta ry

C ity

H u ro n

Plan 1977 South Dakota Group Meeting
R. James Blakely, humorist from
Wharton, Texas, will be the fea­
D
tured speaker at the five annual group

in 1934. She was first elected an
officer in 1945 and became a vice
president in 1965.

meetings scheduled by the South Da­
kota Bankers Association this month,
Joins Watertown Bank
according to Charles T. Undlin, SDBA
Harlan F. Olson has joined the loan
president and president of the First department of the First National Bank
National Bank of the Black Hills.
of Watertown.
Dr. Blakely has served as a college
Mr. Olson be­
professor in the field of agriculture for
gan his c a r e e r
10 years. In recent years, he has de­
with Avco Finan­
voted his time to public speaking.
cial Services and
Specific dates and places for the
continued with the
1977 meetings are shown on the chart
firm and affiliated
on this page. The annual business
companies f r o m
meetings will start at 4 p.m. They
M a r c h of 1962
will be followed by social hours at
through J une of
6:30 p.m. and dinners at 7:30 p.m.
1 9 7 7. S i n c e
Dr. Blakely’s talk will conclude the
.
.
March of 1969,
meetings.
he was office manager of the branch
Discussions at the business meetings location in Huron.
will concentrate on legislative briefings
and a report on the Sunset Commit­
tee’s hearings on the division of bank­ Elected at Western Bank
ing.
Western Bank, Sioux Falls, has
announced the election of Thomas J.
Reardon as vice president and opera­
Elected at Mitchell
Dan J. Koupal has been elected a tions officer and Patrick McNerney
director of First Mitchell National as commercial loan officer.
Bank. He is active in the real estate
and insurance business as president of
Koupal & Anton, Inc.
h

Edward C. Lee
Funeral services were held recently
for Edward C. Lee, 76, long-time
Volga banker.
Mr. Lee joined the First National
Bank in Volga in 1919 as bookkeeper.
He held various offices in the bank and
was president from 1953-69. In 1969
he became chairman until his resigna­
tion in 1975.
Rapid City Banker Retires
Frances Vincent, vice president of
the National Bank of South Dakota,
Rapid City, has retired after 43 years
of service.
Miss Vincent began her association
with the Rapid City National Bank
N o rFRASER
thw estern Banker, S e p t e m
Digitized for
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

ber

1977

T.

f

J.

o l s o n

REARD O N

P.

M cN ERN EY

Mr. Reardon, a graduate of th'P
University of Santa Clara, Calif.,
joined the bank in 1968. In 1973
he became assistant vice president and
in 1974 controller. He held thk
position until late 1975 when he b *
came a home loan specialist in the real
estate department.
Mr. McNerney, a graduate of
Augustana College in Sioux F all^
joined the bank last June following
four years of commercial lending
experience with a bank in St. Paul,
Minn.

First of Sioux Falls Names
Assistant Vice President
William S. Baker, president of T l^
First National Bank in Sioux F all^
h a s announced
the appointment
of Harley Marek
to assistant vice
p r e s i d e n t in
charge of the data
processing depart­
ment.
Mr. M a r e k ,
who holds a BA
in business ad­
H. M AREK
ministration from
the Metropolitan State University,
Minneapolis, previously was accou^
manager with Northwest Computer
k frv ire s . Inc., of Minneanolis.

White Bank To Expand
Construction has begun on a $129,000 remodeling and expansion of the
Deuel County National Bank of
White, according to Robert Law, prq^
ident. Occupancy is expected in No­
vember.
The new addition will increase the
bank’s service area by 2,500 square
feet and will provide enlarged spa0
for the bookkeeping department, tem­
perature and humidity controlled area
for the proof machine and additional
space for loan officers and executive
offices.
#

1977 South Dakota Group Meetings
Date
September
September
September
September
September

12
13
14
15
16

Group
5
4
3
1
2

Place
f
Holiday Inn, Spearfish
First National Bank, Mobridge
Holiday Inn, Mitchell
Minnehaha Country Club, Sioux Falls
Guest House Motel, Watertown
#

If you run a bank, it’s your job to
look after your customers assets. And
almost all banks do a good job of that.
But if you’re like a lot of bankers
you don’t give your own assets the
same kind of attention.
This can be troublesome.Because
a bank should always know what it’s
worth. For itself. For the government.
United Bank of Denver wants to
help banks who aren’t so good at help­
ing themselves.
We have an Investment Portfolio
Analysis and Accounting program
that’s specifically designed to help
banks keep their portfolios in order.
We can present you with a pro­
gram that provides you with clear,
concise management information
in easy to read, easy to use reports.
Not just pages of data.
We can give you accurate ap­
praisals on your securities. We can
offer you daily judgments by our
specialists instead of just canned
programs that provide pricing by the
numbers.
We can offer you access to an
extensive list of customized reports
that help summarize the complexities
of investment management for non­
bankers on your Board of Directors.
And we go beyond the Standard
and Poor’s index and rate many small
issues that can turn out to be very profit
able investments for you.
If you’d like more information on
how United Bank of Denver can be of
help to you, give us a call at 303861-8811 and ask for Correspondent


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Federal Reserve Bank of St. Louis

Banking or Municipal Bonds.
United Bank of Denver. We want
to help banks who have trouble helpa a ing themselves.

g k United Bankof Denver

V V Correspondent Banking Department
1740 Broadway, Denver, Colorado 80217
Phone 303-861-8811
National Association, Member FDIC.

92

S o u th

D a k o ta

News

worth, insurance manager, Chamberlain Office.
Other title changes include: W. R.
Laird, III, to vice president; Kris Kober, assistant vice president; Alan C<£
Hodgson, assistant vice president and
assistant Colonial Office manager;
Robert Dempster, assistant Marion
Road Office manager, and Alverna
Andersen, Auto Bank manager.
%
Dahl Retires From
Rapid City Bank

First Mitchell National Bank

First Mitchell Opens in New Building
Mitchell National Bank re­
F IRST
cently opened in its new building
with ribbon cutting ceremonies, ac­
cording to Herman Lerdal, president.
A formal grand opening for the public
will be held this fall.
The new bank was developed by
Bank Building & Equipment Corpora­
tion of America, St. Louis, Mo. The
tellers; commercial, agricultural, real
estate loan and trust departments and
new account area are located on the
first floor. The instalment loan depart­
ment and board room are on the
second floor. On the lower level are
the safety deposit box vault, customer
services, bank operations and book­
keeping departments, The drive-up
was expanded and an inside, afterhours walk-up window and 24 hour
depository are available at the Fourth
Avenue entrance.

Northwestern National
Announces Staff Changes
The following promotions and
changes have been announced affect­
ing Northwestern Bank of Sioux Falls
and its branches. Stephen P. Olson,
vice president and Colonial Office
manager, has accepted the position of
senior vice president at another Banco
affiliate, the First Northwestern Na­
tional Bank of Kalispell, Mont.
New positions are: Larry Cornell,
vice president and Colonial Office
manager; Donald L. Hirtzel, assistant
vice president, Westwood Office man­
ager; Leelan K. Larsen, assistant vice
president, Marion Road Office man­
ager; Robert Schultz, assistant Stockyards Office manager; Keith Goodhope, Parker Office insurance man­
ager; William R. Madson, loan officer,
Brookings Office, and Norman Farns-

M o b ile Homes
RECREATIONAL VEHICLES
Snowmobiles
Boots and Motors
Travel Trailers
M o tor Homes

Autom obiles
Trucks
(2 ton or less)
Household Goods
Farm M achin ery
Motorcycles

PROTECT THESE LOANS AGAINST PHYSICAL DAMAGE LOSSES

call or w rite: G.D. VAN WAGENEN CO.
1006 Northwestern Bank Bldg., Minneapolis, Minn. 55402
(612) 333-2261
o rFRASER
thw estern Banker, Septem ber
Digitized Nfor
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

A. E. DAHL, chmn. emeritus, Natl. Bank
of S.D., Rapid City, recently marked h #
60th year in banking. Mr. Dahl was hon­
ored with a reception in the lobby of the
downtown office, Natl. Bank of S.D. Pic­
tured at the reception are (left to right):
Reynold Klay, exec, v.p.; Mr. Dahl & Earl
Keller, former sr. v.p., American N a 0
Bank, the bank Mr. Dahl started.

Sioux Falls Bank Sponsors

FIRST Natl. Bank of Sioux Falls celebrated
its 1st anniversary in its new bldg, on J iUk
8 by hosting an old fashion ice cream s™
cial for its customers and the general pub­
lic. Helping scoop out the vanilla-flavored
treat are Orv Bonacker (left), v.p. & cash.
& Tom Long (right), v.p. Everyone attend­
ing tried to guess the weight of the F ir ^
Sioux Falls eagle now perched in t "
bank’s plaza.

93

North Dakota
News
H EN RY

J.

N . N ESS

D A N ER

P r e s id e n t

S e cre ta ry

F a rg o

B is m a r c k

Bank of North Dakota
Adds to Loan Department
^ H. L. Thorndal, president of the
Bank of North Dakota, Bismarck, has
announced the addition of Larry
Stockert and Russell Erickson to the
bank’s loan department.
0 Mr. Stockert, 29, was graduated
magna-cum-laude from Dyke College
in Cleveland, Ohio, with a BS degree

Minot Bank Announces
Four Promotions
The American Bank and Trust
Company, Minot, has announced the
following four promotions: Dale Gehring, Dorothy Clayson and Dennis
Nordquist, from assistant cashiers to
assistant vice presidents and Lorna
G. Olson from bookkeeping manager
to assistant cashier,
Mr. Gehring joined the bank in
1970 and has worked in the audit
department, operations,
instalment

loans and most recently real estate
and commercial loans. Mrs. Clayson
began her banking career in Bottineau
in 1942 and joined the Minot bank in
1947. She was promoted to assistant
cashier in 1970. Mr. Nordquist joined
the bank in 1973 as an insurance and
instalment loan officer. He was pro­
moted to assistant cashier in 1975.
Mrs. Olson joined the bank in 1964
and has worked in the bookkeeping
and proof departments. For the past
eight years, she has been supervisor of
these departments.
Named to Bond Program
Secretary of the Treasury W.
Michael Blumenthal has appointed
Robert R. Hendrickson as volunteer
state chairman for the Savings Bonds
program in North Dakota. Mr. Hend­
rickson is chairman of the First Na­
tional Bank & Trust Company of Bis­
marck.

North Dakota Group Meetings
Date

L.

STO CKERT

R.

E R IC K S O N

business and industrial manage­
ment. Prior to joining the bank he was
a merchandising executive for Forest
City Enterprises, Inc., Cleveland. He
is presently in the real estate lending
department.
Mr. Erickson was graduated from
North Dakota State University with a
BS degree in agricultural economics in
May of this year.
•
Named BAI Director
Dennis Larive, vice president and
cashier of the First National Bank and
Trust Co. of Fargo, has been ap­
pointed North Dakota director of the
Bank Administration Institute (BAI),
national research and educational asso­
ciation for banking.
Moorhead Bank Names
Two Directors
John A. Adams and Kermit Alveshere have been appointed to the
0 irs t National Bank of Moorhead
board of directors, according to Doug
Johnson, president. Mr. Adams is
president and general manager of the
Powers Construction Co. Mr. Alvedhere is senior vice president of the
bank.

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

October
October
October
October

25
26
27
28

Location

Town

Ramada Inn
Not determined
Four Bears Lodge
Not determined

Jamestown
Dickinson
New Town
Devils Lake

“Have you done everything you
reasonably can to guard against losses?”
It’s a question every loan department
has to ask itself. And many loan
departments also ask Lawrence.
For over sixty years Lawrence
Systems has been providing security
for secured loans. Lawrence controls
inventories, monitors receivables,
controls proceeds, takes possession
of title documents and
other instruments.
When you think you have
done everything, think about
calling Lawrence.

Lawrence: Systems of Collateral Control
For more information, contact Ted Berghorst, Senior Vice
President or John Cindric, Vice President at Lawrence Systems,
Inc., 180 North LaSalle Street, Chicago, Illinois. (312) 236-9333.
Northw estern

Banker, Septem ber

1977

.

!

In to lunch
No one likes to miss lunch.
And that includes our correspondent
bankers.
Only thing is, they try to work it so their
lunch hour isn't the same as your lunch hour.
Or they may eat in.
So that when you call for assistance, you'll
always find someone here to help you.
Whether you want to talk
about a loan to help buy a bank
u
or start a new one.
U C ilU
Or would like us to participate
with you in a good sized loan to
CXM l l
one of your good sized customers.
of Denver

Whether you need assistance with managing
your liquidity through Treasury bills or Federal
fund transactions.
Or have need for one or more of the special­
ized services we offer. Like data processing. Or
our new VI SA® card programs.
Whatever your need, we invite you to call us
at 893-3456 in Denver.
Anytime,
Even during lunch,
C lI
You'll find we've added a whole
new dimension to bankers' hours,
\
Because we're hungry for
your business.

A Financial Service oi


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Federal Reserve Bank of St. Louis

95
First of Grand Forks
Elects Langley Auditor
The First National Bank in Grand
orks has announced the election of
everly A. Lang­
ley, CPA, as au­
ditor of the bank.
Mrs. L a n g l e y
Lfined the staff
m August of 1976
participating i n
the bank’s train­
ing program. She
a 1976 busi­
ness administra­
B. A . LA N G LEY
tion graduate of
the University of North Dakota. Prior
to attending college, she had seven
g^ars of banking experience.

0

Named at Dickinson
Tony Anderson has been named
executive vice president to head the
lending division of the American State
Bank,
Dickinson,
according to
Maurice O’Connell, president. Mr.
Anderson joined the bank last May
from the First National Bank of Cas­
per, Wyo., where he was vice presi­
dent and agricultural representative.
He has a BS degree in agricultural
economics from North Dakota State
University.
Named at Fargo
William Tiffany, vice president and
chief executive of Northwestern Bell,
has been elected to the board of the
First National Bank of Fargo.

Utah

Montana
News
W .

J.

R . T A IT

T.

CADBY

P r e s id e n t

B u tte

S e cre to ry

H e le n a

£udyard Bank Names
Lott President
Douglas L. Lott has been elected
president of Farmers Merchants Bank
of Montana, Rud^ard.
Mr. Lott began
his banking career
i n 1970 w i t h
Blaine Bank of
% ontana, C hi­
nook. H e w a s
elected operations
officer in 1971,
ssist ant cashier
D. L. LO TT
4 s 1972 , cashier
in 1974 and vice president and cashier
in 1976. He attended Northern Mon­
tana College.

Columbia Heights State Bank and
then served as president and director
of the Pioneer National Bank in Lady­
smith, Wise., He returned to Great
Falls and served as president and
chairman for the newly-organized Vil­
lage Bank from 1970-74.
Mrs. Malaier was an assistant na­
tional bank examiner for the U.S.
Treasury Department from October,
1972, until this appointment.

To Head Big Sandy Bank
Ronald J. Remick has been elected
president of Northern Bank of Big
Sandy.
M r. R e m i c k
began his banking
career in 1971
with P o n d e r a
Join Great Falls Bank
Everett C. Joslyn, Jr., and Ana Bank of Mon­
Maria Malaier have joined the First tana, Conrad. In
Westside National Bank of Great Falls 1973 he trans­
^Ps head of the real estate department ferred to Farmers
and credit administration officer re­ Merchants Bank
of Montana as
spectively.
R E M IC K
Mr. Joslyn began his banking career vice president and
l952 with First Bank System in manager and in 1975 became presi­
lexandria, Minn. He was associated dent. He attended the College of
with First Westside National Bank and Great Falls.

f


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Federal Reserve Bank of St. Louis

First National of Havre
Elects Vice President
The First National Bank in Havre
has elected Robert A. Wanago vice
president and secretary of the board.
He succeeds Douglas L. Davidson who
has been elected president and manag­
ing officer of the First National Bank
of Windom, Minn.
Mr. Wanago began his career with
First Bank System in 1963 as an audi­
tor for the First National Bank in
Havre. Following a four year position
as supervisory examiner for the First
Bank System credit department, he be­
came assistant vice president of the
First Westside National Bank in Great
Falls. He was elected vice president
and commercial loan manager in 1972
and served as the senior loan officer
for the past five years.

R. T. HEINER
President
Ogden

Zions First National
Announces Changes
Zions First National Bank, Salt
Lake City, has announced the follow­
ing staff promotions: J. Kimball But­
terfield, second vice president, Taylors­
ville Office, and regional manager;
Gareld D. Hanson, second vice presi­
dent and marketing officer, business
development; Robin V. Hampton,
manager, Holladay Office; Patricia
Adams, assistant manager, Holladay
Office; David Fuhriman, manager,
Cottonwood Mall Office; Jeffrey L.
Klekas, loan officer, Murray Office,
and Leon Pederson, real estate loan
officer.
Ames K. Bagley, vice president of
business development, recently retired.
He joined the bank in 1958.
Doris Taggart has been named sec­
ond vice president and public relations
officer in the business development.
Mrs. Taggart has been an assistant
vice president on the business develop­
ment staff and is responsible for direct­
ing public relations efforts for the
bank’s 42 offices throughout the state.
N orthw estern

Banker, Septem ber

1977

96

Colorado
News
LEO
G.

H IL L
L.

SCA RBO RO

P r e s id e n t
Exec.

B o u ld e r
M g r.

D enver

Security National of Denver
Names Vice President
The appointment of William L.
Carter as vice president in commercial
lending for Secu­
rity N a t i o n a l
B a n k , Denver,
has been an­
nounced by C.
Gale S e 11 e n s,
president. Mr.
Carter joins Secur i t y a f t e r two
y e a r s with the
F i r s t National
W . L. C A R T E R
Bank, Albuquer­
que, where he was vice president and
branch manager. Prior to that he was
vice president and cashier of Ameri­
can National Bank, Riverton, Wyo.
He is a graduate of the University of
Wyoming.
Hart and Kirk Appointed
To United Banks Boards
United Banks of Colorado, Inc.,
and United Bank of Denver have an­
nounced the appointment of two new
directors. N. Berne Hart, 47, president
of United Banks, a multi-bank holding
company, has been named to the board
of United Bank of Denver, the compa­
ny’s lead bank. This raises the number
of UBD directors to 23.
Richard A. Kirk, 46, president of
United Bank of Denver, has been ap­
pointed a director of United Banks,
raising the number of that board to 21.
Elected at Denver
The Guaranty Bank & Trust Com­
pany of Denver has announced that
Hale S. Irwin has been elected to the
board as an advisory director. Mr. Ir­
win is an internationally known and
prominent professional golfer.
Northeast Colorado Natl.
Adds Honnen to Board
E. Pete Honnen has been added to
the board of directors of Northeast
Colorado National Bank, Denver, ac­
o r tFRASER
hw estern Banker, Septem ber
Digitized Nfor
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Federal Reserve Bank of St. Louis

1977

cording to James B. Gammon, presi­
dent. The election raises membership
to 10. Mr. Honnen is president of Pete
Honnen Equipment Co. of Commerce
City, a distributor of construction ma­
chinery. He also is vice president of
Ed H. Honnen Construction Co.
Colorado National Mortgage
Elects Vice Chairman
Louis J. Buehner has been elected
vice chairman of Colorado National
Mortgage Company, the mortgage
company for Colorado National Bankshares. Mr. Buehner, a CPA, former­
ly was president of the Mellon Nation­
al Mortgage Company of Ohio.

1972, has served as director of mar­
keting since 1974. Mr. Kugeler joined
the bank’s trust investment division in
1965. He has served as assistant vice
president, bank investment divisio#
since 1973 where he manages the
bond and underwriting group. Mr.
Kalan, with the bank since 1968, has
served as BankAmericard operations
officer since August of 1970. He w #
named assistant vice president in 1973
and most recently was administrative
assistant to D. Dale Browning for op­
erations. Mr. Kennedy, personnel divi­
sion, joined the bank in 1970 and b ^
came personnel officer in 1971.
Central Bank of Denver
Names Vice President
#
Central Bank of Denver has ananounced the promotion of Betty Lou
Carpenter to vice president, marketing,
for the bank.
Before joining the bank in 197®
Mrs. Carpenter was an account man­
ager with the Denver advertising
agency of Broyles, Allebaugh & Davis,
Inc.

Promoted at First of Denver
The First National Bank of Denver
has announced the following nine pro­
motions: Mary K. Anstine, from senior
trust officer to vice president and trust
officer; Flo Ann
Vance, assistant
v i c e president;
H e n r y Vernon
Good, trust op­
erations officer;
Patricia J. Beran,
trust o f f i c e r ;
Ma r y L o u i s e
Hanson, assistant
c r e d i t officer;
M . K . A N S T IN E
William R. Mc­
Donald, senior trust officer; Robert L.
Mitton, assistant loan officer; Jo Rich­
ardson, operations officer, and Alvin
Thoma, Master Charge officer.
Ms. Anstine will be responsible for
management of trust department op­
erations. She has been with the bank
for 16 years.

Lakewood Bank Announces
Promotions, Elections
Jefferson Bank and Trust in Lakewood recently announced the promq^
tions of Lloyd Fread to vice president
and cashier and Ken Hoyer to vice
president.
Formerly assistant vice president,
Mr. Fread came to the bank in 197#
as assistant controller in accounting.
Mr. Hoyer joined the bank in 1973
as a credit analyst. He was made as­
sistant vice president in the commer­
cial loan department and then move#
to mortgage lending.
Frank O. Starr III, chairman and
chief executive officer of the State Bank
of Atwood, Ks., and Larry Clements,
assistant principal of Creighton Junie#
High School in Colorado, were elected
to the bank’s advisory board.
Also announced was the appoint­
ment of Vonda Rae Comley as loan
closing officer.
®

Colorado National Bank
Promotes Four Officers
Peter Grant, president of Colorado
National Bank, Denver, has an­
nounced the promotions of John
French, Darko Kalan, James G. Ken­
nedy and Frank A. Kugeler to vice
presidents.
Mr. French, with the bank since

Holding Company OKd
The Board of Governors of the
Federal Reserve System has approve#
of the application of Ark Valley Bankshares, Inc., La Junta, Colo., to be­
come a bank holding company by
acquiring The La Junta State Bank
and The Empire State Bank, Rock^
Ford, Colo.

97

We’re one of the ten largest
banks in the country*
O n ly one other California Bank
can say that.
n 1871, c o w h id e s a n d ta llo w w ere still t h e
m e d ia o f e x c h a n g e in C a lif o r n ia .
S in c e t h e n , S e c u rity P acific B a n k a n d
C a lif o r n ia h a v e c o m e a lo n g way. T oday
w e’re t h e s e c o n d larg e st b r a n c h b a n k in g
sy ste m in th e U n i t e d S ta te s . T h e
q u a lity a n d ra n g e o f o u r se rv ice s are
s u c h t h a t 9 0 o f t h e to p 100 c o r p o ra ­
tio n s in th e U n i t e d S ta te s are d o in g
b u sin e ss w ith S e c u rity Pacific B a n k .
W e h a v e offices o r a ffiliates in th e
m a jo r fin a n c ia l c e n te r s o f t h e w o rld .
O u r c o m p u te riz e d b u sin e ss se rv ice s
are s e c o n d to n o n e . A n d s h o u ld y o u
n e e d a h a n k to h a n d le th e l io n ’s sh a re
o f y o u r lo a n s y n d ic a tio n , w e c a n d o
t h a t to o .
Q u a lity o f se rv ic e , q u a lity o f services:
tw o re a so n s w h y so m a n y
c o r p o ra tio n s c h o o s e
S e c u rity Pacific B a n k .

S E C U R IT Y P A C IF IC B A N K
MEMBER FDIC


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Federal Reserve Bank of St. Louis

T here’s Security in Numbers
N orthwestern

Banker, Septem ber

1977

98

Wyoming
News
o.

G. GEESEY

M.

C.

MUNDELL

P resident
S ecretary

Idaho News

K em m erer
Laram ie

Named BAI Director at Large
Howard L. Bauder has been elected
a director-at-large and member of the
board of Bank
Admi ni st r at i on
Institute (BAI),
research and na­
tional education­
al association for
b a n k i n g . Mr.
Bauder is senior
vice president and
c a s h i e r of the
Wyoming Nation­
H. L. BAUDER
al Bank in Casper.
As director-at-large Mr. Bauder will
serve on the board’s 1 0 member ex­
ecutive committee and will assist in
the policy-making decisions of the in­
stitute.
Mr. Bauder has served BAI in vari­
ous capacities during his 37-year bank­
ing career. He is a past president of
both the Southern Colorado and Iowa
Lakes Chapters, has served as state
director in Iowa and Colorado and
as director of District 7. He also is a
former member of the operations com­
mission.
Elected at Basin
Donald M. Russell has been elected
to the board of the Security State Bank
of Basin. He fills a vacancy created by
the death of Jake Euler. Mr. Russell,
a CPA, returned to Basin in 1972 to
become associated with his father in
public accounting and masonary con­
tracting through Warded Contractors
Incorporated. He had been with an ac­
counting firm in Los Angeles.
Casper Bank Adds
Three to Board
Lee Coffman, Bill Hawks and Rob­
ert N. Olsen recently were elected to
the board of the First National Bank
of Casper.
Mr. Coffman is secretary-treasurer
of Coffman Ranch Co.; Mr. Hawks is
president of Burton/Hawks, Inc., oil
orthw estern Banker, Se p te m b e r
Digitized N
for
FRASER
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Federal Reserve Bank of St. Louis

1977

and gas company, and Mr. Olsen is
owner of Lobo, Inc., general contract­
ing firm.
Greybull Bank To Expand
Construction of new bank facilities
for the First National Bank of Grey­
bull will begin soon, according to Bert
Harris, president. About 2,500 square
feet will be included in the expansion
which features two new drive-in win­
dows, added office space and an ex­
tension of the second floor of the exist­
ing building.
The expansion is part of what Mr.
Harris calls a five year expansion pro­
gram that eventually may result in the
construction of a new building at the
site of the Alamo Hotel.
To Head Sheridan Bank
Everett J. Cassidy has been elected
president and director of First Wyo­
ming Bank, Sheridan, according to C.
B. (Buster) Metz, chairman.
Mr. Cassiday has 13 years of credit
experience including eight in instal­
ment lending, three in commercial
banking, one of regional banking and
one as president. He is a graduate of
National College of Business at Rapid
City, S.D., and the Pacific School of
Banking, University of Washington,
Seattle.
Elected at Casper
Hardy V. Ratcliff, president of
Western Equipment Co. of Casper,
has been elected to the board of the
Wyoming National Bank of Casper,
according to Fred Goodstein, chair­
man.
Mr. Ratcliff has been living in Cas­
per since 1946 when he joined his
company. In 1960 he was named presi­
dent. Mr. Ratcliff also is associated
with several other business interests
in the area. One of the founders of
the Hilltop National Bank of Casper,
he was chairman until last May when
the bank was sold.

Ted Ellis Joins IB&T
Management Team
Ted E. Ellis is the new executive
vice president of Idaho Bank & Trust
Co., Pocatello.
His responsibili­
ties will include
the areas of mar­
keting, c r e d i t ,
t r u s t , customer
services and in­
ternal auditing.
Mr. Ellis, who
has 30 years of
banking experit . e. el lis
ence, joined First
•
Security system in Rexburg in 1947
and was employed in Blackfoot and
American Falls before coming to
Pocatello in 1963. His most recent
position was senior vice president a i^
eastern Idaho division supervisor.
Restructuring of the Idaho Bank &
Trust Co.’s organization has resulted
in ¿prom otion s for two top executives.
They are Ned Bills and Belton P at^
who were named executive vice presi­
dents.

Idaho First National
Announces Staff Changes
The Idaho First National Bank,
Boise, has announced the following
staff changes: James L. Warren,
sistant manager, Emmett Office; Leo
E. Boyce, loan officer, Fairview Of­
fice in Boise; Gordon R. Collett, trust
tax officer, trust department, Boise;
Dick B. Miller, Jr., affirmative acti(#
officer, administrative office, Boise;
Robert P. Franz, telecommunications
officer, Boise; Donald D. Dalton, op­
erations officer, Idaho Falls Office;
Gary J. Peters, cashier, Boise; H ub^i
J. Vauk, credit control officer, Boise;
Marcia A. Carr, escrow officer, Boise;
Jerry Mabbott, credit officer, Boise;
Gene A. Perry, collections officer,
Boise; Donna Prowell, loan officcÉf
Boise.

99

Washington
News

Service C h a rg e s ....................
[Continued from page 38]

Banks were then asked to answer
“How much would your present
savings interest expense increase if
you offer NOWs at 3%?
The replies verify what has been
stated nationally —that larger banks
would experience the least impact,
and the smallest banks would
experience the heaviest impact. The
column at left in the following chart
is the expected interest expense
increase expressed in increments of
10 points. The other columns
Application Approved
The Bank of Oregon in Woodburn represent the number of banks,
has received permission to establish a expressed in percentages, indicating
the level at which they expect their
••anch office in Sheridan.
interest expense to increase.
As can be noted from these
Charter Issued
A charter has been issued to The figures, half the banks under $ 1 0
million expect their interest expense
^owlitz Bank in Longview.
to increase above the 50% level of
what it is now. The larger the bank,
Application Approved
Puget Sound National Bank, Taco­ the more co n cen trated is the
ma, has received approval to purchase expected increase at lower levels.
After estimating what percent of
e assets and assume the liabilities of
their
demand deposits would convert
alley National Bank of Auburn.
to NOW accounts, and how much
this would increase their interest
expense, based on a 3% rate,
respondents were asked to estimate
the adverse effect of this on their

f

Nevada News

E. G. OTTUM
President
Salem

•
Application Approved
United States National Bank of Ore­
gon, Portland, has received approval
to establish an operating subsidiary to
Provide financing, leasing and loan ser­
vicing to customers who are primarily
engaged in the heavy equipment busi­
ness. The subsidiary will be known as
the United States National Commer^ 1 Corporation.
Title Change
First National Bank of Oregon
acadam Avenue Branch in Portland
s changed its name to Johns Land­
ing Branch.

M


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Federal Reserve Bank of St. Louis

total bank earnings. The smallest
banks again anticipate a greater cut
in their earnings than larger banks
expect. Their expectations are shown
in the chart below.
One factor that needs to be
considered when figuring the poten­
tial effect of NOW accounts on
interest expense and on earnings is
that under all legislation proposed to
date, NOW accounts may be held
only by individuals and not by other
types of accounts, i.e., not held by
corporations, partnerships, etc.
Q.8. Have you considered yet how
you will offset this added interest
expense factor?
Less than half the respondents
replied “yes” to this question. Only
29% of the under $10 million and the
$20-$30 groups have a plan of action.
The other three deposit sizes range
from 36% to 48% “yes” to the
question.
Those who have given considera­
tion to steps they will have to take
discuss new service charge sched­
ules, greater attention to costs of
various services and the imposition
of fees on an itemized basis. □

“ Interest Expense Increase with NOWs at 3 % ”
Expense
Increase
[by %]

0-9
10-19
20-29
30-39
40-49
50-59
60-69
70-79
80-89
90-99
100

Under $10

$10-$20

$20-$30

$30-$50

Over $50

2%
13%
15%
15%

37%
33%
15%
6%
3%
6%

44%
37%

42%
37%
5%
16%

88%
6%
6%

2%
18%
5%
11 %
6%
5%
8%

6%
13%

“ Adverse Effect of NOW Interest on Earnings”
Adverse
effect
[by %]

0-9
10-19
20-29
30-39
40-49
50-59
60-69
70-79
80-89
90-99
100

Under $10

18%
26%
21 %
9%
6%
9%
6%
3%
2%
2%

$10-$19
20%
26%
28%
12%
2%
6%

$20-$29

$30-$50

Over $50

47%
13%
33%

28%
44%

40%
30%
10%
10%
5%
5%

2%
2%

7%

2%

16%
6%

6%
N orthw estern

Banker,

Septem ber

1977

We deliver.
At U.S. National Bank, we do n t offer a
new correspondent banking service unless
we’re sure we can deliver.

•

Take our new investment service for
example. Correspondent bankers who have
taken advantage of our investment analysis
and counseling know we can help them make
decisions wisely. They know we do what
we say we will do.
®
We’ve taken the same approach with corre­
spondent “on-line” service, too. And you
can be sure we’ll keep right on “ delivering” ^
for any correspondent banking service you
may need. Why? Because we’re on your
side . . . to keep you on our side. You have
our word on it.

US National

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Bank of Om aha
M e m b e r F D IC

101

National exceeded $26.5 million at the
time of the sale.

Nebraska
News
H. E. LARMON

P resident McCook

R. E. HARRIS

Exec. M g r. Lincoln

Banks Maintain Farm Credit Leadership
TVfEBRASKA’s banks maintained
O-*-^ their leadership in agricultural
credit services, providing $1,837,149,000 in loans to farmers in 1976, a
spokesman of the Nebraska Bankers
Association (NBA) reported recently.
II Citing results of the American
Bankers Association’s (ABA) annual
farm credit study, Robert Harris,
executive vice president of the NBA,
said that Nebraska’s banks provided
®$1.75 billion in nonreal estate loans
— a 25% increase over 1975, and
$81.3 million in farm real estate
loans, a 29% increase over the pre­
vious year.
® By comparison, Production Credit
Associations provided $460,919,000
and the Farmers Home Administration
$34,448,000 in nonreal estate farm
loans in 1976, he said.
® In real estate farm loans, Federal
Fand Banks provided $626,338,000;
life insurance companies $382,361,000; and the Farmers Home Adminis­
tr a tio n $160,934,000.
^ Nationally, banks held $44.7 bil­
lion in nonreal estate farm loans, a
13% increase over last year, and $6.8
billion in real estate loans, an 8 %
^increase. Total farm debt held by
all major lenders during 1976 was
approximately $ 1 0 1 billion.
Mr. Harris said that bankers in
Nebraska are well aware of the large
^capital investments required in agri­
culture today and are making every
effort, through improved lending pro­
grams, to meet these changing credit
demands of state farmers.
0
“We are, however, increasingly
concerned about the decline in the
growth rate of deposits in Nebraska’s
banks,” he commented. “At a time
when bank deposit growth rates are
^averaging 8 % annually, our ability
to accommodate loan growth rates
in excess of 25% annually is question­
able. It would appear that the time has
arrived for the Congress to give serious
# consideration to elimination of the
deposit rate differential advantage

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Federal Reserve Bank of St. Louis

granted to other financial institutions.”
Mr. Harris said severe drought in
some areas of the state, combined
with depressed agricultural prices,
have contributed to declining bank
growth rates. “But we are witnessing
growth rates by our competitors that
far exceed those of the banking
industry, and it is obvious that legis­
lated rate advantages are responsible.
Congress, through the rate differential
granted savings and loan associations,
has arbitrarily allocated potential
agricultural credit dollars to the home
mortgage loan market. It’s time that
serious consideration be given to
allocating credit back to where it’s
needed most in Nebraska — agricul­
ture.”
The NBA has pledged its resources
to assist in the effort to seek increased
prices for farm products. NBA has met
with the members of the Nebraska
Congressional delegation, and has been
in contact with Governor J. James
Exon offering its assistance.
West Point Stock Sold
A group of investors has purchased
all the stock except qualifying shares
in the Farmers and Merchants Na­
tional Bank of West Point. New pur­
chasers include Ward Sauvage, an
oil, gas and propane dealer from
Oberlin, Kan.; Dean Phillips, a banker
in Lewiston, Mo.; Roger Hegarty,
president, First National Bank, St.
Joseph, Mo.; Benton O’Neal, senior
vice president, First National Bank,
St. Joseph, Mo., and his brother,
Sam O’Neal, a vice president of the
West Point bank who will continue in
that capacity.
W. T. Knievel, president, and J. R.
Knievel, executive vice president, of
Farmers and Merchants National,
continue as minority stockholders with
the group and will continue in their
respective positions. No changes have
been made in officers or directors.
Assets of Farmers and Merchants

Buy Kimball Bank
Lee Shirk and Stan Juelfs have
sold their majority controlling interest
in American National Bank of Kimball
to Larry Day, president of the Ameri­
can National Bank of Cheyenne, Mr.
Day will serve as chairman of the
Kimball bank but will remain in Chey­
enne.
Bruce Madden will continue as
president and no personnel changes
will be made. Mr. Juelfs will remain
a director.
Elected at Hastings
Duane Biede has joined the First
National Bank of Hastings as per­
sonnel officer. Mr. Biede was formerly
an instructor of several business classes
at Central Technical Community Col­
lege. He also has been a high school
instructor at Hastings and Broken
Bow.
Join Geneva State Bank
John Novotny and Stephen Clark
have joined the Geneva State Bank.
Both men were recently graduated
from the College of Agriculture at the
University of Nebraska-Lincoln, with
majors in agricultural economics. Mr.
Novotny served as an intern with
the Omaha Production Credit Associa­
tion during the summer of 1976. Mr.
Clark served as an intern with the
Nebraska State Bank in Ord.
Joins Aurora Bank
Charles S. Willnerd has joined the
First National Bank & Trust Co. in
Aurora as vice president and loan
officer.
Mr. Willnerd was graduated in 1972
from the College of Agriculture of
the University of Nebraska. Since then
he has been with the Equitable Life
Assurance Society of the United States
in the farm mortgage division. He most
recently was area loan manager.
Joins Elk Creek Bank
Rick Oshel has joined the State
Bank of Elk Creek as vice president
in the agricultural loan and insurance
departments. He is a graduate of
Northwest Missouri State University
with an agriculture-business degree and
has been a loan officer for Beatrice
Production Credit Association for the
past three years.
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1977

102

man Co., a real estate brokerage, de­
velopment, management and construc­
tion firm based in Bellevue; Fontenelle
Hills Co., the developer of a Bellevue
housing and apartment subdivision
Joe Dennis Construction Co., a resi­
dential and commercial contractor,
and the Bellevue Industrial Corp.,
which develops industrial properties.
* * *
®
The First National Bank of Omaha
has announced the appointment of
the following new
officers: John
C a l h o u n , vice
president; Paul J.
Dwyer, George N.
Kyros, and Rob­
ert G. Moore, op^
erations officers.
M r . Calhoun
joined the bank’s
*
commercial lendJ. W . CALHOUN
i n g department
August 1 as vice president. He former­
ly was with the Boatmen’s Union Na­
tional Bank of Springfield, Mo. He is a
1970 graduate of Southwest Missouri
State University.
#
Mr. Kyros joined the bank in 1975
after his graduation from the Uni­
versity of Nebraska-Lincoln. He is a
conversion specialist in the data pro­
cessing department. Mr. Moore joined®
the bank in systems and programming
in 1976 from the National Cash Regis­
ter Company where he had worked
for 14 years. Mr. Dwyer originally
joined the bank in 1965 in the opera®
tions and data processing department.
After service in the armed forces,
he established a data processing opera­
tion for a Council Bluffs manufactur­
ing company and then returned to thi®
bank in 1976 in systems and pro­
gramming.

rk

"Th OUGLAS County Bank & Trust
U Company has announced the
promotion of Gary D. Wilson to assis­
tant cashier.
Mr. Wilson joined the bank in 1973
and was assistant manager at the 72nd
Street location until May of 1976. He
temporarily left banking and returned
to the bank in May of 1977 as a loan
officer trainee. Mr. Wilson is now in
the instalment loan department.
*

*

*•

Lyle W. Hulke has been elected vice
president in charge of credit adminis­
tration of Center
Bank. He will be
the administrator
of the commer­
cial, instalment,
m o r t g a g e and
loan servicing de­
partments.
For the past
eight years. Mr.
Hulke has been
L. W . HULKE
with B a n k e r s
Trust Company of Des Moines, la.,

and most recently was vice president of
the commercial loan department. Prior
to that, he was a branch manager for
a finance company for 11 years. He
is a graduate of Drake University, Des
Moines.
% sjs %
Dr. Ronald W. Roskens, president
of the University of Nebraska, has
resigned from the board of directors
of The Omaha National Bank. He had
served on the board since 1974.
Dr. Roskens, formerly chancellor of
the University of Nebraska at Omaha,
cited the additional time requirements
of his new university position and his
move to Lincoln, as reasons for step­
ping down from the bank’s board. Dr.
Roskens was named president of the
university system in April after serving
as interim president since the first of
the year.
R. Joe Dennis has been elected to
the board of directors of Realbanc,
Inc., an Omaha-based mortgage firm
and subsidiary of the Omaha National
Corporation.
Mr. Dennis is president of the Free-

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1 9 77

John Van Horne, president of Vai^
Horne Investment, Inc., was one of
only two readers who responded cor­
rectly on all his guesses to a recent
quiz in The World Herald.
The quiz asked readers to predict
whether the four Dow Jones averages
would be up or down on July 13 as
compared to what they were on April
15. Mr. Van Horne correctly predicted
that the 30 industrials would be down#
the 20 transportations would be up,
and the composite of 65 stocks would
be down.
* * *
The Southwest Bank of Omaha ha®
named two new members to its board

103
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104

Nebraska News

of directors, according to Perry Fran­
cis, bank president.
They are Vernon Nebergall, vice
president and general manager of Ne­
braska Engineering Co., and Larry
Miller, vice president of Ed Miller &
Sons, Inc., and the Miller Land and
Cattle Co.
* * 'if
Center Bank will present a Feminine
Financial Forum Tuesday evenings,
September 13, 20 and 27, in the Gross
Center, College of St. Mary at 71st
and Mercy Road beginning at 7 p.m.
The three sessions have been geared
to meet the needs of the women in
the community and will cover areas
relating to employee fringe benefits,
investments,
home-auto-health-acci­
dent and life insurance, tax free retire­
ment plans, wills, trusts, financial
counseling and credit, according to
Doris J. Capps, vice president.
The forum is co-sponsored by the
Independent Insurance Agents of
Omaha, the Mayor’s Commission on

the Status of Women and Center Bank.
Each session will have a keynote
speaker after a short welcome. Then
audience members will have a choice
of two 45 minute sessions dealing with
subjects that most interest them.
The cost of all three sessions is $5.
* * *
William H. Riley, Nebraska director
of banking and finance, issued an or­
der or approval last month for Doug­
las County Bank & Trust Co. to oper­
ate a detached auxiliary teller office
at the northwest corner of 144th and
Arbor Streets in northwest Omaha.
Promoted at Grand Island
Commercial National Bank and
Trust Company, Grand Island, has
announced the promotions of John P.
Jorgensen to vice president, commer­
cial loans, and Robert G. (Bob)
Eversoll to second vice president,
coordinator of the marketing depart­
ment and manager of the bank’s

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Digitized Nfor
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Federal Reserve Bank of St. Louis

1977

6th & Main St
Kansas City, M^o.^64106^

new NorthWest Drive-in Bank.
Mr. Jorgensen joined the bank in
1974 as an instalment loan officer
after being with the Bank of America,
South Lake Tahoe, Calif., from 1961#
74. There he was head of the instal­
ment loan department.
Mr. Eversoll joined the bank in
1976 as a loan officer. Previous ex­
perience includes two years with Horr#
Loan and Finance Company here
and regional credit manager for a four
state area for Gambles Store.
Charles Zimpfer
*
Funeral services were held recently
for Charles Zimpfer, 83, honorary
chairman of The Ravenna Bank. Mr.
Zimpfer owned and operated a grocery
store in Ravenna and in 1935 joined
The Ravenna Bank as assistant cash­
ier. He later was named cashier and
then executive vice president. In 1961
he was named chairman and in 197^
honorary chairman. From 1935-61 he
was secretary of the board.
Don Folks Retires from
American of St. Joseph
®
Donald D. Folks, senior vice presi­
dent at American National Bank in St.
Joseph, Mo., has retired from that
position after 27 years of service witL
the bank. For a number of years Mir
Folks was associated with the agricul­
tural and correspondent bank divisions
of American National.
Effective September 1, he has joine^
Bob Loughrey, well-known L ibert^
Mo., cattleman, in the management of
Mr. Loughrey’s three community
banks. Mr. Folks will be vice chairman
and chief executive officer of the thre^
banks — Farmers State Bank, St.
Joseph, assets of $22 million; Farmers
and Merchants Bank of Huntsville,
Mo., assets of $11 million, and Farm­
ers and Merchants Bank of D exte^
Kan., assets of $5 million.
Mr. Folks will continue to live in St.
Joseph.
Genoa National Bank
•
Announces Promotions
Genoa National Bank has an­
nounced the promotions of Lee Jacob­
sen from assistant vice president to
vice president and Ed Kruse to assi®
tant vice president.
Mr. Jacobsen joined the bank in
1973. Mr. Kruse, who joined the bank
two years ago, formerly was agrL
culture representative at the Fir®
National Bank of Columbus,

105

S tan d in g: W ilbur B aack, S.V.P. • R ichard W ible, V.P. • Irene R ezac, C orresp ond en t B an k O fficer • J erry R u n y a n , C orresp ond en t
B a n k O fficer • Seated from left: Tom S tu ck ey , A sst. V.P. • D o n n a B ieck , C orresp ond en t B an k O fficer • Bob D eah n , A sst. V.P. •
Steve K n e ss, C orresp on d en t B an k O fficer • D u an e N e lso n , A sst. V.P.

T h e s e p e o p le c a n m a k e y o u r l i f e
a w h o le l o t e a s ie r .
T h ey’re your Correspondent Bankers from
NBC, and th e y ’re ready to answ er your ques­
tions, help solve your problems, and put you
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N SC

•

National Bank of Commerce
The People Place
NBC Center, 13th and O Sts., Lincoln, Nebraska
WATS Line: 800-742-7317
Member FDIC


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Federal Reserve Bank of St. Louis

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1977

106

Nebraska News

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FIRST NATIONAL BANK
St. Joseph, Missouri • 816-279-2721

Call Benton O’Neal • Ed Boos • Dale Maudlin • Macon Dudley
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foro rFRASER
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Federal Reserve Bank of St. Louis

MEMBER F.D.I.C.

1977

Charles F. Tous
Funeral services were held recently
for Charles Frank Tous, cashier of
the Farmers State Bank in FairmonL
Mr. Tous was in banking for *
years, remaining active until his death.
He received a 50 year award from the
Nebraska Bankers Association.
Thomas Ryan Riley
•
Funeral services were held recently
for Thomas Ryan Riley, 95. He was
a former bank examiner and president
of the Bank of Florence.
Retirement Spurs Changes
At Chadron Bank
H. L. (Herb) Brune, president of
the First National Bank in Chadrm:
for over 1 1 years, recently retired aim
has been succeeded by Wayne H.
Van Horne.
Both Mr. Van Horne and Leslie G.
Kleman were elected to the banl^
board. Mr. Kleman, vice president
and cashier, was chosen the board’s
secretary.
Mr. Brune spent 17 years as execu­
tive vice president of the Nebrasl^
State Bank at South Sioux City prior
to joining First National.
Mr. Van Horne comes from a long
line of Nebraska bankers and began
his career 3T~years ago at the Farme^
State Bank in Pawnee City. He also
served as a bank examiner before
moving to Illinois in 1953. During the
next 17 years he was instrumental in
the organization of two new bank^
serving as president of one of them.
In 1970 he moved to California as
president of a third new bank.
Mr. Kleman is in his nineteenth
year with the First National Bank, f #
was named assistant cashier in 1962,
cashier and operations officer in 1966,
and vice president and cashier in
1973.
•
Joins Grand Island Bank
David R. Boehle has joined the
Commercial National Bank & Trust
Co., Grand Island, as an agricultural
loan officer. For over two years, M^
Boehle has been with the Federal In­
termediate Credit Bank as a credit
analyst. Other business experience in­
cludes real estate sales, farm manag^
ment and being credit manager wim
Ralston Purina Co.
Mr. Boehle succeeds Howard Fairbairn who recently accepted a posi­
tion with the United Bank of Denvy:
as an agricultural loan officer in tne
correspondent banking division.

107

W IL LIA M M A R C H

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19 7 7

108
of previous conferences by presenting
a panel of experienced ag men from
the University of Nebraska and from
active farmers and ag businessmen.
After President Smith’s wrapup
marks, a buffet luncheon will be served
and then the conference will adjourn
in time for the football game at nearby
Memorial Stadium.

L in co ln N ew s

ERRY R. Thornton has been elect­
ed vice president, marketing divi­
sion, of the Na­
tional Bank of
Commerce, a c ­
cording to Presi­
dent James F. Nissen. He will be re­
sponsible for the
overall marketing
function of the
bank and its sub­
sidiaries as w e l l
J. THORNTON
as acting in a con­
sulting capacity to NBC Co., the onebank holding company that owns the
bank.
Mr. Thornton, 32, from Des
Moines, la., recently served as director
of marketing for Brenton Banks, Inc.,
a multi-bank holding company that
operates 17 banks in Iowa. He was
educated at Drake University and the
State University of Iowa. He attended
the American University Graduate
School of International Marketing in
Washington, D.C., and numerous
otherbank schools. He has been very
active in bank-related activities and
has lectured to numerous bank market­
ing groups on electronic banking and
other bank marketing subjects.
* * *
Kirkpatrick, Pettis, Smith, Polian,
Inc.,
Omaha-based investment firm,
announced recent­
ly the appoint­
ment of Lawrence
(Bud) Dendinger
as vice president.
A 21-year veteran
of the securities
industry, he was
an allied member
of the New York
Stock Exchange,
L. DENDINGER
and is a registered
representative of the exchange, as well
as the Chicago Board of Options Ex­
change. In addition to his duties in
the firm’s Lincoln office, he will be

J

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Federal Reserve Bank of St. Louis

1977

vice chairman of the firm’s investment
policy committee.
Formerly senior vice president of
another Nebraska-based New York
Stock Exchange firm, Mr. Dendinger
has been in Lincoln for the past 12
years.
* # *
Nearly 1,000 persons are expected
to attend the 17th Correspondent Bank
Conference to be hosted by First Na­
tional Lincoln September 16-17 at the
Radisson Cornhusker Hotel.
Charles R. Leffler, vice president
in charge of the correspondent bank
division at First National, announced
that Tom Osborne,, head football
coach at the University of Nebraska,
would again be the featured luncheon
speaker, giving his assessment of team
personnel and the season ahead. The
Correspondent Conference is sched­
uled each year to coincide with the
first home football game for the Uni­
versity of Nebraska. This year’s game
with the University of Alabama, al­
ways a top-rated team, will probably
be the most important and exciting
home opener for the Cornhuskers in
years. The expanded U. of N. stadium
is again a sellout.
A ladies luncheon on Friday noon
at the nearby Hilton Hotel will feature
Bill Woods, a well-known television
personality, who will present a special
program titled “Years of Radio.”
The Friday afternoon business ses­
sion will be welcomed by First Na­
tional’s President Bill Smith. He will
introduce speakers Dr. Pierre Rinfret,
president of Rinfret-Boston Associates,
New York, and Iben Browning, noted
climatologist from Albuquerque, N. M.
An added speaker will be announced
prior to the conference.
The traditional Friday evening din­
ner and stage entertainment will be
followed by a social get-together at the
Top of the First building.
The Saturday morning business ses­
sion will follow the successful format

Joins Wymore Bank
Mike Braun has joined the Wymore
State Bank as agriculture representa­
tive replacing Gary Clark who re­
signed. Mr. Braun formerly was v\#h
the Beatrice office of the Federal
Land Bank.
Beaver Crossing Bank
Names Officer Trainee
•
Warren A. Eicher is the new officer
trainee at Home State Bank, Beaver
Crossing. He previously was a captain
in the U.S. Air Force. Mr. Eicher is a
graduate of the University of Nebra^a
and has banking experience at Union
Bank and Trust Co., in Lincoln.
Fed of Kansas City
Names Vice President
•
J. A. Cacy has been promoted to
vice president and senior economist at
the Federal Reserve Bank of Kansas
City. Mr. Cacy, who had been research
officer and economist, will head themnancial analysis section in the bank’s
research division. He joined the bank
in 1964 as a financial economist and
was appointed to the official staff^s
research officer in 1969.
Ben B. McNair
Funeral services were held recently
for Ben B. McNair, 79, chairman^f
Citizens Bank and Trust Co., Colum­
bus. Mr. McNair found the bank in
1959.
Eugene Anderson
^
Elected at Grand Island
Eugene Anderson, manager of
United Bank Services, Co., Grand
Island, recently was elected vice presi­
dent and general manager. The com­
pany, owned by 26 central Nebraska
bankers, provides banking services
and supplies.
Named at Grand Island
#
The First National Bank of Grand
Island has announced the appointment
of Dallas L. Kiburz as assistant loan
officer in the commercial loan depart­
ment. He joined the bank in June®f
1974.

109

Specialists in
structuring solutions
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problems...

BILL EDGECOMB

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FIRST NATIONAL LINCOLN
Box 81008


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Federal Reserve Bank of St. Louis

Lincoln, Nebr. 68501

Phone (402) 471-1231
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1977

110

John Murano, Correspondent Banking Officer; Don Carmody, Vice President; Debbie Wolcott, secretary; Thomas Wright,
President; Ben Eilders, Senior Vice President.

Rove over ond meet
our roving correspondents.
If you’re coming to Des Moines for the 91st annual Iowa
Bankers Association convention, September 25-27, be sure to
stop by the Correspondent Banking Department at Bankers
Trust and meet our roving correspondents, Ben Eilders, Don
Carmody and John Murano. You’ll also have the opportunity
to meet the “ voice on the telephone,’’ Debbie Wolcott.
When you stop by, you may want to visit with us for a few
minutes about your bank’s correspondent needs and learn
about the full range of services our
roving correspondents can provide.
Bankers Trust wants to corres­
pond with you . . . bank to bank . . .
person to person. And we look for­
Seventh and Locust
ward to meeting you . . . face to
Des Moines, Iowa 50304
Member, FDIC
face.

Bankers
Trust

S u ii
Correspondent Banking, Second Floor, Ruan Center
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Federal Reserve Bank of St. Louis

1977

•

•
•

*

I ll
91st Annual

Iowa Bankers Association
Convention
September 25-27
Hotel Fort Des Moines
C. R. BRENTON
P resident

"O US1NESS leaders, legislators and top entertainment will again highlight
the Iowa Bankers Association Convention in Des Moines this month. In­
cluded will be leaders from the entertainment and sports world—John Cole­
man, ABC “Good Morning America” weather forecaster, and George Blanda,
former quarterback, Oakland Raiders. Roger Williams, Jerry Van Dyke and
John Gary also will entertain.
Presiding during the convention will be IBA President C. Robert Brenton,
president of Brenton Banks, Inc., Des Moines. Scheduled to succeed him as
1977-78 president is Christy F. Armstrong, president of the American Trust
& Savings Bank, Dubuque, who was named IBA vice president and president­
elect at the 1976 convention. H. Rand Petersen, president of the Shelby Coun­
ty State Bank in Harlan, has been serving as IBA treasurer.
The complete program follows:
Sunday, September 25
P.M.
3
8:30

Registration—Hotel Fort Des Moines
Theater Party—C. Y. Stephens Auditorium, Ames
Roger Williams and Jerry Van Dyke

P resident-Elect

Monday, September 26
A.M.
7:45

Noon

H.

R. PETERSEN
Treasurer

N. MILNER
Executive Vice President


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Federal Reserve Bank of St. Louis

P.M.
1:15

8

29th Annual Agricultural Breakfast—Veterans Auditorium
Presiding: Charles W. Nichols, senior vice president, Fidelity Bren­
ton Bank & Trust Co., Marshalltown
Address: Lee Gunderson, president, Bank of Osceola, Osceola, Wis.
“The Energy Balloon”: Stewart L. Udall, former U.S. Secretary of
the Interior
“Challenge of Our Changing Climate”: John Coleman, ABC’s
“Good Morning America” weather forecaster
Iowa Club, Graduate School of Banking of the University of Wis­
consin 27th Annual Dutch Treat Luncheon—Sunfields Restau­
rant, Lobby of the Hotel Fort Des) Moines
First General Session—Hotel Fort Des Moines
Invocation: Father Arthur P. Becker, Episcopal Diocese of Iowa
“Report of House Banking Committee”: Jim Leach, U.S. House of
Representatives
Annual Meeting of Iowa Transfer System: Russell Howard Jr.,
president, Mahaska State Bank, Oskaloosa
“Insight into Final Report of National EFT Commission”: Jack Mc­
Donnell, National Commission on Electronic Funds Transfer
Annual Address of the President: C. Robert Brenton, president,
Brenton Banks, Inc., Des Moines
Treasurer’s Report: H. Rand Petersen, president, Shelby County
State Bank, Harlan
“Women in Politics”: Mary Louise Smith, former national chairman
of the Republican National Committee
Caucus of Iowa ABA Members: Bill Talen, Iowa vice president
of ABA
Monday Night Dance—Veterans Auditorium
Special Guest Star—John Gary. Dancing to Mike Day orchestra
N orthw estern

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1977

112

Tuesday, September 27
A.M.
9

W . W . HELLER

NOON

P.M.
1:15

W . RUSHER

8:30

w

General Session—Hotel Fort Des Moines
“Importance of the Dual Banking System:” James F. Bell, general
counsel for the Conference of State Bank Supervisors
^
Meeting of Iowa ABA Members, Election of Iowa ABA Officers
and other Business: Bill Talen, Iowa vice president of ABA
Address: Philip Searle, Flagship Banks, Inc., Miami Beach, Fla.,
American Bankers Speech of the Year— 1973
Annual Meeting of Iowa Bankers Insurance & Services, Inc.
£
Presiding: Donald L. Curry, president and cashier, Farmers Savings
Bank, Massena
“America in the Next Two Years”: William Rusher, publisher of
“National Review,” journal of conservative opinion
50 Year Bankers & Past IBA Officers Luncheon—North Roo^,
Hotel Fort Des Moines

General Session—Hotel Fort Des Moines
Introduction of 50 Year Bankers and Past Presidents: Neil Milner
“Recovery, Inflation, Carter”: Walter Heller, regents’ professor of
economics, University of Minnesota
^
Presentation: Jay E. Tone, Jr., Iowa chairman, Savings Bond divi­
sion
Report of the Executive Vice President: Neil Milner
Address by ABA President: A. A. Milligan, president, Bank of A.
Levy, Oxnard, Calif.
£
IBA Business Meeting: C. Robert Brenton
Adopting IBA Committee Reports
Resolutions
Special Presentation to IBA President: Thomas O. Cooper, pres­
ident, South Des Moines National Bank
%
Installation of Officers
“You’re Never Too Old to Play the Game”: George Blanda, quarter­
back kicker, Oakland Raiders
President’s Reception/Las Vegas Party—Veterans Auditorium

Spouse Calendar
Monday, September 26

^

A.M.
9

Tour of several outstanding Des Moines homes will depart from
Veterans Auditorium
Tours of Valley West Mall shopping center and West Des Moines
10-5
shops each day. Buses will depart every hour on the hour. £
11:15 & Luncheon & Style Show—Younkers Tea Room
1:15

P. SEARLE

Tuesday, September 27
A.M.
9:30

Hotel Savery, Grand Ballroom
“Women are More than Dabblers”: Peggy Patrick, assistant dir|^tor, Des Moines Art Center
“A Matter of Degree: Continuing Education for Women, 1977”:
Ann L. Schodde, director, women’s programs, College for
Continuing Education, Drake University.
11:15 & Luncheon & Style Show—Younkers Tea Room
£
1:15

G. BLANDA
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Federal Reserve Bank of St. Louis

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1977

113

Left to right: Jim Eick, Homer Jensen, Dick Buenneke, and Kurt Wayne. Seated are: Sally Dechant and Ann Morris

WE WANT TO SEE YOU! . . .

During the 91st Annual
I A Contention
Banking for a brighter future.
CAPITAL CITY BAflK

•

Des Moines, Iowa 50309
515 / 244-5111


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114

lower News

S. UDALL

M. L. SMITH

J. F. BELL

L. GUNDERSON

C. NICHOLS

J. COLEMAN

Speakers and
Entertainers for
91st Iowa
Convention

JAX OF HARMONY (left to right): John Mininger, Mike Rehberg, Jerry Pike and Ron
Morden will sing periodically throughout the Agricultural Breakfast and the General
Business Sessions.

AIB District 10 Installs New Members
HE American Institute of Banking
(AIB) has installed new members
T
of its District 10 Council. As a coun­
cil member, one is an educational ad­
visory and resource person to all in­
stitute leaders within his or her
assigned area within the district and
serves as a liaison between these units
and the district council, the national
office, the state bankers associations
and other interested groups.
Those appointed from the area in
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Federal Reserve Bank of St. Louis

Septem ber

1977

District 10 covered by the North­
Banker are:
Mary Gibbs, assistant vice presi­
dent and trust officer, Northwestern
National Bank, Omaha, Neb., re­
sponsible for liaison with the Omaha
Chapter and Northeast Study Group
and for organizing study groups in
Columbus, Chadron and Alliance.
Dennis R. Erchul, assistant cashier,
Northern City National Bank, Duluth,
Minn., responsible for Duluth Chapter
western

JOHN GARY

and study groups 19-24.
Sandy Lamb. Central National Bank
& Trust Company, Des Moines, (£.,
responsible for Des Moines, Iowa
Valley and East Central Iowa Chapters
and study groups in areas 1 , 1 1 and
15.
Milton Hochhalter, vice president,
State Bank of Burleigh County, Bis­
marck, N.D., responsible for Minot
and Missouri Valley Chapter and or­
ganizing study groups in the Dickin­
son, Mott and Williston, Goodri#McClusky areas.

Ted Axton, Rich Akin and Mike Byrne. They’re all
yours. The collective experience, dedication and
knowledge of three full-time professionals, backed
by top management commitment and the extensive
facilities of one of the finest banks in Chicago.
Most banks provide the same basic package of
correspondent services. Cash letter analysis, over­

line assistance, computer capabilities. But the
American National Bank offers its correspondents all
that and Mike, Ted and Rich, too. These men know
the territory and can respond quickly to your needs.
So if you’re a bank in the Midwest that wants
more from its correspondent relationship, call Ted,
Rich or Mike. At American National Bank.

and Trust Company of Chicago
33 North LaSalle/LaSalle at Wacker 60690/Phone (312) 661-5000


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116

Iowa News

To Announce IBA Officers at Convention
ated from the University of Iowa,
Iowa City, in 1951 and entered bank­
ing that year. He joined the Shelby
announced at the 91st annual conven­ County State Bank in 1957. Other
education includes being a graduate
tion in Des Moines this month.
of the IBA Ag Credit School at
Iowa State University, Ames, and of
The Graduate School of Banking at
the University of Wisconsin, Madison.
Mr. Tubbs, an animal science grad­
uate of Iowa State University, Ames,
subsequently worked for AgriExtension Service and as veterans on-farm
instructor. He also farmed in Clinton
County and still owns the farm owned
and operated by seven generations of
H. R. PETERSEN
E. L. TUBBS
the family since 1854.
Christy F. Armstrong, president,
In 1959 Mr. Tubbs joined the JackAmerican Trust and Savings Bank of son State Bank, Maquoketa, as farm
Dubuque, is now vice president of the representative and later served as
IBA and will move up to president director and farm department man­
at the 1977 convention.
ager. In 1966 he purchased control­
H. Rand Petersen, president, The ling stock with partner John FagerShelby County State Bank, Harlan, is land in the Maquoketa State Bank,
running for vice president of the asso­ where he has served as president and
ciation, and Edward L. Tubbs, presi­ trust officer since 1966. In 1972 he
dent, Maquoketa State Bank, is run­ purchased controlling stock in First
Central State Bank, DeWitt, in asso­
ning for treasurer.
Mr. Petersen is currently treasurer ciation with John Fagerland and son
of the IBA and also is a director of Alan Tubbs, who serves as president
the Manilla State Bank. He was gradu­ of that bank. Mr. Tubbs is director
ESULTS of the mail ballot to elect
1977-78 officers of the Iowa
R
Bankers Association (IBA) will be

We can h e l p y o u

éïïtiê

We

Rich Revis

Bob Roberts

John V an Horne

ll

LOOK FOR

YOU

at the

IOWA BANKERS ASSOCIATION CONVENTION

N o rth w estern B a n k e r , S e p t e m b e r


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Federal Reserve Bank of St. Louis

1977

and chairman of the executive com m it
tee of this bank.
Plan People-to-People
European Trip in 1978
^
Officers, staff members and directors
of Iowa banks are being invited to
participate in a People-to-People 22
day mission to Europe and the Soviet
Union June 24-July 15, 1978. NameA
as delegate host for this first sucn
trip offered Iowans under the Peopleto-People program is Russell G.
Plager, who retired June 1 as a vice
president in the correspondent b ar^
department at Central National Bank
& Trust Company, Des Moines.
The People-to-People Travel Pro­
gram was instituted in 1956 by the
late President Dwight D. Eisenhow<0
to foster better understanding among
people of the world. The trips are not
government sponsored.
Mr. Plager said the trip will depart
New York by trans-Atlantic jet Jur^
24 for three days in London and near­
by Broadway, a prime English farming
area. From London, the tour then
will continue, with a varying number
of days in each country, to O sl#
Copenhagen, Moscow and Kharkov in
the USSR, Vienna, Munich, Zurich,
Lucerne and back to London briefly
on the return flight to New York July
15.
•
Mr. Plager said considerable time
has been arranged by the tour
arranger, Maupintour of Lawrence,
Kan., for banking and agricultural
counterparts in the nations to 1®
visited. There will be ample time for
sightseeing, he noted.
The all-inclusive cost is $2987 per
person, with a limit of approximately
36 persons. Complete information m *
be obtained from Mr. Plager at 5832
Harwood Drive, Des Moines, la.
50312.
Rock Rapids State Bank
*
Plans 2 Story Addition
Construction has begun on a twostory addition to the west side of the
Rock Rapids State Bank, accordii^
to George Schniedermann, president
Completion is expected by late this
winter.
The addition will be about 4,000
square feet in size and will allow f ^
expansion of the bank’s trust depart­
ment, bookkeeping teller arrangement,
and lobby, and a community room.
The drive up window on the north will
be moved to the west side of the buil(^
mg.

117

1977 Iowa Bankers Convention.

V\fell see you in
Des Moines

Daniel W. Jasper
Vice President

Jerald L. Fleschner
Assistant Vice President

We’re with you.
Mercantile Trust Co. N.A.
St. Louis, Mo. 63166


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B R fK
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118

Iowa News

Exhibitors for the 1977 IBA Convention
Advertising Features, Des Moines
Bank Building Corporation, Water­
loo
Bankers Systems, Inc., West Des
Moines
Bankvertising Company, Champaign,
111 .
Bell & Howell, Des Moines
Brandt Money Handling Systems,
Omaha
Burroughs Corporation, Des Moines
Cummins-Allison Corp., Des Moines
Daktronics, Inc., Brookings, S.D.
Data Business Equip., Inc., Des
Moines
Des Moines Stamp Manufacturing Co.,
Eastman Kodak Company, Minne­
apolis
Financial Institution Services, Inc.,
West Des Moines
First National Bank of Minneapolis
General Bank Equipment & Systems,
Inc., Omaha
Guardsman Life Insurance Co., West
Des Moines
Hawkeye Bancorporation, Des Moines
Iowa New Outlooks Association, Ne­
vada
Kirk Gross Company, Waterloo

Koch Brothers, Des Moines
Kooker & Associates, Spencer
LeFebure Corporation, Cedar Rapids
Life Investors Insurance Co., Cedar
Rapids.
M & M Sales Co., Des Moines
Maas & Associates, Cedar Rapids
Midwest Bank Builders & Designers,
Omaha
Midwest Calculator, Inc., Des Moines
Mortgage Guaranty Insurance Corp.,
West Des Moines
NCR Corporation, Des Moines
National Fidelity Life Insurance Co.,
Des Moines
Nesper Sign Advertising, Inc., Cedar
Rapids
Northwestern Bell Telephone, Des
Moines
Sales Marketing, Inc., St. Paul, Minn.
Travelers Express Company, Inc.,
Minneapolis
Sperry-Remington S y s t e m s , D e s
Moines
United Guaranty Residential Insur­
ance Co., West Des Moines
USLIFE Credit Life, Des Moines
Universal Match, St. Louis, Mo.
Wahl & Wahl, Inc., Des Moines.

WHY THE
SCARBOROUGH M AN
FOR YOUR
BANK INSURANCE
Q

P F P ln l

| v |

r

V I L illM L lM I ■

He is a professional who understc
special insurance needs of banks,
Are you over-insured or under-insured? In
either case, you will be losing money . . .
reason enough to see your Scarborough
man. His experience and the knowledge
gained from serving only banks provide
him with the expertise to recommend the
specific insurance coverage your bank
requires. Ask him a b o u t. . .
• Bankers Special Bond
• Trust Operations Surcharge Liability
Insurance
• Employee Accident, Health, Dental, Life
Coverages
• Directors and Officers Liability Insurance
• Credit-Life, Accident & Health Coverages
To meet your bank insurance specialist
write or call

Jim Jensen
Iow a

Scarborough the bank insurance people
Scarborough & C om pany, 222 N. Dearborn St., Chicago, Illinois 60601

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Federal Reserve Bank of St. Louis

1977

Phone(312)346-6060

Elected at Sioux City
•
Security National Bank, Sioux City,
has announced the election of Dale G.
Friedman as trust
administration of­
ficer. Mr. FriecP
man is a native
of Holy Cross, a
graduate of Loras
College with ^
degree in politicm
science in Dubu­
que, and a 1977
graduate of the
d. g. friedman
University of I%
wa Law School. He is a member of the
Iowa State Bar Association.
Joins Fort Dodge Bank
Gene C. Gutknecht, 51, has joina^
Union Trust & Savings Bank, Fort
Dodge, as trust officer, according to
Peter Garatoni, president. He has been
a practicing certified public accountant
in Fort Dodge since 1953, most r #
cently serving as president of Gut­
knecht, chnurr & Associates. He also
has been with CPA firms in Chicago
and Waterloo. He is a 1947 graduate
of the University of Iowa.
•
Promoted at First of Ames
Robert W. Stafford, president of the
First National Bank of Ames, hcg
announced the promotion of fom
officers.
Larry D. Curran, who joined the
bank staff in 1968, was promoted to
cashier. He heads the bank’s commet
cial department and has been assistam
cashier and auditor since 1974.
Appointed assistant cashiers are
Mary H. Freed, Barbara A. Werner
and T. Mark Huston. Mrs. Freed, w i^
the bank since 1966, supervises the
loan and savings accounting depart­
ment. Mrs. Werner, head of the bookkeeping department, has been with the
bank for five years. Mr. Huston joinq^
the staff last year and serves as an
instalment loan officer.
The bank’s directors also announced
authorization to expand the main bank
building at Fifth and Burnett in ad<%
tion to the new office building planned
for the Frisbie House site to accommo­
date the bank’s university office.

Io w a

IACHA Adopts SurePay Marketing Program
FFICERS of the Iowa Automated
Clearing House Association re­
O
cently voted to adopt SurePay as the
generic name for the ACH. This is
in keeping with acquisition of the
SurePay name and marketing materi­
als by the National Automated ClearCig House Association, of which
IACHA is a member. As more
NACHA members adopt SurePay,
that name will be used nationwide to
promote all ACH services.
C The SurePay program was de­
veloped by the Oregon ACH, then
transferred to NACHA after various
alternatives were studied at the na­
tional level.
• IACHA officials said the SurePay
promotional package includes ads,
direct mail, radio copy, slide show,
newsletters, information on company/
employee benefits, brochures and
•ample letters to different kinds of
business, government and labor
leaders. The entire package has al­
ready been consumer tested.
IACHA will sponsor a seminar
• c to b e r 15 in Des Moines at Eddie
Websters from 9 a.m. to 4 p.m. to
introduce SurePay to Iowa banks. The
program will feature case studies and
a review of the SurePay Manual, which
deludes “How to Start the System in
Your Bank,” “Staff Training,” and
“Marketing Guides.”
NACHA also has notified IACHA
and other clearing house members of
®ew sources of federal recurring pay­
ments that are coming onstream.
Veterans receiving VA compensation
and pension payments received an
misert last month announcing that
"uch checks now are eligible for direct
deposit. Similarly, railroad retire­
ment recipients are becoming eligible
for direct deposit of their checks
Jiy a progressive ZIP code arrange­
ment, and all federal check recipients
not yet on direct deposit are receiving
this month check enclosure stuffers
reminding them of the availability of
^irect deposit.
This federal activity offers an
opportunity for Iowa banks to market
their direct deposit service with these
groups, IACHA officials said. Iowa
^anks continue to handle the major
share of direct deposits of checks.
Over 500,000 federal check recipients
are eligible in Iowa and about 20.5%
of them now have their checks depos• e d . Of the 102,919 checks being
direct deposited in Iowa, 101,099 are

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Federal Reserve Bank of St. Louis

going into commercial banks.
IACHA officials also announced last
month that the corporation’s articles
have been amended to open member­
ship to thrift institutions. One Des
Moines savings and loan executive
said “We are interested in the concept
of the ACH. What we will do is re­
view the conditions of membership and
how our transactions will be pro­
cessed.” He said it would be difficult
at the time to assess the value of
membership to his savings and loan

News

119

institution, since further study would
be needed to determine what kind of
transactions could be processed.
Open House at Liscomb
Remodeling of the Liscomb Office
of the Union-Whitten State Bank has
been completed and an open house was
held recently, according to Ray Ander­
son, president. The project included
building two new glass front offices,
the relocation of the teller counter,
installation of new carpeting, drap­
eries, additional lights and a new safe
deposit booth.

Directors and Officers Worry
about
L

I

A

B

I

L

I

T

Y

CONTACT
Robert A. Carney, President

Insurance Programmers, Inc.
The Tower, Suite 720, Rolling Meadows, IL 60008 • 312/593-3121
See You a t th e Io w a B ankers C o n ven tio n

Represented in Iowa by Iowa Bankers Insurance and Services, Inc.

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Federal Reserve Bank of St. Louis

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121

If*ou re still spending your time super­
vising day-to-day banking services,
you’re losing money for your bank.
You should be doing things that
mean new business, better ways to inv^t.
That means leaving the day-to-day to
people prepared to handle it efficiently
and economically.
Banks of Iowa Computer Services
(HCS) has made it possible for banks of
all sizes to take advantage of the most
modern banking tools without the ex­
pensive overhead costs of other sys­
tems.
•SICS is more efficient and saves you
money fora simple reason: adaptability.
Because there is no one right answer
for streamlining each bank, BICS tailors
its systems to your particular needs and
p#blems.

Equally important, BICS offers the
best support team available. Don't be
misled; computers aren’t the total
answer.
And BICS gives you the most effec­
tive support team going — proved by
the constant enhancement of existing
systems — proved by the introduction
of key industry innovations.
And as for services — BICS offers
you the single largest group of services
you'll find anywhere.
Electronic Funds Transfer System
Central Information System
Proof of Deposit
Savings Accounting
Loan Accounting
Personal Trust A ccounting^^^^^
Bond Accounting
Demand Deposit
Accounting

Certificates of Deposit Accounting
General Ledger Accounting
The largest group of services avail­
able.
A banking system tailored to your
specific needs.
The best support team going.
BICS.
If you're still handling the day-to-day
services, you're losing money for your
bank. And for yourself.
For more information call Joe Phernetton or BICS marketing at (319)
398-4204.

Banks of Iowa Computer Services ^

A BANKS OF IOWA' SUBSI DI ARY

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Io w a

News

Independents Plan Management Seminars
ANK Management Planning for
Today will be the subject of
B
a seminar sponsored by the Iowa
Independent Bankers for its members,
September 13 and 14, according to
Gordon L. Mennen, president of IIB
and president of the LeMars Savings
Bank.
Identical programs will be held
in two locations, and members have
a choice as to which seminar they
wish to attend. On September 13,
the Highlander Inn, Iowa City, will
be the seminar site. On September 14,
Howard Johnson’s at Interstate 80 and
Merle Hay Road, Des Moines, will be
the seminar site. Both meetings are
scheduled to start at 1:30 p.m., ex­
tending until 8:30 p.m. Plans call for
a social hour and dinner.
“Planning for Profitability Through
Ratio Analysis” will be discussed by
David M. Gallaway, bank counsel for
the Bank Administration Institute,
Park Ridge, 111.
“The Impact of Demand Deposit
Interest” will be discussed by Neil
Murphy, professor of finance, Uni­
versity of Maine, Orono, Maine.

“An Overview of Transfer of Bank
Ownership and Management Succes­
sion” will be discussed by William
P. Johnson, attorney at law, Rothgerber, Appel & Powers, Denver.
Co-sponsor for the seminars is
the Bank Administration Institute.
Paul Gergen Will Head
University Bank of Ames
Paul P. Gergen was elected presi­
dent and a director of the University
Bank and Trust
C o m p a n y of
Ames last month
at a special meet­
ing of the bank’s
directors. Mr.
Gergen, 44, has
resigned as senior
vice president in
charge of the trust
depar t ment at
_ „
n
^
.
P. P. GERGEN
Bankers I r u s t
Company, Des Moines, to accept this
new post. He succeeds Wayne E. Har­
rell, who retired as president of Uni­
versity Bank in July.
A graduate of Marquette University

THE ONLY PROVEN METHOD FOR
NEW ACCOUNT VERIFICATION

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SYSTEM S
PROVIDING SERVICES FOR OVER 2,100 BANKS
AND INCLUDING THE BANKS IN
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the Iowa Bankers Convention.

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MINNEAPOLIS, MINNESOTA 55420
612/854-3422
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1977

in both business and law, Mr. Gergen
holds CPA certification in both Wis­
consin and Iowa and also is a member
of the Wisconsin and Iowa Bar Asso­
ciations. His leadership at Bankas
Trust, which he joined in 1974, has
been instrumental in tripling assets of
the bank’s trust department in the past
three years.
From 1970 to 1974 Mr. Gergen vps
senior vice president in charge of the
trust department of the American City
Bank and Trust Company of Milwau­
kee. Previously, he was assistant vice
president of the First Wisconsin T r^ t
Company in Milwaukee for nine years.
At the same University Bank board
meeting last month, Duane Sandage
was elected to the board of directors.
He is president of Duane Sandage R#1
Estate and Farm Management Com­
pany of Ames. He is one of four men
who purchased the controlling interest
of University Bank April 1 from Dean
Knudson and members of the KnudJfti
family. Other purchasers include Carl
Hamilton, vice president of Iowa State
University, Ames; C. Richard Stark,
Woolstock, who is with a Ft. Dodge
brokerage firm, and Don C. P ot*,
Clarion real estate man. State and fed­
eral banking regulatory agencies ap­
proved the sale in July. The bank cur­
rently has approximately $30 million
in assets.
w
Members of the Knudson family
have been associated with the bank
since 1926 as officers and owners.
Organized in 1916 as College Savimp
Bank, the name was changed to Uni­
versity Bank and Trust Company in
January, 1966, at the time of the
bank’s 50th anniversary. Dean A.
Knudson succeeded his father ^ s
president in 1960, later assuming tne
office of chairman. An employee of the
bank since 1939, Dean Knudson will
remain as a stockholder and consultant
to the new owners.
£
Named to Cresco Board
Gerald E. Wilson has been elected
to the board of the Cresco National
Bank. He is a purebred Chester WHfce
hog producer who farms west of
Cresco.
New Director at Washington •
Keith L. Vetter recently was named
to the board of the National Bank of
Washington, according to Taunce H.
Mathiason, president. Mr. Vetter is the
owner of Culligan Water Conditioning
Service.

r a » T •When your bank needs the services of o correspondent
o you often need it FAST!
At American Trust & Savings Bank w e know that.
iSaw
That's why we're geared up to be knocking at your
Qdoor before you know it. Often, within two
or three hours after receiving your call.
_
After all, your business means a lot to us
**
TOW N CLOCK PLAZA
and we want to earn your support. If that
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means going the "extra mile”

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you can count on it.
Federal Reserve Bank of St. Louis

MEMBER: F.DIC & FEDERAL RESERVE SYSTEM

124

Iowa News

You Will See Them at the 91st Annual
Iowa Bankers Convention in Des Moines
H PH E 91 st annual convention of the
Iowa Bankers Association will be
held September 25-27 in Des Moines.
Officers and representatives of larger
banks from major banking centers in
the midwest and across the nation
will be attending the convention.
The asterisk indicates those persons
attending for the first time.
Cedar Rapids
Merchants National Bank: James
E. Coquillette, president; F. Forbes
Olberg, executive vice president; John
E. Mangold and Robert H. O’Meara,
senior vice presidents; Terry Martin,
vice president; Mark W. Christen,
Dale C. Froehlich and Jerry N. Trudo,
assistant vice presidents, and *Stan
Farmer, correspondent bank represen­
tative.
United State Bank: Dwayne S.
Smith, executive vice president, and
Stephen L. Allison, senior vice presi­
dent.
Chicago
American National Bank & Trust

Company: Allen P. Stults, chairman;
Ronald J. Grayheck, executive vice
president; James A. Carlson, senior
vice president; Ted C. Axton, vice
president; Michael J. Byrne, second
vice president, and George H. Spence,
retired agricultural officer.
Central National Bank: Joseph G.
Lutz, chairman of the board; Jackson
W. Smart, Jr., president; Paul D. Ol­
son, senior vice president; Gary F.
Spahn, vice president; Michael A. LaMantia, assistant cashier, and Ted
Beck, financial institutions representa­
tive.
Continental Bank: George P. Dekker, Lawrence H. Frowick and John
B. Tingleff, vice presidents; Barry
M. Johnson, Robert E. Wahlgren and
William L. Weibel, second vice presi­
dents; *J. Michael Baird, commercial
banking officer; Howard J. Beckstrom,
bond officer, and *Eric G. Wilson,
bond department.
Drovers National Bank: George
Barr, president; Richard Corey, execu­
tive vice president; Joseph Valenti,

senior vice president; Andris Ruments,
assistant vice president, and Richard
Griffith, assistant cashier.
First National Bank: Nevin Bowsg:,
William Dwyer and Thomas King,
vice presidents; Clarence E. Cross,
Jr., assistant vice president, and Arlene
Bredfield, administrative assistant.
Harris Trust and Savings Bank:
*B. Kenneth West, executive vice
president; Richard L. McAuliffe, se­
nior vice president; Jerry H. Pearson,
vice president; James W. Hill and
Stanley K. Peirce, assistant vice p re ^
dents; ^Christina L. Wilkins, commer­
cial banking officer; *William F.
Hick, investment officer, and Ed­
mond M. Kennedy.
LaSalle National Bank: Miltoj
Darr, vice chairman; Jim Hamilton, Cy
Kirk and Max Roy, vice presidents.
National Boulevard Bank: H. Peter
De Rosier, assistant vice president.
Northern Trust Company: W. Jarr^
Armstrong, executive vice president;
*Richard W. Resseguie, senior vice
president; Frederick C. Pullman, vice
president; Orrin A. Wilson, second vice
president;* Scott C. Smith, commerce
banking officer; Edward J. Walsh,
bond investment officer, and Ellen A.
Ankrum, administrative assistant.

Carleton D. Beh Co.
Investm ent Bankers/Financial Consultants
1300 Des M oines B u ild in g
Des Moines, Iowa 50309

Digitized N
foro rFRASER
thw estern Banker, Se p te m b e r
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

Iowa News

125

Davenport
Davenport Bank & Trust Company:
James K. Figge, John K. Figge,
^Thomas K. Figge, Robert G. Lenertz,
James E. Shrader and Gerald R.
Waters, vice presidents; Larry J.
Glass and Robert J. Hartman, assis­
tant vice presidents, and John W.
^chricker, assistant cashier.
Dubuque
American Trust & Savings Bank:
N. J. Schrup, chairman; C. F. Arm­
strong, president; Leo F. Kane, exec­
utive vice president; Robert G.
Scott, senior vice president, and Ber­
nard D. Miller, assistant vice presi­
dent.
®
Kansas City
Commerce Bank of Kansas City:
Fred N. Coulson, Jr., senior vice
president, and Tom C. Cannon and
Sdw in B. Lewis, vice presidents.
First National Bank: William G.
Dexter, senior vice president.
United Missouri Bank of Kansas
City: Jerome H. Scott, Jr., president;
# . L. Burch, vice president, and
Richard H. Muir, assistant vice presi­
dent.
Minneapolis
First National Bank: Kenneth A.
Wales and Richard L. Parnell, vice
presidents; William W. Hamilton and
Jerome R. Larson, assistant vice presi­
dents; Kenneth L. Dagel and Larry
CT. Nelson, bond investment represen­
tatives; Roger W. Raina, cash manage­
ment officer, and David O. Williams,
international banking officer.
Marquette National Bank: Avery
•ic k , vice president, and Dick Holmes,
assistant vice president.
Northwestern National Bank: Harry
Wahlquist, senior vice president; Gary
Lundeen and Dick Storlie, assistant
^¡ce presidents, and John L. Thomson,
correspondent banking representative.

%

New York
Bank of New York: Peter W. Helt,
Assistant treasurer.
Bankers Trust Company: Ron
Heath, assistant vice president, and
Steve Gordon, official assistant.
_ Chemical Bank: Jeffrey W. Strong,
assistant manager, and Henry C. Devine, assistant secretary.
Citibank, N.A.: M. Douglas Watson,
Jr., senior account officer, and C. Norjaan Gustafson, account officer.
Irving Trust Company: Francis W.
Rode III, vice president.

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

At Security, our correspondent banking department has one
job. And one job only. Serving you.
That’s why you get quick results when you call Operations
Officer Wilma Weeks. She’s there to help you.
So, give Wilma a call. She’ll give you immediate service on
all your operational concerns. Transfers.
Clearance or return items. Master Charge
and BankAmericard.
Start something with Security. Start
talking with Wilma about the fast service
Security can provide.

SECURITY NATIONAL BANK
Sixth & Pierce Street • Sioux City, Iowa 51101
Member F.D.I.C.
Call 712/277-6517 for immediate service.

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Banker, S e p te m b e r

1977

126

Iowa News

Manufacturers Hanover Trust Co.:
Calvin C. Burnes, vice president, and
Miss Elizabeth N. Carroll, representa­
tive.
Omaha
First National Bank: Phil Giltner,
president; Bob Brown, Jim Doody,
Bruce Lauritzen, Don Ostrand and
Ralph Peterson, vice presidents; Bob
Meisinger, second vice president; Jeff
Moran, marketing officer, and Doug
Ryan, marketing representative.
Northwestern National Bank: W.
Beryle Lantz, assistant vice president.

The Omaha National Bank: John
Woods, chairman; John Furstenberg,
Jack Koberg, F. Donald Fewis and
Del Olson, vice presidents, and Gene
Noell, second vice president.
United States National Bank: Rob­
ert Krane, vice chairman; Don Mur­
phy, president; Charles Angus, Jay
Bordewick, John Nelson and Howard
Nielsen, vice presidents; John L.
Fewis, correspondent bank officer;
Lee Bechand, correspondent data
processing officer; John McCune, in­
vestment officer, and Dillon Ross,
manager, Bank Card.
MEMBER

Iowa Public Records Searc:h, Inc.
GRIMES STATE OFFICE BLDG.

V IiQ

DES MOINES IOWA 50319

TELEPHONE: 515/281-3356

Inst. No.
Date Filed
H our Filed

p age____
C ounty

Secured Party(ies) and Address(es)
Assignee (if any) and Address

Debtor(s) Name and Address(es)
Name(s) of Party(ies) Signing

LOAN ACTIVITY BULLETIN
Who: nam es o f all d e b to rs in the c o u n ty r e c o r d e d
d u r in g the p e r io d
What: nam e o f se c u r e d p a r ty
When: the date the loan was f il e d with the
S ecreta ry o f State
Where: location where loan m ade

B ulletin su b s c r ip tio n rates: [issued tw ice m o n th ly]
Black Hawk, Linn, Scott and Woodbury — $26.00 monthly
Cerro Gordo, Clinton, Des Moines, Dubuque, Johnson, Lee,
Pottawattamie, Story, W apello, Webster and Wright — $10.50
monthly
All other 83 counties (except Polk) — $8.50 monthly

Please start my subscription for_
counties.

St. Joseph
First National Bank: Benton O’Neal,
senior vice president.
First Stock Yards Bank: John EL
Karn, executive vice president.
9
St. Louis
First National Bank: David A.
Dierks, vice president.
#
Mercantile Trust Company: Daniel
W. Jasper, vice president, and Jerald
L. Fleschner, assistant vice president.
St. Paul

£

First National Bank: James T.
Gowan, vice president; Clayton John­
son and Robert Peroutka, assistant
vice presidents, and James W. Eilejp
correspondent agricultural representa­
tive.
Sioux City
First National Bank: Richard <0
Taylor, president; Charles H. Walcott,
executive vice president; Gary W.
Stevenson, vice president, and Bernard
J. Lattyak, assistant vice president
Northwestern National Bank: MW
chael J. Moeller, executive vice presi­
dent; Malcolm H. Erickson, vice presi­
dent and cashier, and Gerald D. Just,
vice president.
^
Security National Bank: R. c.
Hagen, executive vice president; Jim
Hongslo, senior correspondent bank
officer, and Wayne Johnson, corre­
spondent bank officer.
^
Toy National Bank: John Vim
Dyke, co-chairman; Les Olson, presi­
dent; Richard Breyfogle and Stan
Fredericks, vice presidents, and Leo
Stavas, assistant vice president.
^
Waterloo
National Bank of Waterloo: Scott
Fetner, president; Don Wenthe, execu­
tive vice president; Milt Hennic0
Bob Mexdorf, Erl Schmiesing and Don
Wenthe, senior vice presidents; Willis
Créés and Richard Jung, vice presi­
dents; Merland Wackerbarth, cashier,
and Dwayne Streeter, controller. ®
Waterloo Savings Bank: Dale K.
DeKoster, president, and Merle W.
Rodgers.
Equipment and Service Firms 0

.State.
Officer Signature
N orthw estern

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Federal Reserve Bank of St. Louis

Septem ber

1977

.Zip.

Accent Service Company, Inc.,
Omaha, Nebr.: *R. C. Wilwerding,
president.
Bank Building Corporation,
Louis, Mo.: Roy Wingers.

127

Jim C ook, C o n s u m e r B a n kin g O ffic e r,
B a n kers Trust C om pany, Des M oines, Iow a

When we asked Jim Cook what he liked
most about Travelers Express Money Orders
he said: “ Everything.”
Well, let’s be specific. Is it the simplified
reporting system and other backroom
economies?
“Yes!”
How about those increased balances?
“Yes!”
Did he feel more comfortable with a
specialist, a company that’s been in the
money order business exclusively for
over 35 years?
“Yes!

And did he like the service he gets from
our field specialists and processors?
“Yes!”
Or could it be that our “Six-Second Money
Order,” being easier to issue, keeps
employees and customers happy?
“Yes!”
From the backroom to the front counter,
Travelers Express works to make a bank’s
money order program one of its smoothest,
most profitable
services.

Does Bankers Trust
know something about
money orders that
you ought to know?
Call us toll-free at 800-328-4800’
*ln Minnesota call collect. 612-546-6161

Travelers Express
"i A (~\C \ I i I r» /-» l i *
O ^ i ■4- U*\
k Ai
I iA
k A■
C T / H
1400
Lilac Drive South,
Minneapolis,
Minn. 55416
i ii

^

,

FINANCIAL
SERVICES,

A (~i
r o \ / h m m H Subsidiary
Q i i K o iH ia rx /
A
Greyhound

1977, Travelers Express Company, Inc.®


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Federal Reserve Bank of St. Louis

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1977

128

Iowa News

Banks of Iowa Computer Services,
Inc., Cedar Rapids, la.: Joe Phemet-

ton, president; Bill McCormick, execu­
tive vice president; Ed Kadera, se­
nior marketing officer; Larry Eilers
and Brian Scott, marketing representa­
tives; *Brian Phillips, customer ser­
vice manager; *Steve Boes, customer
service representative, and *Loren
Larsen, director of operations.
Bankvertising Company, Cham­
paign, III.: Earl F. Crouse, chairman.
Brandt, Inc., Watertown, Wis.:
Edward F. Bruns, district manager;
John T. and Stephen M. Bruns, sales
representatives, and Rudy Carey,
Bernie Hillyer, Jerry McPhillips and
Bill Welch.
Chiles, Heider & Co., Inc., Omaha,
Nebr.: Fred Douglas, Tad Dunham,
Jon Narmi and David Van Metre.
Collateral Control Corporation, St.
Paul, Minn.: Ed Ames, vice president
and regional manager; Wes Johnson,
vice president — sales, and Russ
Brown, assistant vice president.
Continental Mortgage Insurance,
Inc., Madison, Wis.: Dennis L. Oliver,
vice president, and Doug Lisle,
district director.
Continental Western Life Insurance
Company, Des Moines, la.: Vinton

S. Nutt, president; Ray A. McFadden,
agency vice president; Dennis Bray;
Ronald Black; Mark Snider; Allan
Pratt; Dick Kobernusz; Phyllis Fletch­
er; Jini Van Vleet; Cindy Page;
Debbie Dunn; Michele Reno; Melinda
Blackman; Bobbi Segura; Merle Aller;
Ted Phillips; Robert Stonebraker; Ted
Longenecker; Flarry Long; Craig Nutt;
Lisle Payne; Tom Tow; Art Boyken;
Richard Hennagir; Jack Pease, and Ed
Goehring.
Dain, Kalman & Quail Incorporated,
Minneapolis, Minn.: Paul H. Bartlett,
Robert W. House and Howell Roberts,
assistant vice presidents.
Daktronics, Inc., Brookings, S.D.:
Patrick Schwan and Ed Weninger.
DeLuxe Check Printers, Roseville,
Minn.: Rich Dombeck, Clyde McEntire, Bill McKinley and Jack Rolston.
Diebold, Incorporated, Canton,
Ohio: Richard Gwinn, Bill Bedell,
William Osier and Jerry Anderson.
Financial Institution Services, Inc.,
Nashville, Tenn.: Lome R. Newhouse,
area director.
Financial Systems, Inc., Kearney,
Nebr.: David T. Waldron, president,
and Ed Weishaar, sales representative.

First Mid America, Omaha, Nebr.49
John H. Amsler, Gary W. Fenster,
Merrill R. Johnson and Robert Kirkendall.
General Bank Equipment & Sys­
tems, Inc., Omaha, Nebr.: *Ton#
Sternberg, president; *Tom Prazan,
vice president, and *John Lawder,
Des Moines representative.
Kirk Gross Company, Waterloo^
la.: R. T. Zahn, president, and GeralcP
L. Gross, vice president.
Guardsman Life Insurance Com­
pany, West Des Moines, la.: Larry
Green, regional director of credit in ^
surance; Ron Davis, vice president and
director of credit insurance; Mark
Dillavou,
regional
representative;
Ruthanne Heintz, assistant manager,
credit insurance administration; Jai^
Anderson, secretary — credit insur­
ance sales, and Judy Morris, credit
insurance accounting.
Tom Hagan & Associates, Kansas
City, Mo.: Tom Hagan, chairman, and®
Linda Blue Smith, president.
Hibbard, O’Connor & Weeks Invest­
ment Bankers, Houston, Tex.: D.
Lawrence Orr, vice president, and D_
Ann Orr, assistant vice presidentassistant secretary.

When Purchasing or Selling a Bank - - - Contact
Or Know your A B C’s .......................

Martha - Bill or Dick Newlin
NEWLIN BANK SALES, INC.
8450 Hickman Road — Suite D
Des Moines, Iowa 50322
515/278-2891

A wareness of current market trends & values.
B uilt-in management possibilities.
C ash or contract features.
D eferred compensation advantages.
E mployment contract benefits.
F inancing arrangements and availabilities.
G rowth patterns and indications.
H olding company form ation.
I ncome tax ram ifications.
J udgment factors.
K now-how in such matters.
L ¡ability to Regulatory A uthorities.
M inority stockholder considerations.
N egotiating techniques.
O bligation to com m unity.
P remiums — ju stifia b le or not.
Q uiet and quick results versus long-publicized activity.
R ealistic pricing of bank stock.
S tablizing factors follow ing the sale or purchase.
T erms of sale and protection measures to take.
U nderstanding of current regulations governing purchase or sale.
V ersatility in operational procedures.
W ho to sell to.
X tra benefits to be considered.
Y early return necessary to fund indebtedness.
Z eal or enthusiasm in the undertaking.

SEE YOU AT THE 91st IOWA BANKERS CONVENTION
LET US HELP YOU WITH YOUR PROBLEMS.
The Purchaser pays for our Service!

N orthw estern

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Septem ber


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Federal Reserve Bank of St. Louis

79 7 7

129

* There's been a revolution in the credit insurance field in recent years
that has brought about many changes and many new opportunities.
We believe our credit operation is revolutionary and that not only do
• we have the products and services but w e really care about our
♦ accounts and we live up to our commitments to them. If you want a
competitive credit carrier, let's join forces. We operate in eleven states
^ and ore expanding. For more information, phone 515/223-3000.

P U A R D S M A N LIFE IN S U R A N C E C O M P A N Y
1025 Ashworth Road • West Des Moines, Iowa 50265 • L ife/G roup/C redit/Substandard/P ension
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Federal Reserve Bank of St. Louis

B anker, Se p te m b e r

1977

130

Iowa News

Iowa Bankers Insurance and Ser­
vices, Inc., Des Moines, la.: J o n
G r i n d l e , s e c r e t a r y ; W illia m C a r r , R o n
D o u g h e rty
and
R on
M e y er,
fie ld
re p r e s e n ta tiv e s ; R h o n d a P e ts c h a u e r,
o ffic e s e c r e t a r y , a n d G l o r i a S tr a u b i n g e r , R u t h N i e r m a n , M a r l e n e C l e r k in
a n d D i a n e H a h n , o ffic e .

Iowa New Outlooks Association,
Nevada, la.: * J a c k B a s s e tt, p r e s i d e n t ,
M a r k e t i n g O u t l o o k s , I n c ., N e w Y o r k ;
* B ill T o m s o n , v ic e p r e s i d e n t , M a r ­
k e t i n g O u t l o o k s , I n c ., N e w
Y o rk ;
D a v e A n d e r s o n , e x e c u t iv e d i r e c t o r
( I o w a o ffic e ), a n d J i m L e s l ie , s e c r e ­
t a r y - t r e a s u r e r ( I o w a o ffic e ).

Kirk Gross Company, Waterloo,
la.: R . T . Z a h n , p r e s i d e n t , a n d G e r a l d
L . G r o s s , v ic e p r e s i d e n t .

Kooker, E. F. Associates, Spencer,
la.: E a r l F . K o o k e r .
LeFebure Corporation, Cedar Rap­
ids, la.: R i c h a r d C o l lin s a n d F r a n k
V o le s k y , b r a n c h m a n a g e r s , a n d J o h n
B o r d e w ic k , G e r a r d C h o l e t , J a c k D u d a s h , F i n l e y J a c k s o n , G e o r g e V in s o n
and
L o n W a r r e n , s a le s e n g i n e e r s .

Life Investors, Inc., Cedar Rapids,
la.: D o n N a c h t m a n , s a le s m a n a g e r ;
N o r m H a r t w i g , e a s t e r n I o w a s a le s
re p re s e n ta tiv e ,
and
G ary
L iv e s a y ,

w e ste rn
Io w a
s a le s
re p re s e n ta tiv e
( a ll w ith t h e c r e d i t in s u r a n c e d e p a r t ­
m e n t ) . R ic h S ie w e r t a n d D a v e T e s d a h l, re p re s e n ta tiv e s o f H M S C o m ­
p u t e r S e r v ic e , s u b s i d i a r y o f L if e I n ­
v e s to rs I n s u r a n c e C o m p a n y .

M. H. Novick & Co., Inc., Minne­
apolis, Minn.: H e r b e r t W . O ls o n , s a le s
re p re s e n ta tiv e .

Midwest Bank Builders & Designers,
Omaha, Nebr.: M a t h e w J. T h o r n t o n .
J. T. Miller Company, Minneapolis
Minn.: D i r k M i l l e r a n d A n d y M y e r s ,
p a rtn e rs .

Mortgage Guaranty Insurance Cor­
poration, Milwaukee, Wis.: E d w a r d J.
K a ll e m y n , r e g i o n a l v ic e p r e s i d e n t , a n d
R a le ig h E . A l l e n a n d G o r d o n C h a p ­
m a n , re g io n a l d ir e c to r s o f d e v e lo p ­
m e n t.

Mosler Safe Company, Hamilton,
Ohio: * A r t h u r
P is e t z n e r ,
c e n tra l
r e g io n a l g e n e r a l m a n a g e r ; F o r d C a m p ­
b e ll, c e n t r a l r e g io n a l s a le s m a n a g e r ;
G a r y T i b b e t t s , c e n t r a l r e g io n s a le s
r e p re s e n ta tiv e ; C h u c k M y e rs, c e n tra l
r e g io n a l E F T S m a n a g e r , a n d * S te v e
T a l m a d g e , c e n t r a l r e g i o n E F T S s a le s
re p re s e n ta tiv e .

National Fidelity Life Insurance
Company, Kansas City, Mo.: *1. L .

“ S w ede”
M a lm ,
d iv is io n
m a n a g e r,
a n d C ra ig R o s s a n d R ic k W o lf, a r e a
d ire c to rs .

NCR Corporation, Dayton: R o b e r t
C . L a p in s k i, r e g io n a l d ir e c to r ; J a rr ^ s
A . S c h u lte , d i s t r i c t d i r e c t o r ; D a n ie l
H o l t e , d i s t r i c t d i r e c t o r ; R o g e r S till;
R o b e rt
G a rn e tt;
W i llia m
S ta f f o r d ;
T h o m a s P a rtrid g e ; J e ffre y L ig h th a rt;
D a v id H e a t h , a n d G a r y H o f d a h l . #
Newlin Bank Sales, Des Moines,
la.: R i c h a r d C . N e w lin , p r e s i d e n t ;
M a r t h a J . N e w lin , v ic e p r e s i d e n t , a n d
W i llia m
D . N e w lin , a s s i s t a n t v ic e
p r e s id e n t.

a n d * B ill M u r r a y , r e g i o n a l r e p r e s e n ­
ta tiv e s . P a u l W o l d ; J a c k F o r t n e r . ^

North Central Life Insurance Co.,
St. Paul, Minn.: G a r y P e n b e r t h y , fi­
n a n c ia l a g e n c y s u p e rv is o r.

Personal Banking Communications,
Inc., Des Moines, la.: D o n a l d £ .
J o r d a h l, p re s id e n t.

Scarborough & Company, Chicago,
111.:

* E d w a r d M u r ry , p re s id e n t; R o b ­
e r t W . M a r s h m a n , v ic e p r e s i d e n t —
m a rk e tin g ,
and
J im
Jen sen ,
v ^
p re s id e n t.

See you at the
Iowa Bankers Convention

N orthw estern

Bqnker,


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Federal Reserve Bank of St. Louis

Septem ber

1977

®

Omaha Financial Life Insurance
Company, Omaha, Nebr.: S ta n G r o u t

131

HWF

JIM HAMILTON

CY KIRK

MAX ROY

M e e t 3 re a s o n s w h y
s o m a n y Iow a b a n k s
lik e to w o rk w ith L a S a lle
in C h ic a g o
D

Jiim H a m ilto n is head o f L a S a lle N a tio n a l
B a n k ’s C o rre s p o n d e n t B a n k in g D e p a rtm e n t. Cy
K irk and M ax R oy are life -lo n g H a w k e y e s w h o
w o rk w ith L a S a lle c o rre s p o n d e n t b a n k s in Iow a.
T hey k n o w Io w a and Io w a c re d its , u n d e rs ta n d th e
• p r o b le m s o f th e c o rre s p o n d e n t b a n k.
T h e ir 60 ye a rs o f b a n k in g e x p e rie n c e is at y o u r
s e rv ice . So is L a S a lle ’s e x c e lle n t M u n ic ip a l B ond
D e p a rtm e n t.

®

E ith e r Cy o r M ax can m ake d e c is io n s on th e
s p o t w ith o u t c a llin g th e h o m e o ffic e . C y ’s h o m e
p h o n e is (815) 398-9521, M a x ’s n u m b e r is (319)
338-5224. A n y tim e yo u c a n ’t reach e ith e r o f th e m ,
H fe e l fre e to c a ll J im in C h ic a g o at (312) 443-2774.

Y ou c o u ld n ’t g e t b e tte r s e rv ic e if y o u had o n e o f
y o u r o ffic e r s s ittin g in an o ffic e at L a S a lle .
J im H a m ilto n , C y K irk , M ax R oy. G o o d b a n k e rs .
G o o d m en to k n o w . T h e y lo o k fo rw a rd to m e e tin g
yo u at th e 91 s t A n n u a l Io w a B a n k e r’s C o n v e n tio n .

LaS alle
...th e

b a n k

on

th e m o v e

LaSalle National Bank, LaSalle Bank Building
135 S. LaSalle Street, Chicago, Illinois 60690
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Banker, S e p te m b e r

1977/

Io w a News

132

SON Corporation, Wichita, Ks.:
Je ff S e n n e tt a n d T o m m y T h o m p s o n .

Travelers Express Company, Inc.,
Minneapolis, Minn.: N o r m C a r l s o n ,
n o r th c e n tr a l re g io n a l
K e it h H o a g l a n d .

m a n a g e r,

and

United States Check Book Compa­
ny, Omaha, Nebr.: R i c h a r d A . D ic k ,
v ic e p r e s i d e n t in c h a r g e o f s a le s ; B e r n ie B u r g e r , O m a h a , N e b r ., s a le s r e p r e ­
s e n t a t i v e ; H a r r y F r a n c i s , D e s M o in e s ,
l a . , s a le s r e p r e s e n t a t i v e ; C h u c k P e t e r ­
s o n , S io u x C ity , l a . , s a le s r e p r e s e n t a ­
tiv e ; W a l t S c h le n k e r , B e t t e n d o r f , l a .
s a le s r e p r e s e n t a t i v e , a n d C h u c k S t r a t t a n , C e d a r F a l l s , l a . , s a le s r e p r e s e n t a ­
tiv e .

U.S. LIFE Credit Life Insurance
Company, Schaumburg, 111.: J a m e s E .
L e e , v ic e p r e s i d e n t ; J o s e p h H . Z e a r i n g ,
fie ld v ic e p r e s i d e n t , a n d R o b e r t L .
A te s s a n d * S te v e M c K e lv e y , d is t r i c t
m a n a g e rs.

Van Horne
Omaha, Nebr.:

Investments,

Inc.,

J o h n E . V a n H o rn e ,
p r e s i d e n t , a n d * R i c h a r d L . R e v is a n d
R o b e rt W . R o b e rts , Io w a re p re s e n ­
ta tiv e s .

Inwood Banker Honored
C liff P r u i t t , p r e s i d e n t o f th e I n w o o d
S ta te B a n k , r e c e n t l y r e c e i v e d a c e r tif i­

c a t e r e c o g n iz in g a n d h o n o r i n g h im f o r
c o m p l e t i n g 5 0 y e a r s in b a n k i n g . M r .
P r u i t t ’s n a m e h a s b e e n a d d e d to t h e
I o w a B a n k e r s A s s o c i a t i o n (I B A ) lis t
of “ 50 Y e a rs o r M o re ” Io w a b a n k e rs
a n d h e w ill r e c e iv e a n i n v i t a t i o n t o a
s p e c ia l l u n c h e o n h e l d in h o n o r o f
a ll 5 0 y e a r b a n k e r s a t t h e a n n u a l I B A
c o n v e n tio n
th is
f a ll.
He
e n te re d
b a n k i n g in 1 9 2 5 .

College President Speaks
At Banks of Iowa Meeting
T a k e a c tiv e l e a d e r s h i p in t h e c o m ­
m u n ity ,
D r.
N oah
L a n g d a le ,
J r .,
r e c e n tly c h a lle n g e d
m o re th a n
90
d ire c to rs a tte n d in g th e re c e n t B a n k s
o f Io w a , In c ., C e d a r R a p id s , b a n k
d i r e c t o r ’s m e e tin g . M r . L a n g d a le , p r e s ­
id e n t o f G e o r g i a S ta te U n iv e r s it y , w a s
th e k e y n o t e s p e a k e r a t th e m e e tin g .
H e d e c r i e d t h e a t t i t u d e t h a t “ th in g s
w ill s o lv e t h e m s e l v e s ” a n d d e c l a r e d
t h a t in d i v i d u a l a t t i t u d e a n d a c t i o n w ill
b e n e c e s s a ry to a v o id “ d is m a n tlin g o f
d i s i l l u s i o n m e n t a b o u t a ll w e ’v e b u i l t . ”
M r . L a n g d a l e a l s o c a lle d u p o n th e
b u s in e s s m e n t o d e f in e t h e i r g o a l s a n d
th e ir s ta n d a rd s b e c a u s e u n d e rs ta n d in g
is t h e k e y to s u c c e s s in d iv i d u a l l y , a s

PICTURED left to right are Dr. Noah Lang­
dale, pres., Georgia State University; F.
Forbes Olberg, chmn. & pres., Bank^of
Iowa, Inc.; and Joe Hladky, pres., ^ i e
Gazette Company.
a b u s in e s s , a n d a s a c o m m u n i t y .
“ W h a t w e d o n ’t u n d e r s t a n d , w e
c a n ’t d e f i n e ,” h e c o m m e n t e d . “ W # a t
w e c a n ’t d e f in e , w e d o n ’t t a l k a b o u t
a n d w h a t w e d o n ’t t a lk a b o u t , w e
lo s e .”
F.
F o r b e s O lb e r g , c h a i r m a n a n d
p re s id e n t o f th e Io w a b a s e d b # i k
h o ld i n g c o m p a n y , p r e s i d e d a t t h e
m e e ti n g a n d g a v e t h e f in a n c ia l r e p o r t .

Welcome to the 91st Annual IBA Convention
Y ou are in v ited to jo in us in our
S u ite 514
H otel Fort D es M oines
Contact our rep resen tatives as we have several p lan s o f opera*
tion w hich co u ld be a service to yo u r cu sto m ers.

O

LIFE
ANNUITIES
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DISABILITY
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CONTINENTAL WESTERN LIFE INSURANCE COMPANY
Phone (515) 278-5941
Home Office:
11201 Douglas Avenue (Interstate 35-80), Des Moines, Iowa 50322

Septem ber

1977

•

T A K IN G O F F T O
LA N D Y O U R
B U S IN E S S .
G A RY STEVENSON

I BERNIE LATTYÀK
Assisto nr V ic e -P re sid e n t

V ic e -P re sid e n t

■

.
;

wsmmm
■

I

lilB I '
iilil

;

Correspondent Services for banks and
bonkers in the Tri-State a rea . Looking
forw ard to seeing you at the Io w a
convention & the South D akota group
m eetings.
:

,

■: ’ ■'
■
tifi*

Ü!

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is i

712-277-1500 Sioux Citv • A BANKS OF IOWA’ BANK

Iowa News

134

Report on Farm and Business Conditions

A

T

THE

req u e st

w e s te r n

B

of

a n k e r

,

th e N o r t h ­
g ro u p c h a ir­

m e n o f th e Io w a B a n k e r s A s s o c i­
a t i o n h a v e s u b m i t t e d t h e f o llo w in g r e ­
p o r ts o n f a r m a n d b u s in e s s c o n d itio n s
in t h e i r a r e a s :

Group I
Clifford H. Young, g r o u p

o n a g ric u ltu re , th e re fo re , w h e n th e
c ro p c o n d itio n s a re fa v o ra b le , th e g e n ­
e r a l b u s in e s s c o n d itio n s a r e fa v o r a b le .

Group Two
T. C. Dunlap, g r o u p c h a i r m a n , a n d
p r e s id e n t, S o u th S to ry B a n k & T ru s t,
S la te r : 1 9 7 7 is th e
tw e n ty -th ird y e a r
I h a v e o p e ra te d a
b a n k in th e s o u th ­
e r n p a r t o f S to ry
C o u n t y , w h i c h is
o n th e s o u th ed g e

c h a irm a n ,

a n d e x e c u t iv e v ic e p r e s i d e n t , O n a w a
S ta te B a n k : T h e
w e a th e r
in
th e
G ro u p I a re a h as
b e e n b e tte r th a n
la s t year. We
w e n t i n t o th e
s p r in g
w ith
no
s u b s o il m o is tu re ,
d e p e n d e n t e n tire ­

T. C. DUNLAP

ly o n r a i n s c o m ­
in g
a ll th r o u g h
C. H. YOUNG
th e g ro w in g s e a ­
s o n to h a v e a c r o p . W e h a d a g o o d
s p r in g , t h e p l a n t i n g c o n d i t i o n s w e r e
fa v o ra b le , a n d w e h a v e h a d e n o u g h
r a i n t o m a k e it l o o k a s t h o u g h w e w ill
h a v e a fa ir c o rn c ro p a n d a n a b o v e
av e rag e b e a n cro p .
F a r m e r s a re re p o rtin g th a t so m e o f
th e c o m d id n o t p o llin a te d u e to th e
h o t w in d s , w h i c h w ill c u t t h e y ie ld
s o m e . B u t t h e r e is a l o t o f g o o d c o r n
in o u r a r e a . W i t h t h e r a i n s t h a t w e
h a v e h a d in th e la s t c o u p le o f w e e k s,
w e s h o u ld h a v e a n e x c e lle n t b e a n c ro p .
O u r fa rm e rs a re q u ite c o n c e rn e d
a n d d is c o u ra g e d o v e r th e p r ic e o f
t h e i r f a r m p r o d u c e e s p e c ia ll y c o r n .
F o r th is r e a s o n , a s m u c h o f o u r
c o r n a s p o s s i b l e w ill b e m a r k e t e d
th r o u g h h o g s a n d c a ttle . T h e p r ic e
o f h o g s h a s b e e n f a ir ly g o o d , a n d
t h e g e n e r a l o p i n i o n is t h a t t h e p r i c e o f
f a t c a t t l e w ill b e b e t t e r b y t h e f irs t o f
th e y e a r.
I n o u r im m e d ia te a re a , w e a re p r i­
m a r i ly in v o l v e d w i t h c o r n a n d b e a n s .
T h e d e m a n d f o r irrig a tio n h a s b e c o m e
i n c r e a s i n g l y i m p o r t a n t . T h i s a l o n g w ith
th e in c re a s e d p r ic e o f m a c h in e ry ,
f e r t i l i z e r , f u e l, r e p a i r s , e t c ., h a s c a u s e d
o u r lo a n
dem and
to c o n tin u e to
in c r e a s e . I t s e e m s t h a t e a c h y e a r t h e
f a r m e r g e ts m o r e b e t w e e n a r o c k a n d
a h a r d p l a c e in r e l a t i o n t o t h e c o s t
o f p r o d u c t i o n a n d w h a t h e r e c e iv e s f o r
h is p r o d u c t s .
R e t a i l s a le s a r e u p f r o m l a s t y e a r
a n d th e b u s in e s s c o m m u n ity se e m s to
b e i n p r e t t y g o o d s p ir its . T h e r e c e n t
r a in s m a k e e v e ry o n e m o r e o p tim is tic .
G ro u p I b u s in e s s m e n a re d e p e n d e n t
N orthw estern

B anker, Se p te m b e r


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Federal Reserve Bank of St. Louis

1977

o f th e 1 0 c o u n tie s
e x te n d in g f r o m
c e n tr a l Io w a to
th e
M in n e s o ta
b o r d e r m a k in g u p

G r o u p T w o . O v e r t h e y e a r s in m y a r e a
w e h a v e h a d tw o o r t h r e e p r e d i c t i o n s
o f a c r o p f a i l u r e e a c h y e a r b e c a u s e it
w a s t o o w e t, t o o d r y , t o o h o t , o r t o o
c o l d . B u t e a c h f a ll, o l d M o t h e r N a t u r e
c a m e th r o u g h a n d th e f a r m e r s h a p p ily
h a rv e s te d a p re tty g o o d c ro p . M o re
o fte n , th a n n o t, a n e x c e lle n t o n e .
B u t th is y e a r i t r e a l l y h a p p e n e d . W e
h a v e a c r o p fa ilu re .
T h e p a s t tw o w i n t e r s h a v e b e e n
a l m o s t s n o w le s s . W h e n p l a n t i n g t im e
c a m e a r o u n d th is y e a r, th e re w a s v ery
little s u b - s o il m o is tu re , a n d w h e n th e
s u m m e r r a in s m is s e d u s, w e h a d h a d
it.
I h a v e ta lk e d to b a n k e rs lo c a te d f a r ­
th e r n o r th in th e G r o u p T w o a re a ,
a n d th e y r e p o r t c o n d itio n s a re s o m e ­
w h a t s p o tty , a n d v a ry c o n s id e r a b ly
fro m fa rm
to fa r m , b u t g e n e ra lly
c ro p c o n d itio n s im p ro v e th e f a r th e r
n o r t h y o u g o . I ’m s u r e t h a t b a n k e r s
in d r o u g h t a r e a s a r e a l r e a d y s t a r t i n g
t o m a k e p l a n s w ith t h e i r f a r m a n d
b u s i n e s s c u s t o m e r s a s t o w h a t s h o u ld
b e d o n e t o c o p e w ith t h e s i t u a t i o n .
I m p le m e n t d e a le rs a n d a g - r e la te d b u s i­
n e s s e s , a s w e ll a s m o s t r e t a i l m e r ­
c h a n t s , w ill p r o b a b l y r e d u c e t h e i r i n ­
v e n t o r i e s in a n t i c i p a t i o n o f r e d u c e d
s a le s .
T h e e f f e c ts o f t h e d r o u g h t h a v e n o t
h a d to o g r e a t a n effe c t o n b u s in e s s
c o n d itio n s in o u r a r e a y e t, a n d 1 9 7 7
w ill p r o b a b l y g o d o w n a s a p r e t t y
g o o d y e a r w ith u n e m p l o y m e n t lo w
a n d n e w c o n s tru c tio n u p .
E v e n th o u g h w e k n o w th in g s a re
g o in g t o g e t t i g h t b e f o r e t h e y g e t
b e t t e r , I c a n ’t f e e l t h a t t h e l o n g
ra n g e fa rm o u tlo o k c a n b e to o d a r k
w h e n tw o s e p a r a t e p i e c e s o f u n i m ­

p ro v ed
chased

a g ric u ltu ra l la n d
b y lo c a l f a r m e r s

w ere p u r­
w ith in th e

l a s t tw o m o n t h s f o r o v e r $ 3 , 0 0 0 p e r
a c r e . E v e r y b o d y b e l ie v e s th i n g s a r e
g o in g t o g e t b e t t e r .
^

Group Three
Glen O. Emmons, group chairman
and executive vie
w ood
S ta te
Bank: Crops lo­
cally look good
for we had timely
rains throughout
the summer this
year, except for
very light rains
in June. Last
year, we had no
rain from June
12 until mid-Sep­ G. O. EMMONS
tember.
The corn and beans around here
look excellent, although in th ^
southern part of Group 3 the crops
are not so good. The beans in our
area look taller than the corn in the
southern part of this group.
If prices were good our farmers^
would be in clover—but they aren’t:
Corn is below production costs at the
present price (mid-August). Beans
will make a little profit under present
conditions. There are lots of bean^
and com, both in elevators and on
the farms from last year. So far,
there is little indication of what
farmers plan to do with this supply.
The local elevator is charging
cents per bushel storage, but we
don’t know yet if that is for a given
period of time—or shorter than
anticipated. One elevator in this area
will accept corn only on the basis o #
the farmer selling 70% of it, and
another local elevator accepts corn
only on the basis of the customer
selling 50% of it—at the prevailing
day’s price.
#
Machinery around here is not
selling now and we’re not taking any
contracts. Retail sales and auto sales
both seem to be good.
Because of low prices on grain o u #
bank will have to insist on produc­
tion loans being repaid because we
have a lot of carryover loans from
last year, which was very dry. We
are heavily loaned. However, it h a #
been my experience over the years
that farmers have paid off more in
bad years than in good years. I hope
it will be the same this year.
This is mainly a hog productio#
area and there are a lot of hogs being

135

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N orthw estern

B anker, S e p te m b e r

1977

136

Iowa News

Hog prices have held better than
marketed now and a lot to go. The
hog-corn ratio is good and these we expected. However, I think they
farmers will be getting good prices will be going down. Maybe with so
on their hogs and making money. much cheap feed, our cattle farmers
There’s not much cattle feeding in will see that market a little better in
the months ahead. Farmers and, for
our area.
that matter, all of us have exper­
ienced rising costs of doing business.
Group Four
But, farmer costs have gone up
Thomas M. Kerndt, group chair­ steadily and only the good ones who
man, and president, Kerndt Bros. can pencil out their operation are
Savings Bank,
making ends meet. I feel for the real
Lansing: This
farmer the next few years.
area has had
plenty of mois­
Group Five
ture, crops look
Ronald Sealock, group chairman
good and pas­
and executive vice president, Coun­
tures are ample.
cil Bluffs Sav­
Our beef farmers
ings Bank: The
are still hurting
agricultural out­
and it is going to
look for the coun­
take years for
ties in Group 5
T. M. KERNDT
them to recover.
this year is var­
Farm land prices keep going up, but, ied. The early
it is not because of prices that planted com did
farmers receive, it is mainly specula­ not pollinate as
tion and city buyers. They still want good as it should
r
land and don’t seem to care if it isn’t have, due to the
RONALDSEALOCK
tillable or even productive.
hot weather and
We will have ample hay in our dry sub soil moisture conditions, and
country and maybe some of the the yields on early planted corn could
farmers can sell some to those areas be as low as 20 to 25 bushels per
still in a drought situation. The acre. The late planted com appears
drought is “spotty,” but we are to be about 75% normal. Some areas
blessed in this area because, in our Group 5 counties had good
although we have had ample rainfall and their crop should be
moisture, we have not had heavy about normal. The soybean crop is
downpours like some areas.
about normal, due to some very

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N orthw estern

B anker,

Septem ber


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

timely rains the first week of
August.
Price seems to be the biggest
problem that farmers are facing this
year. Com that sells for $1.50 p *
bushel does no more than just pay
the bills.
Hog producers have had a good
year, and should continue to have
good prices through the early part ®
1978. Farmers feeding cattle who
have their own feed have seen prices
high enough to receive a good price
for their feed and to cover their labor
costs. The demand for feeder cattle
will probably increase this fall due to
low corn prices, and farmers will
need to be careful not to spend too
much money for feeder cattle a n i
leave little margin for profit when
they are sold.
Cow-calf operations have not
shown much profit the last three or
four years, due to high feed c o s t^
Those farmers who have land that is
only good for pasture were able to
justify raising calves. The costs of
keeping a cow and raising a calf have
been too high compared to the valu^
of a 400 pound calf.
Cash rent for 1977 crop season
ranged from $80 to $100 per acre,
with some as high as $120 per acre.
We think this has to come down, aQ
production costs and machinery
costs are too high when corn is
selling for $1.50 to $2 a bushel. It
would seem that demand for land has
eased, as farmers are beginning t £
realize that you cannot pay $1,200 an
acre for land in southwest Iowa and
sell your corn for $1.50 to $1.75 a
bushel. Investors do not seem to be
interested in buying land at thi#
time, because the return on your
investment is so low.
Business conditions in southwest
Iowa have been good this year, and
unemployment has remained ver£
low. People have been earning good
income, and jobs are available for
those who want work. Machinery
dealers may not enjoy the good
profits next year as they have th #
past three or four years, as farmers
will need to reduce the amount of
new equipment they purchase due to
low corn prices. Demand for seed,
fertilizer and chem icals sh ou lP
remain good, as these items are
essential in farm production. If the
government comes up with some
type of land retirement program,
then the demand for these items wi™
be less.

137

&A&Y ft.

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Gary Rohlfsen, and Roy Edwards will be glad to
show you ways to score on that important “bottom
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The Toy can back up your game plans in many
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See you at the Iowa Convention, September 25-27!

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N A T IO N A L

B A N K -

SIOUX CITY, IOWA
N orthw estern

B anker, S e p te m b e r

1977

138

Iowa News

Group Six
Bernard D. Duben, g r o u p
a n d e x e c u t iv e v ic e
S ta te S a v i n g s
B a n k , C re s to n :

c h a irm a n ,

p re s id e n t,

Io w a

T h e f a r m e r s in
th e
12 c o u n tie s
c o m p ris in g G r o u p
S ix a r e in g r e a t
tro u b le
at
th is
tim e . T h e r a i n s
c a m e e a r ly , a n d
a fte r a v e ry c o ld
w in te r
d u r i n g

B. D. DUBEN

1 9 7 6 - 1 9 7 7 , w ith
v e ry little sn o w , w e re g r e a tly a p p r e c i­
a te d .
A fte r h a v in g g o o d c ro p s f o r th e
m o s t p a r t in
1 9 7 6 , re c e iv in g f a ir
p ric e s f o r th e c o r n a n d b e a n s , a n d
d o in g f a i r l y w e ll in c a t t l e a n d h o g s ,
t h e f e e lin g w a s t h a t 1 9 7 7 w a s g o in g
to b e a p ro d u c tiv e y e a r. M o re g ro u n d
t h a n n o r m a l w a s p l o w e d a n d p u t to
c o rn a n d b e a n s , th u s in c re a s in g th e
c o s t o f o p e r a t i o n a n d le a v i n g le s s
g r o u n d to b e u s e d a s h a y a n d p a s tu re
l a n d f o r t h e c o w h e r d s in S o u t h e r n
Io w a.
A s it t u r n e d o u t , t h i s w a s v e r y b a d
p la n n in g . T h e ra in s q u it a b r u p tly e x ­
c e p t f o r s p o t t e d a r e a s , t h e e a r s d i d n ’t
s e t o n , t h e c o r n d i d n ’t t a s s l e i n s o m e
fie ld s a n d s o m e f ie ld s t a s s l e d a t a
h e i g h t o f 1 2 t o 18 i n c h e s . S o m e b e a n s
fie ld s h a v e b l o o m e d t h r e e t i m e s a n d
n o t p o d d e d . If p o d d e d , th e y h a v e n o t
fille d a s t h e y s h o u l d n o r h a v e t h e p o d s
g r o w n a s t h e y s h o u ld .
T h e p a s tu r e s a re b r o w n w ith n o
f o o d a v a i l a b l e a n d t h e h a y g r o u n d is
n o t y i e ld in g m u c h h a y . T h e p o n d s a n d
w e lls a r e g o in g d r y . T h i s is h a p p e n i n g

in t h e to w n s a n d c i tie s a s w e ll,
c re a tin g m o re p ro b le m s a n d e x p e n se s
b e c a u s e t h e f a r m e r s a r e h a v i n g to
b u y w a t e r , if i t is a v a i l a b l e , f r o m
n e a r b y to w n s a n d c i tie s . M a n y to w n s
a r e r a t i o n i n g w a t e r a n d / o r a s k in g
th e ir u s e rs to c u t b a c k .
B e c a u s e o f h o t w e a th e r a n d la c k o f
fe e d a n d m o is tu re , m a n y fa rm e rs a re
b e i n g f o r c e d t o s e ll t h e i r c o w s a n d
c a lv e s n o w r a t h e r t h a n t h r e e t o f o u r
m o n th s f ro m n o w w h e n th e y u s u a lly
s e ll. T h e i r o n i c th i n g a b o u t t h i s is
t h a t in t h e C r e s t o n a r e a , m a n y o f t h e
b u y e rs a re fro m th e D a k o ta s a n d W y o ­
m in g , t h e a r e a t h a t w a s h i t b y d r o u g h t
t h e p a s t tw o o r t h r e e y e a r s . T h e o n ly
c o n s o l a t i o n is t h a t b e e f y c o w s a r e
s e llin g q u i t e w e ll, $ 2 5 0 b e i n g a g o o d
p r i c e . T h e f e e d e r c a t t l e m a r k e t is h o l d ­
in g f a i r l y w e ll.
I t is r e p o r t e d t h a t A u g u s t is t o b e
a w e t m o n t h . I a m w r i t i n g th i s a r t i c l e
a s o f th e 5 d a y o f A u g u s t. I n C r e s to n ,
t h u s f a r w e h a v e h a d a b o u t o n e in c h
o f r a in . T h is w a s m o r e th a n w e h a d
d u r in g th e e n tir e m o n th o f J u ly . If
A u g u s t is w e t, th i s c a n p o s s i b l y s till
h e l p t h e b e a n s a n d d e f in i te ly w ill b e
o f a s s i s t a n c e t o t h e p a s t u r e s , la w n s ,
la k e s a n d p o n d s .
I n c o n c lu s io n , e v e ry o n e , r u r a l a n d
u r b a n , is f e e lin g t h e e c o n o m y c r u n c h
a s a re s u lt o f n o ra in a n d e x tre m e ly
h o t w e a th e r. I a m su re th e e n e rg y
s i t u a t i o n is in t h e b a c k o f e v e r y o n e ’s
m i n d a s w e h e a d i n t o t h e f a ll a n d
w i n t e r m o n t h s . W e c a n l o o k f o r le s s
t h a n h a l f a c r o p t o b e h a r v e s t e d th is
f a ll . A s I i n d i c a t e d p r e v i o u s l y , t h e r e
a r e s p o tte d a r e a s w h e re th e r e h a s b e e n
m o r e r a i n f a l l , a n d t h e s e a r e a s w ill h a v e
a l i t t l e b e t t e r t h a n a v e r a g e y ie ld .
C o r n p ric e s c u r r e n tly a r e a r o u n d th e

DON ! FORGET US AT
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• Checks

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The “WORKS” you need
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AND IT WON'T BE LONG UNTIL
OUR SALESMAN WILL BE AROUND!'

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1201 S O U T H 16 T H S T R E E T - O M A H A , N E B R A S K A 6 8 1 0 8
In N e b ra s k a Ca ll 4 0 2 -3 4 5 -3 1 6 2
O u t o f S t a t e Call W ats L in e 1-800-228-9246

N o rth w este rn B anker, S e p te m b e r

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

$ 1 .7 5
p e r b u s h e l a r e a w ith b e ^ i
p r ic e s a t th e $ 5 .8 0 p ric e , h a r d ly a
h ig h e n o u g h p r ic e f o r c o r n to p a y f o r
p r o d u c t i o n . T h e s e p r i c e s h a v e f lu c t u ­
a te d g r e a tly th e p a s t y e a r. T h e f o r e c ^ t
d o e s n o t in d ic a te a n y g re a t in c re ^ re
i n t h e p r i c e o f c o r n a n d b e a n s in t h e
fu tu re s , b e c a u s e a m a jo r p o r tio n o f
I o w a is a n t i c i p a t i n g a r e c o r d c o r n a n d
b e a n c r o p . A s if t h e d r o u g h t a i ^ l
h o t w e a t h e r is n o t e n o u g h , g r a s s ­
h o p p e r s a r e b e c o m i n g a d e f in i te m e n ­
a c e t o t h e G r o u p S ix a r e a . T h e r e is
m o r e f e d e r a l c r o p i n s u r a n c e th is y e a r
s o t h a t th is c o u l d b e a b o o s t to
f a r m e r s a n d e c o n o m y in o u r a r e a .

L.

C.

Group Seven
Pike, g r o u p c h a i r m a n ,

p re s id e n t,
F arm ers
G r u n d y C e n te r
(T h e
g ro u p
in ­
c lu d e s th e c o u n ­

S a v in g s

and

B a i^ ,

tie s
of B l a c k
H aw k ,
B e n to n ,
G ru n d y , T a m a ,
P o w e s h ie k , H a r ­
d in , J a s p e r a n d
M a rs h a ll.):
A c lo u d o f p e s ­
s im is m
h a n g s
h e a v y o v e r a g ri­
c u l t u r e in o u r a r e a d u e m a i n l y t o th e
p r i c e d r o p in c o r n t o a r o u n d $ 1 .6 0
p e r b u s h e l . A g a i n s t lo w p r i c e s , f a r m ­
e r s ’ e x p e n s e s c o n t i n u e to s o a r a l o n g
w ith h ig h m a c h i n e r y c o s ts , h ig h e r
s to r a g e c o s ts , h i g h e r e n e r g y c o s t s a n d
o f c o u r s e , h i g h e r liv in g e x p e n s e s . V e r y
f ra n k ly , m a n y f a r m e r s m a y ju s t
h a n g i n g o n b y t h e i r t e e t h w h e n a ll th e
a s s e ts a n d l i a b i l i t i e s a r e t o t a l e d u p th is
f a ll. I n f l a t i o n , d r o u g h t a n d d e p r e s s e d
p r ic e s a re in th e p r o c e s s o f m a k in g
b ig c h a n g e s in t h e i r f in a n c ia l staWm e n ts rig h t n o w .
I n o u r a r e a w e h a v e a w id e v a r i e t y
o f c r o p c o n d itio n s , r a n g in g f ro m to ta l­
ly d r i e d - o u t c o r n in t h e s o u t h w e s t s ^ t i o n o f G r o u p S e v e n to e x c e l l e n t c r o p s
in t h e n o r t h e a s t a r e a . I n b e t w e e n t h e
c ro p s ra n g e fro m p o o r to g o o d ; f o rtu ­
n a te ly m u c h m o re g o o d th a n p o o r.
O v e ra ll, w e h a v e little re s e rv e m c m tu re . R a in f a lls h a v e b e e n s p o tty a n d
w h e r e th e y h a v e b e e n s p a r s e o r w h e r e
t h e s o il is lig h t c o r n y ie ld s w ill r a n g e
f r o m 0 t o 5 0 b u s h e l p e r a c r e . I t ’s a s a d
p i c t u r e I s e e in th e s e fie ld s . M a n y s e ^
c o r n fie ld s i n o u r a r e a h a v e b e e n r e ­
j e c t e d b e c a u s e t h e y j u s t c o u l d n ’t p r o ­
d u c e th e ea rs.
S o y b e a n s r a n g e f r o m g o o d t o f a ir .
I n t h e d r y s e c ti o n s , b e a n s s till n e ^ l
ra in ju s t to p ro d u c e h a lf a c ro p . T h e

139

w ant!
grow.
Last month Central National Bancshares, Inc., Des Moines and
First Kansas Financial, Inc., Wichita, merged. As a result we now
have the largest liquidity of any Iowa bank holding company —
based on percentage —and one of the highest in the country.
There are five affiliates now. Central National Bank and Trust
Company, Des Moines; United Home Bank and Trust Company,
Mason City; The Security State Bank, Algona; Adair County State
Bank, Greenfield, and First Mortgage Investment Company,
Kansas City, Missouri.
Our total capital is 58 million
dollars. This makes us one of
the largest domestic Iowa
bank holding companies. We
want to expand in Iowa and
acquire additional banks. If
you want to join our team, we
are ready to talk. Call Kenneth Simon W. Casady
Kenneth Myers
Myers on our toll FREE wats
Chairman of the Board
President, Chief Executive
National
Officer, Central National
line 1-8 00 -3 6 2-1 6 1 5 right now. Central
Bancshares, Inc.
Bancshares, Inc.

W e’re determ ined.
W e w ant to b e the best.
Central National Bancshares, Inc.
C entral N ational Bank B u ild in g • Locust at S ixth • Des M oines, Iowa 50304
Affiliates
Central National Bank and Trust Company, Des Moines/West Des Moines
Security State Bank, Algona/Luverne
United Home Bank and Trust Company, Mason City
Adair County State Bank, Greenfield
First Mortgage Investment Company, Kansas City, Missouri

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N orthw estern

B anker, S e p te m b e r

1977

140

Iowa News

GROUP REPORTS................
[Continued from page 138 ]
h o t, d ry w in d s o f J u ly d id a lo t o f
d a m a g e a n d w ill e v e n c u t y ie ld s o n o u r
g o o d cro p s.
I t se e m s th a t th e la te r p la n te d c o rn
w i t h s t o o d t h e d r y w e a t h e r b e s t. O u r
t o p c o r n w ill y ie ld o v e r 1 2 5 b u s h e l p e r
a c re . I f w e g e t n o r m a l r a in in A u g u s t,
o u r t o p b e a n s w ill y ie ld a r o u n d 4 5
b u s h e l p e r a c r e , b u t m a n y m o r e w ill
b e u n d e r 3 0 b u s h e l.
P r ic e s o n l a n d w e r e b u l l i s h t h e f irs t
p a r t o f t h e y e a r . G o o d f a r m s t h e n s o ld
a b o v e $ 3 , 0 0 0 p e r a c r e ( in G r u n d y
C o u n t y ) . R i g h t n o w p r i c e s a r e s lu g g is h
a n d se e m to b e a d ju s tin g d o w n w a rd
b e c a u s e o f t h e d r y w e a t h e r a n d lo w e r
g r a i n p r ic e s .
O u r f a r m e r s s till h a v e a lo t o f 1 9 7 6

c o r n o n h a n d t o s e ll. T h e y a r e c a u g h t
i n t h e s q u e e z e o f m o v in g o u t t h e o l d
b e f o r e t h e n e w c r o p c o m e s in . I t is a
r e a l lo s s a r t i c l e b e c a u s e it t a k e s a b o u t
a m i n i m u m o f $ 2 . 2 5 p e r b u s h e l to
b r e a k e v e n w i t h e x p e n s e s . W e f ig u re
th e a v e ra g e c o s t o f p ro d u c in g a n a c re
o f c o r n u s in g $ 1 0 0 p e r a c re la n d
c h a rg e (m an y fa rm s a ro u n d h e re a re
r e n t i n g w e ll a b o v e t h i s f ig u re ) is
$ 2 2 4 .6 8 p e r a c re . T h is m e a n s th e
fa rm e r n ee d s 110 b u sh e l p e r acre,
b a s i s # 2 , a t $ 2 .2 1 p e r b u s h e l to j u s t
b r e a k e v e n . T h e s e f ig u re s in a n u t s h e l l
s h o w w h a t is h a p p e n i n g t o o u r g r a in
farm e rs.
I n 1 9 7 7 o u r c a ttle a n d h o g fe e d e rs
h a v e f a r e d a little b e tte r . F a t c a ttle
m o s t l y h a v e b e e n s e llin g f r o m 3 ^ t o
4 $ a b o v e t h e i r r e p l a c e m e n t c o s ts , a n d
b e c a u s e o f lo w e r f e e d p ric e s , th e y h a v e

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Plus built-in adiustable sound scre en co n tr ol to p re ve n t
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services, me

DES MOINES

OMAHA

2915 Ingersoll
Phone 515/279-3669

2900 Douglas
Phone 402/341-8100

BETTENDORF

WATERLOO

1969 Spruce H ills
Phone 319/355-4771

100 East Fourth St.
Phone 319/234-5544

HAWKEYEBANCORPORATION
Iowa's Fastest Growing Banking Organization

16 banks in 42 locations committed to serving
their local communities with the combined
resources provided by over $40 million in
capital and $600 million in assets.

H a w k e y e B a n c o r p o ra tio n — Stephens B Idg., Des Moines— 515/284-1930
N orthw estern

B anker, Septem ber


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

cheap com .
G e n e r a l b u s in e s s c o n d itio n s w i ^
o u r m e rc h a n ts a n d d e a le rs h a v e b e e n
g o o d s o f a r t h i s y e a r w ith s a le s v o l ­
u m e a n d p r o f it s a b o u t e v e n w i t h a
y e a r a g o . H o w e v e r, th e im p le m e n t
d e a le r d o e s n o t h a v e th e b a c k o r d e 0
h e h a d i n p r e v i o u s y e a r s . S a le s f o r
b u s i n e s s p e o p l e h a v e b e e n s lu g g is h
s in c e J u l y 1 b e c a u s e o f t h e d r o u g h t
a n d th e lo w e r g r a in p ric e s . T h e im p a c t
o f t h e s e p r i c e s w ill b e f e lt m o r e d o v #
t h e r o a d a s a g r i c u l t u r e is f o r c e d i n t o
a b e l t ti g h t e n i n g s i t u a t i o n .
D e s p ite th e s e p r o b le m s , h o u s in g
s ta rts f o r 1 9 7 7 h a v e b e e n b r is k w ith
a s i z e a b l e i n c r e a s e in s in g le f a m i ^
d w e ll in g s f o r m a n y c i t i e s in G r o u p 7.

It’s here!

office

b e e n s h o w in g a p r o f it . M u c h t h e s a m e
s itu a tio n h o ld s tru e f o r h o g s a n d th e
good
o p e ra tio n s
have
been
f a ir ly
p ro fita b le . C a ttle o n fe e d in o u r a r e a
h a v e b e e n u p o v e r th e p re v io u s y e a ^
U n l e s s t h e f e e d e r p r i c e s g e t t o o h ig h
t h i s f a ll , w e l o o k f o r g o o d d e m a n d f o r
b o t h c a t t l e a n d h o g s t o e a t u p th is

1977

Group 8
^
John K. Figge, group chairman,
and vice president, Davenport Bank
& Trust Co.: A
recent survey of
bankers in this
eight county area
of eastern Iowa 1
indicates that
crop conditions
are g e n era lly
good. As usual,
th o u g h , som e
c o u n tie s h ave
fared better with
J- K- F,GGE
their corn crop than others becau#
of timely rains or the lack of them.
The outlook for the bean crop for the
entire area is excellent. Clinton
county, traditionally a heavy cattle
feeding area, reports that replac#
ment demand is picking up as feed
becomes cheaper.
The general business climate in
Muscatine, Iowa City, Davenport
and Clinton continues to 1#
favorable with unemployment well
below national averages. The out­
look, however, is somewhat cloudy,
particularly for the Quad City area
whose economy is heavily depended
upon farm equipment manufactur­
ing. The continued demand for farm
machinery will hinge on farm
income, and with grain prices at
their current levels, one cannot ift
too optimistic.

DOW NTOW N M ERC H A NTS
* W elcom e Iow a B a n k e r s
.
t o D e s M o in es
Cownie, 811 Walnut
B. Kucharos, 7th & Locust
C. Frankels, 612 Locust
D. Josephs, 6th & Locust
0 . Madeline Shepard, 3146th

F.
G.
H.
I.
J.

Johnson’s, 712 Locust
Zoe’s Uniforms, 410 7th Street
Hotel Ft. D.M., 10th & Walnut
Kneeter, 807 Walnut
Storey-Kenworthy, 309 Locust

K.
L.
M.
N.
O.

Plumbs Jewelers, 600 Walnut
Koch Brothers, 4th & Grand
J. C. Penney, 5th & Walnut
Brown’s, 308 8th
All Makes Office Equip., 401 Grand

B

FURS

and

FASHIONS

Pierre Cardin • Norelle
Donald Brooks • Ann Klein
Halston

Your best
appearance
is expected...
and then
respected.
ftio h e u -^ r e e m a n
C U S T O M IZ E D

* C L O T H E S

KUCHAROS
Downtown 7th & Locust M erle Hay Mall

T “

C

Welcome Iowa Bankers

ffom FRANKELS . . .
The store that has been serving
the men and boys of Iowa
since 1861
Flhe Clothing
Expert Tailoring
Professional Salespeople
All Major credit cards accepted
•
fM

t f t lu

THIS YEAR . . .
A GIFT FOR ALWAYS!
The diamond from Josephs
largest selection
at more moderate prices.
A tradition since 1871.

314 Sixth Avenue

•

Phone 244-3111

(In The Equitable Building)

fa

DOWNTOWN
f
612 LOCUST
Across from the Ruan Center
VALLEY WEST MALL • PARK FAIR
# '


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Original Family Ownership
SIXTH AT LOCUST AND MERLE HAY MALL
MEMBER AMERICAN GEM SOCIETY

Des M o in e s’ Finest
W o m e n ’s Fashion Shop.

■Æ

F

WELCOME IOWA BANKERS

15% off all garments

*

(Including Fall Stock)
Present Coupon for Discount *
(because no merchandise sale marked)

'12 LOCUST (Downtown)
rsity • Valley West Mall, WDM

3«*

Merchants you will enjoy visiting

if
UU

all within walking distance.

é

#

P e rs o n a liz e d c a re e r a p p a re l
fe a tu rin g : p O R X R A R f

f f

CLOTHES
Grand

^4

h
'

• P e rs o n a l fit t in g o f each
e m p lo y e e
9

%

• M a n y p ro g ra m s a v a ila b le

G

Locust

F

BC

N
A 1
10th

J

K

H
11th

D
E

9th

8th

7th

6th

• E n te rin g o u r 21st y e a r ®

M
5th

• P e rso n a l d e liv e ry and
a lte ra tio n

4th

«

3rd

Zoe’s Inc.
410 - 7th Street
Des Moines, Iowa 50309

A

H

Iowa Bankers
Convention Headquarters

Hotel Fort Des Moines

fashions in fur, leather and cl%h

1 0 th and W a ln u t
Des M o in e s , Io w a 50309
(515) 243-1161

807 Walnut
Des Moines, Iowa
515/243-1243

Open Mon. thru Sat. 10 - 5:30

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

President 900 Series
by

$

kimsall
OFFICE FURNITURE CO

O ffe re d by:

Storey-Kenworthy Co.
309 L o c u s t
288-3243

Stop by during the convention

é^uet^thing. ßor tin
IOWA BANKER
^
•
•
•
•

0

Microfilm Supplies & Equipment
Office Furniture & interiors
Copying Machines
Stationery & Office Supplies
Surveillance Cameras
Printing & Bookbinding
283-2451

KOCH BROTHERS
PRINTERS - STATIONERS - BOOKBINDERS
OFFICE OUTFITTERS-BUSINESS MACHINES

M

JC Penney

are the general or fundamental
truths under which life is gov­
erned. In business, a jeweler's
principles are especially impor­
tant for he occupies a position of
trust. One indication of his stand­
ards is the emblem below which
indicates membership in the
American Gem Society —an or­
ganization formed in 1934, and
pledged to the vigilant protection
of the buying public. We are
proud to be a part of this select
group.

Downtown, 5th & Walnut
MEMBER AMERICAN GEM SOCIETY

Charge It!

D is c o v e r new s h o p p in g p le a s u re at
JC P e nney w ith a lm o s t e v e ry th in g
fo r y o u r fa m ily an d h o m e . F ro m
th e la te s t in b e a u tifu l fa s h io n s to
s p o rtin g g o o d s , to y s and lu g g a g e ,
c a m e ra s , h o u s e w a re s , and m u c h
m o re . T h e re ’s even a b e a u ty s a lo n
and c o ffe e s h o p .

Third to Fourth on Grand Avenue
Des M oines, Iowa 50308

Use your Master Charge, BankAmericard
or Plumbs Convenient Revolving Charge

Fine jewelers since 1865
Locally owned and operated.

Downtown Walnut at Sixth
9:30 to 5:30

Merle Hay Mall • SouthRidge Mall
10 A .M . to 9 P.M.
Sunday Noon to 5 P.M.

N

^Brown’s Hat & Dress Shop

#

Dresses & Pant Suits

Executive Suites/Clerical offices
Office machines—installation & service
Storage systems—filing & warehouse

•
•

We Welcome Bankers

Sizes: 8 — 18
H a lf Sizes: I 2 V2 — 22V4

to Showroom
401 - Grand
YOU ALWAYS DO BETTER AT .

A
P hone

244-3314

all m akes office
equipm ent co.

t h e b u s in e s s m a n s d e p a r t m e n t s t o r e

308

Eighth

S treet

DES MOINES. IOWA 50309

C 401 Grand Avenue, Des Moines, Iowa
Omaha — Lincoln


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

serving the midwest banking
industry over 60 years

Group 11
Robert J. Laughrige, group
chairman, and senior vice president,
Union Bank and
Trust Company,
Ottumwa:
CORN — Cur­
rent condition
ranges from very
poor to excellent.
Areas most af­
fected by dry
weather are in
Lucas, Marion,
Mahaska, Van R. J. LAUGHRIGE
Buren, and Lee counties. Many

what have
you done in
the last year
to help your
clients protect
their
e$tates?
Many people work a lifetime
to accumulate an estate only
to find taxes have swallowed
up a large share of it.
Changing tax laws make
it absolutely necessary to
review your clients’ estate
planning on a regular basis.
You can help prevent estates
from shrinking 20, 30, or even
40%. Many plans allow your
clients to deduct their
insurance premiums from
their Federal Income Tax and
accumulate proceeds tax
free.
We have a complete
estate analysis service
available at no cost for your
customers or if you prefer, we
will be happy to put on a
complete Estate Planning
Seminar in your community.
For complete details at
no obligation, contact:

Warren Kerndt
L IF E O F M ID -A M E R IC A
IN S U R A N C E C O M P A N Y

640 Dubuque Building
Dubuque, Iowa 52001

IEh /S^

call collect,
441


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

fields in these counties have stunted
corn which will produce no grain and
will be utilized as green manure or
forage (pasture, hay, green chop or
silage). Conditions vary from field to
field and within fields even in central
part of area where crop is generally
good. Some fields in this part of area
have poor pollination due to delayed
silking (because of dry conditions)
and/ or rootworm beetles feeding on
silks. Most fields look better from
the road than they do when you are
in them. Most corn is in the milk to
early dent stage of development.
SOYBEANS—Late July and early
August rainfall over most of area
aided growth and development of
soybeans. Dry conditions had slowed
growth and caused higher than
normal abortion of pods at lower
nodes (first ones to form). This will
have a minor effect on yields since
many of the lowest pods are missed
by combine anyway. In general,
there seems to be somewhat fewer
pods on plants than normal.
However, recent rainfall should be
more than adequate to insure full
development of beans that are on
plants. Mites are causing leaf
damage on some soybeans in Van
Buren, Davis, Wapello and Lee
counties. Recent heavy rains should
help reduce the spread of mite
infestation, but spraying may be
needed if dry weather returns. Most
soybeans are in bean filling stage
although many are continuing to
grow and bloom since rains started.
HAY—First and second cuttings
of hay were good for those who cut
on time the first time. However,
most hay growth was at the expense
of subsoil moisture supplies. Current
abundance of moisture will aid late
summer growth and help rebuild soil
moisture supply. This is particularly
important if hay fields are to be
planted to corn in 1978.
PASTURE—Pastures throughout
the area have provided little more
than exercise much of the summer.
They are beginning to “green up”
now and fall growth should be good.
Fertilization and proper grazing
management throughout the rest of
the season should bring most
pastures back to normal production
next summer.
CATTLE SITUA TIO N —Most
cattlemen in the area are culling their
cow herds and many are weaning
calves early in an attempt to balance
cattle numbers and available feed
and water supplies. Dry conditions

in 1976 and 1977 greatly reduced*
pasture production and also water
available from ponds and shallow
wells. Recent rains have refilled most
ponds and solved part of the water
shortage.
*
SOIL MOISTURE—August 1
estimates range from Vs normal in
western part to Vs to % normal in
east part of area.
Group 12
Max Kieman, group chairman,
and president, Alton Savings Bank:
Crops in the
Group 12 area t j
are generally excellent, with corn
and beans being
about two weeks
ahead of normal,
and with oats
yielding satisfac­
torily, but light
in some areas
M. KIERNAN
because of ex­
treme heat the later part of June.
Cattle numbers are down due to
the short crops last year. We expect
higher replacement numbers this fall^
because of the adequate feed
expected, with the accompanying
lower cost of gain because of the
lower prices at this time. Hog
numbers and farrowings are about^
normal, with a break even return at
current price levels.
Spending for both business and
personal items was down for the first
half of the year. However, because of^
larger crops, there has been an
increase in recent weeks. Farmers
are hesitant to acquire capital debt,
and machinery sales appear to be
below normal in this area.
4
Weather throughout the growing
season has been excellent, with
above average moisture spread
evenly over the year. Subsoil
moisture, however, is low, following<
a shortage of about 10 inches during
1976.
Housing starts are above average
in the face of continuing increasing
costs and the fear of continued®
inflation.
Land sales continue above $2,000
for average land. Purchases are
being made for farm enlargement,
mostly on a contract basis. Return#
from the land does not justify the
cost, however it is used as a hedge
against inflation and considered a
prime investment by farmers in the
area. Very few purchases are m ade#
by outside investors.

145

E x p e r ie n c e d B a n k e rs A v a ila b le
The descriptions below represent a sample of our current listings. Call and discuss
the needs of your bank in complete confidence. (816) 474-6874
OPERATIONS
# 4 3 6 2 — C A S H IE R , w ith $ 2 0 M M b a n k. A ll re­
p o rts , c o rp o ra te ta x re tu rn s , p a y ro ll, de0 p r e d a tio n s c h e d u le s , an d ca sh p o s itio n .
P re v io u s e xp e r. in c lu d e s le n d in g & tru s t
a c c o u n tin g . B .A . d e g re e ................................$17,000
# 4 3 6 0 — EXEC. V IC E PR ES. & C A S H IE R o f
s m a ll ru ra l b a n k u n d e r $ 5 M M . P re v io u s ly
•
c a s h ie r o f $ 4 0 M M b a n k. G o o d a d m in i­
s tra to r w ith le n d in g b a c k g ro u n d & a c tiv e
in c o m m u n ity a ffa irs . B .A . d e g r e e ............. $22,000
#4281 — P re s e n tly A U D IT O R in $ 1 3 0 M M b a n k
w ith r e s p o n s ib ility fo r a ll p h a s e s o f a u d it•
in g , in c lu d in g tr u s t d e p t. P re v io u s ly tr u s t
o p e ra tio n s o ffic e r . B .A . d e g r e e ....................$20,000
# 4 2 0 3 — A U D IT O R fo r h o ld in g co . C o m p le te
c h a rg e o f d e p t.; re s p o n s ib le fo r fu ll a u d it
o f s u b s id ia rie s & EDP a p p s . T h o ro u g h ly
•
fa m ilia r w ith a ll re p o rts & c o m p lia n c e fo r
reg. a u th . B .S . d e g re e ; C P A lic e n s e ......... $25,000

# 4 3 5 7 — A S S T . V IC E PRES, in $ 1 0 M M ba n k
w ith r e s p o n s ib ility fo r c o n s u m e r le n d in g
& c o lle c . L ite e x p o s u re to a g rib u s in e s s &
c o m ’ l lo a n s . O p e ra tio n s e x p e r. & in s u r­
a n c e lic e n s e . B .A . d e g r e e ............................ $15,000
# 4 3 1 5 — A S S T . V IC E PRES, in $5 0 M M b ank.
D u tie s in v o lv e d ire c t & in d ire c t le n d in g ,
flo o r p la n n in g , & s o m e e x p o s u re to c o m ’ l
lo a n s ; 5 y rs . fin a n c e co . e x p e r.......... ..
$15,000
# 4 3 7 6 — N in e y rs . w ith s a m e b a n k . P re s e n t­
ly A S S T . V IC E PR ES, m a n a g in g $ 6 M M
in s ta l. lo a n d e p t. P re v io u s c o m ’l lo a n &
in s u r. e x p e r. T w o y rs . c o l l e g e ..................... $17,000
# 4 2 3 0 — L O A N M A N A G E R , In s ta l. lo a n d e p t,
o f $1 4 M M b a n k . A ls o se rv e s as a s s t, tru s t
o ff. P re v io u s e x p e r. in o p e r. a r e a .............. $15,000

AGRICULTURAL LENDING

COMMERCIAL LOANS

J 4 3 5 9 — C u rre n tly V IC E PR ES, and A G -L O A N
o ffic e r in $ 1 0 M M b a n k. P re v io u s e xp e r.
in c lu d e s 8 y rs . w ith P C A . S u p e rv is e d
lo a n o ffic e r s , d e v e lo p e d ne w p ro g ra m s &
b u s in e s s . B .S . d e g r e e ................................... $16,000
1 4 3 7 7 — T ra in e e w ith B .S . d e g re e in fa rm
9
o p e ra tio n s & M .S . in a g ri-e c o n o m ic s to
be a w a rd e d 9-77. W o rk e xp e r. in c lu d e s
fa rm in g & a g rib u s in e s s fir m s . S e e ks fa rm
m g m t. o r a g ric re d it p o s i t i o n ....................... $ 12,000
JJ4342— V IC E PR ES, w ith F e d e ra l Lan d B a n k.
S u p e rv is e s o th e r lo a n o ffic e r s . F o rm a l
s ta te m e n t a n a ly s is , ca sh flo w s , a p p ra is ­
a ls fo r c o rp . & in d . Ins. B .S . d e g r e e ......... $18,000
# 4 3 3 9 — E ig h t y rs . o f b a n k in g as A G R I-R E P .
^
In v e s tig a tio n o f a g rilo a n re q u e s ts , v e r ifi­
c a tio n o f liv e s to c k in v e n to ry & v a lu a tio n
o f lo a n c o lla te ra l. In a b s e n c e o f lo a n o f f i ­
ce r, se t up lin e s o f c re d it. B .S . d e g re e ;
real e s ta te lic e n s e ............................................ $ 12,000

9

•

INSTALLMENT LOAN

# 4 3 5 4 — Ten y rs . o f b a n k in g in c lu d in g p a rttim e w h ile a tte n d in g c o lle g e . P re s e n tly
A S S T . V IC E PRES, in $30 M M b a n k w ith
r e s p o n s ib ility fo r c o m ’ l & real e s ta te Ins.
H as e x p e r. in a g ri & in s ta l. lo a n s , as w e ll
as o p e ra tio n s . B .A . d e g r e e ..........................$18,000
# 4 3 3 4 — V IC E PRES. & C A S H IE R w ith 10 y rs .
o f b a n k in g . G o o d a d m in is tr a to r w ith
c o m ’ l & real e s ta te le n d in g . A ls o re s p o n ­
s ib le fo r in v e s tm e n ts & in s tl. In s .................$22,000
# 4 3 4 4 — EXEC. V IC E PRES, in $ 2 0 M M ba n k
w ith p rim a ry r e s p o n s ib ility fo r c o m ’l &
real e s ta te In s. P re v io u s ly w ith $10M M
b a n k in c o m ’ l le n d in g . In v o lv e d w ith sa le
& p u rc h a s e o f o v e rlin e s . B .A . d e g re e . . . .$ 2 5 ,0 0 0
# 4 1 4 7 — V IC E PR ES, in $ 8 5 M M b a n k w ith e x ­
c e lle n t c o m ’ l & real e s ta te le n d in g exp e r.
L e n d in g a u th o r ity $550M ; h a n d le s p a rti­
c ip a tio n & o v e rlin e s . B .S . d e g r e e .............. $25,000

TOM HAGAN & ASSOCIATES

W E AR E NOT A
“ SEARCH AG EN C Y” —

Bankers must contact us and
state their reason for a
change to be listed.

208 E. 18th Ave., P. O. Box 12346
North Kansas City, MO. 64116
(816) 474-6874

BANK PERSONNEL
J u n io r & S e n io r O ffic e rs
W a n te d fo r M id w e s te rn
& N o rth w e s te rn B a n ks.

“IT TAKES A BANKER TO KNOW O N E ”

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N orthw estern

Banker, August

19 7 7

146

Iowa News

Mosler Plans Anti-Crime
Seminar in Kansas City

Where
The
Discriminating
Banker
Stavs
w
In
D ew

M o in e s .

iE ìiiiip
Í íli'b ñ t i'r ’s
I-2 35 & 35t h St EXIT •

P H O N E 2 2 5 -2 0 2 5

W E S T DE S M O I N E S
It s All W a it in g N o w For You . . .

at W e b s t e r ' s 1

w ith

M o s l e r ’s n e w , t w o - d a y A n t i - C r i m e
S e m i n a r is s c h e d u l e d f o r O c t o b e r 1 2 13 a t R a m a d a I n n C e n t r a l , K a n s a s
C ity , M o . T h e 1 9 7 7 p r o g r a m h a s b e e n
e x p a n d e d to i n c l u d e p r e s e n t a t i o n s o n
e x e c u t iv e k i d n a p a n d h o s t a g e / e x t o r tio n b y s p e c ia l a g e n ts o f th e F B I a n d
o n th e s u b j e c t o f b o m b t h r e a t s a n d
s e a r c h b y m e m b e r s o f th e U .S . A r m y
B o m b D i s p o s a l U n it.
In a d d i t i o n , a s p e c ia l m o r n i n g s e s ­
s io n h a s b e e n d e v o t e d to a n e x p l a n a ­
tio n o f th e B a n k P ro te c tio n A c t o f
1 9 6 8 a s it r e l a t e s to t h e r e q u i r e m e n t s
o f t h e I n s u r a n c e S e r v ic e s O ffic e .
D u r i n g t h e r e m a i n d e r o f th e tw o
d a y s , e x p e r ts w ill c r a c k a s a f e o n s ta g e ,
b u r n a h o le t h r o u g h a s ix - i n c h - t h i c k
s a f e w ith a b u r n i n g b a r , d e m o n s t r a t e
e le c tro n ic a la r m d e fe a ts a n d sh o w a n d
d is c u s s s a fe s t h a t h a v e b e e n p e e le d ,
r i p p e d , c o r e d r ille d , p u n c h e d a n d , th e
la te s t M O , “ w a te r b o m b e d .”
T h e p r o g r a m is d e s i g n e d to p r o v i d e
v ita l i n f o r m a t i o n f o r e v e r y o n e w h o is
c o n c e r n e d w ith c r im e p r e v e n t i o n , i n ­
c l u d i n g b a n k s e c u r i t y o f fic e r s , i n s u r ­
a n c e c o m p a n y r e p r e s e n t a t i v e s , la w e n ­
f o r c e m e n t a g e n c i e s a n d th o s e c h a r g e d

th e

s e c u rity

of

b u ild in g s

Joins Postville Bank
J o h n P . R y a n , 3 5 , h a s jo i n e d t h e
P o s tv ill e S ta te B a n k a s a s s i s t a n t v i #
p re s id e n t a n d fa rm re p re s e n ta tiv e , a c ­
c o r d in g to W . A . K n e e la n d , p r e s id e n t.
T h e p o s itio n w a s c r e a te d r e c e n tly b y
th e b a n k . M r . R y a n , n a t i v e o f M o n o n a ,
h a d b e e n w ith t h e L u a n a S a v in g s B a r i P
f o r 11 y e a r s , m o s t r e c e n t l y a s c a s h ie r .

Named at Cedar Rapids
G en e M . M aso n has been n am ed
to t h e b o a r d o f d i r e c t o r s o f P e o p l H
B a n k a n d T r u s t C o ., C e d a r R a p i d s .
H e is p r e s i d e n t o f t h e M a r t i n M a r i e t t a
c e n t r a l d iv is io n .

Joins Ottumwa Bank

SEE

Jerry Just

N o r th w estern
Ba n k
Of Sioux City
A n A ffilia te o f N o rth w e s t B a n c o r p o r a tio n

Banco
1977

•

D e n n i s M . C u r r a n h a s j o i n e d th e
U n io n
B ank
&
T ru st
C om pany,
O ttu m w a , a s a s s is ta n t c a s h ie r a n d
le n d i n g o f f ic e r in th e in s t a l m e n t l o a n
d e p a r tm e n t. M r. C u r r a n fo rm e rly w #
c re d it m a n a g e r a n d c o s t a c c o u n ta n t fo r
t h e F a ir f i e l d G l o v e C o m p a n y .

For Northwestern’s World of Service

o r tFRASER
hw estern Banker, S e p tem b er
DigitizedNfor
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

and

o th e r c o m m e r c ia l e s ta b lis h m e n ts .
F u r th e r in fo rm a tio n a n d re s e rv a ­
tio n s m a y b e o b t a i n e d b y w r i tin g ^
c a llin g R . R o s b e r g , M o s le r, H a m ilto m
O h io 4 5 0 1 2 . 5 1 3 - 8 6 7 - 4 3 3 6 .

147

.A lot o f help for
.your money in the
.money market.

Shown left to right: John Hunt, Janine Young, John Johnson, Bob Wissler and Barbara Estey.
Instant access to money market information is available to Bond Department personnel via the TELERATE terminal.

The key to su ccess in the m oney and investment market is good information, in the hands of
people who know how to use it.
You get both from the Iowa-Des Moines. Your Correspondent Banker can put you in touch with
the state’s largest bank bond department, with sixteen people available to nelp you with portfolio
management, individual and trust investments, municipal bonds and updates on the
money market
With our new TELERATE terminal, we can
provide you with current-to-the-moment
information on everything from government
securities to Federal funds quotes, commercial
paper rates, prime rates, foreign exchange and
many other items.
A
A NATIONAL BANK
Call on us. You’ll get a lot of help for your money
7 th & W a ln u t, D e s M o in e s, Iowa 5 0 3 0 4 (5 1 5 ) 2 4 5 -3 1 3 1
. . . in the money market

IO W A .

nesmoines
Member FOIC

George Milligan

Bob Buenneke


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Bemle Kersey

Dorothea Wolfe

An Affiliate of Northwest Bancorporation

Voldy Vanags

Lance Davenport
N orthw estern

Banco

Lynn Horak

Banker,

Septem ber

1977

148

Iowa News

New State Bank Board for Iowa

re c o rd k e e p in g

and

a c c o u n t in g ,

p er­

so n n e l tra in in g a n d r e a l e s ta te s a le s .”

Capital Account Changes

•

C e n t r a l T r u s t a n d S a v in g s B a n k ,
E l d r i d g e , h a s s o ld 2 , 0 0 0 a u t h o r i z e d
b u t u n is s u e d c o m m o n s h a r e s f o r $ 2 5 0
p e r s h a re to ta lin g $ 5 0 0 ,0 0 0 . D is tr ib u ­
t i o n o f s a le p r o c e e d s is a s f o l l o w s #
$ 1 0 0 , 0 0 0 t o c o m m o n c a p i t a l b r in g in g
it t o $ 4 0 0 , 0 0 0 , a n d $ 4 0 0 , 0 0 0 to u n ­
d iv id e d p r o fits .
S t a t e B a n k o f L e d y a r d s o ld 5 0 0 a u ­
th o r iz e d b u t u n is s u e d c o m m o n s h a r e #
f o r $ 2 5 0 p e r s h a re to ta lin g $ 1 2 5 ,0 0 0 .
D i s t r i b u t i o n o f s a le p r o c e e d s a s f o l ­
lo w s : $ 5 0 , 0 0 0 to
c o m m o n c a p ita l
b r in g in g it t o $ 2 0 0 , 0 0 0 ; $ 5 0 , 0 0 0 to
s u rp lu s a n d $ 2 5 ,0 0 0 to u n d iv id e d p r o f #

YOU will see the new State Banking Board at the annual Iowa Bankers Convention. Pic­
tured above are: front row I. to r.— Thomas H. Huston, superintendent of banking; Julia
F. Anderson, assoc, dean of home economics, la. St., Ames; Betty L. Steele, v.p. &
secy.-treas., Brenton Banks, Inc., Des Moines. Back row— Vincent C. Chapman, em­
ployee relations rep., Standard Oil Co.; Marvin F. Chevalier, pres., Citizens State, Postville; C. Lyle Monahan, pres., Monahan Loan Co. Charles H. Walsh, pres., Farmers &
Merchants B&T, Burlington, is not pictured.

Hawkeye Plans Farm
Management Expansion
P a u l D . D u n la p , p re s id e n t o f H a w k e y e B a n c o r p o r a tio n , D e s M o in e s , h a s
a n n o u n c e d t h a t t h e c o m p a n y in t e n d s
t o s ig n i f ic a n t ly i n c r e a s e its a c t iv i tie s in
th e a re a o f fa rm m a n a g e m e n t.
D o n R u s s e ll h a s j o i n e d t h e c o m p a n y
as m a n ag e r of H aw k ey e fa rm m a n a g e ­
m e n t a c ti v i t i e s t o c o o r d i n a t e t h e f a r m
m a n a g e m e n t s e r v ic e s o f H a w k e y e ’s
16 m e m b e r b a n k s . H e f o rm e r ly w a s

a s s i s t a n t v ic e p r e s i d e n t a n d s e n i o r f a r m
m a n a g e r a t P e o p l e s T r u s t a n d S a v in g s
B a n k , I n d ia n o la , w h e re h e h a d b e e n
s in c e 1 9 6 4 . M r . R u s s e l l h a s c o m p l e t e d
fa rm m a n a g e m e n t c o u rse s a t Io w a
S ta te U n iv e r s it y , a n d t h e U n i v e r s i t i e s
o f I llin o i s , N e b r a s k a a n d C a l i f o r n i a .
“ D a il y m a n a g e m e n t o f f a r m p r o p ­
e r t i e s w ill r e m a i n w ith t h e i n d i v i d u a l
b a n k s , ” M r . D u n l a p s a id . “ M r . R u s ­
s e ll

w ill

p ro v id e

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Wayne Hummer & Co.
175 W est Jackson • Chicago, Illinois 60604
Dial long distance toll-free 800-621-4477 outside Illinois • 800-972-5566 within Illinois

Members New York, American and Midwest Stock Exchanges

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w este rn B anker, Se p te m b e r
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

its .
W e s t D e s M o i n e s S ta te B a n k h a s
is s u e d a 1 0 0 % c o m m o n s t o c k d i v i d e n d
b y tr a n s f e r o f $ 7 2 0 ,0 0 0 f ro m s u rp lu s
to c o m m o n c a p ita l. I ts c a p ita l a c c o u n #
is n o w $ 1 , 4 4 0 ,0 0 0 .

Council Bluffs Bank
Buries Time Capsule

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A s a f o l l o w - u p o n la s t y e a r ’s b i ­
c e n te n n ia l p r o je c t, S ta te B a n k a n d
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c a p s u le o n J u ly 4 , to b e o p e n e d o n
th e n a t i o n ’s t r i c e n t e n n i a l .
£
T h e p e o p l e o f C o u n c i l B lu ffs a n a
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b r i n g in a p i c t u r e o f t h e m s e lv e s o r
t h e i r f a m i ly to b e p l a c e d in t h e t i m e
c a p s u l e . O t h e r i t e m s in c l u d e d a g i a n #
re p lic a o f th e D e c la r a tio n o f I n d e p e n ­
d e n c e s ig n e d b y 4 , 2 0 0 l o c a l r e s i d e n t s ,
a b r ic k re m o v e d f ro m th e W h ite H o u s e
in
1950, b ro c h u re s o n ca rs, fa rm
m a c h in e ry , n u r s in g h o m e s , re a l e s t a t e #
r a ilro a d s a n d a irp la n e s , c lo th in g , a n d
a te le p h o n e .

LeMars Savings Bank Names
Commercial Loan Officer

^

The
L e M a r s S a v in g s B a n k
has
a n n o u n c e d th e a p p o i n t m e n t o f J e r a l d
D . S o lb e r g a s c o m m e r c i a l l o a n o ffic e r.
M r . S o lb e r g w a s w i t h t h e M o o r h e a d
S ta te B a n k f o r s e v e n y e a r s a n d s in e ®
1 9 6 6 h a s w o rk e d f o r th e S ta te o f
Io w a B a n k in g D e p a r tm e n t. H e h a s
b e e n a c h i e f e x a m i n e r s in c e 1 9 7 2 .

ACORN

Sale

R e g is te rs

"A ccepted S a le R egisters b y Bank
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T H E A C O R N P R IN T IN G C O .
O a k la n d , Io w a

I

149

• Make your Chicago connection

in Drovers Country
ds

It m a y b e th a t th e g ro w th o f y o u r b a n k

O th e r s ig n ific a n t s e rv ic e s th a t w e o ffe r

a n d th e f u tu r e g o a ls th a t y o u h a v e s e t

a r e — lo a n p a r tic ip a tio n , b o n d a n d p o r t­

c a ll f o r m o r e s o p h is tic a te d c o r r e s p o n ­

fo lio a s s is ta n c e , s a fe k e e p in g , d e liv e r y

d e n t s e rv ic e s th a n
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a n d a c c e p ta n c e
in s tru m e n ts .

you

a re p r e s e n tly

If t h i s is tr u e , w e u r g e y o u to m a k e T h e
D ro v e rs N a tio n a l B a n k y o u r C h ic a g o
c o n n e c tio n .
O u r d ire c t s e n d in g p o in ts a re s tr a te g i­
c a lly

#

lo c a te d

th ro u g h o u t

th e

n a tio n

o f a ll m o n e y

m a rk e t

We have had the opportunity to work
with a good share of the banks across
our nation for most of the 90 years we
have been established, and this gives
us an advantage few banks can match.

a n d in tu r n w ill s p e e d u p th e c o lle c tio n

W h y n o t m a k e y o u r C h ic a g o c o n n e c ­

of your checks

tio n

and

c o lle c tio n

ite m s ,

w h ic h w ill r e s u lt in q u ic k e r a v a ila b il­

in

D ro v e rs

C o u n try

and

p ro fit

fro m o u r e x p e rie n c e .

ity o f y o u r fu n d s .

ih «Il rovers

National B a n k of Chicago
47th and Ashland Avenue • Chicago, Illinois 60609 • 312/927-7000
•


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Member Federal Deposit Insurance Corp. • Member Federal Reserve System
• Member Chicago Clearing House Association
• Member Midwest Automated Clearing House Association

N orthwestern

Banker, Se p te m b e r

1977

150

Iowa News

Central National, First Kansas Merger Okd
H A R E H O L D E R S o f C e n tra l N a ­
ti o n a l
B a n csh a res,
I n c .,
gave
o f fic ia l a p p r o v a l t o m e r g e r o f C N B
w ith F i r s t K a n s a s F i n a n c i a l , I n c .,
o f W i c h it a , K a n ., a t a s p e c ia l m e e ti n g
in D e s M o in e s A u g u s t 9 . T h e r e s o l u ­
tio n
a p p r o v in g th e m e rg e r g a in e d

1 , 4 2 3 ,6 4 2 v o te s , o r 7 8 . 0 2 %
o f th e
to ta l sh a re s
o u ts ta n d in g .
A p p ro v a l
w a s n e e d e d b y tw o - th ir d s o f th e h o ld ­
in g c o m p a n y s h a r e s .
T h e m e r g e r b e c a m e o f fic ia l u p o n th e
s ig n in g o f fin a l p a p e r s b y S im o n W .
C a s a d y , c h a irm a n o f C e n tra l N a tio n a l

J. Merrill Anderson (left) looks on as Kenneth M. Myers (center) congratulates Simon
W. Casady on merger.

' / / / ’

a r e /d e a s e d t o

announce>

tn e /o /v u a t io a
in o e s tm e n t
s i> e c ia /iz i/u j

txm
i//

m o o /u t s

a n c / o d / e / d

in c o m e s e c u r itie s

DOUGHERTY, DAWKINS, STRAND & EKSTROM
IN C O R P O R A T E D

M ICHAEL E. DO UG HERTY
KENNETH E. DAWKINS
THOM AS M. STRAND
DARRYL P. EKSTROM
)ACK O. YOST

414 IDS CENTER □ M INNEAPO LIS, M INNESO TA 55402 □ 612 / 341 6 0 0 0

orth
w este rn Banker, Se p te m b e r
DigitizedN for
FRASER
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

B a n c sh a re s,

and

K e n n e th

M.

M y e rs,

p r e s id e n t o f F ir s t K a n s a s F in a n c ia l.
E a r lie r a p p ro v a l h a d b e e n o b ta in e d
fro m b a n k in g re g u la to r y a g e n c ie s a n d
F K F s h a re h o ld e rs .
®
M r. C a s a d y c o n tin u e s a s c h a ir m a n
o f t h e h o l d i n g c o m p a n y , w h ic h w ill
m a in ta in th e C e n tra l N a tio n a l n a m e .
M r. M y e rs h a s b e c o m e p r e s id e n t a n d
c h i e f e x e c u t iv e o f f ic e r o f C N B h o l d i n "
c o m p a n y , s u c c e e d in g J. M e rrill A n d e r ­
s o n , w h o n o w is v ic e c h a i r m a n a n d
tre a s u re r.
A ls o e l e c te d o f f ic e r s o f C N B w e r e
D a le C . S m ith , v ic e p r e s i d e n t ; D a n i *
J.
F lig e r,
s e c re ta ry
and
a u d ito r;
C . K e n n e th C a r p e n te r , J r ., d ir e c to r , in ­
v e s tm e n t
b a n k in g
and
s h a re h o ld e r
r e la tio n s , a n d B a r b a r a J . P e t e r s e i ^
a s s is ta n t
s e c re ta ry .
M r.
S m ith
is
e x e c u t i v e v ic e p r e s i d e n t o f C e n t r a l
N a tio n a l B a n k a n d T ru s t C o m p a n y .
T h e n e w b o a r d o f d ir e c to r s in c lu d e s
M r. C a s a d y , M r . A n d e r s o n a n d M ^
M y e r s , a l o n g w i t h th e f o llo w in g f o r m e r
d ire c to rs o f C N B :
C . F r e d e r i c k B e c k , p a r t n e r in B e c k ,
P a p p a j o h n & S h r i v e r la w firm , M a s o n
C ity .
*
C h a rle s D u c h e n , p r e s id e n t, Y o u n k e r
B r o t h e r s , I n c ., D e s M o in e s .
T h e o d o r e N . H o w e , p r e s id e n t, A d a ir
C o u n t y S ta te B a n k , G r e e n f ie ld .
J. R a y m o n d M u r p h y , J r ., p r e s i d e n t
H o l m e s , M u r p h y & A s s o c i a t e s , I n c .,
D e s M o in e s .
C h a rle s H . O ld f a th e r, J r ., F a w re n c e ,
K a n ., r e t i r e d la w p r o f e s s o r .
G e o r g e S. P e a k , m a n a g e r , I n s u r a n c #
E x c h a n g e B u i ld in g , D e s M o in e s .
T h e new b o a rd m e m b e rs fro m F K F
a re :
R o b e r t F . E s o n , p r e s id e n t a n d c h ie f
e x e c u t iv e o f fic e r , H u t t i g S a s h a n #
D o o r C o ., S t. F o u i s , M o .
R o b e rt C . F o u ls to n , m a n a g in g p a r t ­
n er,
F o u ls to n ,
S ie f k in ,
P o w e rs
&
E b e r h a r d t , l a r g e s t la w f irm in t h e s ta te ,
W ic h ita , K a n .
•
S h e rlo c k
H ib b s ,
re tire d
g en e ral
p a r tn e r a n d d ir e c to r , K id d e r, P e a b o d y
& C o ., F o r t F a u d e r d a l e , F la .
R o b e rt
H.
P ease,
c h a irm a n
of
f in a n c e c o m m i t t e e a n d d i r e c t o r , f o r m e d
p r e s i d e n t a n d v ic e c h a i r m a n , D r a p e r
a n d K ra m e r, I n c o r p o ra te d , C h ic a g o ,
111., m o r t g a g e b a n k i n g c o m p a n y .
P a u l H . W o o d s , d ire c to r a n d re tire d
p r e s i d e n t , F i r s t N a t i o n a l B a n k , W ic h ™
ita , K a n .
T h e s ix r e t i r i n g m e m b e r s f r o m t h e
f o r m e r C N B b o a r d a r e B. C . G r a n g a a rd , re tire d
c h a irm a n
a n d c h ie L
e x e c u t i v e o f f ic e r o f C N B ; J a m e s N m
H o a k , d i v is io n a l g e n e r a l m a n a g e r o f

151

H u b e rt a n d his frie n d s a ll lo o k fo rw a rd to
s e e in g you a t th e Io w a B a n k e rs C o n ven tio n .

S ta n P e irc e
Ed K e n n e d y

C h ris tin a W ilk in s
Bill H ic k

\

\

H e r e ’s h o p in g y o u r 1 9 7 7 c o n v e n t i o n w ill be th e b e st ever.
All o f us a tte n d in g lo o k fo rw a rd
to s e e in g o u r m a n y Io w a B a n k in g fr ie n d s in Des M o in e s .

HARRIS
|(u £ BANK
Harris Trust and Savings Bank, 111 W Monroe S t , Chicago, III 60690 Member F.D.I.C., Federal Reserve System.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N orthw estern

Banker,

Septem ber

1977

152

Iowa News

S t. R e g is P a p e r C o ., D e s M o in e s ;
R o b e rt M . Ise n se e , r e tire d c h a irm a n
a n d c h i e f e x e c u t i v e o f fic e r , U n i t e d
H o m e B a n k a n d T r u s t C o ., M a s o n
C i ty ; R a y m o n d G . J o h n s t o n , p r e s i ­
d e n t, C e n tra l N a tio n a l B a n k a n d T ru s t
C o m p a n y , D e s M o in e s ; E d w a r d H .
J o n e s , c o u n s e l o f t h e la w f irm o f
S te w a r t, H e a r t n e y , B r o d s k y , T h o r n t o n
& H a rv e y , D e s M o in e s , a n d J a m e s W .
W a lla c e , h o n o r a r y c h a ir m a n o f P io ­
n e e r H i - B r e d I n t e r n a t i o n a l , I n c ., D e s
M o in e s .
C e n t r a l N a t i o n a l B a n c s h a r e s ’ le a d
b a n k is C e n t r a l N a t i o n a l B a n k a n d

P u t

T r u s t C o m p a n y o f D e s M o in e s . I t
a l s o o w n s T h e S e c u r it y S t a t e B a n k in
A l g o n a , A d a i r C o u n t y S t a t e B a n k in
G re e n fie ld a n d U n ite d H o m e B a n k a n d
T r u s t C o . in M a s o n C ity .
A s p a r t o f th e m e rg e r a g re e m e n t,
C N B i n c r e a s e d its a u t h o r i z e d s h a r e s
f r o m 4 m i l l i o n t o 15 m i l l i o n a n d d e ­
c la re d a s to c k d iv id e n d o f 1 % s h a re s
f o r e a c h o f t h e o u t s t a n d i n g 1 ,8 2 4 ,7 5 2
sh a re s
o u s ta n d in g .
F irs t
K ansas
F i n a n c i a l s t o c k h o l d e r s , w ith 6 ,7 9 3 ,
8 6 7 o u ts ta n d in g s h a re s , h a d th e ir s to c k
tr a d e d o n a o n e f o r o n e b a s is f o r th e
n e w C N B s to c k . F K F s t o c k h o l d e r s

O u r

Y o u r

F in a n c ia l

T e a m

GARY ERNST

VERN GERICKE

Vice President
and Trust Officer

Assistant Vice President
and Trust Officer

Assisted by these other experienced trust officers:
• LILA HELMS
• KEN SCHOENAUER

• MARK COLLISON
• KEN COLLMAN

Plus an experienced legal secretarial staff
Offering You Complete
Correspondent Bank Services

P e o p le s

3 bank

AND TRUST COMPANY
Cedar Rapids • FDIC • FRS

N ofor
r t hFRASER
w este rn Banker, Se p te m b e r
Digitized
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

o f th e o u ts ta n d ­

w i t h a p a r t o f th is le d g e d t o p a y o f ^
c e r t i f i c a t e h o l d e r s in t h e a m o u n t o f
$ 3 , 3 6 5 ,0 0 0 . T h e b a l a n c e o f t h e c a s h
a v a ila b le to F K F a f te r p re v io u s b u s i­
n e ss a rra n g e m e n ts b e fo re th e m e r g e r ^

CENTRAL NATIONAL . . .
(Turn to page 162, please)

Expand Check
Verification Plan

C

Closer to You
Trust Officers
o n

th u s o w n a b o u t 6 1 %

in g s t o c k f o llo w in g t h e m e r g e r .
F irs t K a n s a s F in a n c ia l h a d a p p ro x i­
m a t e l y $ 3 5 m il lio n in c a s h a s s e ts ,

*

H E X S y s te m s , I n c ., a m u l t i - s t a t ^
n e w a c c o u n t v e r if ic a ti o n s e rv ic e ,
h a s a n n o u n c e d its e n t r y i n t o t h e l o w a N e b r a s k a b a n k in g a re a s . S ta rtin g o r ig i­
n a l ly f r o m a M in n e a p o l i s b a s e , t h e s y s ­
te m h a s g r o w n s o t h a t it s e r v e s 2 , 5 0 ( ^
b a n k s in 1 2 s ta te s .
T h e D e s M o in e s C le a rin g H o u s e h a s
v o te d u n a n i m o u s l y t o p a r t i c i p a t e , a c ­
c o r d i n g to J o h n S ik k in k , v ic e p r e s i d e n t
a n d c a s h ie r, Io w a -D e s M o in e s N a t i o n ^
a l B a n k . A d d itio n a lly , th e s a m e c o u rs e
w a s f o l l o w e d b y b a n k s in S io u x C ity .
C h e x S y s te m s w a s d e s i g n e d w ith a
p r im a ry th r u s t a g a in s t th e b a d c h e c k
w rite r. I t s o o n e x p a n d e d to c o v e r a %
p h a s e s o f f r a u d - r e l a t e d lo s s e s . T h e s y s ­
te m c o l le c ts i n f o r m a t i o n f r o m p a r t i c i ­
p a tin g b a n k s e a c h tim e th e y fo rc ib ly
c lo se a n a c c o u n t f o r c a u s e ( p rim a rily
N S F c h e c k w r i tin g ) a n d a s s e m b l e s i #
o n a m a s t e r file . E a c h p a r t i c i p a n t is
th e n a b l e t o a c c e s s t h e m a s t e r file a t
th e t i m e a n y n e w a c c o u n t a p p l i c a t i o n
is r e c e iv e d b y m e a n s o f a t e l e p h o n e
c a ll. C h e x S y s te m s o f fe rs a r e s p o n s t #
t im e o f 15 s e c o n d s o r le s s .
D u e to th e r a p id s p r e a d o f s p lit d e ­
p o s it p la n s , m a n y b a n k s h a v e n o w
s t a r t e d c l e a r i n g t h e i r s a v in g s a c c o u n t
a p p l i c a t i o n a s w e ll. A s a r e s u l t , o v e 0
1 00 p e rso n s h av e b e e n a rre s te d fo r try ­
in g t o d e f r a u d b a n k s , a c c o r d i n g to
I r w i n T e n t e l , p r e s i d e n t o f t h e firm . T h e
t o t a l n a m e s o n file n o w n u m b e r s o v e r
3 0 0 ,0 0 0 . T h e o v e ra ll id e n tif ic a tio n r a ®
tio is n o w r u n n i n g o v e r 7 % , w ith
a b o u t 5 0 , 0 0 0 i n q u i r y c a lls b e i n g h a n ­
d le d e a c h m o n th .
E n d o r s e d b y fiv e s t a t e b a n k i n g a s s o ^
c i a t i o n s , t h e f irm h a s r e g i o n a l o f f i c e "
in M i l w a u k e e , C o l u m b u s , O h io , a n d
D a lla s .
The
Io w a -N e b ra sk a
o ffic e ,
h e a d e d b y J o h n T . B a ld rid g e a t 2 1 7 5
N .W . 8 6 t h S t r e e t in D e s M o i n e s , is s e r ^
v ic e d b y th e M i n n e a p o l i s o ffic e a "
1 3 0 1 E a s t 7 9 t h S tr e e t .

SEE YOU AT THE
IOWA BANKERS CONVENTION

NORM HARTWIG
Eastern Iowa

DON NACHTMAN
Sales Manager

GARY LIVESAY
Western Iowa

“S e rv in g Io w a w ith lo w a n s
a n d an Io w a
Because of the people in Iowa as investors and agents, Life In­
vestors Credit Life department has grown to be the 5th largest
carrier in the U.S. serving 38 states. Life Investors Insurance
Company of America has grown to be the 131st largest life insur­
ance company with over $6 billion of insurance in force.

H

4333 E d g e w o o d Rd. N.E. C e d a r R apids, Iow a 52406 (319)398-8511

Not that small Iowa company anymore
but our heart is here.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

154
s a l e s com pany.
He
is
a
1975
g ra d u a te o f C e n ­
tr a l
C o l le g e
in
P e lla a n d jo in e d
t h e c o m p a n y in
M ay of 1975.
H e w ill c o n t i n ­
ue c a l l i n g on
b a n k s th ro u g h o u t
t h e m id w e s t a n d
a s s i s t i n g w ith

W . D. NEWLIN

b a n k s a le s .
B a n k e r s T r u s t h a s a n n o u n c e d the
p r o m o t i o n s o f t h r e e o f f ic e r s a n d the
e l e c t i o n s o f tw o
n e w o f fic e r s .

If

T David L. Tremmel
of

HE
lo w a - D e s M o in e s N a tio n a l
B a n k h a s a n n o u n c e d th e e l e c t i o n
a s v ic e p r e s ­

id e n t a n d
m an­
a g e r o f th e in te r­
n a tio n a l b a n k in g
d e p a rtm e n t.
M r . T re m m e l
jo in e d th e b a n k
la te
la s t m o n th
fro m th e N o rth ­
w e s te rn N a tio n a l
B a n k o f M in n e ­
a p o lis w h e re h e
w a s a s s i s t a n t v ic e
p r e s i d e n t in t h e i n t e r n a t i o n a l b a n k i n g
d e p a r t m e n t . H e j o i n e d t h a t b a n k in
1 9 6 2 a s a t r a i n e e in t h e i n t e r n a t i o n a l
d iv is io n . H e t h e n w a s m a d e m a n a g e r
o f th e in te rn a tio n a l o p e ra tio n s d e p a r t­
m e n t a n d th e h e a d o f f o r e i g n e x ­
change.
I n 1 9 6 9 h e w a s e l e c t e d in t e r n a t i o n a l
b a n k i n g o f f ic e r a n d t h e f o llo w in g y e a r
w a s a s s ig n e d t e r r i t o r i a l r e s p o n s i b i l i t y
f o r C a n a d a a n d E u r o p e . In 1 9 7 3 h e
w a s a s s ig n e d t o t h e b a n k ’s f ir s t o v e r ­
s e a s o f fic e in L o n d o n . M r . T r e m m e l
w a s p r o m o t e d t o a s s i s t a n t v ic e p r e s i ­
d e n t in 1 9 7 2 a n d m a n a g e r o f th e
b a n k ’s n e w o f fic e in L u x e m b o u r g . I n
l a t e 1 9 7 3 , h e r e t u r n e d t o th e h o m e o f ­
fic e to a s s u m e r e s p o n s i b i l i t y f o r th e i n ­
t e r n a t i o n a l b u s in e s s d e v e l o p m e n t f o r
th e se v e n s ta te c o r p o r a te te r r ito r y .
A ls o a n n o u n c e d a r e t h e p r o m o t i o n s
George F. Milligan a n d James D.
Kempkes t o s e n i o r v ic e p r e s i d e n t s .
M r . M i l l i g a n b e g a n h is b a n k i n g c a ­
r e e r w ith t h e l o w a - D e s M o i n e s in 1 9 6 1
a s a m a n a g e m e n t tra in e e . In 1 9 6 2 h e
w a s p r o m o t e d to a s s i s t a n t m a n a g e r o f
t h e c r e d i t d e p a r t m e n t , in 1 9 6 9 to v ic e

p r e s i d e n t , c o m m e r c i a l lo a n
d e p a rt­
m e n t, a n d in 1 9 7 4 to m a n a g e r o f th e
c o r r e s p o n d e n t b a n k s e r v ic e s d e p a r t ­
m e n t. H e is a g r a d u a t e o f W a s h i n g t o n
a n d L e e U n i v e r s i t y a n d r e c e iv e d h is
la w d e g r e e f r o m D r a k e U n iv e r s it y in
1 9 6 0 . H e h a s b e e n b o th a s ta te r e p r e ­
s e n ta tiv e a n d s ta te s e n a to r.
M r . K e m p k e s j o i n e d t h e b a n k in
1 9 5 0 a n d h a s s p e n t h is c a r e e r in th e
t r u s t d iv is io n , c u r r e n t l y a s h e a d o f t h e
in v e s tm e n t m a n a g e m e n t d e p a r tm e n t o f
th is d iv is io n . H e is a g r a d u a t e o f C e n ­
t r a l C o l le g e in P e l l a a n d r e c e i v e d h is
la w d e g r e e f r o m D r a k e U n iv e r s it y in
1949.

T h o s e
p r o ­
m o te d a re : M ^
Marsh, v ic e p r e s ­
id e n t a n d
m an­
a g e r, G rim e s O f­
fic e ; Don Rainer,
v ic e
p re s id e r^
a n d a g ric u ltu ra l
s p e c ia lis t , G r i m e s
M . MARSH
O ff ic e ; Jay Blatt,
a s s i s t a n t v ic e p r e s i d e n t a n d m a n a g e r ,
M e r l e H a y O ffic e .

J. BLATT

#

D. RAINER

N e w ly e l e c t e d o f f ic e r s a r e : Patrick
W. Allison, c o n s u m e r b a n k i n g o f fic e r ,
a n d Jean Nelson, a s s i s t a n t m a n a g e #

G. F. MILLIGAN

J. D. KEMPKES

Nancy À. Crittenden h a s j o i n e d th e
t r u s t d e p a r t m e n t o f C a p i t a l C i ty S ta te
B a n k a s a m a n a g e m e n t tra in e e . M rs.
C r i t t e n d e n is a M a y , 1 9 7 7 , a c c o u n t i n g
g r a d u a te o f th e U n iv e rs ity o f N o r th e r n
I o w a , C e d a r L a l ls , a n d w a s r e c e n t l y
a w a rd e d
h e r C e r t if ie d
P u b lic A c ­
c o u n t a n t c e r tif ic a te .
*

*

S o u t h R i d g e O ffic e .
M r . M a r s h h a s b e e n w ith t h e b a n k
fo r 37 y ea rs an d has b een m a n ag e r
o f th e G r i m e s O ff ic e f o r 15 y e a r s . M r .
R a in e r jo in e d th e b a n k in 1 9 7 3 #
a n a g r i c u l t u r a l s p e c i a l i s t in t h e c o r r e ­
s p o n d e n t b a n k d e p a r tm e n t. In A u g u s t
o f 1 9 7 6 h e w a s t r a n s f e r r e d to th e
G r i m e s O ffic e . M r . B l a tt j o i n e d th e
b a n k ’s i n s t a l m e n t
lo a n
d e p a rtm e fll

*

of

Digitized Nfor
o r FRASER
th w este rn Banker, S e p tem b er
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

N e w lin B a n k S a le s , I n c ., o f D e s
M o i n e s , r e c e n t l y a n n o u n c e d th e p r o ­
m o t i o n o f William D. Newlin t o a s s is ­
t a n t v ic e p r e s i d e n t .
M r . N e w lin is t h e s o n o f Martha
a n d Dick Newlin, f o u n d e r s o f th e b a n k

P. ALLISON

J. NELSON

'if you desire to remain “on-premise”
or would like to return . . . .
The most practical and complete “o n -p re m is e 99
solution
is the C o n c e p t I I B a n k C o m p u t e r S y s t e m

mm
¡■ ¡a a »
^ T ra n s a c tio n s are e nte re d on th e c o m p u t e r o n ly o n ce
In a " P r o o f of D e p o s i t ” e n v ir o n m e n t and C o n c e p t II d o e s th e rest
t h r o u g h and i n c lu d in g

C re ates P ro o f L is t in g s by D e p o s it and P ocket

P o s tin g of In d iv id u a l C u s t o m e r A c c o u n t s
G e n e ra te s T ra n s it L is t in g s and Cash L e tte rs
A n d , Y o u 're A u t o m a t i c a l l y “ O n - L i n e ” fo r In g u iry ,
P ro vid e s B a nk B lo tte r R ecap T o ta ls

S ta te m e n t P r o d u c tio n and O th e r R e p o rtin g N eeds.

A ll T h e se F u n c tio n s P e rfo rm e d A t Less T han Y o u r P re se n t O p e ra tin g C o s ts .

6818 GROVER STREET
SUITE 100
OMAHA, NEBRASKA 68106
[402] 392-0151

□ I would like a demonstration or live bank showing
□ Please have your representative call on me
□

Please forward additional information

Name
Bank Name.
Address___
City_______

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Federal Reserve Bank of St. Louis

Signature.

.State.

-Zip.

156

Iowa News

in 1 9 7 2 . H e a l s o w o r k e d in t h e m a r ­
k e t i n g d e p a r t m e n t a n d in 1 9 7 6 b e c a m e
m a n a g e r o f t h e M e r l e H a y O ffic e .
M r . A l l i s o n h a s b e e n w ith t h e b a n k
s in c e 1 9 7 4 , t h e l a s t tw o y e a r s in th e
c o n s u m e r b a n k in g d e p a rtm e n t. M s.
N e ls o n j o i n e d t h e b a n k in 1 9 7 5 w h e n
th e
S o u th R id g e
M a ll
O ffic e
w as
o p e n e d . S h e h a s s e r v e d a s o ffic e a s s i s ­

u p t o 5 0 fi. H e r e p o r t e d a n e a r n i n g s i n ­
c r e a s e o f 1 9 % f o r t h e f ir s t s ix m o n t h s
o f 1 9 7 7 . C o n s o l i d a t e d a s s e ts r o s e to
$ 5 1 2 ,4 7 7 ,6 6 7 , u p 1 1 .3 %
o v e r th e
sa m e 1 9 7 6 p e rio d , a n d to p p in g th e
h a l f - b i l l i o n m a r k f o r t h e f ir s t tim e .
D e p o s i t s o f t h e 17 B r e n t o n b a n k s w e r e
lis te d a t $ 4 6 3 , 3 4 5 ,4 0 5 a t m id - y e a r .

t a n t s in c e t h a t tim e .

Promotions Announced
At Mason City Bank

*

*

*

William H. Brenton, c h a i r m a n o f
B r e n to n B a n k s , In c ., h a s a n n o u n c e d
a 5 . 3 % i n c r e a s e in t h e s e m i a n n u a l d iv ­
id e n d , m o v in g t h e p a y m e n t b y 2 Vzf

T h e F irs t N a tio n a l B a n k o f M a s o n
C i ty h a s a n n o u n c e d t h e e l e c t i o n s o f
J a y E . G a n n o n a s a s s i s t a n t v ic e p r e s i ­
d e n t , i n s t a l m e n t lo a n s , A l a n L . P lo e -

Serving the Upper Midwest
Financial Community

HERB O LSO N

Our man in Iowa

Io w a

S ta te

U n iv e rs ity ,

A m es.

Edward Lenaghan Forms
Insurance Consulting Firm

•

E d w a rd J. L e n a g h a n h a s a n n o u n c e d
t h e f o r m a t i o n o f a c o n s u l t i n g f irm , E d ­
w a rd J. L e n a g h a n
an d
A s s o c ia te s .
T h e f irm w ill r e v i e w
in s u r a n c e
p ro g ra m s of b a n k s
an d m ak e rec o m ­
m e n d a tio n s
conc e r n i n g
th e ir
p r o p e r t y , lia b ili ty
a n d b o n d co v e r­
ages. M r. L e n a ­
g h a n a l s o w ill o ffe r c o n s u lta tio n o n e m p lo y e e b e n e f i "
a n d c o o r d in a tio n o f th e p e rs o n a l p r o ­
g r a m s o f o f fic e r s a n d d i r e c t o r s w ith
th o s e p ro v id e d b y th e c o rp o ra tio n .
T h r o u g h h is w o r k w i t h I o w a b a n ] «
n i n e y e a r s a s e x e c u t i v e v ic e p r e s i d e "
o f Io w a B a n k e rs In s u ra n c e a n d S er­
v ic e s , a s e r v ic e f irm o w n e d b y I o w a
b a n k s , M r. L e n a g h a n p e rc e iv e d th e
n e e d f o r th e s e t y p e s o f s e r v ic e s w i t h i a
th e b a n k . H e s a id r is k m a n a g e m e n t
a n d i n s u r a n c e d o l l a r u t i l i z a t i o n w ill
b e t h e g o a l o f t h e s e s e rv ic e s .
T h e f irm a l s o w ill w o r k in t h e I n d i ­
v id u a l R e tir e m e n t A c c o u n t a r e a a n ^
H R - 10 (K e o g h ) p ro g ra m s . O rg a n iz a ­
t i o n a n d s a le s a s s i s t a n c e w ill b e p r o ­
v id e d b y M r . L e n a g h a n a n d h is s ta ff.
E d w a r d J. L e n a g h a n a n d A s s o c ia te s

JAY PRESCOTT

JOHN MACDONALD

g e r a s a g r i c u l t u r a l l o a n o f fic e r a n d
E r m a H o l t a s o p e r a t i o n s o ffic e r.
M r . G a n n o n b e g a n h is c a r e e r w ith
t h e b a n k in 1 9 6 6 a s a l o a n i n t e ^
v ie w e r i n t h e i n s t a l m e n t l o a n d e p a r ™
m e n t. H e w a s p r o m o t e d to a s s i s t a n t
c a s h i e r in 1 9 6 9 . M r . P lo e g e r jo i n e d
t h e b a n k in 1 9 7 6 a s a n a g r i c u l t u r a l
l o a n o f f ic e r t r a i n e e . H e h o l d s a BSL
d e g r e e in a g r i c u l t u r a l b u s in e s s f r o m

is l o c a t e d a t 4 1 7 E . 5 t h S t., A n k e n y
la ., 5 0 0 2 1 (5 1 5 -9 6 4 -2 5 4 2 ).
BILL HAMMER

DOUG PRITCHARD

BERT LEACH

6 1 2 -3 3 8 -8 0 0 0
Toll F re e N u m b e r — O u ts id e M in n . 8 0 0 -3 2 8 -7 1 1 8
Toll F re e N u m b e r — In s id e M in n . 8 0 0 -2 9 2 -7 9 6 7

• M U N IC IP A L S • C O R P O R A T E S
• G O V T ’S • P R IV A T E P L A C E M E N T S
* |C ,&

M . 11.

C 0 ” IN C ’

2020 IDS CENTER, MINNEAPOLIS, MN. 55402
Digitized Nfor
o r FRASER
thw estern B anker, Septem ber
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

Walt Schloemer Is Named
BAI Regional Director
W a l t e r A . S c h lo e m e r , e x e c t u i v e v i e #
p re s id e n t a n d c a s h ie r o f th e N o r th ­
w est B an k & T ru s t C o m p an y , D a v e n ­
p o r t, h a s b e e n a p p o in te d a re g io n a l
d ire c to r b y th e B a n k A d m in is tra tio n
I n s t i t u t e . H e w ill c o o r d i n a t e B A I a "
tiv i tie s in I o w a , W i s c o n s i n , M i n n e s o t a ,
N o r t h D a k o t a a n d S o u th D a k o t a .

157

S E R V IC E IS O U R B U S IN E S S
For over 30 years National Fidelity Life has prided itself on per­
sonalized service from its well trained field representatives and
home office staff.
We have listened to you as bankers, and know that your loan
customers are important to you and that’s why that customer is
important to US.
Many companies sell only commissions and have little else to
offer. It has been National Fidelity Life’s philosophy to go beyond
commissions and provide excellent claims service.
Perhaps it’s time to take a closer look at your present credit life
company and see if they really are providing the good service you
deserve.
For additional information, contact Craig Ross or Rick Wolf.

•
•

National Fidelity Life
8555 H a rb a c h B lv d ., S u ite 102
Des M o in e s , Io w a 50311
T e le : 1 — (515) 279-3624

See You at the Instalment Lending Conference
and the Iowa Bankers Convention.

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N orthw estern

Banker, S e p te m b e r

1977

158

Iowa News

Moves To Financial Center
C o lla te ra l
C o n tro l
C o r p o r a t i o n ’s
r e g io n a l o f fic e h a s m o v e d to 2 1 8 0
F i n a n c i a l C e n t e r , D e s M o in e s , a c c o r d ­
in g t o W e s J o h n s o n , r e g i o n a l s a le s
m a n a g e r. F o rm e rly k n o w n as N Y T C O ,
t h e f irm c a n b e r e a c h e d t h r o u g h a n e w
p h o n e n u m b e r 5 1 5 /2 4 4 -8 1 6 3 .

n e x t d e c a d e w ill b e t h e t h e m e o f th e
6 3 r d a n n u a l F a ll C o n fe re n c e o f R o b ­
e rt M o rris A s s o c ia te s ( R M A ) . T h e
c o n f e r e n c e is s c h e d u l e d f o r O c t o b e r
3 0 -N o v e m b e r 2 a t th e N e w Y o rk H il­
t o n in N e w Y o r k C ity .
A b o u t; 1 ,7 0 0 R M A m e m b e r s a n d
th e ir sp o u se s a re e x p e c te d to a tte n d .

RMA To Hold Fall
Conference in New York

BMA Publishes Analysis
Of Marketing Expenditures

C u r r e n t le n d in g p r o b le m s a n d th e ir
s o l u t i o n s , a s w e ll a s t h e o u t l o o k f o r t h e

B a n k m a rk e tin g e x p e n d itu re s fo r
a ll d e p o s i t s iz e b a n k s d e c l i n e d s lig h tly

Are you getting your share
of Secured Distribution Loans?
Ordinarily, secured distribution
credit does not involve a bank.
Lawrence has done something
out of the ordinary. We have
created a new four-way financial
option involving the bank, as
well as the manufacturer,
his distributors, and Lawrence.
Call Lawrence and we’ll share
the details.

Lawrence: System s of Collateral Control
For more information, contact Ted Berghorst, Senior Vice
President or John Cindric, Vice President at Lawrence Systems,
Inc., 180 North LaSalle Street, Chicago, Illinois. (312) 236-9333.

ROBERT I. KIRKE, Pres.

THOMAS L. WORMLEY, Exec. V. Pres.

MICHAEL W . SPARKS, Vice President

$haw , jyjcD erm ott & (^o.
MUNICIPAL BONDS EXCLUSIVELY
Underwriters, Distributors, & Consultants
for
General Market Municipal Bonds
and Industrial Revenue Bonds
518 S t e p h e n s B ld g .
DES

MOINES,

P h o n e 5 1 5 — 2 4 3 -6 1 1 9
IOWA

50309

fro m

1 9 7 5 to

M a r k e tin g A s s o c ia tio n .
B a r b a r a B. B e n n e t t , d i r e c t o r
*
B M A ’s r e s e a r c h a n d p l a n n i n g d e ­
p a r tm e n t a n d s u rv e y d ir e c to r , n o te d
th a t “ th e 1 9 7 6 e x p e n d itu re s r e p o r t
r e c o n f ir m s t h a t b a n k s a r e h o l d i n g tl
lin e o n m a r k e t i n g e x p e n s e s , a trenT
t h a t h a s b e e n d e t e c t e d o v e r th e l a s t
se v e ra l y e a rs.
“ I n s p it e o f t h e d e c r e a s e s in e x p e n ­
d i t u r e s l a s t y e a r , e x p a n s i o n in v a r i o i ^
E F T s e rv ic e s c o n t i n u e s t o in c r e a s e ,
su c h as n e w in s ta lla tio n s o f A T M a n d
P O S e q u ip m e n t.”
D ra w n fro m
a s a m p l i n g o f th e
e n t i r e U .S . c o m m e r c i a l b a n k i n g i i ^
d u s t r y , t h e 1 9 7 6 a n a ly s i s g r o u p s b a n k s
a c c o r d i n g t o d e p o s i t s iz e , in n in e
c a te g o rie s ra n g in g f ro m “ u n d e r $5
m i l l i o n ” to “ o v e r $1 b i l l i o n . ”
W i t h i n e a c h s iz e c l a s s i f i c a t io n , m a 0
k e tin g e x p e n d itu r e s a r e b r o k e n d o w n
b y s e r v ic e a n d e x p e n d i t u r e ty p e . E x ­
p e n d i t u r e s a l s o a r e r e p o r t e d b y th e
p o p u l a t i o n s iz e o f t h e m a r k e t s e r v e d .
C o p ie s o f th e p u b lic a tio n a re a v a i #
a b le a t $ 2 0 e a c h ( B M A m e m b e r d is ­
c o u n t p r ic e , $ 1 5 ) . O r d e r s s h o u l d b e
d ire c te d to : O rd e r D e p a rtm e n t, B a n k
M a rk e tin g
A s s o c ia tio n ,
309
W est
W a s h in g t o n S tr e e t , C h i c a g o , I l l i n o #
6 0 6 0 6 . T e le p h o n e : 3 1 2 /7 8 2 - 1 4 4 2 .

FNBA Announces New
Urban Loan Program

1977

•

A s a p a r t o f its e f f o rts to e n c o u r a g e
a n d a s s i s t in th e r e v i t a l i z a t i o n o f i n n e r
c i ty n e i g h b o r h o o d s , t h e F e d e r a l N a ­
ti o n a l M o r t g a g e A s s o c i a t i o n h a s a n ­
n o u n c e d p la n s f o r a n e w s i x - m o n i i
f o r w a r d c o m m i t m e n t p r o g r a m f o r th e
p u r c h a s e o f u r b a n h o m e s u n d e rg o in g
re h a b ilita tio n .
U n d e r t h e n e w p r o g r a m , s e t to
b e c o m e e f f e c tiv e s o o n , F N M A w i t t
c o n s id e r a p p lic a tio n s o n in d iv id u a l
u r b a n p ro p e rtie s fro m a p p ro v e d m o r t­
g a g e l e n d e r s . I f a n a p p l i c a t i o n is
a p p ro v e d b y th e c o rp o ra tio n , a s i)^
m o n t h c o m m i t m e n t w ill b e a v a i l a b l e
a t t h e a v e r a g e w e ig h t e d y ie ld o f t h e
m ost
rec en t F re e
M a rk e t
S y s te m
(F M S ) a u c tio n .
D u r i n g t h e f ir s t f o u r m o n t h s o f t l k |
n ew ty p e c o m m itm e n t, d e liv e ry o f
t h e m o r t g a g e b y th e o r i g i n a t i n g l e n d e r
t o F N M A w ill b e o p t i o n a l . A l s o d u r i n g
th a t p e r io d , th e le n d e r m a y o b ta in ,
u p o n re q u e s t, a f re e e x te n s io n o f tlm
c o m m i t m e n t f o r u p to tw o a d d i t i o n a l
m o n th s

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o r FRASER
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1 9 7 6 , a c c o r d in g to th e

Analysis of 1976 Bank Marketing
Expenditures j u s t is s u e d b y t h e B a n k

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y ie ld .

159

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e f f e c tiv e ,
e c o lo g ic a l
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to
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^ T r e e - S a v e r M a s te ro lls a re p ro d u c e d
u n d e r a s tr in g e n t q u a lity p ro c e s s th a t
r e s u l t s i n a p a p e r o f g r e a t e r d e n s ity .
.T h e i n c r e a s e d d e n s ity a c t u a l l y m e a n s
g r e a t e r s t r e n g t h a n d f le x ib ility c h a r a c ü w âstics t h a n c o n v e n t i o n a l p a p e r e v e n
th o u g h
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s o u r c e - e f f ic ie n t c o i n w r a p w h ic h a c t u ­
a l ly w o r k b e t t e r o n a u t o m a t i c c o i n
w r a p p i n g e q u i p m e n t s in c e t h e r e is le s s
p a p e r d u s t.
T re e -S a v e r M a s te r o lls a re a v a ila b le
in 2 , 0 0 0 - f o o t ro ll l e n g th s w h ic h a ls o
m e a n s t h a t t h e r e is s a v in g s in l a b o r
s in c e t h e r o l l s n e e d b e c h a n g e d le s s
f re q u e n tly .
T r e e - S a v e r w ill p r o v i d e
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w ith m o r e w r a p s p e r d o l l a r a n d is
b e in g in tr o d u c e d b y C u m m in s a t 5 %
to 1 0 % le s s c o s t t h a n c o n v e n t i o n a l
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C u m m i n s i n t e n d s t o p a y f o r th e p r o ­
c e s s in g a n d p l a n t i n g o f a n e w t r e e in
th e n a m e o f e a c h b a n k o rd e rin g T re e S a v e r p a p e r . T h i s w ill b e h a n d l e d
th r o u g h t h e F o r e s t S e r v ic e , U n ite d
S ta te s D e p a r t m e n t o f A g r i c u l t u r e . A
C e r t i f i c a t e w ill b e f u r n i s h e d e a c h u s e r
o f T re e - S a v e r p a p e r c o m m e n d in g th e
b a n k f o r its s e l e c t i o n o f w h a t C u m m i n s
c a lls th e “ c o s t e ffe c tiv e , e c o lo g ic a l
a l t e r n a t i v e ” to c o n v e n t i o n a l c o i n w r a p .
T o re c e iv e a fre e s a m p le o f a n ew
T r e e - S a v e r M a s t e r o l l , s im p ly w r i te to
T r e e - S a v e r , C u m m i n s - A l l i s o n C o r p .,
A u t o m a t e d M o n e y S y s te m s D iv is io n ,
8 0 0 W a u k e g a n R o a d , G le n v i e w , I L
60025.
N orthw estern

B an ker,

Septem ber

1977

Iowa News

160

u e d a s t e a d y c l im b t o t h e J u l y t o t a l

ITS Members Pay $900,000 Assessment;
System Shows Increased Transactions
7 0 % o f th e
5 5 7 m e m b e r b a n k s o f th e Io w a
T r a n s f e r S y s te m r e s p o n d e d f a v o r a b l y
p p r o x im a t e l y

A

l a s t m o n t h t o a s p e c ia l a s s e s s m e n t b y
h o n o r i n g s ig h t d r a f t s t h a t b r o u g h t in
j u s t o v e r $ 9 0 0 , 0 0 0 , a c c o r d i n g t o N e il
M i l n e r , e x e c u t iv e v ic e p r e s i d e n t o f t h e
I o w a B a n k e r s A s s o c ia tio n , a n d D a le
D o o le y , e x e c u t iv e d i r e c t o r o f I T S .
T h e IT S b o a r d h a d v o te d e a r lie r to
m a k e t h e s p e c i a l a s s e s s m e n t to h a n d l e
d e f ic its p r o j e c t e d a t t h e s t a r t o f I T S
f o r 1 9 7 8 a n d 1 9 7 9 , a s w e ll a s a c c u m u ­
l a t e d o p e r a t i n g d e f ic its b e c a u s e r e v e ­
n u e w a s n o t y e t u p to e x p e c t a t i o n s .
P a y a b l e i n tw o i n s t a l l m e n t s , A u g u s t 1,
1977, and F eb ru ary
1, 1 9 7 8 , t h e
$ 9 0 0 , 0 0 0 t o t a l w ill b e u s e d t o r e t i r e
e x i s tin g d e b t , M r . D o o l e y s a id . T h e
f irs t p a y m e n t f r o m t h e s p e c ia l a s s e s s ­
m e n t is r e t i r i n g a $ 4 8 0 , 0 0 0 e x i s tin g
lo a n th a t h e lp e d la u n c h IT S . T h e
s e c o n d p a y m e n t o f F e b r u a r y 1 w ill
r e t i r e t h e lo a n n e e d e d b e t w e e n n o w
a n d th a t d a te fo r o p e ra tio n s , a n d th e
b a l a n c e w ill p r o v i d e t h e o p e r a t i n g
c a p ita l n e e d e d fro m th a t p o in t o n .
A n u m b e r o f b a n k s w h ic h d i d n o t
im m e d ia te ly
honor
th e
A ugust
1
d r a f t i n d i c a t e d t h e y w is h e d t o r e c e iv e
m o r e i n f o r m a t i o n a n d it w a s b e l ie v e d
th a t fu rth e r c o lle c tio n s in th e g ra c e
p e r i o d o f 3 0 - 4 0 d a y s w o u l d s w e ll t h e
c o l l e c t e d t o t a l c l o s e r t o $ 1 , 0 0 0 ,0 0 0 .
IT S m e m b e r s w h o e le c te d n o t to
p a y t h e s p e c ia l a s s e s s m e n t w ill h a v e
to p a y d o u b le th e ir a s se ss e d a m o u n t
l a t e r , M r . M i l n e r s a id , w h e n t h e y
c h o o s e t o b e c o m e a c tiv e in I T S . T h e
s p e c ia l a s s e s s m e n t is b a s e d o n b a n k
s iz e a s f o llo w s (b y m il lio n s o f a s s e ts ) :
U n d e r $ 1 0 ________________$ 1 , 0 0 0
$ 1 0 t o $ 3 0 ______________ 2 , 5 0 0
$ 3 0 to $ 5 0 ______________ 4 , 0 0 0
$ 5 0 t o $ 1 0 0 _____________ 5 , 5 0 0
O v e r $ 1 0 0 _______________ 7 , 0 0 0
O r i g i n a l l y , 5 5 7 o f I o w a ’s 6 6 8 b a n k s
s ig n e d u p a s I T S m e m b e r s . T w o m o r e
b a n k s b e c a m e m e m b e rs w h e n th e
s p e c ia l a s s e s s m e n t w a s a n n o u n c e d ,
g iv in g I T S a t o t a l n o w o f 5 5 9 m e m b e r
b a n k s . A ll I T S b a n k s p a y a n n u a l d u e s
f o r a f iv e - y e a r p e r i o d e q u a l t o o n e te n th o f th e s p e c ia l a s s e s s m e n t n o te d
above.
A c u rre n t n o n -m e m b e r b a n k fro m
t h i s t i m e o n w ill h a v e t o p a y d o u b l e
t h e a n n u a l d u e s a m o u n t , a s w e ll a s
d o u b l e t h e s p e c ia l a s s e s s m e n t . N o n ­
m e m b e r b a n k s w is h in g t o u s e I T S
f a c iliti e s m a y d o s o u n d e r I o w a ’s

DigitizedNfor
o r tFRASER
hw estern Banker, Se p te m b e r
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1977

s h a r i n g la w , b u t f e e s f o r s u c h p a r t i c i ­
p a tio n h a v e n o t y e t b e e n se t b y IT S .

Transactions Increase
F ig u re s r e le a s e d la s t m o n th b y M r.
D o o le y r e v e a l a c o n t i n u e d i n c r e a s e in
th e n u m b e r o f tr a n s a c tio n s p r o c e s s e d
b y I T S , e s p e c ia ll y s in c e m a n d a t o r y
s h a r i n g b e c a m e e f f e c tiv e M a r c h 1.
T h e I T S s w itc h n o w o p e r a t e s b e h i n d
t h e b a n k s . A t a f u t u r e d a t e w h e n th e
s w itc h g o e s in f r o n t o f t h e b a n k s , a ll
t e r m i n a l t r a n s a c t i o n s w ill f ir s t g o
t h r o u g h t h e s w itc h , t h e n b e r o u t e d t o
th e a p p r o p r ia te b a n k p ro c e s s in g c e n ­
te r s .
I n J u l y t h e r e w e r e 3 5 b a n k s a c tiv e
o n t h e I T S s w itc h a n d t h e y o p e r a t e d
a to ta l o f 9 4 te rm in a ls . T h e s e in c lu d e d
5 5 f u ll f u n c t i o n m a n n e d P O S s t a t i o n s
( c o u r t e s y c o u n t e r t y p e ) ; 1 6 A T M s (fiv e
o f f - p r e m is e a n d 11 o n - p r e m i s e ) , a n d 2 3
lim ite d f u n c tio n P O S s ta tio n s (d e b it
o n ly ) . T h e 9 4 t e r m i n a l s h a d a t o t a l o f
7 7 ,5 0 0
tr a n s a c tio n s
in
J u ly ,
M r.
D o o le y s t a t e d , c o m p a r e d t o 7 4 , 2 5 0 in
J u n e , a n i n c r e a s e o f a b o u t 4 Vi% f o r
th e m o n th .
A s ta te w id e m a rk e tin g p r o g ra m o f
t h e I B A a n d I T S h a s c o m b i n e d w ith
in d i v i d u a l b a n k a d v e r t i s i n g t o c r e a t e
a g r e a t e r p u b l i c a w a r e n e s s o f th e
a v a i l a b i l i t y o f lo c a l a n d s t a t e w i d e e l e c ­
t r o n i c f u n d s t r a n s f e r s in c e t h e I T S
s w itc h
becam e
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on
a
s h a r i n g b a s is l a s t M a r c h 1.
B a n k e rs T ru s t C o m p a n y o f D es
M o in e s , f o r e x a m p le , w h ic h o p e r a te s
o n ly A T M s , h a s fiv e o f t h e s e a u t o ­
m a t e d t e l l e r m a c h i n e s a t lo c a t i o n s
o u t s i d e t h e m a i n b a n k , a n d o n e in t h e
t o w e r l o b b y o f t h e R u a n C e n t e r in
d o w n to w n D e s M o in e s w h e r e th e b a n k
is l o c a t e d . F o u r o f t h e o u t s i d e s h a r e d
A T M s a r e i n D a h l ’s F o o d S to r e s a n d
o n e is in th e S o u t h R i d g e M a ll s h o p ­
p in g c e n t e r a t B a n k e r s T r u s t ’s S o u th
R i d g e M a l l o ffic e .
L a s t J a n u a r y t h e fiv e A T M s h a n d l e d
4 ,7 5 0
tra n s a c tio n s , a n d
a s lig h tly
l a r g e r n u m b e r in F e b r u a r y ( 4 , 8 7 1 ) .
I n M a rc h , h o w e v e r, as s o o n as s h a rin g
w a s a v a ila b le th r o u g h
th e c e n tra l
s w itc h , t h a t n u m b e r j u m p e d to 8 ,0 8 8
t h e n c o n t i n u e d a n u p w a r d t r e n d , w ith
1 1 ,7 2 8 t r a n s a c t i o n s p r o c e s s e d in J u ly .
T h a t re p r e s e n ts a g ro w th o f 1 4 7 %
o v e r th e 4 ,7 5 0 tr a n s a c tio n s la s t J a n u ­
a r y . T h e b a n k ’s o n - p r e m i s e t e r m i n a l
at

th e

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C e n te r

h a n d le d

1 ,9 8 3

tr a n s a c tio n s in J a n u a r y a n d h a s c o n tin -

o f 2 ,6 7 7 , a n in c re a s e o f 3 5 % .
T h e o n ly o t h e r I o w a m e m b e r w h i c h
s h a r e d A T M s t o d a t e is B r e n t o n
B a n k s , I n c ., w h ic h o p e r a t e s 1 0 ™
t h e m a c h i n e s o n - p r e m i s e a n d o n e o ffp re m is e a t th e D e s M o in e s A ir p o r t.
A B r e n t o n o f fic ia l s a id t h e A T M o p e r ­
a t e d b y F i r s t N a t i o n a l B a n k in D a v e m
p o r t is r u n n i n g a b o u t 5 , 0 0 0 tr a n ™
a c t i o n s p e r m o n t h . F i r s t N a t i o n a l is
t h e o n ly b a n k t h a t h a s i s s u e d c a r d s
s o f a r t o its c u s t o m e r s a n d t h e s e v e r a l
t h o u s a n d c u s t o m e r c a r d b a s e is p r ^
d u c i n g a h ig h u s a g e o f t h e A T M . A f
t h o u g h t h e m a c h i n e is in a s h a r e d
e n v iro n m e n t, th e o n ly o th e r n o n - c u s ­
to m e r c a r d u s e rs a r e th o s e f ro m o u t­
s id e
D a v e n p o rt.
The
o th e r
n ir^ |
o n - p re m is e A T M s a r e a v e ra g in g a b o u t
1 ,5 0 0 t r a n s a c t i o n s p e r m o n t h , w h ile
t h e o f f - p r e m is e m a c h i n e a t t h e a i r p o r t
in D e s M o i n e s is a v e r a g i n g a r o u n d
1 ,2 0 0 t r a n s a c t i o n s p e r m o n t h .
a

Sharing Has Helped
M r . D o o l e y s a id a k e y s ta t i s t i c is t l ^
num ber
of
tra n s a c tio n s
p ro ce ssed
t h r o u g h t h e s w itc h its e lf , w h ic h s h o w s
th e d e g re e o f s h a rin g o n th e 9 4
te r m i n a l s . W i th t h e s w i t c h - b e h i n d - t h e b a n k e n v iro n m e n t, o n ly th o s e tr a n s ^
a c t i o n s w h ic h n e e d t o b e r o u t e d to
a n o t h e r b a n k g o t h r o u g h t h e s w itc h .
I n M a r c h , t h e f ir s t m o n t h o f o p e r a t i o n ,
t h e s w itc h p r o c e s s e d
5 ,8 7 0
tra n s ­
a c tio n s . T h a t f ig u r e h a s j u m p e d e a c #
m o n t h t o a t o t a l o f 1 6 ,2 9 0 t r a n s a c t i o n s
in J u ly , a n in c re a s e o f 1 7 7 .5 % o v e r
t h e f ir s t m o n t h .
“ A ll o f th is sh o w s c u s to m e r a c c e p ­
ta n c e th r o u g h s h a rin g ,” M r. D o o le #
n o te d . W h e n w e g e t to ta l te rm in a l
p la c e m e n t a n d
c u s to m e rs
se e th e
c o n v e n i e n c e o f E F T , t h i n k o f w h a t th e
u s a g e w ill b e . ”
T h e p o s s i b ility o f t h r i f t i n s t i t u t i o r P
b e in g a d m itte d to IT S m e m b e r s h ip
a l s o h a s b e e n u n d e r s t u d y w ith p r e ­
lim in a r y d is c u s s io n , a t th e r e q u e s t o f
s a v in g s a n d l o a n a n d c r e d i t u n i o n
re p re s e n ta tiv e s . N o th in g o f s u b s ta n c P
h a s c o m e fro m th a t c o n fe re n c e , M r.
M i l n e r s a id , a n d n o f u r t h e r m e e ti n g s
h a v e b e e n s c h e d u l e d a t t h i s tim e .
S ix s a v in g s a n d l o a n a s s o c i a t i o n s
in D e s M o i n e s h a v e f o r m e d S h a re ™
S e r v ic e s , I n c . , o p e r a t i n g t h r o u g h t h e
E F T s y s te m o f T w i n F e d e r a l S & L o f
M i n n e a p o l i s . T h e s ix i n s t i t u t i o n s h a v e
p u r c h a s e d t e r m i n a l s jo i n t l y a n d o p e ^
a t e th e m o n a s h a r e d b a s is in t h e D e s
M o in e s a re a .

161

:

SWING INTO
1978

;

»ATIOHA!

.

è

,

D ep osit s

FOUR Business Building
Incentive Programs for 1978
7300*613

A c o m p le te m a rk e tin g p ro g ra m
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C hecking

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Loans

C om plete the cou p on for
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your b a n k ’s b u sin ess for 1978 at no
ob ligation
or

P le a se sen d 4 w ays to b u ild m y b an k 's b u sin e ss for
1978 - n o co st or o b lig a tio n .
N am e___________ ________________ ________________ _
T itle___________________________ ______________________

stop b y our booth d u rin g the
Iowa B ankers C onvention.

B ank____________________ __________________________ __
A d d ress_________ ______________ ____________________ _
City__________________State___________ Zip____________


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Federal Reserve Bank of St. Louis

162

Iowa News

Honor C. W. “Burley” Grimes for 43 Years in Banking

OVER 300 PEOPLE joined C. W. “Burley” Grimes, his wife, Gladys, and granddaughter last month at the West Union Country Club to
observe the com pletion of 43 years service with the First National Bank. He resigned as president in April, and continues as consultant
to the bank. Pictured at right are “ Burley’s” foursome: Larry Kilgore, N atl’I. Bk. of Waterloo; Bob Rigler, pres., Sec. St. Bk., New
Hampton; Leroy Mohr, e.v.p., Miles Sav. Bk., and Burley Grimes. Included in the group were over 100 bankers and spouses.

available to purchase all or a
majority of the outstanding capital
stock of commercial banks located in
[Continued from page 152]
the State of Iowa.” It stated further
according to the pre-merger prospec- their anticipated capital require- that CNB is interested in acquiring
tus would provide “approximately ments and it is expected that county seat banks with $15 million
$2,000,000 additional capital . . . to “approximately $24,000,000 of the or more in assets, and that owners of
Central’s subsidiary banks to meet combined company’s assets will be several such banks have expressed
an interest in a sale.
After CNB shareholders approved
the merger at the special meeting,
Mr. Casady said, “This is a
momentous day for Central National
Bancshares. It is a sound decision
economically, but it is a most
difficult one emotionally for we are
no longer an owner-managed busi­
ness. No one of the shareholders now
has acquired through merger
owns more than 3% of the stock.”
Mr. Casady was referring to the fact
that his grandfather, Simon Casady,
was one of the founders of Central
State Bank (Central National’s
forerunner) in 1895 and served as its
president for a number of years, and
executive officer for many years with
Pioneer Hi-Bred International, Inc.,
We acted as financial advisor to Central National
Des
Moines, purchased a major
Bancshares, Inc. in this transaction.
block of Central National stock two
years ago, holding approximately
17% of Central’s stock. He joined
the holding company at that time as
its chairman and has been active in
Goldman, Sachs & Co.
that Dost.
NewYork Boston Chicago Dallas
Detroit Houston Los Angeles Memphis
Elected at Ida Grove
Philadelphia St. Louis San Francisco
John Wagner has been elected to ®
International subsidiaries:
the board of directors of Ida County
State Bank, Ida Grove, succeeding
London Tokyo Zurich
the late James Lipton, Sr. Mr.
August 16, 1977
Wagner is owner of John’s Super ^
Valu.

Central National M erger..............

C en tral N atio n al B ancshares, Inc.

First K ansas Financial, Inc.


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Federal Reserve Bank of St. Louis

“He’s alm ost as fast as United Guaranty”
Next time you’re looking for a fast track in mortgage insurance with no
hurdles to break your stride...think about United. Offices nationwide.
R ep resen tatives as close as your phone. And more than $6 billion of
insurance in force. T T \
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lUnited Guaranty
THE MORTGAGE INSURER

United Guaranty Corporation, 826 N. Elm, Box 21567, Greensboro, NC 27420 • (919) 373-0863
Contact: U nite d G u a ra nty R esid e ntia l In su ra nce C om pany • P.O. Box 778, B e tte n d o rf, Iow a 52722
In Iowa, ca ll (800) 292-0047. In S ta te s b o rd e rin g Iowa, c a ll (800) 553-8976


U nite d G u a ra nty R esid e ntia l In su ra nce C om pany • 421 S.W. 6th A venue, S u ite
In W a sh in g to n and Idaho, c a ll (800) 547-1064. In O regon, ca ll (800) 452-7697
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Federal Reserve Bank of St. Louis

900, P o rtla n d , O re g o n 97204

The Iowa economy
Is international,
and we
speak the
language.”
DAVID L. TREMMEL

Vice President and Manager,
International Banking Department
lowa-Des Moines National Bank

With the growing international involvement of
Iowa business, the Iowa-Des Moines has established a full-service
International Banking Department and appointed David L. Tremmel as
Vice-President and Manager.
The objective? To help you help your customers with export financing,
letters of credit, foreign collections and check clearing, foreign trade and
marketing consultation and letters of introduction.
Dave Tremmel, a native of Iowa, brings us over fifteen years of International
Banking experience in North America and throughout Europe including
opening and managing overseas offices in London and Luxembourg.
We would like to invite you to meet Dave while you're in Des Moines for the
Iowa Bankers Convention. He’ll be glad to discuss your needs for
International Banking
assistance at that time.
Or, your Iowa-Des
Moines Correspondent
Banker can put you in
touch with him at your
convenience.
Mamr
M M NATIONAL BANK

IOWA .

nesMoines
You can get a lot of help for your money.

BANCO»
7th & Walnut, Des Moines, Iowa 50304 (515) 245-3131

1977 lowa-Des Moines National Bank


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Federal Reserve Bank of St. Louis

Member FDIC

An Affiliate of Northwest Bancorporation