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S? SEPTEMBER 1981 ABA President-Elect Lew Jenkins . . . at work . . . and at play • ABA convention program • Iowa convention program • Annual livestock and ag outlook https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M f l MM P c ftt-rs f A ï î . r.W ■:<*?' •.rt <§?& ?wSiSé&ÂSi Ä » i vVr^vriv-^j M ttl t P ll É ÉMIIIÍ8 N kI :/lV ^§§§1^S » "D o in g th e rig h t th in g at th e rig h t tim e is basic to success in b u sin e ss. W h en an in v e sto r sells a stock too early, h e loses profit p o ten tial. W h en a farm er p lan ts a crop too late, h e loses y ield p o ten tial. P roper tim in g is also im p o rta n t in b a n k in g . In o u r C o rre sp o n d en t D e p a rtm e n t w e use cu rren t d ata pro cess in g rep o rts to m axim ize Fed F u n d p o tential. D etail check collection schedules an d so p h istica te d analysis te c h n iq u es enable u s to p ass availa b ility on to b a n k s for full u tiliz a tio n of th e ir in v e stm e n t p o ten tial. N o w is th e rig h t tim e to take a d v an tag e of M NB's experience in cash collection, Fed F u n d s in v e stm en ts, an d overline assistance. L earn m ore a b o u t o u r co rre sp o n d e n t services a n d im p ro v e y o u r p ro fitab ility ." Call 319-398-4217 or d ial toll free, 1-800-332-5991 a n d ask for Stan R. Farmer, Jerry N . Trudo, Terry M. M artin, D ale C. Froehlch or John E. M angold. Call now ! The tim e is right! Merchants National Bank 1:1 Cedar Rapids, Iowa 52401 Member F.D.I.C. A BANKS OF IOWA BANK No. 1416 Northwestern Banker (USPS 397-620) is published m onthly by the Northwestern Banker Company, 306 Fifteenth Street, Des Moines, Iowa 50309. S ubscription $1.50 per copy. $15 per year. Second class postage paid at Des Moines, Iowa and at additional m ailing office. POSTMASTER: Send address changes to Northwestern Banker, 306 Fifteenth Street, Des Moines, Iowa 50309. Digitized forallFRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The inside story about the ingenious lock that’s revolutionizing deposit boxes. )rig in ally invented to provide otal security in m ilitary applications (where cost is no object), this patented do u ble key-change a b l e lock is offered ex c lu siv ely by LeFebure for safe deposit boxes and lockers. 4 Available at no extra cost It was designed around the prem ise that changing keys is a lot easier than changing •o c k s . W hen changes must be m ade to preserve security, this lock provides unm atched con venience. Here are the ways it can d ra m a tic a lly im prove the pro fitability, flexib ility and secu rity of your safe deposit de partm ent: • □ • □ • □ ® □ • Because it’s do u ble keychangeable, unrented boxes can be used for bank storage using different guard keys to assure internal security. M ore security for your cus tom ers, too. The frau d u lent d uplication of unrented keys is effectively elim inated. Elim inates the cost of keep ing an expensive inventory of extra locks or the need to rotate locks. All unrented boxes are always available fo r rent. Should a custom er lose a key, sim ply open the box with the rem aining key, reset the lock for a new set of keys, and destroy the old key. C a n ’t be opened by conventional drilling and picking m ethods. M ore secure than ordinary locks. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A marvel of me chanical engineering, the LeFebure double keychangeable lock has far fewer parts than single key-changeable locks. It’s easier to operate, too. Far more reliable than single key-changeable locks, its d e sign sim plicity enables us to m ake it available on all LeFe bure boxes at no extra cost. It’s another “first” from the company that’s 1ST IN IDEAS W hile others are content to build safe deposit boxes the way they w ere built decades ago, it took LeFebure to apply new technology to an old product. It’s an exam ple of the ways w e im prove banking through innovative thinking. Talk to your LeFebure Sales Engineer There are many ways your LeFebure Sales E ngineer can help you with fresh, useful ideas. He offers the most com plete product line in the indus try today. Give him a problem and h e ’ll give you a cost efficien t solu tion. LeFEBURE 1 Division of Kidde. Inc. KIDDE Cedar Rapids, Iowa 52406 Yes! I want ideas. □ Send literature ab o u t LeFebure safe deposit boxes. I □ Have my LeFebure Sales E n g in eer co n tact me. Name T itle Firm Address State Phone m 1S T IN ID E A S WE CAN HELP YOU SAVE A FORTUNE IN MIDNIGHT OIL Good intentions and lots of late-night paperwork are one way to keep pace with rapidly changing devel opments in the money market. But there is a better way — ju st call the investm ent specialists a t U.S. National Bank. We can help you make the most of idle funds. Our investment counselors are experienced in the technical skills of funds management. And, we have access to up-to-theminute m arket data. So you can rely on us for a broad range of high yielding investment opportunities. We offer government and municipal bonds, time certificates, repurchase agree ments, commercial paper, and more. # For more information on our services, call the Invest m ent Division of U.S. National Bank today: 402/5362215. Call toll free: In N ebraska, 1-800-642-8270; In Iowa, South D ak o ta & Wyomir®, 1-800-228-9225. U S N a t io n a l Member F CMC b a n k « omaha An Affiliate of Northwest Bancorporation S H I ■ Banco« https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 6 NORmrSTERN O M tiV Q .< SEPTEMBER 1981 • 88th Year • No. 1416 OLDEST FINANCIAL JOURNAL SERVING THE CENTRAL AND WESTERN STATES MEMBER OF AUDIT BUREAU OF CIRCULATION • MEMBER BANK MARKETING ASSOCIATION cO Í2 (/> O) <5 E ■co “,2 3C o « ON T H E C O V E R ABA President-Elect Llewellyn Jenkins is pictured on the front cover testifying before a Congressional com m ittee on behalf of ABA, and also relaxing with Mrs. Jenkins as they start out for a round of golf. Lew Jenkins is slated to take over as president of ABA at the National convention in San Francisco October 7. He is vice chairman of Manufacturers Hanover Trust Company, New York, where he has been a noted part of senior management for some years. As ABA president, he w ill succeed Lee E. Gunderson, president of the Bank of Osceola, Wis. Details of the ABA’s 107th convention program start on page 30. A N N U A L L IV E S T O C K & A G O U T L O O K 37 38 Introduction Part I - The outlook Area bankers assess near-term conditions 42 Part II - Deregulation and farmers Ag bankers comment at ABA media conference 44 Part III - Bright, uncertain outlook Midwest Banking Institute instructors comment 48 Part IV - Industry at crossroads Farm leader outlines 3 key areas for stability IO W A C O N V E N T IO N S E C T IO N 97 98 116 122 126 130 95th Annual Convention Program You W ill See Them at the 95th Convention Interview with Top IBA Executives Group Chairmen Report Area C onditions Mail Ballot Used to Elect IBA Officers Des Moines News DEPARTM ENTS 8 14 24 54 57 60 62 76 Calendar Bank Promotions Corporate News South Dakota Illinois Minnesota Twin Cities North Dakota 80 84 86 89 90 94 136 Colorado Wyoming Montana Nebraska Omaha Lincoln Index of Advertisers NORTHWESTERN BANKER 30615th Street, Des Moines, Iowa50309 Phone (515) 244-8163 Publisher E ditor A ssociate Publisher A ssociate E ditor Malcolm K. Freeland Ben Haller, Jr. Steve Burch Louise Ritchhart A uditor Field R epresentative Field R epresentative Debbie Hibbert Glen Hicks Paul Masters No. 1416 Northwestern Banker (USPS 397-620) is published monthly by the Northwestern Banker Company, 306 Fifteenth Street, Des Moines, Iowa 50309. Subscription $1.50 per copy. $15 per year. Second class postage paid at Des Moines, Iowa and at additional mailing office. POSTMASTER: Send all address changes to Northwestern Banker, 306 Fifteenth Street, Des Moines, Iowa 50309. I orthw estern Banker, Septem ber, DigitizedNfor FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 Integrity in Managing Data Since 1897 ^ • OVER 48 MILLION CONSUMER RECORDS AVAILABLE NATIONALLY FOR IMMEDIATE ACCESS • NORTHERN AND WESTERN REGIONAL STATE COVERAGE: Arizona Colorado Guam Hawaii Illinois Iowa Michigan Minnesota Montana Nebraska New Mexico North Dakota South Dakota Wisconsin Wyoming System-to-System • Tape-to-Tape • Autodata • Payment Record Format Prescreened Promotions • Account Reviews • Credit Card Recovery C H IL T O N C O R P O R A T IO N C R E D IT B U R E A U S E R V IC E S TO FIND OUT HOW THESE SERVICES MIGHT ENHANCE YOUR OPERATIONS, CONTACT THE OFFICE CLOSEST TO YOU NORTHERN REGION WESTERN REGION 2850 Metro Drive, Suite 533 Minneapolis, Minnesota 55420 2323 So. Troy, Suite 311 -A Aurora, Colorado 80014 (612) 854-0915 E. L. “Pete” Hochenedel, III - Director (303) 695-6840 R. M. Denny - Director https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 8 Convention Calendar ABA—American Bankers Association AIB— American Institute of Banking BAI — Bank A dm inistration Institute BMA— Bank Marketing Association IBAA— Independent Bankers Association of America NABW— National Association of Bank Women, Inc. RMA— Robert Morris Associates National Conventions & Schools Sept. 13-16—ABA National Personnel Conference, Loews Anatole, Dallas, Tex. Sept. 13-16— BMA 66th Annual Conven tion, W ashington, D.C. Sept. 27-30— National Association of Bank W omen’s annual convention, Hyatt Re gency, Chicago. Oct. 3-7— ABA Annual Convention, San Francisco, Cal. Oct. 18-20—ABA International Banking Conference, Grand Hyatt, N.Y., N.Y. Oct. 18-21— BMA Commercial Marketing Conference, Boston, Mass. Oct. 18-22— IBAA 22nd Bank Executive Development Seminar, Ball State Univer sity, Muncie, Ind. Oct. 25-31— ABA National Compliance School, Univ. of Okla., Norman, Okla. Oct. 28-30— BMA Marketing in a Com m uni ty Bank Seminar, Dallas, Tex. Nov. 8-11— BAI 57th National Convention, Sheraton W aikiki, H onolulu, Hawaii. Nov. 8-11— IBAA Sem inar/W orkshop on Bank Ownership, Hyatt Regency, A tlan ta, Ga. Nov. 8-11—ABA National Agricultural Bankers Conference, Sheraton W ashing ton, W ashington, D.C. Nov. 15-18— ABA National Correspondent Banking Conference, Hyatt Regency Kansas City, Kansas City, Mo. February 10-12, 1982— ABA Bank Invest- ments & Funds Management Confer ence, Hotel St. Francis, San Francisco, Cal. State Conventions & Schools Illinois: Sept. 16-17— IBA Agricultural Credit Conference, Ramada Inn, Champaign, III. Oct. 28-30— BMA Marketing in a Communi ty Bank Seminar, Dallas, Tex. Nov. 8-11— BAI 57th National Convention, Sheraton W aikiki, Honolulu, Hawaii. Nov. 8-11— IBAA Seminar/W orkshop on Bank Ownership, Hyatt Regency, Atlan ta, Ga. Nov. 8-11— ABA National Agricultural Bankers Conference, Sheraton Washing ton, W ashington, D.C. Nov. 15-18— ABA National Correspondent Banking Conference, Hyatt Regency Kansas City, Kansas City, Mo. March 14-18, 1982— IBAA 52nd annual convention, Sheraton Waikiki Hotel, Honolulu, Hawaii. Iowa: Sept. 20-22—95th annual IBA convention, Des Moines. Minnesota: Sept. 14-24— Minnesota D istrict Meetings; seeschedule in Minnesota Newssection. North Dakota: Sept. 16-18— Independent Community Banks of North Dakota annual conven tion, Holiday Inn, Dickinson. Sept. 21-24— NDBA Group Meetings; see schedule in North Dakota News section. South Dakota: Sept. 14-18— SDBA Group Meetings; see schedule in South Dakota News section. William Isaac Named Chairman of FDIC William M. Isaac was named Chairm an, effective A ugust 3, of the Federal Deposit Insurance Cor poration. He suc ceeds Irvine H. Sprague, who will remain on the agency’s threemember board of directors. M r. Isaac com mended Mr. W .M. ISAAC Sprague on the leadership he provided the FDIC during his chairm anship, adding “ I look forward to his continued service on the board of directors in the yearn ahead.” M r. Isaac, 37, was appointed to a six-year term on the F D IC ’s board in M arch, 1978. From 1974 to 1978 he was vice president, general counsel and secretary of F irst Kentucky N ational Corporation and its subsidi aries, F irst N ational Bank of Louisville and F irst K entucky T rust Company. From 1969 to 1974 1<£ practiced law w ith Foley & Lardner, Milwaukee, Wis. A native of Bryan, Ohio, Mr. Isaac received his undergraduate degree from M iami U niversity, O x fo rd Ohio, and his law degree (summa cum laude) from The Ohio State U niversity, Columbus, Ohio. Sheshunoff to Run PSI With American Express Wayne Hum m er & Co. celebrates its first fifty years Wayne Mummer & Co. 175 West Jackson Boulevard • Chicago, Illinois 60604 Members New York, American and Midwest Stock Exchanges N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 Am erican Express Company an nounced Ju ly 30 it has reached ® agreem ent for a joint venture with Sheshunoff and Company, Inc., of A ustin, Tex., concerning the m an agem ent of Paym ent System s Inc., a wholly owned American Expre subsidiary. Founded in 1971, Sheshunoff and Co. is a leading firm which specializes in increasing bank profitability and today has over 8,000 bank client® Under the term s of the agreement, Sheshunoff will m anage the activities of P SI for a period of three years and has an unqualified option to purchase PSI for an undisclosed price. ® Based in A tlanta, PSI for a leading information and research firm in the fields of new banking technology, affluent consumer m arketing, dere gulation and new product d e v e lo p m ent for financial institutions. 9 MAKE MONEY. NOT PAPERWORK. Every time money orders leave your institution they leave paperwork be hind. So do official checks and interest and dividend checks. Think of all the reconciling, filing and storing. The tracing and refunding. Then think of what those jobs cost in time and money. If you use American Express®pro grams for these items, handling them takes less time and costs less money. Because we do the paperwork for you. The Financial Institution Money Orders (FIMO®) are printed with your name and supplied at no cost. You pay a modest fee for each money order sold, but you control the profit because you decide what to charge. The Official Checks are tailored to your design and also supplied free of charge. W hat’s more, your unlimited-amount checks guarantee you substantial monthly income from the re mittance options we offer. The Continuous Form Checks are tailored to your design as well. And while there’s a modest fee for each, you’ll find it a small price to pay for the interest and dividend check paperwork that’s eliminated. Remember, you’re in business to make money, not paper work. So send us the coupon for more information. It could be the last piece of paperwork you handle for a long time. Money Orders | Official Checks I Continuous Form Checks | Mr. Gil Rosenwald Please send me more information on I V.P.—Marketing and Sales Operations □ Money Orders □ Official Checks 1 Travelers Cheque Division □ Continuous Form Checks American Express Company—37th Floor American Express Plaza, New York, NY 10004 Name-------------------------------------— ------------------------------------------Title. Institution. Address__ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 10 Walter E. Heller & Company 105 W. Adams St., Chicago, II I 60603. Other Heller offices in New York * Boston ■Philadelphia • Montclair, N.J. • Baltimore _ New Orleans • Houston • Dallas • San Antonio • Phoenix • Tucson • Albuquerque • El Paso • Salt Lake City • Los Angeles • Newport Beach, CA • San Francisco V N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 11 ¿¿/h'.í J'U, M Y o u d o n 't h a v e t o ra n in t o it. There are many obstacles to keep you from handling secured lending. It can be costly. Time consuming. And without a highly-qualified staff, it can becom e risky. So your profits suffer by missing an attrac tive market. You can remove these obstacles, by par ticipating with Heller. The Heller st&ff becomes your secured lending depart ment. With over a half-century in the secured financing business, Heller people pioneered many of the modern lending techniques. Our people perform eight functions necessary in administering your secured loan, while your staff concentrates on your primary banking business. Field Examinations. Heller’s field examiners conduct audits in the borrower’s p lace of business af welltimed intervals. Their reports highlight cor rectable “conditions” before they become problems. Your bank receives copies. Verification. Frequent verification of collateralized receivables checks their authenticity, amount and terms. This way, exceptions can be personally and considerately resolved—something computers can never be taught to do. Credit Administration. Our account executives keep a current picture of the borrower’s financial posi tion, following trends affecting collateral and operations. This continual review leads to a reduction in b ad debt expense. Processing. Heller’s policy is to process disbursements or pay-downs respecting the customer’s loan on the day we receive the collateral or payments. Reconciliation of Agings. Each month Heller determines which of a borrower’s invoices represent eligible collateral. We evaluate the individual pieces of collateral in terms of their “real dollar” value, as opposed to computing their eligibility through some mathematical formula. Legal Work. While mindful of their obligation to protect the legal positions of both Heller and the bank participant, our attorneys are also business-minded. They seek ways to make a safe loan, drawing upon fheir experi ence to avoid qualifications that may sour the dealings. Supplemental Loans. When a secured loan includes inventory and/or chattels, additional controls are needed. We revolve our inventory loans and keep them under close, continuous control. Chattel values are determined by specialists in machinery and equipment. Liquidations. Yes, occasionally they happen. What follows is the complex and demanding period called a “workout,” a time when only the specialized experience of the lender and cool determination to “see it out” can prevent a loss. Heller’s record in handling these situations is probably the best in the business. More banks are entering into secured lending through participations with Heller. Your customer’s financial needs are served. You keep your customer, continue to provide his normal banking functions, while you generate interest income from your portion of the loan. Find out about this marketable, profitable lending concept. Call Heller today. HELLER Financial Services .r SSlisi Syracuse • Minneapolis • Detroit • Grand Rapids • Cleveland • Kansas City • Denver • Atlanta • Charlotte • Miami • Tampa • Birmingham • Columbia, S.C. Portland • Seattle • Spokane • Boise • San Juan, P.R. Heller services also available in Canada and twenty-three other countries around the world. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 7987 12 12 State Associations Move Ahead with Plans Better business through risk management An interest rate futures program tailored to my bank’s needs The needs of your bank are unique, and when it comes to planning an interest rate risk management program you deserve personalized service. The expert personnel of Dean Witter Reynolds' Financial Futures Divi sion otter you on-site development ot a complete hedging program responsive to your special requirements. We can provide training for your personnel, coordination of a total program and access to our computerized market/arbitrage analyses. For more information, please write or call Merrill R. Johnson or Randall C. Peck, Regional Specialists in Financial Futures Hedging. Dean Witter Reynolds Inc.. 18 18 Douglas Street. Omaha, Nebraska 68102. (402) 449-1600. DEAN WITTER REYNOLDS One investment firm you’ll be glad to hear from. supe Member SI PC Please give me your current ideas on how I can use financial futures hedging in my business. Name Phone C om pany Position Address _ C ity ____ DigitizedN orthw for FRASER estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis State 1981 Zip 9 As announced in an earlier issue, 12 state banker associations ranging from M innesota through Texas and covering the plains and north central states have been form ing an organiza tional plan, and havebeenm oving ahead with im plem entation of th a t plan in re R.E. HARRIS cent days. Robert E. H arris, executive vice president of the Oklahoma Bankers Association, who has been a p p o in t^ spokesm an for the group, said last m onth th a t a further m eeting of interested sta te association officials was held in Chicago Ju ly 21 during the C entral S tates Conference. The interested sta te associations are M ichigan, W isconsin, M innesota, N orth D akota, South D akota, Nebraska, Iowa, Illinois, M issouri, K ansas, Oklahoma and Texas. 0 M r. H arris said they propose to form a holding company to be owned equally by the 12 groups, w ith three representatives from each state association on the governing body. 1® will be funded by a minimal capital injection from each association, as well as a loan from each state. The 12-state group will be called Mid America Banking Services Co., Inc® He stated further th a t research is being undertaken on four projects: 1. 2. 3. 4. A B ankers Money M arket Fund. An insurance company. An A g Credit Corporation. ® A secondary m ortgage comany. These four Task Forces are to have their reports ready within a m atter c® weeks. Each association has a deadline of Septem ber 3 to declare w hether it will be a mem ber by contributing its capital and m aking its loan. The B ankers’ M M F has to® priority as the first goal. The Task Forces m et Ju ly 21 in Chicago a t the C entral S tates meeting. M r. H arris said any member association m ay choose to utilize o® bypass any or all of the four program s. Income from the projects will pay off the loans to the 12 state associations. W hen organized the new group will represent 7,500 bank® holding $315 billion in deposits. In the race against time the Chase is on. Everywhere you look, the financial service industry is in revolution. Volatile money markets swing 100 basis points in a single day. Decisions must be made in hours or minutes, instead of weeks or days. We’re all in the race. Whether you’re a commercial bank, thrift, investment bank, broker, or insurance company —you need a partner that responds quickly. Chase. Chase can help your asset/liability balancing. And put you on the fast track to diversification. We’ll work along with you and your customers to approve overline credit in advance. And when consumers clamor for fast banking, our private label consumer services —like telephone home banking —can help keep yours on the books. Chase can tell you exactly what you have in any bank in the U.S. With our InfoCash® system, we can execute and confirm your money transfers all within minutes. And we’ve automated securities processing too. Our real time access link lets you retrieve and forward your securities from your own terminal. In hours, not days. That’s banking on Chase Time and that’s what we’ll do for your money. Now more than ever, time is money. So call the Chase Manhattan Bank. In the race against time, the Chase is on. The Chase is on. ©1981 The Chase Manhattan Bank, N.A./Member F.D.I. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 14 r L Bank Promotions ROM OTIONS and other an nouncem ents have been made by P the following banks: American National Bank, Chi cago: John R. Tilton has been elected a senior vice president of the bank and will continue in his position as the head of the newly organized invest m ent m anage m ent group. Mr. Tilton joined the ir \ bank in June, J.R. TILTON 1977, as a vice president in the tru s t departm ent, became division head of investm ent research and strateg y in M ay, 1978, and was appointed to his current m anagem ent post in June of this year. A graduate of Southw estern College at M emphis, Mr. Tilton holds an M .B .A . degree from Indiana U niversity. Am erican N ational m anagem ent also announced th a t N athaniel B. Jones, Stephen P. M anus and Robert J. Schank were named vice presidents in the investm ent m anage m ent group. M r. Jones joined American N ational recently w ith 12 years of previous business experi ence. M r. M anus joined the bank in 1976 as a portfolio m anager. Mr. Schank joined the bank as a credit analyst in June, 1966. Also, four staff m embers were elected to officer positions: Ted R. Charanian to second vice president, investm ent system s; M ark A. L ustig to second vice president, auditing division, and Diedre A. Eichelberger and A rth u r P. H ofstetter to tru s t investm ent officers, investm ent m an agem ent group. Bank of New York: Owen M. Q uattlebaum has been elected a senior vice president, it was announced by E lliott A verett, chairm an and chief executive officer. Mr. Q uattlebaum joined the bank in 1960 and is m anager of the b an k ’s investm ent counsel division. He received a BA degree in history in 1957 from the U niversity of Georgia, A thens, and an MA degree in law and diplomacy in 1959 from the Fletcher School of Law and orthw estern Banker, Septem ber, DigitizedN for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1987 Diplomacy, Boston. He is a C hartered Financial A nalyst. Continental Bank, Chicago: Robert A. H anson, president and chief operating officer of Deere and Company, has been elected to the board of directors of Continental Illinois Corporation and its principal subsidiary, C ontinental Bank. G.K. BERGMAN E.R. CROISANT Directors of the holding com pany and bank also elected four new executive vice presidents. They are J . J o s eph Anderson, Gerald K. B erg m an, Eugene R. Croisant and H.W. RADEMACHER Hollis W. Rademacher. All were previously senior vice presidents. M r. Anderson, 43, is responsible for the controller’s and the system s research and developm ent divisions. He received his undergraduate degree in 1960 from the U niversity of Notre Dame, joined Continental in 1963, and earned his MBA degree from the U niversity of Chicago in 1968. M r. Bergm an, 47, is head of the special industries departm ent, which is responsible for the b an k ’s lending to energy, transportation and construction industries. He was graduated from the U niversity of M innesota in 1957, joined C ontinen tal the same year and became head of the special industries divisions in 1974. He also serves as a director of several subsidiaries of Continental® M r. Croisant, 44, is responsible for corporate personnel services and corporate comm unications. A fter receiving his undergraduate degree from Loyola U niversity in 1959, joined C ontinental the same year, then later earned a graduate degree from Loyola of Chicago in 1966. M r. Radem acher, 46, is head of the U .S. banking departm ent, which * responsible for commercial lending to custom ers in the U nited S tates. He is also a 1957 graduate of the U niversity of M innesota and joined Continental the same year. M r. Radem acher w * named head of the w estern divisions in the commercial departm ent in 1975. He was elected a senior vice president and nam ed head of all the national divisions in 1976, assum ing responsibility of the newly-formed U.S. departm ent earlier this year. Federal Reserve Bank of Kansas City: Roger Guffey, president, ha® announced the prom otion of Richard Rasdall to vice president, and Virgil Jones, m anager of statistical services in the research division, to adm inis trative officer. ® M r. Rasdall will provide senior official supervision over the fiscal agency and money departm ents. Richard J . Klein, assistan t vica president, replaces M r. Rasdall a® supervising officer of the planning and control departm ent. Carroll H. W ilkerson, assistan t vice president, replaces M r. Klein a i head of the supervision su p p o rr departm ent. Thom as M. Hoenig, vice president in charge of bank holding company supervision, has been assignecL additional support departm ent. m First National Bank of Chicago: Curtis G. Anderson, 40, joined the bank Septem ber 1 as senior v ic ^ president and head of the financial products departm ent. In his new post he is responsible for international m erchant banking, venture capital, trade finance, corporate finance, a n ^ leasing. He will report to President Richard L. Thom as. M r. A nderson previously was a senior vice president at Citicorp in New York, with which he had b e e ^ associated since 1967. For the p ast year he served as head of the tax-exem pt securities division of the financial m arkets group. He also served 12 years in in te rn a tio n a l banking operations, the last four in “ In an age when computers talk to computers, w e never lose sight of w hat has made Manufacturers Hanover the recognized leader in correspondent banking: the human element. After all, silicon chips and integrated circuits cannot replace the instincts, reasoning and decision-making capabilities of our calling officers.” Donald H. McCree. Jr. Executive Vice President Manufacturers Hanover Trust Company https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis From the Golden Gate to the Golden Triangle, Manufacture; It stands to reason th a t a bank's toughest customers are other bankers. That’s why it’s gratifying to us that so many banks— in capitals of commerce like San Francisco and Pittsburgh and in small rural towns as well— choose Manufacturers Hanover as their correspondent in the intensely competitive money center of New Vbrk. Today, we serve over 2,700 banks across the U.S. and more than 1.700 banks throughout the world. Non-credit services move “stage center.” In the current economic climate, many urban and community banks are buffeted from two sides: the pressure to remain competitive locally and the pressure of costs in developing operational services of their own. Relief rests with Manufacturers Hanover. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis In recent years, our substantial investment in com puter hardware and telecommunications equipment has placed us among the pacesetters in automated banking^ operations. Equally important, we have applied this tech nology to formats that are useful to correspondents of all sizes. Systems, systems, systems. In securities handling, MHT has created a processing and reporting system called G e o P a c that establishes a direct link between a dial-up terminal in your offices and MHT in New York. Instantly, it relays the status of trades and availability of funds. Tb help serve the cash management needs of your * corporate customers, MHT offers TRANSEND— a computer-based system th a t’s part information source. «Aiover is known as America’s premier “banker’s bank.’’ p a't analytical tool, part funds mover. For unparalleled accuracy in stock transfers, MHT's TRANSIFAC is the ^ n ly system that enters data twice to catch errors before a record is made. It takes well-developed systems, too, for MHT to provide correspondents with the most complete banksponsored package of insurance services. Now, in # c ’diticn to employee benefit plans, we have expanded our line to include comprehensive casualty coverage to protect bank officers against modern-day risks. Rather than a parade of unfamiliar faces, we serve correspondents through individual calling officers who concentrate on a geographic region. These knowledge able, all-around bankers not only know the territory— the problems and priorities— but they are also able to establish a steady and respectful rapport with their local counterparts. And that, above all, is what has made us what we are today— the premier “banker’s bank” from one end of the country to the other. Our distinctive approach. When our competitors call on correspondents, it’s m o t unusual for the cast of bankers to change with every service. We do it differently at Manufacturers Hanover. MANUFACTURERS HANOVER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Here are all the ways Manufacturers Hanover serves the nation’s bankers. How can we serve you? SECURITIES SERVICES • • • • • • • GeoPac Safekeeping GeoPac Depository Processing (DTC) GeoPac Information Exchange GeoPac Securities Lending Security Drafts Coupon Collection CASH LETTER SERVICES • • • Availability Schedule Automated End-Point Reporting System Early Bird Relay (to beat the 10 A.M. New York Clearing House Deadline) INSURANCE PROGRAMS • • • • • • Dental Assistance Plan Group Life Insurance Plan Group Medical Plan Long-Term Income Protection Plan Retirem ent Program Casualty Insurance TRUST DIVISION SERVICES Corporate Trust Services: • • Debt Service Trustee Debt Service Registrar and Paying Agent • TRAN SI FAC Equity Service Transfer Agent • Equity Service Registrar • Equity Service Dividend Reinvestment Agent • Municipal Paying Agent Services • Issuing Agent Services (Certificates of Deposit and Commercial Paper) • Escrow Services Institutional Services: • Professional Investment Research/Computer Aided (PIR/C) • • Fixed Income Research Strategy Trends (FIRST) Trust New Business School Personal Financial Planning Program PORTFOLIO AND INVESTMENT BANKING SERVICES • • • • • • • • • Bankers Acceptances Federal Funds Repurchase Agreements MHC Commercial Paper Other Commercial Paper Certificates of Deposit Municipal Securities U.S. Government Securities and Federal Agency Issues Investment Counselling Program for Correspondents INTERNATIONAL SERVICES Export/Im port Services and Financing: • • • Reimbursement Letters of Credit Export/Im port Letters of Credit Standby Letters o f Credit Money Transfer Services: • • • Foreign Remittance International Money Orders Foreign Currency Banknotes Bought and Sold Other International Services.• • • • • Eurodollar/Eurocurrency Transactions International Bank Statem ent Spreads Foreign Credit Information Foreign Exchange Trading Foreign Exchange Advisory Service CREDIT SERVICES • • • • Participations/Overlines Real Estate Participations Loans to Bank Holding Companies Reserve Position Loans MANUFACTURERS HANOVER COMMERCIAL CORPORATION • • Factoring Commercial Financing MANUFACTURERS HANOVER LEASING CORPORATION • • Tax Leases Equipment Fi nance Structures GENERAL BANKING SERVICES • TRANSEND (a communicationsbased cash management system) • Due From Account • Domestic Collection • Money Transfer & Wire • Bank Money Orders • Register Checks • MOREC— Money Orders Reconcilement • Gift Checks • FINTECH (a library of 35 analysis programs to assist in financial planning) OTHER SERVICES • • • • • Business Credit Investigations New Business Referrals Travel Service/Personal Service Sales and Product Knowledge Program Marketing Consultant GeoPac. TRANSEND and TRANSIFAC are service marks of Manufacturers Hanover. Member FDIC Ask now for your copy of our newly updated, service-by-service guide to the correspondent services of Manufacturers Hanover. This new edition of our brochure contains page afte r page of detailed descriptions o f all the services named above. It further reinforces the fact th at no other correspondent bank offers such a complete catalog of bank-to-bank services. For your copy, or answers to any questions, see your Manufacturers Hanover Calling Officer. Or write for the brochure, enclosing your business card, or call: Donald E. Paul. Vice President Manufacturers Hanover. National Division 350 Park Avenue New York, N.Y. 10022 Telephone: (212) 286-5787 © 1981 Manufacturers Hanover Trust Company, New York New York https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 19 _£harge of m erchant banking activities the Asia-Pacific region. He holds BA and MBA degrees from the U niversity of W ashington in Seattle. First National Bank of Kansas (P ity : Michael A. Luby, J r ., and Thom as G. P apa have been advanced to senior vice presidents. M.A. LUBY, JR. T.G. PAPA As m anager of the national departm ent, M r. Luby is responsible for the b a n k ’s commercial custom ers beyond the m idwest. He joined the % ank in 1973. He has BA and MBA degrees from Southern M ethodist U niversity in Dallas. M r. P apa recently was nam ed head of the correspondent/regional d é p a rt a ie n t and directs correspondent and commercial banking for the m idwest area. A fter serving w ith another K ansas City bank for eight years, he oined F irst N ational as vice resident in 1979. He holds a BS degree from the U niversity of K ansas at Lawrence. First National Bank in St. Louis: #Villiam J . B arnett, J r ., vice president, has been nam ed head of the correspondent division, it was announced recently by Clarence C. Barksdale, chairm an and chief •x e c u tiv e officer. M r. B arnett succeeds T. B arton French, senior vice president, who has been appointed head of the special industries group. M r. B arn ett joined F irst N ational in 1974, holding m angem ent posi tions in several lending divisions of the bank. M r. Barksdale also announced the E lection of seven new vice presidents W.J. BARNETT, JR. R.K. BASS, JR. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis and three new assistan t vice presidents. The new vice presidents are: T. Ellis Barnes, I I I , international; R. Kenneth Bass, J r ., correspondent banking; John G. Borders and F. Howard M anning, J r., national accounts; Jeffrey N. Miller, m etro politan; H arold C. Mueller, real estate, and Dennis L. Noah, international operations. The new assistan t vice presidents are: Joseph K. H ahn, energy; Alfred H. K erth, III , com m unity affairs, and John D. Spencer, cash m anage m ent. Harris Bank, Chicago: Two new executive vice presidents have been elected. They are David S. Finch, head of the tru s t departm ent, and Dennis E. LeJeune, who heads the investm ent departm ent and treasury office. M r. Finch, 39, joined H arris in 1967 as a trainee and has held a series of m angerial posts in the tru s t departm ent. M r. LeJeune, 39, joined H arris in 1966 and served in international banking until 1980, when he assum ed responsibility for the b a n k ’s m unici pal and governm ent bond trading and bank funding, including money m arkets, Eurodollar and foreign exchange trading and portfolio m anagem ent. Richard J . Brown, vice president, H arris B ank, has been nam ed general m anager of the b a n k ’s London branch. M r. Brown previously headed the b an k ’s Planning Office. Morgan Guaranty Trust Com pany, New York: Rohit M. Desai and E dgerton G. N orth, J r. have been appointed senior vice presidents in the tru s t and investm ent division. Mr. Desai, 43, joined M organ in 1964 and will head an expanded special investm ent group. M r. N orth, 54, joined M organ in 1950 and heads the division’s institutional investm ent and m anagem ent group. Northern Trust Company, Chi cago: Directors have appointed J . David Brock as vice president of N orthern T rust Corporation with responsibility for holding company acquisitions and expansion planning. He will continue as a vice president of the bank. Directors also announced the pro motions to second vice president of: K athleen M. Alm aney and Virginia B. G asink in the hum an resources departm ent. Jerom e L. Gelfand and A nna M aria Quinlan in the !;!#m ..•v/V. operating d ep art m ent. jfl. fZ P a t E. G arrett, William G. H art k and Steven R. JPIl Schneider in the - j <■* tru s t d ep art m ent. y j ji M From outside the bank, Eliza J.D. BROCK beth Konker Rauner was nam ed a second vice president in the commercial banking departm ent and Gilbert S. Levine was named a tru s t officer. P atrick D. Leary was appointed a second vice president in the N o rtrust Farm M anagem ent, Inc. subsidiary. N orthern T ru st also announced two appointm ents at corporate affiliates. A nton L. Janik has joined The N orthern T rust Company of Arizona (Phoenix) as a vice president in tru s t business developm ent, assum ing m arketing responsibilities for business development. Alfred H . Cole has been appointed vice president in tru s t business development, responsible for busi ness developm ent m arketing, at the Security T rust Company of Palm Beach. Mr. Cole previously was with Philadelphia N ational Bank tru s t departm ent. National Boulevard Bank, Chi cago: Directors have announced the following promotions: John F. X. H arahan and Michael C. Keeling to vice presidents; Richard J . Rosner to operations officer, and Robert J . Dennis to assistan t cashier. J.F.X. HARAHAN M.C. KEELING R.J. ROSNER R.J. DENNIS N orthw estern Banker, Septem ber, 1981 20 American Express Adds More Services M ERICA N Express Company announced th a t in-bound trav el A ers visiting the U .S ., Canada, Puerto Rico and the U .S. Virgin Islands from m any countries are now eligible to receive five special services, provided free-ofcharge to qualify ing individuals whose Am erican Express Travelers Cheques have been lost or stolen. Previously, the new services— introduced in M arch, 1981—were available in the U .S. and Canada to refund claim ants who purchased American Express Travelers Cheques in those countries. The new services are: • Check Cashing. A fter authoriza tion, refund claim ants will be able to cash personal checks up to $200 (subject to governm ental and b ank ing regulations as well as currency restrictions) during business hours at the network of travel service offices of American Express Company in the U .S ., Canada, Puerto Rico and the U.S. Virgin Islands. • Credit Card Cancellation A ssis tance. Refund claim ants whose U .S. and Canadian or m ajor foreign credit cards (American Express, Carte Blanche, Diners Club International, M astercard, Eurocard Access and Visa) have been lost or stolen can arrange to have them cancelled 24 hours a day when they call American Express to report their m issing United Missouri Bank of Kansas City, N.A.: Richard W. Brooks has been named senior vice president in charge of the national division of the commercial business development departm ent. M r. Brooks joined U nited M issouri in M arch, 1978. He attended Avila College and the U niversity of M issouri a t K ansas City, as well as the N ebraska Advanced School of Banking and the M issouri Bankers School of A gricul ture. U nited M issouri directors also elected the following new officers: M ary F . R and and N orm an E . G reene as personal tru s t officers; Lon J . Canaday and M arla E. Rivard as assistan t cashiers in the commercial loan departm ent, and W illiam W. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 Travelers Cheques. • Temporary I.D . Card. Refund claim ants who have lost all identification m ay arrange to obtain a tem porary I.D . Card a t any one of the network of travel service offices of American Express Company. • Reservation Assistance. For refund claim ants who need to re-schedule their travel plans, Am erican Express will make avail able its 24-hour, toll-free, m ulti lingual “ Travel H otline” to help with airline, hotel and car rental reservations. • Message Service. A W estern Union M ailgram or cablegram will be sent upon request, 24 hours a day, to notify one individual — family, friend, or business associate — of a change of itinerary. “ Our special refund services,” explained Michael E. Lively, presi dent, American E xpress’ Travelers Cheque Division, “ were developed as a direct result of our m arket research, which showed th a t all of our custom ers world-wide have m ajor concerns in addition to getting their Travelers Cheques refunded. From our research and experience, we know th a t if individuals experience a loss or theft of Travelers Cheques, they often lose such other valuables as cash, credit cards and identification. “ In addition, they typically are in a strange city or country and, due to their loss, find their travel plans delayed. In short, it ’s a period of high anxiety. W e’re confident our five newly-expanded services will provide practical assistance a t a time when travelers need help the m o st.” Continental Bank of Chicago is o r ^ of four U .S. banks and 12 non-Cana dian banks given perm ission to establish Canadian banking subsidi aries a t this tim e. This is the first time foreign banks have been allow e^ to open banks in Canada since 1932. Elected at Zions Utah H arris H. Simmons has bee# elected assistan t vice president and a director of Zions U tah Bancorporation in Salt Lake City. Prior to accepting this position he was a credit analyst, commercial loan officer and assis ta n t to the presi dent of Allied Bank of Texas in H SIMMONS H ouston. M r. Simmons is a graduate of th™ U niversity of U tah with a BA degree in economics. He received an MBA from the H arvard G raduate School of Business A dm inistration. w ABA Announces 1981 Chief Financial Officer Seminar The second annual A m e ric a ^ Bankers Association Chief Financial Officers Sem inar has been scheduled for November 4-6, 1981 at the Boca R aton Hotel and Club, Fla. Sponsored by A B A ’s Chief F in a i^ cial Officer Executive Committee, this is the only national m eeting devoted entirely to the growing constituency of policy-making bank officers who are responsible for a £ integrated approach to financial M antz as commercial banking officer m anagem ent and control. Announcing the sem inar, execu in the new business departm ent. tive comm ittee chairm an Donald C. Miller, vice chairm an, C o n tin en t# ^ Continental Bank Opens Illinois N ational B ank, Chicago, said Subsidiary in Canada it will offer attendees a “ unique Continental Illinois N ational Bank opportunity to exchange im portant and T rust Company of Chicago has tim ely ideas and inform ation with opened a banking subsidiary in fellow financial officers.” Topic# Canada through the conversion of under consideration for this y ear’s Continental Illinois (Canada) L td ., program include cost control, capital announced Jennings F. W erner, chief raising, investor relations, interest general m anager of the new rate volatility and m anagem ent # subsidiary, C ontinental Illinois Bank inform ation system s. A dditional inform ation on the (Canada). Approved by the Canadian M inis program is available by calling ter of Finance as of this date, th :ew Stephen Thorm ahlen in the ABA banking subsidiary will have an Bank Investm ents and Funds authorized capital of Canadian $40 M anagem ent Division. His telephon# num ber is (202) 467-4087. million. 21 holding com pany is a holding com pany is a holding company.” ‘A 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 your size, in your state, and in your circum stances. W ith the combination of term s your individual situation calls for. And with any necessary regulatory modifications, evaluation analyses, and even negotiation assistance you might require. That’s the sort of flexibility you expect. And deserve. You expect decisiveness, too. At Continental, you get it. Credit requests don’t go from committee to committee. They go directly to your account m anager—the person who can say “yes” or “no” on most loans. You get a decision fast. From the person who made it. Call John Tingleff at (312) 828-2191 about your holding company financing. We won’t try to put you in one pigeonhole or another. We’ll just work out the credit that s best for you. It’s what you expect from a top correspondent bank. At Continental Bank, it's reality. CONTINENTAL BANK 0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C o n tin e n ta l Illin o is N ational B ank and T rust C om pany o f C hicago 231 S outh LaS alle S tre e t, C hicago, Illin o is 60693 N orthw estern Banker, S eptem ber, 1981 m BPMhs - : ^ '■■. f n * ri v" i 1 u i'- 'b /< , % ( e S ta n d o VS’ ^ ciÌustor coverage m p e claim settlem ent^ f Z ”??™* ^ t , n 6r 1 $n100f k C O ,e,fl3 ' e*c e s s Of 7s«. A ( j l , M , „ cC' a , ’ a m o u n ' S 1 0 0 0 0 0 I n m a t U T V 9 0 % S t a n d o „ , ' c o v erage the areater s ta n d a rd c o verage s °" h" ...... » » -e«n di,o f 4 6 th m” o1n ™ “r r i r r 3 r6 th ~rn o»» «-* th m h C la .m r,< c u r S Loan I ° Wlth n e 9ative a m o rtization ^^^^PVrinofial balance Q e lir t q u e n i m tc r o s t Subtotal C la im s ro ta to ri 1 0 t r io — i o 0 /0 S tand ard coverage A d ju sto r coverage $113.772 00 17.065 80 SÌ3Ò7837 80 $113,772 00 17.065 80 $130,837 80 expenses 4 .1 5 0 00 4,15 0 00 T « ta l c la im P a y m e n t o p t.o n 51 34 .9 87 80 $ 1 34 .9 87 80 ^ 8 3 ,2 5 0 00 — x 20% C |a im p a y m e n t *er exD< https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis $ 2 6,99 7 56 $5 1 .7 3 7 80 ■ 11 I .jj Exposure on ARM s can fluctuate dramatically. That’s why M G IC introduces The Adjustor, the first coverage specifically for ARMs. You get full and flexible ARM your protection for yourself and yo investors. secondary market investors, Fannie M ae requires AdjustorAi type type coverage. coverage. FNMA nizes the FNMA reCog# recognizes the spec special risks of of ARMs ARMs. That's That's why why they they reqi require this type Qf coverage on all loans type of coverage on all loans vwith an LTV of 80 percent or greater, t greater. More and more secondary market irinvestors will be wanting similar guaran guarantees. Send for an A R M kit. jTo Q he|p help you structure your own ARM program we've develop« developed a comprehensive kit. It contains information every mortgage le lender needs to know, including the results Qf of a nationwide lender ARM ssurvey, an jn-depth in-depth ARM risk analysis analysis, plus guidelines on index selection and federal regulations, por free j<jt ancj m 0re information about MGIC's nei Adjustor coverage for ARf •' - coupon today. O r contact I With the flexibility of ARMs comes increased exposure. Exposure that standard mortgage insurance just wasn't designed to cover. MGIC can help with its new Adjustor5*" coverage. It fully protects the added risks of varying monthly payments, even the negative amortization associated with ARMs. ***%:**'>'" <„ A n exam p le* *****CK£^*» Shown on the left is a loan with modest negative amortization. With standard mortgage /V* Q t insurance, lender exposure is 97 percent. With The Adjustor, your exposure is limited to 75 percent of the original property value, regardless of the loan balance at the time of claim. The Adjustor is unique because of its first-of-a-kind treatment of negative amortization—it covers 100 percent of any increase over the original balance. It also provides greater protection for loans with some amortization because it covers all claims-related . expenses. y Q u r HIiljll MGIC Working hard to earn your business Mortgage Guaranty Insurance Corporation P.O. Box 488, Milwaukee, Wisconsin 53201 Please send me your complete ARM kit. ■ Name ............................................................. ..... — Title --------------------------------- ---------------------------Company Address _ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis City/state 11 24 Collateral Control Corporation, Sj Paul: Edw ard A. Ames, senior vie president, has been named re gional m anager ROM OTIONS and other an Nicholas have joined the company in of the St. Paul nouncem ents have been made by key m arketing staff positions. region. M r. Ames the following firms: M r. Kendall, former m arketing is responsible for m anager, consumer division, a t the Associates Commercial Corp., Brunswick Corporation in Skokie, all operations and Chicago: Jam es Day has been named 111., is the W atertow n firm ’s new m arketing efforts throughout the vice president in director of m arketing, coin products region, which in charge of the division. He joined Brunswick in cludes M inneso business loans di 1972 as a special m arketing assistant, ta, Iowa, WisE A- AMES vision office in became a product m anager at the consin and N orth D akota. Previous A tlanta, Ga. He M ercury M arine Division in 1974, ly, he served as regional s a l ^ will report to and moved to his m ost recent position m anager-San Francisco, for this Russell D. D ona at corporate headquarters in Skokie national collateral m anagem ent com hue, executive in 1976. He received a BA degree at pany. vice president of DePaul U niversity in 1969 and an the ACC business MBA degree at Ohio S tate U niversity Daktronics, Inc., Brookings,^ loans division. three years later. S.D.: Jeff Robbins has b een ^ M r. D ay, 39, appointed district sales m anager for served as assistan t house counsel at northern Illinois and W isconsin. He W alter E. Heller & Co. in A tlan ta replaces E d W eninger, who has been before joining The A ssociates. He named m anager of the custom er^ was graduated from the U niversity of service departm ent a t corporate^ N orth Carolina-Asheville w ith a BA headquarters in Brookings. degree and from the Woodrow W ilson M r. Robbins is a 1980 graduate in College of Law in A tlanta w ith a JD Agri-Business from South D akota degree. S tate U niversity and worked in th e ^ Brandt, Inc., Watertown, Wis.: sales training program whilew Steven W. Kendall and Brian E. attending school. As a p art of th a t S.W. KENDALL B.E. NICHOLAS program he participated in dem on r \ stratin g the use of D aktronics SINGLE INTEREST electronic equipm ent at a th le tic ^ M r. Nicholas, former m arket tournam ents and conventions INSURANCE planning m anager a t A .B . Dick throughout the m idwest, m aking Company, Chicago, takes a second him conversant with the entire For Installm ent Loans newly created position, corporate D aktronics line of solid state m arket planning m anager. He joined system s and displays. ^ A .B. Dick in 1975 as a sales Lincoln Benefit Life Company, representative in Rochester, N .Y ., BLANKET SINGLE Lincoln, Nebr.: Acquisition of and was prom oted to m arket INTEREST planning m anager in 1979. He Lincoln Benefit Life as a whollyI NDI VI DUAL SINGLE received BS and MBA degrees in owned subsidiary of Dean W itte r INTEREST PROGRAMS 1970 and 1979 a t Rochester In stitu te Reynolds Organization Inc., was • A u t om a t e d announced July 29 following a board of Technology. • Manual The company also announced the m eeting held in Salt Lake City. The appointm ent of David N. K rause as Dean W itter firm also owns Surety V J Life Insurance Co. of Salt Lake C itj^ an authorized district m anager Elected to the Lincoln Benefit Lim PROTECT YOUR LOANS for B randt, with board of directors were: L. Jam es AGAINST THO SE PHYSICAL sales responsibil Ellsw orth, president and chairm an of DAMAGE LOSSES. ity for the com Surety Life; Douglas F. Gaer, Evelyn CONTACT US ABOUT A pany’s line of A. Rauch, Steve W. S utton, Williaim PROGRAM FOR YOUR BANK. money handling S. P ra tt, II, K eith A. Poelman, equipm ent in the Clemens T. Young and Clair call or write: w estern portions M unyon. of W ashington New officer appointm ents at vEy7 G.D. VAN and Oregon. He Lincoln Benefit Life were: M r^ headquarters in D.N. KRAUSE Ellsw orth, chairm an and chief WAGENEN CO. Seattle and also has a sales and executive officer; M r. Young, service operation in Portland. He president; Mr. P ra tt, executive vice 1678 Northwestern Bank Bldg. Minneapolis, MN 55402 was formerly a sales representative president and chief operating officer; (612) 333-2261 for B randt in Dallas the p ast four Ms. Rauch, vice president an<j(| V. J years. secretary, and Jo h n H. Schum ann, Corporate P DigitizedN orthw for FRASER estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 American Express Travelers Cheques . MORE REASONS W HY YOUR CUSTOMERS WILL ASK FOR THEM BY NAME. Every year, lots of things are lost or stolen with people’s travelers cheques. Like credit cards, cash, and identification. T h at’s why American Express® Travelers Cheques has introduced 5 special services designed to help protect your customers during those times when they may need more than a travelers cheque refund. Extra vacation protection at no extra cost throughout the U .S. and Canada. All, only from American Express Travelers Cheques. Check Cashing If they need extra cash, any of our Travel Service or Representative offices in the U.S. or Canada will, following authorization, cash a U.S. or Canadian check for up to $200 during business hours. Credit Card Cancellation If your customers lose credit cards with their travelers cheques, we’ll help them cancel their cards. W hen they call our Refund Center to report their travelers cheque loss, they simply tell the refund representative ^ that their credit cards are also missing. No M matter what time it is, they’ll be switched g§ to someone who will assist in cancelling " all their U.S. and Canadian-issued cards. Temporary ID Card liiiiis > £ KPRESXi V -: If they lose all their iden 5S ) E S $ AM ERICA» EX PR ESS tification with their I - MERK travelers cheques, we’ll issue them a temporary ID. Following verification, they can pick up the ID at an American Express Travel Service office in the U.S. or Canada during business hours. It’s an ID with their name and our name on it, so they can use us as a refer ence wherever they go. express TEMPORARY IDENTIFICATION i3»i NOT A CREDITOR CHECK GUARANTEE CARD 24 -Hour Travel Service Hotline If they need to change travel plans because of their travelers cheque loss, one of our refund representatives can transfer them to the American Express Travel Service Hotline which can help arrange air line, car and hotel reservations. Message Service If, following their travelers cheque loss, they need to notify someone of a change in travel plans and they’re having trouble reaching them on the phone, we’ll send a Mailgram® for them at no charge, anywhere in the U.S. or Canada. At any hour of the day or night. Now we protect m ore than just their money. Now we help protect their vacation. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 26 vice president and assistan t secre tary. M r. Sutton, newly elected to the board, continues as vice president in charge of credit life insurance sales to banks throughout the midwest. Lincoln Benefit Life Company was chartered in 1938 and domiciled in the city of Lincoln. The company recently reached the m ilestone of one billion dollars of life insurance in force. I t operates in 24 central and w estern states. Mosler Safe Co., Hamilton, Ohio: A rthur D. Lewis, J r., has been named general m anager of M os ler Canada, it was announced recently by Charles H. Com fort, II, vice pres ident of m arket ing, international and governm ent for Mosler. In A.D. LEWIS, JR. this new assign m ent, Mr. Lewis is responsible for the sales, service and installation of M osler’s line of security, tran sac tion and m aterials distribution system s for financial institutions and commercial businesses in Canada. His headquarters is in Bram alea, Ontario. Mr. Lewis joined M osler April 1, after resigning as m anaging director of the international division of Diebold. Prior to th a t he was with Mobil Oil in various assignm ents in New York, Caracas, Venezuela and Singapore. Diebold TABS First A TM ’s Selected For ADP Network An agreem ent has been signed be tween Diebold, Incorporated, the m anufacturer of TABS Total A uto m atic Banking System s A TM ’s, and the newly formed Electronic F inan cial Services Division of A utom atic D ata Processing, a leading supplier of com puting services. AD P has selected the TABS 9000 A utom atic Teller machine for the first site which it owns and operates in its new ATM netw ork serving financial in stitu tions throughout the U nited S tates. Diebold TABS also was the first ATM supported by the AD P network, w ith the A ugust connection of an A D P client who is also a TABS user. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 CSBS Survey Lists State EFT Activity M A JO RITY of the states now A have electronic funds transfer legislation in place, and a large establishm ent and operation of such E F T system s, subject to reasonable requirem ents as the states may choose, including the nature ancL geographic scope of transactions to be offered. 3. S tates should supervise and examine state-chartered institutions providing E F T services for cu sto m ^ ers of institutions located elsewhere; and the Comptroller of the Currency or the Federal Home Loan Bank Board should supervise and examine respectively federally chartered in s ti^ tutions. 4. Should an am endm ent to Section 36(c) of the N ational Bank A ct (The M cFadden Act) be found necessary to enable national banks t( ^ make use of the state statu tes proposed herein, CSBS should either support, or alternatively, agree to the necessary Congressional action. The current sta tu s of state E FT ^ sta tu te s is summ arized in Appendix A following: num ber provide for either state-w ide authority or some form of cross-state permission, according to a survey ju st released by the Conference of S tate B ank Supervisors. The E D P /E F T Com m ittee of CSBS, investigating the various state laws found th at: • T hirty four s ta te s —better than tw o-thirds of the to ta l—now have E F T sta tu te s on their books. • Twenty-six s ta te s —better than half—provide for state wide offering of E F T services, either through the placement of facilities or agreem ents to use existing facilities. Seven states, 14% , allow their banks to provide E F T services out-of-state and nine states, 18%, perm it out-of-state banks to offer E F T services within their borders. • Fourteen states, 28% , perm it custom ers of out-of-state banks, by contract or agreem ent, to have access APPENDIX A through in-state E F T facilities and services to their deposit accounts 1. States permitting customers of out-of-state bank^ access to EFT services: ^ in their home financial institutions. Alabama Montana Nebraska The survey was conducted as p art Arkansas Georg ia Oregon of a CSBS policy urging state action Illinois South Dakota Iowa Utah in developing E F T services to ensure Maryland Virginia th a t custom ers of financial in stitu Minnesota Wisconsin ^ (within 20 miles) tions are well served by the m ost States allowing state wide offering of EFT services: advanced technology and th a t E F T 2.Colorado New Jersey New Mexico Connecticut developm ents are regulated as New York Florida necessary at the state level. North Carolina Idaho North Dakota (POS) The CSBS policy statem ent on Illinois Iowa Oklahoma " E FT S, as adopted by the Confer Kansas Oregon Maine Rhode Island ence’s board of directors, stipulates Maryland South Dakota that: Tennessee Michigan Utah 1. S tates should encourage theMinnesota (at retail locations) Washington Nebraska Wisconsin 4 establishm ent of unm anned electron New Hampshire ^ ic funds transfer system s within their 3. States permitting out-of-state banks to offer EFT borders by banks or others which, by services and/or place EFT facilities within theirborders: Oregon contract or agreem ent, will enable the Alabama Illinois (POS) Utah Virginia custom ers of local financial in stitu Maryland (from aeonWisconsin ^ tions to obtain financial services Minnesota tiguous state and within ^ 20 miles) when they are away from their banks. permitting the banks they charter to provide This procedure will enable individual 4.EFTStates services out-of-state: banks to both better serve their Alabama Oregon Utah custom ers and retain their custom er Arkansas Illinois (POS) Virginia bases. Minnesota(within 20 miles) 4 2. S tates should encourage the Only Iowa specifically prohibits this activity. m “ The agreem ent between Diebold and A D P ,” stated Robert Barone, Diebold vice president and general m anager-autom atic banking sy s tem s, “ represents a significant opportunity for institutions to combine the proven advantages of a leading d ata processing service w ith the m ost reliable and accepted ATM in the in d u stry .” _ Com puting services for more th a n ^ 1500 financial institutions are now provided by AD P which operates a network of centers in the U .S ., Canada, the U nited Kingdom a n d ^ Brazil. 27 Northwestern Bankers, M eet T he Associates Money-For-Business Team. People W orth Knowing. ® • You’ll like d o in g business with T h e Associates. For over sixty years, o u r fin an cin g profes sionals have b e en h e lp in g business people — m an u fa ctu rers, processors, w holesalers— acquire the w orking capital they n e ed for so u n d grow th an d expansion. T h ro u g h T h e A ssociates’ p articip atio n p ro g ram s, we have h e lp e d bankers m aintain an d e n h an ce th e ir re la tio n sh ip with th e ir custom ers. Loans are frequently m ade to b an k custom ers th a t w ould no t ordinarily be possible w hen the b ank is o p eratin g in d ep en d en tly . W ith T h e Associates M oneyFor-B usiness Team , bankers a re assured th e closest businessm an-to-businessm an co o p eratio n , co m b in ed with decisiveness a n d professionalism . For in fo rm atio n a b o u t o u r b a n k ers’ p articip atio n p ro g ram s, call T h e Associates, Business L oan Division. People w orth know ing. T he Associates Business Loans 55 E. M onroe S treet— Suite 3600 Chicago, IL 60603 (312) 781-5800 Business L oan Offices in A tlanta, Boston, C harlotte, C h erry Hill, NJ, C hicago, Dallas, D etroit, H ouston, Los Angeles, M iami, New York, St. Louis, San Francisco, Tulsa. Associates C om m ercial C orp o ratio n is a subsidiary o f Associates C o rporation o f N orth A m erica, a G ulf + W estern Com pany. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 28 NABW Announces Convention Program ÍÍ p A N KING ’81: Capitalize on D Change” has been announced as the them e for the 59th annual convention of the N ational A ssocia tion of B ank Women, Inc. The convention will be held Septem ber 27-30 a t the H y a tt Regency, Chicago. Presiding at general sessions will be NABW President Jan e McGavock Sm ith, vice presi dent, F irst & M erchants National Bank, Richmond, Va. Convention sessions will center on the im pact of recent economic, legislative, regulatory, and technol ogical developm ents in banking; the issues and questions they raise for the future of the banking industry; and the strategic responses th a t will determine banking’s survival in the tough competition of the ’80s. The convention will open a t 8:30 a.m . on M onday, Septem ber 28, w ith a welcome m essage from M ayor Jan e M. Byrne. Im m ediately following, the keynote address will be given by Frank Cappiello, the finance and economics analyst who is well-known as a panelist on PBS Television’s “W all Street W eek.” In his speech, “W h a t’s W rong W ith B anking,” Mr. Cappiello will delve into the reasons behind the banking in d u stry ’s loss of its traditional edge in the m arket place. The keynote will be followed by a general session, “ A B anker’s P er spective,” during which M r. Cappiel lo will m oderate a panel of three bankers representing banks of all sizes. In responding to the keynote, these bankers will present their perspective on their b a n k ’s strategic response to recent and forthcom ing change. Tuesday, Septem ber 29, will feature two general sessions. D uring the first, held from 9:00-10:00 a.m ., a noted economist wil discuss the im pact of a fluctuating economy upon banking. The second, held from 10:30 a .m .-12:00 noon, will feature Donald Jacobs, dean of N orthw estern U niversity’s J .L . Kellogg G raduate School of M anagem ent, who will discuss recent regulatory reform and its ongoing im pact upon banks. Both days will feature afternoon sessions of concurrent banking and m anagem ent workshops on topics such as strategic planning, m arket ing, product developm ent, and pricing. In addition, on M onday, Thom as W agem an, president of N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 tional convention. M r. Golembe, w ha is one of the n ation’s preem inent financial consultants for banks and bank holding companies, will discuss “Deregulation in the Financial Services In d u stry .” —. The BA I convention, which will be held in Honolulu, Hawaii, November 9-11, will also feature John G. Heim ann, former Comptroller of the Currency, who will address a ^ all-delegate and spouse luncheon on “ The Economic O utlook.” Other general session speakers will be Guy W. B otts, chairm an of the board, B arnett Banks of Florida, Inc., o ^ “ Strategic Planning for the ’80s, and A ustin H. Kiplinger of the Kiplinger W ashington Editors, on “ The Financial Com m unity T oday.” The program will include tw e n ty concurrent sessions covering a variety of key banking concerns including in terstate banking, F'ed T.J. WAGEMAN G.M. MELICK pricing, float m anagem ent, the Bank LaSalle N ational Bank, Chicago, will Secrecy A ct, capital ratios, p ro d u ct^ conduct a workshop on asset and ivity m easurem ent, net interest liability m anagem ent and, on T ues m argins and product strategies, developm ent, inform ation day, Gail Melick, executive vice ATM president of operations and m anage system s m anagem ent, and data m ent services, C ontinental Bank, processing contingency planning, 0 P articipants will have the oppor Chicago, will conduct an operations tu n ity to view an extensive vendor workshop. On W ednesday, Septem ber 30, the exhibit area. Special leisure tim e association will hold its annual activities have been scheduled m eeting, officer installation lun throughout the convention in c lu d in g cheon, and annual banquet. Also optional tours and on all-Hawaiian scheduled is a general session on floor show. m anagem ent developm ent entitled “Banking ’81: More Change, More Challenge, More C om m itm ent.” Northern Trust Acquires • Prior to convention, NABW O’Hare Banc Corp. Stock members will be able to atten d two of N orthern T ru st Corp., which owns the Educational F oundation’s M an The N orthern T rust Company Bank agem ent Development Sem inars. in Chicago, apparently is the f ir s || The M anagem ent Process Sem inar is m ajor bank to announce an scheduled for Friday, Septem ber 25, acquisition under new Illinois law and the M anagem ent of Conflict and Change Sem inar is set for Saturday. th a t becomes effective Jan u ary 1. In addition, the Educational N orthern T ru st announced last Foundation is holding its annual m onth it has agreed in principle t # dinner on Sunday, Septem ber 27, purchase all the 616,093 shares of with Ellen Goodman, nationally O’H are Banc Corp. for $32.61 each. syndicated colum nist, as the featured The la tte r’s subsidiary, O ’H are speaker. A t th a t tim e, winners of the International Bank, had $165 million # association’s National, Memorial, in assets June 30. The recently enacted Illinois law and Jean A rnot Reid scholarships perm its banks to begin acquiring will be announced. other banks in their own region and one contiguous region, from am ong Carter Golembe to Keynote the five regions set up for the s ta te # BAI National Convention Banks also m ay open a third limited C arter H. Golembe, m anaging facility in their own comm unity. associate, Golembe A ssociates, Inc., Thom as F. Seay, who w ith his will be the keynote speaker a t the family owns 57% of O ’H are Banc opening general session of Bank shares, is chairm an of th a t com pany# A dm inistration In s titu te ’s 1981 na- and the bank. WANTED: Banking professionals ready to accelerate development of their management potential and join the ranks o f ... TOMORROW’S BANKING LEADERS Does this sound like you? Then you’re ready to seriously consider the advantages of attending the: Stonier Graduate School of Banking Here’s what Stonier can offer you: A Tradition of Quality— Respected Throughout the Banking Industry— Since 1935 Stonier has built its reputation as banking’s most prestigious school by providing the best in bank leadership training and education. A Superlative Faculty Able to Provide a Com prehensive Perspective of Banks and Banking— Sponsored by the American Bankers Association in cooperation with Rutgers University, Stonier offers you a superior faculty of over 140 experienced bankers, academicians, professionals and government officials— many of whom have achieved national prominence in their respective fields. Return to: Barbara Scotland The Stonier Graduate School of Banking An Innovative Curriculum Designed to Accom m odate a Changing Industry— Please tell me more about ABA’s Stonier Graduate School of Banking Courses and methodology are regularly updated to insure the most relevant educational experience. Students who complete three of the 2-week resident sessions held each June at Rutgers University in New Jersey . . . several between-session extension problems . . . and a thesis or research p ro je c t. . . are thoroughly prepared for management responsibilities in bank of all sizes and organizational structures. 1120 Connecticut Avenue, N.W. Washington, D C. 20036 ôôo AMERICAN BANKERS ASSOCIATION Name__________________________________________ Title____________________________________________ Bank___________________________________________ Address City___ State Act today. Attending Stonier could be the best career move you'll ever make. . . The deadline fo r applications for the June 6 -« , 1982 session Is November 1,1981 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 30 L.E. GUNDERSON President L. JENKINS President-Elect V.E.SOLSO Treasurer C.C. HOPE, JR. Chairman ABA Council ABA’s San Francisco convention will feature Community Banker OM M UNITY bankers will find them selves on center stage a t the 107th annual convention of the American Bankers Association in San Francisco, October 3-7. S tatin g th a t “ the com m unity banker is alive and well,” ABA has titled a session a t the 1981 convention as “ N ot Quite Ready to Quit, Y e t.” ABA preconvention m aterial says com m unity banker skill and vitality will be a m ajor focus of the convention, which is expected to draw more th an 12,000 bankers, spouses and exhibitors to colorful San Francisco. Em phasizing the them e noted above will be a Com m unity Bankers Division m eeting for all registrants on the final m orning. ABA President Lee E. Gunderson will be presiding a t th a t session as well as other general sessions of the convention. He is uniquely qualified to assum e those duties since he is president of the B ank of Osceola, W is., and has spent his 29-year banking career in com m unity banks. Scheduled to succeed him as ABA president at the annual election is Llewellyn Jenkins, vice chairm an of M anufacturers H anover T ru st C o., New York, the third largest bank in the nation. M r. Jenkins has served this p ast year as president-elect. The third mem ber of the ABA officer team is Virgil E. Solso, vice chairm an of The Oregon B ank in Portland, Ore., who has served as treasurer. The fourth m em ber of the team is C.C. Hope, J r., who served as ABA president in 1979-80 and has C D.T. REGAN Secy, of Treasury W.W. ALEXANDER Exec. Vice Pres. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 been chairm an of the ABA council this p ast year. Completing the m anagem ent team is Willis Alexander, J r., ABA executive vice president, who heads the association staff in W ashington, D.C. headquarters. Headliners who will address this y ear’s convention include U .S. Treasury Secretary Donald Regan, F e # Chairm an Paul Volcker, former CIA director William E. Colby, Am erican Express Chairm an Jam es Robinson, and the A gronsky & Co. panel of noted national repor ters. Special sessions of interest to bankers and wives fro i# banks of all sizes will be offered at various tim es during the convention, as well as general sessions open to the entire list of registrants. The program outline follows: Friday, October 2 % E arly bird registration will be available all day at the St. Francis Hotel. Saturday, October 3 9:00 AM: G rand opening ceremonies begin at th J^ front of the Civic A uditorium . The exhibits, Convention C entral and registration also open. 10:00-11:15 AM: A series of thought-provoking workshops are planned, under the direction of A B A ’s Banking Professions Divisions, w ith special g u id a n c ^ PAULVOLCKER Chmn., Federal Reserve W.E. COLBY Former Dir., CIA • When you and your spouse are roaming around the ABAs Exhibition Center in San Francisco, try to stop by the Full Service Bank Hdisplay area. If you do, we’ll trade you a Polaroid® tor a smile. And as soon as the spots clear from your eyes, you can take a look at the Full Service Bank Advertising Kits. There are three kits to choose from: The Cross Selling Kit, the High-Yield Sav ings Kit, and the NOW Account Merchandising Kit. Each kit con tains a comprehensive news paper and radio advertising campaign that can help your individual bank's market ing efforts. We ll also show you how to join the Full Service Bank Pro gram. And how you could win a free trip to next year’s convention. To find the Full Service Bank’s display' area, just head for the popping flash bulbs in Activities Area A. © 1981 American Bankers Association https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 32 8:00-9:15 AM :A nother series of concurrent w ork^ shops will be presented. Topics of special interest t® com m unity bankers will be am ong those featured. 9:30 AM-Noon: ABA President Lee E. G underson leads off the first general session, followed by former C .I.A . D iretor William E. Colby. Am erican E x p re s^ Chairm an Jam es Robinson will then address the crucial question of non-bank competition. 2:00-4:00 PM: Planning and m anagem ent are addressed through a forum and breakout sessions, organized by bank size. £ ABA Convention program . . . J. ROBINSON Chmn., Amer. Express from the Comm unity Bankers Division. Exam ples of the tim ely topics to be covered include variable rate lending, asset-liability m anagem ent, pricing services and staff retention. Afternoon: Noted economists will present the econom ic/investm ent outlook for year-end 1981 and beyond. 4:00 PM : The exhibits and Convention Central close. Sunday, October 4 8:00 AM-3:30 PM : The exhibit hall and Convention Central are open. E arly birds will get the w orm —th a t is, free coffee and doughnuts in the exhibit hall. 9:30-10:30 AM: The Reverend Robert Schuller is the featured speaker a t the Fellowship G athering. Rev. Schuller’s weekly one-hour television program , ‘‘Hour of Pow er,” is broadcast on more th an 140 stations in every state in the U .S. and several foreign countries. 10:45-11:45 AM: A series of concurrent special interest sessions will be held on vital banking subjects. Evening: ABA hosts a gala reception at the architecturally innovative H y a tt Regency E m barca dero, appropriately located in San Francisco’s financial district. M onday, October 5 7:30 AM-12:30 PM: The exhibit hall is open. 7:30 A M -12:30 PM : Convention C entral is open. Tuesday, October 6 7:30 AM-4:30 PM : Convention Central is open. 7:30 AM-4:30 PM : The exhibit hall is open. 8:15-9:15 AM: M onday m orning’s co n c u rre n t workshops are to be repeated. ® 9:30-11:45 AM: ABA elects the officers th a t will lead the banking industry during the coming year. A fter rem arks by ABA Executive Vice President Willis Alexander, Agronsky & Co. will be featured. ^ 2:00-4:30 PM : The previous afternoon’s prograrn continues with a tu rn to techniques and innovations for success. 4:30 PM: A grand prize draw ing will be held in the exhibit hall. ^ Evening: ABA will attem p t to outdo its Sunday reception with an extravaganza at the world-famous Fairm ont Hotel on Nob Hill. W ednesday, October 7 8:30-10:30 AM: The closing session is scheduled t ^ include addresses by U .S. T reasury Secretary Donald Regan and Federal Reserve Board Chairm an Paul Volcker. Also on the agenda is ‘‘N ot Quite Ready to Q uit, Y e t,” a certain-to-be inspiring explanation by severaL comm unity bankers (and possibly a c o m m u n ity banker’s spouse) of why they are convinced th a t com m unity banks ‘‘ain’t dead y e t.” 10:30 AM: The 1981 ABA A nnual Convention adjourns. Begin planning to attend next y e a r j^ convention in A tla n ta , October 16-20. Hr MasterCard Travelers Cheque Program Attracts 29 Banks as Charter Members TOTAL of 29 U .S. and Canadian A banks agreed to become charter members of the M asterC ard Travel soon surpass Visa in the num ber of issuers and will become the principal challenger to Am erican Express in ers Cheque program during the U .S. the very near fu tu re .” C harter Period which ended Ju n e 30. Am ong the larger financial in stitu Several more financial institutions tions th a t have recently become have expressed interest in participa charter members of the M asterC ard ting in the M asterC ard Travelers Travelers Cheque program are: Cheque program , and further a n N ational B ank of D etroit, B ank of nouncem ents are expected soon. M ontreal, F irst N ational B ank of ‘‘Though M asterC ard Travelers Boston, M ercantile T ru st Co. N.A . Cheques are the m ost recent entry in (St. Louis) and F irst Haw aiian Bank. this field, we’re gaining ground The first banks to announce their rapidly,” stated Russell Hogg, participation in the program and president and chief executive officer issue M asterC ard Travelers Cheques of M asterC ard International. ‘‘D es were: B ank of Virginia (Richmond), pite the various num erical projec Continental Illinois N ational Bank tions of our com petitors, we expect and T rust Co. (Chicago), F irst M asterC ard Travelers Cheques will National Bank of Cincinnati and N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 S eattle-F irst National Bank. Mr. H ogg said ‘‘M asterC ard gives# medium-size and even smaller banks the advantage of a readym ade product and the economies of large-scale operations w ithout the need to establish their own sy s te m .# The M asterC ard program ,” said Mr. Hogg, ‘‘has simply been designed to give the banks a much greater share of the p ro fits.” M embers of the M asterC ard # Travelers Cheque program will contribute .1% of sales as p a rt of their fee for the am ortization of sta rtu p costs. W hen the program is fully amortized, charter members w ill# be reim bursed for their contributions on a 2-for-l basis. Financial institutions which agree to join the program during the current Initial Issuers Period will be reim bursed on a® 1-for-l basis. 33 W hat can we do for you? Just ask any one of these Commerce Bankers attending the ABA Convention. James M. Kemper, Jr. P. V. Miller, Jr. David A. Rismiller B. M. Lamberson Chairman Vice Chairman President Vice Chairman, Commerce Bancshares, Inc. John R. Owen David W. Kemper John J. Williams H. C. Bauman Lawrence H. Holden Executive Vice President Senior Vice President Senior Vice President Vice President Vice President Commerce Bank g%WT- *. ns of Kansas City 9th & Main 234-2000 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 10th & Walnut MEMBERFDIC 12th & Charlotte N orthw estern Banker, S eptem ber, 1981 34 BEAUTIFULLY restored Victorian dw ellings from San Francisco’s by-gone nostalgic years appear to have turned their backs on the 20th century with complete disdain. The business skyline of the City by the Bay forms the background for this picturesque setting. RIGHT— C hinatown’s photogenic front door, gateway to the W est’s biggest Chinese settlem ent, is guarded by temple dogs and roofed with green, glazed tiles surmounted by ocher dragons. San Francisco has it all! CABLE CAR tracks for the Van Ness Ave., California & Market Streets line lead past luxury hotels on Nob H ill, up-turned roofs of Chinatown, high-rise b u ild in g ’s of San Francisco’s “ Wall Street” to the bay area on this steep , 10-block stretch. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 H E T H E R you call it the Paris of the W est, BaghW dad-by-the-Bay, the G ateway to the Orient or ju st San Francisco, the site of this y ear’s American Bankers Association annual convention is one of the m o ^ exciting and scenic cities in the world. Sightseeing M usts H osting more than 3 million visitors a year, San Francisco’s principal attractions are its c e n tu ry -o li cable cars, A m erica’s only mobile N ational H istoric® Landm ark . . . the 80-some year-old Cable Car Barn at W ashington and M ason Street . . . Fisherm an’s W harf w ith its bayview restaurants and colorful fishing craft . . . Pier 30’s village of w aterfront attractions . . . T h ^ Cannery restaurant-retail complex and adjacent A quatic Park, home of the M aritim e M useum, Ghirardelli Square and a flotilla of vintage ships. There’s also A lcatraz, once the site of the U .S .’ toughest m aximum security prison, now a N a tio n ^ P ark . .. Chinatown, the largest oriental enclave outside of Asia . . . Golden G ate P ark w ith its Japanese Tea Garden, Steinhart. A quarium , M orrison Planetarium , de Young Memorial and Asian A rt M useum s and over 1,000 wooded acres . . . Mission Dolores founded by th<^ Spanish padres in 1776 . . . the pagoda-crowned Jap an Center . . . Jackson Square, a handsom e pocket of historic B arbary Coast buldings, now a home furnishings center . . . the Victorian shopping sector known as Cow Hollow on outer Union Street . . . Oceai0 Beach and Seal Rocks . . . the N orth Beach night life district. The city supports an opera w ith a glittering tradition, a sym phony orchestra in its 68th season, a ballet th a t has won world acclaim, an annual International F iln # Festival, four public a rt m useum s and dozens of galleries, legitim ate theaters presenting top offerings from New York and London and the local production circuit and a resident repertory company, the American Conservatory Theatre , of exceptional caliber. # Built on a series of more th an 40 hills, alm ost every other street points the way to a panoram ic view of the San Francisco Bay. The principal hills, which early earned San Francisco the Roman sobriquet of “ City of Seven H ills,’’ are Nob, Russian, Telegraph, Twin Peaks!® M ount Davidson, Rincon and Lone M ountain. , 1 ^ j , [ F o u r g o o d reasons w h y y o u s h o u ld choose LaS alle as y o u r c o rre sp o n d e n t b a n k ... Bill Love Vice President _ ® O Dick Brown Vice President Rudy Frank Vice President Dick Flesvig Assistant Vice President When you choose a Correspondent Bank, you want a bank that shares you r organization’s commitment to success. r At LaSalle, our team is dedicated to helping you r Bank achieve its goals. We are a valuable resource fo r bankers who appreciate and demand the best. Talk with us a t this year’s Iowa Bankers Convention. LaSalle. Choose on e hank above aU others. LaSalle National Bank 135 South LaSalle Street Chicago, Lllinois 60690 ( 312 ) 443-2769 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 36 Announcing the 1981 Northwestern B dl Telemarketing Seminars. Learn how to use Long Distance for all it’s worth. Make reservations now. Return coupon or call toll-free: 1-800-328-4535 (E xt. 6 8 6 ). In Minnesota, call toll-free: 1-800-752-4225 (Ext. 656). Our FREE Tele Marketing Sem inar will help you: • Make more sales • Reach new m arkets • Improve collections • Service small accounts • Revive inactive accounts • Cut travel expense • Turn inquiries into sales • Save time every day § Northwestern Bell □ Y es, p lease reserv e a p lace for m e at th e T eleM arketing Sem in ar and call m e w ith details. N a m e ____________________________________________ Title F irm _____________________________________________ A ddress _______________________ P h on e __________ City ______________ State ______ Z ip_________ R eservatio n s also b ein g tak en for Data and T elecon feren cin g Sem inars. M ail to: N o rth w estern Bell, B u sin ess S ales Center — 2M, 75 South 5 th Street, M in n eap olis, MN 5 5 4 0 2 DigitizedNfor FRASER orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 37 Annual livestock and ag outlook —A N orth w estern Banker S u r v e y — 9 E S P IT E predictions of another bum per crop in D 1981, m ost farm ers and ranchers appear to be facing another bleak year of little or no profit, due to weak prices for both grain and livestock, escalating input costs, and continuing high interest rates. B ut, w ith the eternal optim ism th a t has characterized the American agricultural scene for centuries, the n ation’s farmers ^ continue to set a productivity pace th a t should be em ulated by all other industries. In this A nnual Livestock and A gricultural Outlook issue, a num ber of agricultural bankers express their viewpoints assessing agriculture’s current statu s, ^ dram atic changes th a t are developing, and its potential for this nation and the world. This exclusive survey is conducted annually by the N o r t h w e s t e r n B a n k e r . On the following pages, the first p a rt of the ag study reflects banker response to the annual ag survey itself. ^ The second p a rt contains a sum m ary of rem arks given by four of the nation’s leading ag bankers a t the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis American Bankers A ssociation’s A gricultural Banking News M edia Sem inar a t Iowa S tate U niversity in Ames in July. This press conference m arked the opening of the A B A ’s first National Advanced A gricultural Banking School at Iowa State, which will be an annual ag school on th a t cam pus. The third p a rt is a report from the M idwest Banking In stitu te, a two-year ag program held one week each summ er a t the M orris, M inn., campus of the U niversity of M innesota and sponsored jointly with the U niversity by the M innesota Bankers Association. The fourth p a rt consists of an exclusive report from a professional livestock farm er, Jam es A. M ullins, who is chairm an of the N ational Livestock M eat Board Beef In d u stry Council. He takes a candid look a t the three areas he says will hold the key to future financial stability for his im portant industry. This special four-part report is intended to give our readers more inform ation from their fellow ag bankers and experienced ag teachers th a t m ight be helpful. □ N orthw estern Banker, S eptem ber, 1981 38 Part I Annual livestock and ag outlook JERRY HENRY, A sst. Vice Pres. & Ag. Rep. Crawford County S tate Bank, Robinson, 111. OG SU PPLY will continue about the same as the H last two years, with very little expansion. Prices will continue in the mid $40 to low $50 range th ru the year end. Some producers will break even, some will continue to lose. C attle supply will decrease and rates will m ake it impossible. Yearlings will cost $2-$3 over fat cattle prices this fall. Grain production will be a little below average. Late plantings will h u rt corn yields, bu t favorable growing conditions m ay offset this. A lot of bean acreage, but again, late plantings. W eather will be the big factor. Prices locally, with lower livestock num bers will be depressed th ru harvest. Corn will be under $3, beans under $7. E xport dem and will probably shape the grain m arket. Local financial institutions should be able to handle ag loans in the future. I believe any m ajor expansion plans by farmers have been shelved for the tim e being. Any adverse weather (early frost) could change this outlook, overnite. We are currently in the 18-19% range on ag loans. Overline financing costs the custom er m uch more, and he is aware of it. JACK A. KOBERG, President Fairm ont National Bank, Fairm ont, M inn. H E OUTLOOK for beef and hogs for the rem ainder T of 1981: There is an ample supply of beef in our area. Prices are averaging in the mid to high $60 range. There is an ample supply of hogs, with the average in the high $40’s. We anticipate yearlings to be in the high $60’s to low $70’s this fall. Supply seems to be able to more than keep up with demand. Probable grain production in our m arketing area: Corn and bean crops look excellent in our trad e area, with the exception of a few areas where hail has done much damage. Corn should average in the neighborhood of 125 bushels, and we are estim ating the price to be in the $2.75 to $3.00 price range a t harvest. We a n tic ip a te 40-bushel beans, with a price range at harvest in the neighborhood of $6.75 to $7.00. Funding of ag loans: Banks should have no trouble funding ag loans in our trade area. Loan dem and h a sbeen very static over the last twelve m onths. We are* currently charging a rate of I 8V2% for our best ag custom ers. The city banks are anxious to get overlines, b u t we have been able to satisfy our overline demand through other rural banks th a t we are acquainted w ith.^ The PCA is a good source of funds for com m unity* banks. In our area the PCA is very active in the farm sector, and as of this point we have not had the need to work w ith the PCA for funding in our bank. We have certainly indicated a willingness to cooperate if the neecj^ arises. * DONALD G. JORGENSON, Vice President Converse County Bank, Douglas, Wyo. E A RE NOT able to predict prices in our area, b u t^ when it comes to price - we ask w hat will the feeders W pay for the yearlings? We have had plenty of rain during our grass season and should have good weight on yearlings and calves this fall. ^ Ranchers last fall did anticipate some dem and for breeding stock in this drought area in other adjoining states, b u t it continued into the spring of ’81, and so we did not sell them before as they thought, and we increased some of our herds over and above replacement® num bers, so supply is good in this area. We are in need of good snow this w inter to build up reservoir supplies and fill dam s in grazing lands. Prices anticipated by ranchers in this area are going to be in a range of probably 65 cents to 70 cents on® yearlings. W ith the range in good condition in m ost areas they will probably hold them for a couple of extra weeks. Our bank presently is experiencing no difficulty in financing our ranch needs. The rancher has felt higher® expenses as probably everyone has and this means some have had higher loans th an in the p ast. Our current loan rate is 19.5% and m ost ranchers are paying this rate of interest. Banks in our area appear to have funds to serve® agriculture and would experience no problem handling ranch loans now or next spring. M any ranchers have dual incomes - m eaning cattle and oil. This helps out m any problem areas. As a whole, we are looking to 1982 to be a better year® for our entire economy. ROBERT D. PATTEN, Vice Pres. & Farm M gr. Monticello S tate Bank, Monticello, la . ® H E TOSS of a coin is a definite way to make a decision but, would you believe it, it ’s ju s t likely to T become stuck on edge in a crack in the floor. Forecasting for the next six to twelve m onths m ay be compared w ith® the above coin toss. The pain of forecasting m ay be eased by being brief. C attle: Very few cattle feeders have been happy the p ast two years. Celebrations are not in order for this year, although some recovery of fat cattle prices m ay® occur this fall. Lots of forage, grain and the fat m arket N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 39 ^ price recovery will stim ulate the urge to bid up feeder ^ c a ttle prices. Hogs: Still w orth the effort to stay in the business, especially if a producer has the m angem ent ability. Corn: Bum per crop prospects. In spite of poor crop ^ conditions in some corn belt areas, prices will average lower the rem ainder of this year. Prices will average under $3.00 for the balance of the year. Soybeans: Excellent crop prospects. The same statem ent regarding price can be m ade about soybeans, ^ a s was stated about corn. E stim ated at $6.50 per bushel and under for the balance of the year. Loans: Sufficient funds for agriculture. We have no overlines w ith correspondent banks. Current interest rate on agriculture loans is 17 %. (Please do not ask w hat ^ t h e rate will be next m onth. The coin ju st landed on edge!) W A LTER D. NY STU EN, Senior Vice President F oster County B ank & T ru st Co., C arrington, N.D. E HAVE no commercial producers of hogs in this country. W A s for cattle, m ost producers are not very optim istic for year end prices. They are expecting yearly prices to about 60 cents. In our area, early reports are th a t the small grain will bear good yields; however, there will be a large variation in quality. Nearly all small grain will go into storage since we expect prices will not be m uch over loan. • Sunflower crops appear excellent so far, b u t m ost fields are in early bloom so m ost fields will need another m onth of frost-free weather to m ature. M ost farm ers here expect more problems w ith m arketing than w ith production of their crops. • Yes - m ost com m unity banks will be able to fund ag loan needs. They will be able to m ake arrangem ents through correspondents or credit companies available to them . We in N orth D akota are fortunate to have the B ank of N orth D akota which has given us good service • a n d cooperation. Since our bank has its own credit company, which discounts loans w ith FIC B , we do not use the local PCA as a source of funds. 0be • G E R A L D C . H U N K E , C hairm an& C .E .O . F irst N ational Bank, W est Point, Nebr. INCE W est Point is predom inantly an agricultural trade area, your feature title - A nnual Livestock & 0 A g Outlook Report - is the crystal ball for which answers become more im portant each year. In checking w ith local buyers, we see no problem w ith obtaining feeders for the lots this fall. Longer term we m ay see fewer num bers available, as some cow calf sets ^ w e re sold in drought stressed areas, w ith the cows going for slaughter and calves weaned earlier th an usual. This came about because of the high cost of hay, where pastures could not support their usual num bers. This fall we will not have dollar a pound calves, as 400 0 weight steers are bringing $72 to $74 a hundred, and heifers $64 to $66, w ith 600 weight cattle a t $66 a hundred for steers and $58 to $60 for heifers. M any of our farm ers are diversified. Along w ith their cattle operation they are farrow to finish in the hog business. It takes a ^ c e rta in kind of person to run a good hog operation and we are fortunate to have m any of them . W ith February hogs S https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis at $54 on the board, it would seem we could lock in some profits in the hog business. Longer range we m ust remember hog num bers can increase w ithin a six m onth period, depressing prices again. Irrigation is expanding rapidly in our county, but m ost acres are still dry land crops. Grain production ranges from below normal to excellent, w ith m ost fields looking very good. We were dry early, b u t rains coming in m id-July changed the potential greatly, especially on soybeans. W ith the potential crop coming up we could see corn under $3.00. Soybeans are currently around $6.55 cash, w ith fall delivery of new beans at $6.33. An early frost would be about the only thing th a t would cut soybeans yields in our area. Banks in our trade area should be able to fund the ag loan needs. The im portant aspect of lending today is to m onitor credit to avoid potential losses. C urrently, rates run around 11V2% to 18 V2% in our rural area; however, for overline lending, they can expect rates of 19V2% to 20V4% . Country banks m ay find it some w hat more difficult to overline, w ith city correspondents, b u t I still think we need to look a t all credits very closely, and this will make them easier to sell. We set up an A gricultural Credit Corporation with FICB prior to the PCA having a full-time office in our comm unity; therefore, we have not had an opportunity to overline with them . Our A gricultural Credit Corporation has worked well for us. DICK VAN PE L T , President B ank of Laramie, Laram ie, Wyo. OUR A R EA , we have had an excellent grass year an easy winter. We did not harvest the hay crop Ith aNafter t we usually cut b u t m ost ranchers had a considerable am ount of carry overs. Depending on the winter, hay should sell in a range of $65-75/to n . As of today, early A ugust, the fall cattle m arket looks a bit tough for the producer. There has been very little interest in contracting cattle in our area because of reluctance of both buyer and seller to p u t their names on the dotted line. Feeder cattle prices have dropped substantially since last fall and I am not optim istic about much im provem ent in the near future. Even with reduced num bers, the whole system lacks vitality. I think we will sell yearling steers in a wide range this fall w ith the bulk going out at $60-63/c u t for 700 lb. steers in October and $67-72 on 400 lb. calves. Prices could improve in November and December if there is any N orthw estern Banker, Septem ber, 1981 40 improvement in the fat cattle m arket and a lowering of interest rates. Our current interest rate on ag loans is 18 % and we will be able to fund our ag custom ers in their needs as I think m ost banks in our area will be able to. We also have an excellent relationship with our correspondent bank on our over lines. ROBERT L. REIQUAM, President F irst N ational B ank in Miles City, M ont. HE OUTLOOK for cattle this fall is not good. While num bers are down in Southeastern M ontana T because of the previous two years of drought, this evidently isn’t the case nationwide, as USDA tells us the current cattle count is up to 125 million head. We had some lifesaving M ay - June rains th a t grew some grass and there should be good weights on both calves and yearlings. As of early A ugust we have not had any contracts on either calves or yearlings. Our producers need $1.25 on steer calves and $ 1.00 on yearlings, b u t current m arkets, futures prices, feed prices, interest rates and other costs of the feeders tell me we’ll be darn lucky to see 75 cents and 65 cents. T h at won’t pay up m any bills, pay interest and certainly w on’t retire much debt and allow any for living w ith cost factors as they are. G rain production in Southeastern M ontana is ju st short of phenomenal. W inter w heat yields are about the best ever, where hail has not been the grim reaper. Again, price is not exciting. F reight is a killer from here and it looks like the low $3.00 area is about where the m arket will s ta rt on dark hard w inter wheat. Increased sales to Russia or China would be a psychological boost, b u t I am not optim istic about th a t happening before the end of this year. Com m unity banks could certainly fund ag loan dem ands, b u t rate advantage for PCAs is m aking competition a bit rough. We have not had any difficulty in funding overlines with big city banks, b u t custom ers have balked a t “ prime plus’’ interest rates. We establish in-house rates for ag and commercial loans on a weekly basis dependent on six-m onth m arket costs, as these assets-liabilities are nearly a direct offset. Six m onth m aturities or rate adjustm ents are a m axim um , as we try to keep pace w ith the gyrating money m arkets. The first week of A ugust “ best ra te ’’ was 19%, b u t it will change again next week. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 I don’t see anything good about PCAs for c o m m e rc ial banks. PCAs have done an outstanding job of providing liberal credit at lower cost to farm ers and ranchers, and their expanded powers under the Farm -Credit A ct Am endm ents of 1980 will provide opportunities far beyond th a t ever expected when the concept of co-op# lending was formed. The FCA will be back to Congress in the future w anting a few more little favors like tru s t powers, leasing authorities and transaction accounts. They will appreciate commercial banks continuing to purchase their sta te tax-exem pt bonds, however. £ The division of the banking com m unity over the Farm Credit A m endm ents of ’80 was clever strategy for the proponents. I t will be interesting to see how m any commercial banks benefit from this act. I t appears to me th a t a good m any of the larger banks will be elim inated# because they will be accused of having other sources of funds, the small banks because of insufficient capital, and a good m any in the middle because of other technicalities. I hope I ’m wrong. A g financing, as with all small business, will be to u g h # in the next couple of years. There will be m any failures, both of the businesses and in the attem p t for constructive financing. The survivors will be much wise and financially sound. KENTROM, Senior Vice Pres. & A gR ep. F irst N ational Bank of Blooming Prairie, Minn. ASIC outlook on cattle and hogs - m arket ste a d y ^ w ith increasingly higher production costs th a t will continue to narrow m argins on both. Basic outlook on grains - w ithout some news, bullish or bearish, we expect steady m arkets for the coming year. # If country bankers will take the initiative to explore other sources of funds they should have no big problem supplying credit to ag in their areas. The only problem w ith overline financing with city correspondent banks is the high rates being charged relative to other sources o f# credit. We feel PC A is an excellent source of funds for our bank in th a t they have very com petitive rates and thenpeople have a good deal of expertise in local agricultural problems. Our local PC A has been participating o u r# overlines for nearly eight years. Our relationship with PCA has been very beneficial to our bank and our custom ers. We are presently exploring the possibility of a financing relationship w ith FICB directly also. • ROGER J. HOLCK, Vice Pres. & Ag Loan Officer Citizens N ational Bank, Charles City, la. H E G EN ER A L condition of crops in north Iowa i s # excellent. Frequent rains and ample heat units have produced potential record corn yields. There is concern, however, th a t the soybean crop m ay suffer some yield loss because of excessive m oisture. The exception to the bum per crop potential is the large area th a t has suffered # hail dam age. A late June hail storm caused excessive dam age and thousands of acres of soybeans were replanted. In the event of an early frost, the replanting effort would be fruitless. Grain prices rem ain stable and in m any situations the # return from grain will not meet production costs. The 41 orim ary variable element is land usage cost. Continued E ffo rts m ust be made by farm ers and lenders to seek creative ways to insure a higher return and, in turn, hedge against the risk of high production costs. O pportunities are available now w ith the use of the f u tu r e s m arket and forward contracting to “ lock in” a p ro fita b le return for both the 1981 and 1982 crops. The livestock outlook rem ains depressed. Producers who are carrying a large facility debt have little, if any, profit rem aining once production costs are m et. Again, a ^ n a rk e tin g plan which involves the use of the futures niarket has and will continue to allow a profitable return. Producers who m arket frequently seem to have an advantage, because of cash flow, over the producer who m arkets once or twice a year. The beef producers m ust R espond to the consum ers’ dem and for lean beef and not let pride cause them to over-finish cattle and consequently take a dock on the m arket price. This fallacy is also complicated because of lower feed efficiency; therefore, less return per bushel of corn fed. l i v e s t o c k expansion will be at a m inimum until profitable returns become the rule rather th an the exception. • DICK STIN SO N , Vice President Rock Falls N ational Bank, Rock Falls, 111. I F E E L the outlook for the following will be: ■ Hogs Supply: Feeder Pigs - up. F a t Hogs for m arket - up. % Prices: Feeder Pigs - steady. A round 90 cents to $ 1 .00 per lb. F a t Hog M arket - up to $50.00 then lower into w inter and spring. C attle Very little incentive to feed cattle! ® Feeders: Supply should be large; dem and slow; prices - steady to high. F a t Cattle: Price outlook - below profit levels - $70 range. Grain Production - Excellent: Bum per corn and ® oybean yields of good quality grain. Price: Expect grain prices to move up to $3.40 range. Soybeans to stay in $7-7.50 range. Reduced livestock opportunity will keep grain prices on the low side. _ B anks - We will allocate plenty of money to finance % u r farm er’s production costs! 3-5 year interm ediate money will be even more available as banks try to m atch funds coming in on longer term investm ents. In te rest R ates - currently a t 19%, will stay high, f a r m e r s m ay sell grain earlier to reduce debt and attem p t to take advantage of the high interest they can earn on C D ’s and 2 lA year investm ents. D on’t see any big problem w ith correspondents, b u t we don’t use them much. ^ P.C .A . - could be a source of funds, b u t I ’d rather go to FICB th an to the com petition. DOUG R. A N E SI, Vice President F irst W yoming Bank, N. A .-Lander, Wyo. H E SU PPLY of cattle in the Frem ont County area of W yoming this fall and up to year-end is going to be very good, prim arily due to the very mild w inter we experienced. The m ajority of the calf crops looked very 0 good going onto grass this spring and w ith the early spring m oisture we were blessed w ith, those calves got a https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis very good s ta rt. Prices on the other hand do not look good a t all. There is very little action taking place for fall contracts and those th a t are being talked about are in the low to mid-fifties w ith only a two to four cent spread between heifers and steers. Some order buyers have indicated th a t prices on yearlings may be in the low to mid sixties. There are very few hogs raised in this area. Not a sufficient am ount to test the m arket. Grain production in our area is being described as “ the best crop ever. ” M alting barley is the prim ary grain crop grown in Frem ont County and this season growers are averaging 80 to 100 bushels to the acre. The Coors Brewing Co. has contracted m alting barley for $8.00/cw t and on the open m arket it is being purchased at an average of $6.25/cw t. Feed barley is being purchased for $5.00/cw t. The lim ited oat production is described as good w ith yield averages of 80 to 85 b u/acre and an average offering price of $5.75 cwt. The com m unity banks in our area have funds available for agricultural loan needs b u t because of the extrem ely high interest rates m ost agricultural borrowers have moved their lines of credit from the banks and are now financing w ith P .C .A ., the Federal Land B ank and F .H .A . Our b an k ’s best rate today on agricultural loans is 21% . Resultingly, we are not experiencing any problems w ith overline financing. The P.C .A . office in our area does not as a rule provide funds for com m unity banks nor do they buy over lines. M ost of the agricultural operators deal directly with the P.C .A . office. A t the present tim e the local P.C .A . office is w riting its ag lines a t 16.9% , w ith a 10% stock fee, resulting in a new interest rate of 18.75 %; not good, bu t lower than local banks. O LIV ER A. H A N SEN , President Liberty T rust & Savings Bank, D urant, la. T T H IS STA GE (A ugust 3rd) it would appear this area is headed for an excellent corn and bean h a rv e st. Even though we benefit from a river m arket, no one is overly optim istic about the price outlook. Unless som ething develops which will increase exports, the price this fall shows little chance of an increase. In the p ast this usually m eant the purchase of more feeder cattle. Losses of recent m onths, present prices of fat cattle and interest rates have really dam pened any enthusiasm about feeding cattle. If feeders rem ain in the low 60's and fats work up tow ard 70 again there m ight be some enthusiasm . M any feeders of former years have simply dropped out of the business and it is not too likely they will w ant to go back to w inter chores. If com prices don’t work upw ard I ’m certain we will not see a drop in hog production. Should this happen nationwide, we have the capacity to overproduce pork very rapidly w ith cheap grain. W ith plentiful grain selling a t a low price and unem ploym ent affecting dem and for m eat products, one can’t be overly optim istic. Loan demand has been very quiet and ample funds are available. I t isn ’t the supply b u t the price, even though we have rem ained extrem ely com petitive on rates. Unless we see general price im provem ents for farm commodities, some operators will find out w hat “ cash flow’’ really m eans this fall and winter. A fter harvest, statem ents could be interesting! □ A N orthw estern Banker, S eptem ber, 1981 42 Part II How bary< F OUR experienced agricultural bankers and a professor of agricultural finance told more than a dozen agricultural reporters and editors recently hov^ banking regulatory changes and inflation are altering the way banks do business w ith their ag custom ers. The occasion for the press conference was the opening of the American Bankers A ssociation’s first National Advanced A gricultural Banking School at Iowa S t a t ^ Funding ag loans Cost of deregulation ALAN R. TUBBS President F irst Central S tate Bank D eW itt, la. L E S L IE W. PETER SO N President Farm ers S tate Bank Trim ont Minn. l i l 'I l i P T RA D ITIO N A LLY , nearly the entire source of funding for bank loans has come from the small depositor who invested in bank savings and certificates at rates regulated by law. In effect, the small saver was subsidizing the borrower. The overall increases in the general level of interest rates, accompanied by the offering of the money m arket certificate at rates reflecting money m arket yields, began a significant change in the structure and costs of small bank deposits. The new structure reflects higher and more volatile costs and shorter m aturities. A gricultural banks have learned to accom modate this changed liability structure by changing loan pricing strategies and m atching asset m aturities to the average m aturity of liabilities. While the money m arket certificates have allowed banks to compete for deposits w ith other regulated interm ediaries, the com petition from unregulated com petitors continues to lure away deposits which otherwise m ight be available to the agricultural bank and in tu rn used to finance agriculture. Money m arket m utual funds are by far the largest and m ost successful com petitor for deposit dollars. Their grow th in the last two years is a story in itself. Since January, 1979, the assets of money m arket m utual funds have increased from approxim ately $10 billion to well over $120 billion today and recently they have been growing a t nearly $2.5 billion per week. Their assets today are approxim ately equal to the assets of the 8500 sm allest banks (these are the agricultural banks) in the U nited States. Some of the investm ent in the money m arket m utual funds gets channeled back to banking b u t rarely does it get back to the agricultural bank. m atching m aturities of loans to deposits to perm it rate changes as costs change. This, however, is often a cumbersome m ethod, particularly in fin an cin g agriculture where structuring loan m aturities to income flow is a necessity. A banker doesn’t like to be assessing interest paym ents when his farm custom er has no cash flow. M any bankers are finding the use of variable in te r e s t rates on loans a much more satisfactory m ethod to m aintain their m argin. Though variable rates are new to m any country banks and farm borrowers, they are both finding advantages in this m ethod. For the bank; ® 1. I t perm its pricing at a constant m argin, enabling the bank to pass the increm ental cost to the borrower. 2. I t enables the bank to pass on the cost of marginal^ funds in periods of tig h t money and high rates. w 3. I t perm its the bank to ad ju st rates competitively to cheaper core deposits in periods of slack loan demand. 4. By being able to pass on the price of purchased* funds, a bank can com fortably make seasonal com m itm ents in advance to farm ers which may exceed the banks core deposit base. For the borrower; 1. He is not locked in to to d ay ’s high rates. ^ 2. He has more assurance th a t funds will be available on a continuing basis, even though the cost is not known. FU N D IN G AG LOANS . . . (Turn to page 120, please) COST OF D E R EG U LA TIO N . . . (Turn to page 66, please) N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 IT H deregulation, we have seen some relief fro i# rigid usury laws, perm itting banks to price their W loans to preserve their m argins. They have done this by 43 deregulation affects farm customers U niversity in Ames, la . The four bankers discussed how ag loans can and will be funded, the cost of deregulation, £ innovative b a n k /a g services and the long range focus. Dr. Peter J . B arry, professor of ag finance a t the U niversity of Illinois, U rbana, and m oderator of the press conference, gave an overview of inflation and banking deregulation. He said the farm sector is the ^ fastest growing dom estic user of credit. He noted th a t Bank/Ag services W A LTER W. M IN G ER Senior Vice President B ank of America San Francisco, Calif. I f M f E SHOULD talk about financial services, not VV banking services. The increased com petition th a t will arise from a growing num ber of institutions for agricultural business will benefit users, b u t it will also increase the pressures on each of the institutions for ^performance in areas in which they m ay not presently be involved. The th irst th a t agriculture and agribusiness will have for capital, to which one m ust add the uncertainty arising from volatility of comm odity prices, will require not only increased borrowing, b u t also b etter *m anagem ent of the assets and liabilities controlled by farm and agribusiness operators. The financial entities will develop services th a t will provide a com petitive edge, albeit possibly short-lived, to m eet the needs of their agricultural custom ers. • Control D ata Corporation is using its electronic sophistication to provide inform ation system s for small farm ers. My understanding is th a t this pilot program has been relatively successful. I t m eans th a t smaller banks can provide extension of up-to-date information to their custom ers, large or small, to make each of their borrowers stronger operators. W ith compatible equipm ent in b a n k s, and term inals in the offices of their borrowers, operating budgets can be initiated and kept (up to date with great ease. Some of these term inals can be utilized to display some of the inform ation th a t Control D ata is providing to its pilot group of farm ers. M arket inform ation on commodities, local real estate data, leasing and rental inform ation, notices of sales, I and w eather inform ation can be quickly made available to a b a n k ’s entire serving area. • Combining portable ground stations with a satellite and a centralized com puter which ties into the U .S. # B A N K /A G SERV ICES . . . (Turn to page 83, please) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “ since 1975, to tal farm debt grew at 14.4% per year; non-real estate farm debt grew a t more than 16% and farm real estate debt grew a t a 12% ra te .” The fastest growing component of farm costs today, he said, is interest paym ent. Dr. B arry reviewed m any of the problems, risks and pressures of farm ing today, then introduced the bankers whose rem arks are summarized below. Long range focus C .N . FINSO N President National Bank of Monticello Monticello, 111. GRICULTURA L bankers will face new challenges A as banking emerges from 50 years of tig h t regulation and a generation of Regulation Q. These challenges will affect the m anner in which banks service the needs of their farm custom ers and will influence all aspects of bank operating policy. A look back at agricultural banking during this 50-year period of regulation will identify several conditions. Low interest rate regulation of savings and time deposits tended to keep the cost of funds to rural banks relatively low. These banks were then able traditionally to loan to their farm custom ers at lower than money m arket rates. As loan demand increased, rural banks were limited in their ability to compete for funds outside of Regulation Q as could money center banks and institutions by offering money m arket funds. Banks, under Regulation Q, have tended to be stereotyped since all came under the same rate lim itations and regulations. Innovation and individual ity among banks and bankers have been discouraged. I t is reasonable to assum e th a t m any of the existing financial trends in agriculture will accelerate in the future. Farm ing units will continue to increase in size. Ownership may tend more and more away from the family farm to off-farm ownership structures. The heavy load of estate taxes and increasing capital requirem ents will make it more difficult to pass family ownership from generation to generation. A griculture will specialize to even greater degrees and production will improve in quantity and quality. Capital requirem ents will increase, not only because of greater unit size, but because of the development of more sophisticated, autom ated labor saving equipm ent. Profit m argins will LONG RANGE FOCUS . . . (Turn to page 83, please) N orthw estern Banker, S eptem ber, 1981 44 Part III At Midwest Banking Institute— Ag outlook: Bright but uncertain P. HASBARGEN D. DERR O. DOERING W. BERTHIAUME ly Ä H E OUTLOOK for agriculture in the 80s is general T ly bright b u t somewhat uncertain predicted several instructors at the M idwest Banking In stitu te, which wrapped up its annual week-long session at the U niversity of M innesota, M orris Cam pus, Friday, July 31, 1981. “ I ’m optim istic about agriculture,’’ Paul H asbargen, ag-extension exconomist a t the U niversity of N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 M innesota, told some of the more th an 200 bankers attending the In stitu te. W e’ll see a strong agriculture® economy in the 80’s as a result of tig h t grain supplies. “ The price of grain will continue to increase at least as fast as the general inflation level,’’ he predicted. Because of high inflation rates though, higher debt farm ers will have lower earnings. “ Those farm ers who are highly® leveraged will have difficult y e a rs,” he said. According to Deri Derr, director of the A gricultural Bankers Division of the American Bankers Association, the overall outlook for farm ers is favorable, a lth o u g h ^ future governm ent program s will play a key role in thew grow th of farm income. Specifically, Mr. D err pointed out th a t inflation rates, international trade, transportation and energy policies could potentially have a m ajor effect on farm income. ^ O tto Doering, professor of ag-economics a t Purdue U niversity in Indiana, painted a less rosy prospect for farm ers. “ Farm land prices m ay go down or stabilize during the next y e a r,” he said. “ The best we can expect is th a t farm prices will rem ain stable . . . which m e a n s# th a t land values will actually d ro p .” This will present m ajor problems for a good proportion of the farm ing community. “ In the past, the farm er has lived with high inflation by being able to count on land going up in value.” B ut, if® land values no longer continue to increase, farm ers are going to have difficulty obtaining adequate short-term funds. A reduction in farm lending, however, will not occur if commodity prices go up enough to com pensate for stablizing land prices, Mr. Doering pointed o ut.® Thus, if commodity prices rise quickly, through a grain sale or other change in the world m arket, this potential problem could be averted. Mr. H asbargen, Mr. Derr, and Mr. Doering were j u s t ^ three of the more them 30 faculty m em bers participating at the In stitu te. The lecturers, representing academia, governm ent, farm ing and banking, spoke on topics ranging from estate planning to livestock m arketing, with prim ary emphasis on how bankers could improve q their financial analysis of farm ing operations and their financial counseling services to farm ers. Specific topics included credit analysis, futures trading, business lending, effective comm unications, as well as the economic outlook for farm ing. # “ T oday’s farm er and banker m ust be a skilled m anager with expertise in science, economics, engineering, and agronom y,” W ayne Berthiaum e, In stitu te adm inistrator and adm inistrative vice-presi dent of the M innesota Bankers Association, told® In stitu te students. “ A m ateurs don’t survive. Not in farm ing, and not in agricultural finance. The successful banker also m ust know about agri-business relations, the sources of funds, farm financial planning, pricing of services, credit analysis, plus a variety of other areas® dealing w ith the ultim ate survival and profitability of the bank and farm er.” The goal of the In stitu te, according to Mr. Berthiaum e, is to help bankers become m o re ^ professional in their handling of agricultural lending issues. E stablished fifteen years ago, the two-year In stitu te program , which is held one week each sum m er at the Morris Campus of the U niversity of M innesota, h a s ^ grown to enroll some 200 students annually. □ 45 Does your correspondent bank make investments that bring the desired return? We do— overnight or over a decade. It’s a big job, staying attuned to all domestic and international money markets. It’s a job for experts who devote all their time to the task. Experts who have access to the latest com munications and computer equip ment. The experts in Mercantile’s Bond/lnvestment Department. No matter how long you want your in vestment capital tied up, we can pro vide a plan that suits your needs. Overnight Investments. Federal funds. Repurchase agreements. Reverse-repurchase agreements. Short-term Investments. US. Treasury bills. Agency obligations. C o rre s p o n d e n t B a n kin g D ivisio n M e rc a n tile Trust C o m p a n y N.A. St. Louis, M O (314) 4 2 5 -2 4 0 4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Tax-free municipal notes. Commercial paper. Large certificates of deposit. Banker’s acceptances. And almost any other type of money market instrument. Longer-term Investments. U S. Treasury Bonds. Agency obligations. Tax-free municipals and other long term debt instruments. Safekeeping Services. The last thing you probably need is the inconven ience and risk of shipping certificates back and forth. Save that hassle by keeping your certificates in our vault: we’ll provide computer reports for your records. Just Plain Good Advice. No, we can’t make any final decisions for you. But we can help you make deci- sions wisely. By keeping you up-to-the minute on constantly-changing money and securities markets. That’s why we keep a service office on Wall Street. And why we’ve invested in computers. And keep access to the Federal Reserve Book Entry System. All these keep you informed and let us execute your buy/sell orders im mediately. They’re your best guaran tee of desired return. What’s more, Investment is just one of our correspondent services. So call a Mercantile Banker today. W e’re with you. M = R c n r m i= BOIX N orthw estern Banker, Septem ber, 1981 A rt created from an original collage by Lou Beach. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M oney,A nywhere In JHe World, We Ca n Help. To discover and develop opportunities at home and abroad, corporations need a financial resource that goes beyond traditional banking services. A resource that is worldwide in scope, and skill. By looking forward, by pre paring to meet the challenges of our ever changing business environment, Security Pacific Bank has become that resource. We can help corporations build in Los Angeles or London, lease in New York or Frankfurt, buy in Miami or Tokyo, sell in Chicago or Hong Kong, acquire in Seattle or Sing apore, hedge in Boston or Bangkok. Security Pacific experts are committed to giving corporations strong, consistent support in all financial areas all across the country, all around the world, all around the clock. If you’re a cor porate officer, remember this: Each day the sun rises, there’s a bank that can help you find oppor tunities anywhere you w ant to look for them . Security Pacific Bank. • SECURITY PACIFIC BANK ©1981 SPN B https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 48 Part IV Beef industry at crossroads 3 areas key to financial stability W ritten especially for T h e N o r t h w e s t e r n B a n k e r By JAM ES A. MULLINS Chairm an, N ational Livestock and M eat Board Beef In d u stry Council, Corwith, la. H E B E E F industry is a t a cross roads. We m ust come to grips w ith problem s in three key areas to T regain a semblance of financial stability. These areas are the kind of product, product volume and level of prom otional activity cattlem en will support. Kind of Product • W hat does the consumer really want? I don’t think the industry today knows the full answer to th a t question. We know the consum er w ants a product th a t is lower in cost, contains more lean m eat and m aintains its traditional taste, nutrition and versatility. Today’s consum er is changing. We need to study the various segm ents of the m arket, determ ine their needs and w ants and produce for them . For example, two of the fastest-grow ing population segm ents are persons age 25-44 and working women. Their needs are different from those of the “ trad itional” family, which m akes up less th an 20% of to d ay ’s households. The new consumer is' different in term s of size and meal preparation tim e. Cattlem en can meet these new dem ands in two ways. F irst, a change in the grading standards can focus production on the desirability of a leaner, shorter fed animal. Secondly, through more closely defined genetic objectives, the industry can produce anim als th a t will be more economical to raise, fit the grading standards, and still meet consumer quality dem ands. Product V olume • The production level in 1980 was 105 pounds carcass weight per person. We sold at a loss, although the level was down from a high of about 130 pounds per person. Obviously, we are producing too much beef for the dem and to make the business profitable. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 7981 ^ oeals e-ivw We recognize th a t a m ajor reason for decreasing beef dem and is a poor economy. O ther contributing factors# include the d iet/h ealth controversy and vegetarianism . The industry will s ta rt to react to declines in dem and by cutting production further. T h at indicates a liquidation phase over the next couple of years — ju s t when reports indicate we had started building herds. This will keep# further pressure on cattle prices during the coming inventory reduction phase, a move necessary to return some profitability to the industry. T h at profit level m ay be only 80-90 pounds per person in consum ption. Level of Promotional A ctivity ® • Finally, w hat level of prom otional activity will cattlem en support? We need to include all program s of hum an nutrition and product research, educational activities for students and adults and paid advertising^ w ith retail coordination. Today, the industry is investing 3 cents per consumer. By m id-1982 we hope to triple th a t investm ent. T hat longer term goal is 30 cents per consumer. W ith these dollars we’ll find out, in more detail, w h a t^ advantages beef has in nutrition and w hat consumer attitu d es are tow ard beef and com petitive products. W e’ll develop educational program s, based on the research, for K -12 students, and concentrate advertising and point-of-purchase m aterials reaching the consum er.^ Problems Are Long-Term The problems facing the cattle industry are long-term and complex. I t ’s easy to look a t the negatives and paint a discouraging picture. B u t there are real plusses for the industry, not the least of which is consum er’s preference# for beef. W e’ve taken the first steps to build our efforts through financial contributions by cattlem en to sustain a national prom otional and research effort. Short term benefits will be minimal. Long term results will mean survival for those innovative and efficient producers# who will make up tom orrow ’s industry. □ INCREASE PROFITABILITY PREVENT LOSSES GUARANTEED MAXIMUM YIELD Home equity loans represent too great an opportunity to overlook in today’s market. Loans of this type will generate substantial income and the home owner is your most stable customer. In addition, your cash flow will be improved since the funds will not be committed for long periods of time, as is the case with first mortgage financing. The no risk ICS Home Equity Loan Profit Program provides an incentive to pursue this business in a vigorous and aggressive manner. We offer a flexible, dynamic program designed to provide 100% coverage against loss on home equity loans. ICS guarantees prompt, 100% reim bursement of the unpaid principal, plus interest and costs. You determine the rate of return on all home equity loans written. Full loss protection guarantees that return. When you determine a loan is uncol lectible, simply file the loss, and payment will be made within 10 days. ICS, a subsidiary of Old Republic International, brings you 27 years of underwriting and marketing exper tise. Currently, over 1700 financial institutions are enjoying the benefits of our unique and innovative programs covering both property improvement and home equity loans. Mail the coupon today for further information, or call William F. Schumann, President, at (312) 621-9400. Show m e how ICS can increase m y loan profit picture. Name/Title. City Phone The ICS Home Equity Loan Profit Program https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis I N S U R E D C R E D IT ^ RVICÄ^ 307 N. Michigan Ave. Chicago, IL 60601 N orthw estern Banker, Septem ber, 1981 50 John D. Mangels Elected RMA President OHN D. M angels, president, Rainier N ational Bank, Seattle, J W ash., was elec ted president of Robert M orris Associates, the national associa tion of bank com mercial loan and credit officers, in the association’s annual election on A ugust 7. J.D. MANGELS Douglas W. Dodge, executive vice president, M ercantile-Safe Deposit & T rust Company, Baltim ore, M d., was elected first vice president. Jack R. Crigger, executive vice president, American N ational B ank & T rust Company, C hattanooga, Tenn., was elected second vice president. All term s are for one year. In addition, four new directors were elected to the RMA board for three-year term s. They are John Langeland, president, Zions F irst N ational Bank, Salt Lake City, U tah; Robert P. P riest, senior vice president, M erchants N ational Bank of Topeka, K an.; G lenhallE . Taylor, J r., executive vice president, Wells Fargo Bank, San Francisco, Calif., and Edw ard J . W illiams, treasurer, Brown B rothers H arrim an & Co., New York, N.Y. Also, Michael J . H organ, who is completing a three-year term on the RMA board, was elected to fill an unexpired one-year term . Mr. H organ is senior vice president, Citibank, N .A ., New York, N.Y. The new officers and directors began their term s of office on Septem ber 1 , 1981. RMA President M angels has been with Rainier N ational Bank since 1950. He was nam ed vice chairm an of Rainier B ancorporation in 1975 and president of the bank in 1976. M angels is a mem ber of R M A ’s P uget Sound C hapter. Chilton Offers Consumer Class Action Insurance A t the recent annual m eeting of the Chilton Corporation in Dallas, Tex., Chairm an J .E .R . Chilton, III announced form ation of Chilton Insurance Company and explained its new product to shareholders in attendance. Through a national N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 general insurance agency, Chilton will m arket to banks and savings and loan associations a previously unavailable program of insurance known as Consumer Credit Class Action Insurance. A totally new coverage for the financial industry, this insurance protects the insureds against awards of actual dam ages, civil penalties, court costs and attorney fees resulting from class action law suits brought under the Federal T ruth in Lending A ct, F air Credit Billing A ct, E qual Credit O pportunity Act, and Electronic Fund Transfers Act. I t is the opinion of the Federal Reserve Board th a t m any small and medium sized institutions are not in total compliance w ith these acts and regulations because of the prohibitive expense involved in doing so. And, in spite of the fact th a t violations of these sta tu te s are subject to suits for up to $500,000 in class actions, this type of coverage has been, to this point, non-existent in the m arket. M r. Chilton stated , “ W ith our com pany’s m arket position and reputation, as well as our established relaionships with so m any firms in the financial services industry, we feel th a t providing a product such as this m akes a lot of sense. As you know, we’ve been heavily involved in credit legislation affecting our custom ers for quite some time. Not only have our people lobbied extensively on these acts, but wel have also sponsored numerous seminars to acquaint our custom ers with compliance m easures and techniques. In our view this is one more way we can help our custom ers f in the credit expansion area of their business. We believe the insurance product will lead naturally into m any new areas of assistance in the fu tu re .” < Doane-Western Unveils New National Logo The new company formed by the recent m erger of Doane Agricultural* Service and W estern Farm M anage m ent Company is “ Doane-W estern, In c .” A totally new logo has been designed for the national firm to use. in advertising, and in signage for the* more than 70 offices from coast to coast. Farm and ranch m anagem ent, real estate brokerage, m ortgage loans,^ appraisals, consultation and feasibil ity studies will be services available from virtually all offices. The company will m aintain dual head quarters in St. Louis and Denver. ^ Nationwide Doane M arketing Re search services will continue to be offered from the St. Louis headquar ters and all Doane publications will be edited there. William A. Clymor,^ president and chief executive officer, is located in the Denver headquar ters. Continental Offers Futures Service O N TIN EN TA L Bank, Chicago, has introduced a new advisory service for corporations, banks, savings and loans, and governm ent entities to help them m anage their exposure to interest rate fluctuations through the use of financial futures m arkets. The new Financial Futures A d visory Service, which is offered through the bond and treasury services departm ent, will provide continuing m easurem ent of a client’s interest rate risk and strategic recom m endations for m anaging it m ost effectively. “ The use of financial futures as a means to hedge interest rate fluctuations is not yet widely recognized,” said Dennis J . McDonnel, vice president. “ However, we believe they soon will become a commonplace financial m anagem ent tool.” C M r. McDonnell added th a t the b an k ’s initial task will be to introduce clients to financial futures concepts and the risk m angem ent results th a t can be obtained. Specifically, the new fee-based service will explore with clients the feasibility of hedging floating or fixed rate assets or liabilities, design specific hedging program s and assist in their execution, and m onitor hedged positions. M r. McDonnell said the factors leading to the b a n k ’s decision to offer the advisory service include its position as a prim ary governm ent securities dealer, its proxim ity to and long association w ith m ajor commod- ( ities exchanges, its experience with financial futures instrum ents, and the need of a wide variety of its custom ers for improved ability to m anage the risk caused by highly ( volatile interest rate m ovem ents. 51 When your agricultural customers need additional help. We make things grow. Now and then, when you need help with your better agricultural customers, it’s nice to be lined up with the First National Bank of Kansas City We’ve been lending money to farmers and the agricultural com munity for years and years. As a matter of fact, we have two officers who do nothing else. Sometimes, as much as you want to help make things grow for your customers, you need help doing it. That’s when you should con tact us. We can help you help. Call and ask for any of our correspondent officers. FIRST NATIONAL CharterBank KANSAS CITY 10TH AND BALTIMORE □ BOX 38 □ KANSAS CITY, MO 64183 □ (816) 221-2800 □ MEMBER FDIC https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e s tern Banker, S eptem ber, 1981 52 National Leader Gabriel Hauge Dies G A B R IEL Hauge, 67, one of the nation’s leading international bankers for over two decades and former economic advisor to Presi dent E isenho w er, died Ju ly 24. From 1971 u n til his retirem ent in 1979, Mr. Hauge was chair m an of the board G .HA U G E of M anufacturers H anover T ru st Company, the n ation’s fourth largest bank, and its parent company, M anufacturers H anover Corporation. Before th a t he served as president of MHC and M HT and vice chairm an of the T rust Company. His tenure included a period of legal challenge and of dynam ic growth. The 1961 m erger of M anufacturers T rust Company and The Hanover B ank was challenged for five years by an a n titru st suit. A fter settlem ent, the organization grew from $7.7 billion of assets in 1966 to $55 billion in 1980; from 200 offices in a single city to a national netw ork of more th an 700 offices in 31 states and 100 facilities in 40 foreign countries. Born in Hawley, M inn., the son of a m inister, M r. H auge was an economist by training. He received a bachelors degree from Concordia College in M oorhead, M inn., and an M .A. at H arvard. Following W orld W ar II service as a U .S. N avy officer aboard battleships in the Pacific, he returned to H arvard for his Ph.D . He received honorary degrees from Concordia, M uhlenberg and G e tty s burg Colleges and in recent years, honorary degrees from Pace College, Yale U niversity and HampdenSydney College. A thoughtful and eloquent speaker as well as a polished writer, Mr. H auge had enjoyed an impressive career in education and journalism before turning to governm ent service. He was assistan t dean of men and coach of forensics a t his alma m ater, tau g h t economics a t both H arvard and Princeton, and served with Federal Reserve B ank of New York and the New York S tate banking departm ent before moving to Business Week as editor of its “ T rend” editorial page. Subsequent ly, he was nam ed assistan t to the N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 chairm an of the executive comm ittee of M cGraw-Hill Publishing Com pany. In 1951, Mr. H auge served as director of research for “ Citizens for Eisenhow er” and in June, 1952, took a leave of absence to join Mr. Eisenhow er’s personal cam paign staff. A fter the election, President Eisenhower appointed Mr. Hauge adm inistrative assistan t for economic affairs and subsequently special assistan t for economic affairs. In 1958, after nearly six years in the W hite House, M r. H auge joined M anufacturers T rust Company as a director and chairm an of the finance comm ittee, despite the offer of a cabinet post by President E isen hower. In Septem ber, 1961 M r. H auge was elected vice chairm an of M anufacturers Hanover T rust Com pany, formed after the m erger of the M anufacturers T rust Company and H anoverB ank. In July, 1963, he was elected president of M HT and, in 1969, president of MHC, when the parent holding company was formed; J o h n F . M cGillicuddy, chair m an of M anufacturers H anover Corporation & M anufacturers H anover T rust, made this statem ent on the death of M r. Hauge: “ Some will remember Gabe H auge as th a t rare combination — successful busi nessm an and certified intellec tual, a m an of the mind bu t at home in the m arketplace. And so he was. B ut I think of him in the words he once used to descríbem e, “ as my close friend and closest colleague.” W hat set Gabe ap art was not only the brilliance of his mind b u t the character of the m an behind it: the hum or and compassion he brought to work every day; the drive for excellence in all things great and small; his active involvement as a truly public m an, working to make things better in a com m unity extend ing far beyond finance and business; his love of language and ideas and the elegance to make himself heard. As he said on the passing of a close associate, “ M ay God keep him. I wish we could.” in February, 1971 he was named chairman of the board of the flagship • bank and of M HC, the position he held until retirem ent in 1979. Minneapolis Site for ABA Blanket Bond Symposium • To help bankers deal effectively with revisions to the Bankers B lanket Bond policy, the American Bankers® A ssociation’s Insurance and P rotec tion Division will offer a Bankers B lanket Bond Sym posium on Octo ber 22 at the M arriott Hotel in M inneapolis, M inn. # The one-day program , designed for risk and insurance officers, insurance m anagers, and agents or brokers, will analyze the Bankers B lanket Bond on a line-by-line basis and g iv e# background inform ation on the reasons for and ram ifications of the changes. The Bond Standard Form No. 24 was revised by the Surety Associa-® tion of America in July, 1980. Coverage under the new Form 24 begins for each B ank on the premium anniversary date of its bond. Faculty members for this sym -® posium have served on the ABA Bankers Blanket Bond subcom m ittee th a t was initiated in A ugust, 1977, and which worked w ith the Surety A ssociation’s Bond Revision Sub-® comm ittee tow ard the completion of the revisions. Raym ond V. Brady, vice president of Frank B. Hall and Company of New York, Inc., is also m anager of® the com pany’s financial institution departm ent and a former vice president of Chase M anhattan Bank, in charge of its insurance departm ent. _ Paul V. H iggins is vice president of® Bankers T rust Company in New York, where he is responsible for the worldwide risk and insurance m an agem ent function of the bank holding ^ company and its subsidiaries. T h e W third mem ber of the faculty, John Robert Jam es, vice president of Chemical Bank, New York, is responsible for risk and insurance ^ m anagem ent for the bank, its holding company and their subsidiaries. Cost of the Bankers Blanket Bond Sym posium is $135 for ABA members and $170 for nonm em bers. ^ For more inform ation, contact Shelly Davis, ABA, 1120 Connecticut Ave., NW, W ashington, DC, 20036, (202) 467-4047. This is the only Bankers B lanket Bond symposium offered q this year. 53 // FlSI's primary thrust is the generation of fee income for financial institutions. Expertise in marketing and employee training are natural outgrowths of our years of experience. That is why we remain the nation's largest bank marketing firm with more than 2,000 client banks. The advent of electronic banking and increased competition through the Eighties serves to disclose exciting new horizons to FISI and our clients. We welcome this challenge with enthusiasm and confidence. And we welcome the opportunity to talk with you about increasing your services and your profits. " H e n r y C. M c C a l l Chairman and President fin a n c ia l in s titu tio n 49 MUSIC SQUARE WEST 615/329-2400 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis P.O.BOX 40726 800/342-2109 (TN) NASHVILLE, TN 37204 800/251-2148 (NATL) N orthw estern Banker, Septem ber, 1981 54 member of U nited W ay’s board of directors. His cam paign organization* will be responsible for raising over $1.25 million for local youth and social service agencies. South Dakota Elected at First Mitchell M. E. T u rn q u is t, c h m n ., S ioux Falls J. M. S ch w a rtz, exec. m g r . , Pierre Black Hills Elections Told Charles T. Undlin, president of the F irst N ational B ank of the Black Hills in Rapid City, announced the following elections: Dennis P. Studer to vice president- hum an resources, John C. Brown to per sonal loan officer and Carol Tacke to loan officer at the Sturgis D- STUDER branch. M r. Studer is a graduate of South D akota S tate U niversity. M r. Brown earned a BS degree from E astern M ontana College in Billings, M ont. Ms. Tacke has a BS degree from Creighton U niversity in N ebraska and joined the bank as a trainee in 1979. Dennis Everson has been elected vice president of F irst M itchell N ational B ank and will supervise the agricultural loan departm ent. H e # joined the bank in 1976. Don Bohr has joined F irst M itchell as agricultural loan officer. Mr. Bohr has gained banking experience in W yoming, M ontana and W essing-# ton, S.D. Eden Acquisition Approved The Federal Reserve Bank o f ^ Minneapolis has approved the C .P. Moore, president of N orth application by Eden Bank Holding w estern N ational Bank of Sioux Company, Inc., to become a bank the Falls, has been nam ed chairm an of holding company through the city ’s fall 1981 U nited W ay acquisition of the F irst N a tio n a l^ cam paign. M r. Moore is a current Bank of Eden. Moore to Head Fund Drive Daktronics Unveils Two New Electronic Units Aberdeen Bank Installs New Message Center FIRST NATIONAL Bank of Aberdeen has installed a new three-sided message center display at its branch in Milbank. The new Banco office is located on Highway 12 downtown. The Venus 3000 system was supplied by Daktronics, Inc. of Brookings and features two 64 column message centers and a time and temperature system w ithin the three-sided design. The display is mounted on a granite pillar supplied by the Dakota Granite Company of Milbank and installed by a local craftsman. The system features a seven day program schedule, 8000 character memory, programmable graphics and is operated from a keyboard entry w ithin the bank. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 D aktronics, Inc. of Brookings, S.D ., held a two-day sales conference in Brookings for sales representa tives from the nine sta te area and departm ent m anagers from the corporate di visions a t the home office. The highpoint of the m eeting A. KURTENBACH was the unveiling of the two new products which will be m arketed during the coming year. A new economical m essage center entitled ‘‘Olympian 80, ” to be used in sport applications and as an advertising medium for financial institutions and other businesses. The second is a swimming printing® tim er/display system . Dr. Aelred K urtenbach, president, said he was encouraged by early m arket accep tance of the products. O ther speakers a t the m eeting were® Van D. Fishback, vice president of F irst National Bank in Brookings; E rn est Edw ards, superintendent of the Brookings school district, a n d ^ Tom Lang of the Dodge R eport® division of M cGraw-Hill Company. Each presentation was related to selling procedures and suggestions when working with their re sp e c tiv e ^ institutions. D aktronics, Inc. is a designer of microprocessor based scoreboards and inform ation display system s and sells to financial institutions, schools, ^ municipalities and the sports m arket. South Dakota Group Meetings Group D ate Location 5 Sept. 14 Hotel Alex Johnson, Rapid City 4 Sept. 15 W rangler M otor Inn & Mobridge Country Club 2 Sept. 16 L antern Inn, M ilbank 3 Sept. 17 Holiday Inn, Mitchell 1 Sept. 18 M innehaha Country Club, Sioux Falls If you think your correspondent bank is stringing you along, maybe its tim e you severed the ties. Sometimes, getting the answers you need from your correspondent banker can be a frustrating experience. One that consumes too much of your valuable time. And one that could contribute to your loss of a customer. At Midland National Bank, we won’t string you along. Because most of our business as a bank comes from dealing with businesses and other banks. So, frankly, we’re willing to put a lot of effort into making our relationship with you work. We’v e organized our bank in a way that allows you to deal directly with a decision maker, rather than having to go through several review committees. Our correspondent team is dedicated to responding to your needs quickly. And, our expertise with small and mid-sized businesses puts us in a unique position to understand your customers’ needs. So the next time you feel like your correspondent bank is giving you the business, call the Midland National Bank correspondent team, toH free at 1-800-752-4200.* And see how the bank for business can go to work to improve yours. *In North and South Dakota, call 1-800-328-8678. M idland national bank Of Minneapolis An Affiliate of Northwest Bancorporation Banco We’re big enough to know how and small enough to know you. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 56 By joining hands we can do a lot better for our customers and ourselves. National Boulevard can help augment your banking operations, expanding the scope of existing services and implementing new ones for your respondent customers. Our “One-On-One” correspondent bank ing professional works closely with his coun terpart at your bank. His job: to coordinate financial resources, facilities and capabilities for maximum benefit. At National Boulevard there’s only one way—the One-On-One way—for us to work together. And when we do, we make a combination that’s practically irresistible—and highly profitable. # # NATIONAL BOULEVARD The Bank for the New Downtown. 400-410 N. M ICH IG AN AVE., C H IC A G O , IL 60611 ONE ILLINOIS CENTER (111 E. W acker), C H IC A G O , IL 60601 (312) 8 3 6 -6 5 0 0 • MEMBER FDIC Digitized for estern FRASER N orthw Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 # 57 New Branch in Lynwood Gilbert J . Rynberk, J r ., president of the F irst N ational B ank of Lansing, has announced the opening of a branch facility in Lynwood. The branch is located a t 19500 Torrence Avenue and will be m anaged by A nnette Jordan. Illinois J . A . F itc h , p re s ., C hicago W . J . H octer, exec. v . p . , Chicago Thesis Receives Honors New Computer Addition in Skokie Roger A. Reese, vice president and controller of Am erican N ational Bank & T ru st Co. in Rockford, has received library honors by the Am erican Bankers A ssociation’s Stonier G rad uate School of Banking. His thesis was titled “ Development of Elec tronic Funds Transfer S ystem s—An Illinois P erspective.” Am ong the 344 bankers graduating from the school this summ er, only 28 received this high honor for their theses. Those papers will be added to the perm anent collections of the ABA library; R utgers S tate U niversity Library, New Brunswick, N .J ., and the H arvard U niversity G raduate School of Business Library, Cam bridge, M ass. Joins Bank in Huntley Paul H . Reed has joined the S tate B ank of H untley as vice president and cashier, Presdent W ayne M il ler has announ ced. M r. Reed will work prim ar ily in operations and the legal profession will be and lending. He interested in learning the effect of this has 18 years of new law on the banking industry. banking experi Facuity for our seminars will include ence, the last 10 some of the best experts who have years as chief P. REED worked w ith structuring and acquir executive officer ing m ulti-bank holding companies of the B ank of N orth Aurora. throughout the midwest. “ Those Illinois bankers who wish John G. Heimann Joins to acquire banks, who wish to be acquired and who wish to rem ain Investment Banking Firm independent are encouraged to John G. Heim ann, 52, former U .S. a tte n d ,” said W att. Comptroller of the Currency, has D ates and locations are: A ugust joined W arburg Paribas Becker-A.G 26, M arriott O ’H are, Chicago area; Becker, the international investm ent Septem ber 2, Buckley’s Ram ada Inn, banking firm, as a m anaging director Fairview H eights; Septem ber 3, and chairm an of the firm ’s executive Buckley’s Ram ada Inn, Fairview comm ittee. In addition, he has been H eights; Septem ber 9, M arriott appointed to the board of directors of Oakbrook, Chicago area; Septem ber S.G . W arburg & Co. L td ., the 10, M arriott Oakbrook, Chicago London based m erchant bank, and to area; Septem ber 15, Holiday Inn, the advisory comm ittee of the board Bloomington; Septem ber 21, H ilton, of Paribas International, each of Springfield; Septem ber 23, M arriott which m aintains a 20% interest in the O’Hare, Chicago area. firm. ^ NEW COMPUTER sorting equipment recently installed in a controlled clim ate room in the ^ First National Bank of Skokie main banking offices in downtown Skokie, is shown to members of the banks’ board of directors by management personnel of the bank. The new sorting equipment speeds up the processing tim e by as much as 24 hours. AMBI Schedules Workshops ^ ^ ^ 0 # A new law which allows m ulti-bank holding companies in this state will be the subject of a series of workshops throughout Illinois in A ugust and Septem ber. The eight, one-day m ulti-bank holding company seminars will be sponsored by the Association for M odem B anking in Illinois. A nother provision of th a t law, perm itting a third lim ited service facility, will also be discussed. A M BI was the only m ajor banking association in the state to support and work for passage of SB 578, which creates m ulti-bank holding companies and one additional lim ited service facility. Governor Jam es R. Thom pson signed the m easure into law Ju ly 3, 1981. I t will become effective Jan u ary 1, 1982. Jam es B. W att, president of A M B I, said, “ Shareholders, boards of directors, chief executive officers https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 58 Illinois News as assistan t vice president, and was ^ promoted to vice president in 1979. He has a BA degree from N orthern Illinois U niversity. M r. Ross joined Chicago City in 1969 as a teller trainee and was £ promoted to credit m anager in 1980. * * * R. WITTMER J. ZILCH Madeline Gallagher, William Grossman, Maureen Rafa, Janice Cannestra and Guy Mandler. O ther officer advancem ents include Robyn Matsil, personnel, and Linda Sistowic, investm ent. * * * EA RS Bank & T ru st Co. has an nounced the following prom o tions, according to Donald Thorn burg, chairm an and chief execu tive officer: To second vice president: Jos eph Zawacki, in vestm ents. To assistan t vice president: Diana Efstathiou, perJ- ZAWACKI S Robert A. Klamp has been promoted to cashier of GladstoneNorwood T rust and Savings Bank, President Kenneth H. Fox has announced. M r. Klamp has been w ith the bank since its inception five years ago, and was prom oted from assistan t vice president. * * * A t M id-City N ational Bank, Marvin Kolvitz has been appointed vice president and Ronald A. Stewart assistan t vice president, President Kenneth A. Skopec has announced. M r. Kolvitz joined the bank three years ago after 28 years of banking m anagem ent experience. He was named m anager of the Executive Banking Center in 1980. Mr. Stew art has been with M id-City for 15 years. He was prom oted from assistan t cashier. * * * O’H are International B ank has become the first in the m etropolitan £ area to be directly linked to the F ederal Reserve Communications System and its on-line term inal network for the purpose of speeding wire funds transfers. Through the £ directions of depositers, O ’H are Bank transm its m essages on the FRCS which are transm itted imme diately to the Federal Reserve D ata Center. f The comm unication is then elec tronically switched and printed on a term inal a t the bank receiving the funds. This entire transaction takes only m inutes. The FRCS has 4) increased the m ovem ent of wired funds through O’H are Bank to $30 million per day. * * * In a ceremony attended by more th an 100 executives and political figures, Seaway N ational Bank recently celebrated the opening of its $1 million, 19,000 square foot addition to its main office structure. Gavin Weir, chairm an, Chicago City B ank & T rust Co., has announced the prom otions of Dallas H. Himm to senior vice president, director and personnel, m arketing and security officer, and Richard A. Ross to commercial loan officer. M r. Himm joined the bank in 1975 J. MERLIN W. SISKA sonnel; Malcolm M. Fleming, commercial banking; Jennifer Merlin and William Siska, correspondent banking; Roger Wittmer, finance and Jane Zilch, tru st. Prom oted to officer sta tu s in the tru s t division: Laurence Badesch, N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 CUTTING the traditional ribbon are, from left: Walter E. Grady, pres., Ernest T. Collins, chm n., and from Commonwealth # Edison Co., Al Westbrooks, Jr. and Cleatrus T. Henderson. D.H. HIMM R.A. ROSS The ground floor of the new addition is leased to Commonwealth Edison as a bill paying and custom er 0 service center. 59 Uncertainty. These are uncertain times. We have been in a serious recession, but we’re not sure how deep it has been or how fast we are climbing out. Money rates reached unheard of heights, but we don’t know how much they will drop or if they will drop back to normal. Some of our large, basic industries are in trouble. Our economic stability is dependent on a steady flow of petroleum imports which may or may not prove dependable. All of this uncertainty makes business lending very difficult. However, SLT can eliminate some of the uncertainty that lenders face by guaranteeing your customers’ inventory as pledged collateral. For over 50 years, we have worked with s and commercial lenders to collateralize loans and make lending safer and more profitable. Give us a call; we can eliminate uncertainty from your loan portfolio. SLT W AREHOUSE COMPANY P 0. Box 242. St Louis. Mo. 63166 • 3 1 4 /2 4 1 9 7 5 0 • Offices in Major Cities N A T IO N W ID E https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C O LLATER AL CONTROL S E R V IC E S N orthw estern Banker, S eptem ber, 1981 60 M r. Welle will preside over the ^ dinner program . The after d in n e rW speaker for the Septem ber 15,16 and 17 m eetings will be Ross H ersey, who will speak on “ Excellence and Enthusiasm in the ’80s. ’’ Speaking at £ the Septem ber 21, 22, 23 and 24 m eetings will be Newt Hiesher, whose speech is titled “ The Contagious C ure.’’ Four Promoted in Rochester • Recommends Officers for M BA Posts H E M IN N ESO TA Bankers A s sociation nom inating comm ittee T m et recently and has recommended N orthw estern N ational Bank of Rochester has prom oted Mario A nderson to vice president-real estate and Stephen Coleman to v ic e ^ president-com m ercial real estate. Ms. Anderson has served in various capacities since joining the bank in 1952. Mr. Coleman joined N orthw est Bancorporation in 1975 and trans- £ ferred to Rochester in 1980. Elected new officers were Karl Aaro to assistan t vice presidentfinancial services and Jill W irth to real estate lending officer. M r. Aaro if) is an attorney and joined the bank this spring. Ms. W irth has been with the bank since 1976. for MBA second vice president. Jam es R. Jo rsta d , chairm an, Citizens S tate Bank, H ay field, is John P. Ingebrand, H erbert A. recommended for MBA treasurer to Lund, Galen T. P ate and Jam es R. succeed Donald A. Sirek, president, Jo rsta d for endorsem ent for the top S tate Bank of New Prague. The nom inating com m ittee in elected officers in the association for 1982-83, according to M orris A nder cludes the nine MBA district son, F irst N ational Bank, Rushford, presidents. The recom mendations chairm an of the 1981 nom inating will be presented at the MBA district committee. Recommendations will be m eetings and elections will take place acted upon a t each of the nine MBA at the June 1982 M innesota Bankers Association annual convention to be district m eetings in Septem ber. held in St. Paul. A special session titled “ Regula tion Z—the T ruth in Lending Reform A c t’’ will be held for aproxim ately three hours at each of the district m eetings. Leading the program will be John Jackson, MBA general council; Michael H arper, attorney with Faegre and Benson of M innea polis, and either Sheldon Azine or John Schrank, both w ith the Federal J.P. INGEBRAND H.A. LUND Reserve Bank of M inneapolis. Following will be the annual M. ANDERSON S. COLEMAN district business m eeting, which will consist of the election of district officers and directors; election of an MBA board mem ber from districts 7, 8, and 9, and the endorsem ent of MBA state officers. The following portion of the program , “ MBA in A ction—For All M innesota B anks’’ will feature Mr. G.T. PATE J.R. JORSTAD Ingebrand and Trum an Jeffers, K. AARO J. WIRTH John P. Ingebrand, president, executive vice president of M BA. Kanabec S tate Bank, M ora, is the proposed candidate for MBA presi dent for 1982-83 to succeed R obert J . Welle, chairm an, F irst N ational D ate Location D istrict Bank of Bemidji. M r. Ingebrand is 3-4-5 Septem ber 14 Holiday Inn International currently serving as first vice A irport, Bloom ington president of the association. Septem ber 15 Sunwood Inn, St. Cloud 6 H erbert A. Lund, president, 8 Septem ber 16 B est W estern Kahler, Hibbing Security S tate Bank, A lbert Lea, is 9 Septem ber 17 B est W estern, Crookston proposed for MBA first vice 7 Septem ber 22 B est W estern, M arshall president for 1982-83 to succeed Mr. 2 Septem ber 23 Orchid Inn, Sleepy Eye Ingebrand. 1 Septem ber 24 Holiday Inn Downtown, Galen T. Pate, president, Signal Rochester Hills S tate Bank, W est St. Paul, is the recommended 1982-83 candidate 1981 Minnesota District Meetings N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 7981 THE NORTHWESTERN VIEW • Number Five W H A T T O LO O K FO R IN A G O O D A G LEN DER. Business relationships. They’re the core of banking. Perhaps in no other area of banking are they as vital as In agricultural financing. And perhaps in no other area of banking are they put to the test as often. As a banker in a rural community, you sit at the center of a number of growing business relationships. Your custom ers— farmers, ranchers, and agri-businessmen,— are dependent on your insight and resources to help them through present and future opportunities or challenges. Their business depends on yours, and yours on them. But, as a partner in a correspondent banking relationship you may not find yourself in as mutually cooperative a situation. Although your ag business may rely heavily on the help of your regional bank, the reverse may not seem to hold true. And If your regional bank no longer meets that growing need for help, it’s time to move. But whether you’re looking for a new correspondent relationship or merely taking a critical look at your existing relationship, there are certain criteria banks can and do use to evaluate a correspondent bank. Capability Of course the regional bank must have the financial resources to meet your ag financing needs. The bank must have the capacity that can give you the flexibility to plan for today and tomorrow. And large dollar lending limits are not enough. Capability should also be measured in terms of human resources— professional skills and expertise. The bank’s size Is important, because it certainly affects not only the amount of ag loans that can be funded, but also the number of ways in which those loans can be funded. A “ bankers acceptance,” for example, Is one such means of funding. Dependability Solid banking relationships ca n ’t be transient. Bankers must share the mutual trust and understanding necessary for long term growth. Unfortunately, many financial institutions and associations get into the ag lending market without a long-run comm itm ent to that market. They “ dabble” while times are good, and somehow disappear when times are troubled. Dependability isn’t easily discerned. It’s a quality proven over time and based on a bank’s reputation, the risks it’s willing to take, and its availability when you need help. Flexibility For one reason or another, some correspondent financial Institutions and associations may try to “ run” a loan. This may confuse customers and make local banks less sensititive to their needs. Even worse, it indicates poor trust in both the borrower’s and the local lender’s judgement. A good regional bank, on the other hand, listens to the need to stay flexible enough to let local banks adapt to changing situations. Innovation Using financial tools in new and different ways can be the lifeblood of a good correspondent banking relationship. And because a local bank can never predict the changing needs of customers years in advance, it pays to develop a relationship with a regional bank which not only has financial tools, but also the expertise, desire, and comm itm ent to continuously work with them. And in a world where interest rates can rise and fall In a matter of days, the best regional bank is the one with the talent and desire to innovate and react thoughtfully and quickly. Dedication First, a country bank must be dedicated to its own business—ag financing. To do this effectively its regional bank must recognize the needs of the local bank’s own customers, and offer help with needed services. Services like regional agricultural econom ic advice, estate planning, trust services, or speedy collection of large deposits. Not all banks can readily offer these. Secondly, a regional bank must be dedicated to the country bank’s welfare in its ag business market. Correspondent bankers must be willing to join local bankers out in the field, to become acquainted with customers and their problems first-hand, and, if necessary, to help educate them in the growing complexities of ag finance. For example, the process of hedging as a market tool, and what it means for bankers and borrowers alike. Look for an expert. Obviously, this isn’t a complete laundry list of criteria, and it’s not really meant to be. What it is designed to do, however, is to give you a solid starting point for a realistic evaluation of your correspondent relationship. At Northwestern National Bank of Minneapolis, we know how important an ag banking correspondent relationship is to you, and how important your selection of your regional bank can be to your success. And of course we like ag loan assets and recognize the tremendous im portance of agriculture In this region. That’s why w e’re so deeply involved in that area. From top management on down, w e’ve made a sincere commitment to servicing the ag needs of local banks and their customers. And we can offer local banks the types of overlines and related banking products they need to keep their customers growing. Our commitment, coupled with our flexibility, our expertise, and our size, has helped our bank grow rapidly over the past four years, to now rank 30th in size nationally in ag loan volume. When you’re looking for an ag partner, ask the experts. Ask us. We’ll help you serve the needs of your most Important custom ers—the farmers, ranchers, and agri businesses In your community. We’re on your side. ® N orthw estern M National Ba n k W Of Minneapolis Telephone (612) 372-8200 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis n il BANCOa 62 Twin Cities T A FFIN G of three key positions in the bond group of N orthw est ern National Bank of M innea polis has been announced by RobertC . Brown, senior vice presi dent of the bank. John S. McCune was elected vice president and m anager of sales; W. Gerald JurJ-S- McCUNE genson, vice president, has been named head of the fund m anagem ent division, and Jennifer A. Freem an, assistan t vice president, succeeds M r. Jurgenson as m anager of the asset liability m anagem ent division. M r. McCune has been vice president and m anager of invest m ents for the U .S. N ational B ank of Omaha. He had been with the N ebraska bank since 1968. Mr. Jurgenson joined N orthw estern N a tional Bank of M inneapolis in 1977, moved to N orthw est Bancorporation in 1978 and back to N orthw estern in 1979. M s. Freem an joined N o rth w estern in M ay after serving with the treasury staff of Honeywell and F irst Chicago Bank. * * * S William J . W allman was prom oted to senior vice president and tru st officer and Fred P. M ann was prom oted to vice president, accor ding to H arry C. Benson, presi dent and chief executive officer of M idland N a tional B ank of M inneapolis. M r. W allman joined M idland in 1957. He was elected tru s t officer in 1963. He advanced to vice president and tru s t officer in 1970. N orthw Banker, Septem ber, Digitized for estern FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 He is a graduate of the U niversity of W isconsin-M adison w ith a BA degree in economics and finance and a JD degree. Mr. M ann joined M idland in 1978 as assistan t vice president in commercial lending. His career background includes service in the F irst S tate Bank of New B righton, M inn.; Lloyd’s Bank in Los Angeles, Calif.; and as branch m anager at Household Finance Corporation in Chicago, 111. Mr. M ann received a degree in psychology from El Camino College, M anhattan Beach, Calif, and a BA degree in business adm inistration from the U niversity of California, S anta B arbara. * * * F irst Bank M inneapolis has announced the following promotions: From assistan t vice president to vice president: Clark H. Sweet, financial counseling, and Douglas G. H aines and Lee E . Johnson, personal tru st. From officer positions to assistan t vice president: Jam es G. Senger, foreign exchange; M artin F. Cooney, m idwest corporate banking I; K athryn B. Brewer, special loans; Ralph C. H augen, tru s t accounting; W ayne H. Ripley, tru s t system s; Cheryl E . Keindl, commercial audit, and Beverly A. A ntonich, tru s t audit. Prom oted to officer status: Evelyn H. Roden, Fred S. Johnson and Blanche G. W hite, E D P operations and program m ing; K athleen W. Flanagan, financial counseling; B ar bara B. Engen, IBD operations; M argaret M. Bannon, m idwest corporate banking I; Melvin R. Holm, commercial audit; M arilyn A. Grochala, m etropolitan corporate banking; Penny J . Thom pson and B arbara A. Knowles, personal banking center; K enneth P. Swanson and Kay P. Robinson, corporate tru st; Lorraine Charboneau, advi sory and m anagem ent agency; C. M atthew Olson, portfolio manage-(fr ment; Janice S. Belbeck, governm ent trading, and Nancy F. Shockley, deposit operations. Jam es D. Sherard has rejoined C.H. SWEET L.E. JOHNSON D.G. HAINES J. SENGER M.F. COONEY K.B. BREWER R.C. HAUGEN W .H. RIPLEY 63 ONE WHY OR ANOTHER, W E CAN LEAD YO UR C U B ITS TO W ORKING CAPITAL Use Your Asset Power. Get more mileage out of each dollar. Your assets can secure a tailor-made revolving credit line. Accounts receivable, inventories, machinery, equipment, land and buildings can be turned into Asset Money™ It’s the smoothest route for companies short on working capital, those look ing toward expansion or growing firms eager to increase sales. Or money for buy-outs, mergers and acquisitions. Bank participations. Banco Financial Corporation can help get your company off to a great future with Asset Money. Contact John Olson, Lee Mork, Robert Olson or Paul Weingart, (612) 372-7988, 780 Northstar Center, Minneapolis, Minnesota 55402. Or Jack Hart, (303) 571-0515, One Denver Place, Suite 1512, 999 18th St., Denver, Colorado 80202. Clients with considerable working capital may wish to conserve it by leasing needed equipment. Decide on a Lease Purchase Contract with a guaranteed purchase option at the end of the term. Go with a leverage lease or purchase equipment outright. Whatever your clients’ business, whatever the equipment they need-Lease Northwest, Inc. has the financing options that put it to work. Contact Dave Michael in Minneapolis at (612) 372-7416, Roger Meier in Omaha at (402) 536-2310, Jim Sheedy in Des Moines at (515) 245-3392, Chris Hoss in Fargo at (701) 293-8136, or Jim Fetzerin Billings at (406) 657-3581. Banco Financial corporation An Affiliate of Northwest Bancorporation Banco https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LEASE N0RTHW ESTJNC. Affiliated with Northwest Bancorporation jp Banco N orthw estern Banker, S eptem ber, 1981 64 Minnesota News carpet and furnishings on the main H u art to international banking floor, a lounge area for mem bers of officer, and Kevin E. Sevcik and® the Time of Your Life Club, a new Peter M. B rad t to commercial conference room and lounge area for banking officers. Daniel F. W alen has employes. joined the bond division as an investm ent officer. * * * P atrick J . Donovan has been elected vice president of N orthw est ern National Bank of St. Paul, according to L ar ry D. Buegler, chief executive officer and chair man. Mr. Donovan recently joined N orthw estern as m anager of the P.J. DONOVAN b ank’s capital banking division, Form erly he was m anager of the business owners division a t F irst National B ank of Minneapolis. He is a graduate of the U niversity of M innesota. * * * C.S. HEFNER W.J. SWANSTROM F irst B ank as a vice president-m etro politan banking. M r. Sherard was with the bank from 1970 to 1977. He ws m ost recently w ith the M etropoli tan Economic Development A ssocia tion, and has an MBA from Indiana U niversity. Joining the bank in officer positions: Nancy J . Johnson, cash m anagem ent, banking group ser vices; D ebra J . Gackle, tru s t investm ent, personal tru s t portfolio m anagem ent; K ate I. G ray, retail banking, professional banking; C hristine S. Hefner, retail banking, executive banking, and William J. Sw anstrom , hum an resources, com pensation. * * * W estern S tate Bank has finalized plans for m ajor remodeling of its building a t 663 U niversity Avenue in St. Paul. Total cost of the project is estim ated at $400,000 w ith comple tion scheduled for mid-December 1981. The remodeling will include a new stairw ay for public access to the lower level and complete remodeling of the lower level for the bookkeeping, proof and reconciling departm ents. The remodeling will also include new N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 N orthw est Bancorporation has elected John P. Sam pson vice president, eastern division-banking business group and L arry H. H ansen vice president, w estern division banking business group. J.P. SAMPSON P.M. BRADT D.F. WALEN Ms. H u art joined the bank in 1976 as a specialty teller, and has a BA in ^ economics from Colby College hi W aterville, Maine. Mr. Sevcik joined American N ational in 1979 as a credit analyst, and has a BA in economics from St. Olaf College. ^ M r. B radt joined the bank in 1978 as a credit analyst, and graduated from St. Thomas College in political science and business adm inistration. Mr. W alen has 14 years of banking | | experience, and received his degree from M oorhead S tate U niversity. * * * L.H. HANSEN M r. Sam pson joined Banco in 1975 and m ost recently served as assistan t vice president, eastern division banking business group. He has a BS degree from N orthern S tate College, Aberdeen, S.D . and is a graduate of the Stonier G raduate School of Banking, R utgers U niversity, New Brunswick, N .J. Mr. H ansen joined the U nited S tates N ational B ank of Om aha in 1962 and m ost recently served as vice president and m anager-correspon dent bank division. He holds a business degree from N orth Park College, Chicago. * * * J . Robert Stassen, president of a West St. Paul S tate Bank, was recently appoin ted by Governor A lbert H. Quie to the M etropolitan A irports Com mission. Mr. Stassen was a state senator from 1972 to 1976, and has a BA degree from the U niversity of J R - STASSEN M innesota. He was president of N orth Central Life Insurance Co. in | | St. Paul before joining W est St. Paul S tate Bank. * * * Am erican N ational B ank & T rust Co. in St. Paul has made the The Class of 1950 Award from ^ following prom otions: K atharine A. D artm outh College was given 65 Michael Mishou, Assistant Vice President, Wisconsin, Michigan-Upper Peninsula, Iowa (612) 291-5573 “ Part of my job is to give you ideas that make you think twice.” “ Are you using lock box accounts to reduce float? Are you minimizing the float in your correspondent account? How much could you save by a cash management reporting system. “ Raising questions like these is part of my job. The other part is providing the answers. My Correspondents look to me for new ideas backed by concrete facts. Facts that will make you think twice. “ To be the best possible resource, I’m constantly searching for new approaches to problems . . . asking questions of my colleagues and customers . . . getting out into the field. “ When complex questions arise, I can call upon the full resources of First Bank Saint Paul to answer them. “ As a result, our Correspondents know they can rely on us for the service they need to compete in today’s fast-changing banking world. “ When they need a second opinion, they think of the First.” First Bank Saint Paul Correspondent Bank Division We do our job. You get the credit. The First National Bank of Saint Paul • Member FDIC https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 66 M inn esota N ew s posthum ously to Richard H. Vaugh certificates. A $5000 minimum an, former president and chief deposit is required. executive officer of N orthw est Bancorporation, for his contributions First Bk. Merchants Breaks to society. Mr. V aughan’s daughter Ground in North St. Paul Carol received the award on behalf of the family during the class’ 30th reunion this summ er. M r. Vaughan joined Banco in 1951 following graduation from D a rt m outh’s Amos Tuck School of Business A dm inistration. He was elected Banco president in 1971 and became its chief executive officer in 1977. * * * American N ational Bank and T rust Company of St. Paul recently announced th a t it will offer floating interest rates on four-year savings certificates beginning A ugust 1st. It is one of the first banks in the nation to offer a floating rate of return on long-term deposits. The new deposit plan is a result of recent changes in U .S. banking regulations by the Depository In stitutions Deregulation Committee which eliminated rate ceiling on deposits of four years or more. The interest rate on the American Four-Year Money M arket Certificate will be one-fourth of one percent higher than the U .S. Treasury index for 30-month Treasury notes. This interest rate will change every two weeks in response to fluctuations in the index. However, American National Bank guarantees a m ini mum return of ten percent on the GROUNDBREAKING ceremonies were held recently for First Bank Merchants’ new North St. Paul bankat2401 North McKnight Road and Highway 36. Participants were, from left, Bob Gatti, city mgr. of North St. Paul; Shirley Johnson, asst. v.p. and mgr. of the new bank; Dave Waddington, pres., First Bk. Merchants; North St. Paul Mayor Bill Sandberg, and Doug Paquay of Gene Hickey Assoc., architects for the new building. Completion is hoped for late fall. N orthw estern N ational B ank of M inneapolis has established a reciprocal correspondent bank rela tionship with the B ank of China in seven Chinese cities, E. Peter Gillette, Jr., N orthw estern’s presi- C o s t o f d e re g u la tio n . . . (Continued from page 42) 3. In country banks, this rate m ay be several points below the quoted “ prim e” of the money center bank because “ core deposits” make up a larger portion of the “ liability” side of the country b ank’s ledger th an in money center banks. R ate deregulation does have its cost, however. In the short run, banks have absorbed some of this cost, b u t as rapidly as they can adjust, they are passing this cost and the risk of this changing cost on to others. The second “ im plication” of banking deregulation, then, is the im pact it has on the borrower and on the production side of the farm economy. Higher and fluctuating interest rates are one more element of risk added to all of the others in agricultural production. Variable interest rates become an unknown cost where, in the past, interest had been a relatively known cost. H igh rates become a m ajor cost item , where in the past they were a minor item. Of even greater consequence, this new elem ent of cost N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 dent and chief executive officer, has announced. 1) The new agreem ent will facilitate trade between China and businesses in the upper m idwest, M r. Gillette said. He and officials of the b an k ’s international banking group went to 41 Beijing a t the invitation of the Bank of China. First National— Duluth To Offer “Parents’ Loans” Parents pressed to contribute toward the cost of a son or d aughter’s college education may now obtain financial help through a new loan program for parents. F irst N ational Bank of D uluth has completed the first “ p aren ts’ loan” in M innesota under the new program and is accepting applications now for the 1981-82 school year. Peggy Scandin, loan officer, said parents of undergraduate, dependent college students who need financial help for education m ay now apply for loans guaranteed by the Higher Education A ssistance Foundation, St. Paul. Such p aren ts’ loans do not preclude the student from application for individual student loans. P arents who can dem onstrate need for financial assistance to the undergraduate student who is dependent (identified as a dependent on income tax forms) may obtain up to $3,000 per academic year to a maximum of $15,000. The loan m ust be repaid within 10 years; m onthly paym ents of a t least $30 begin within 60 days after the loan is received. and risk is not shared evenly by the production sector of the farm economy. The less well established and more highly leveraged farm er is a t a disadvantage. The operator with fixed low cost funds has a competitive advantage now and for the life of his loans. The farm operator with funds to finance his own operation has the best of all worlds. The return on his own funds used in the farm operation may well exceed the net return in operating the farm. The disparity of net income flow will widen. There is a new cost and new risk in the n ation’s farm economy th a t comes with banking deregulation. Banks are passing their risk on to the borrower in the short run. In the long run, this new risk and cost will im pact the borrower and the problem m ay then return back to the banker in “ asset q u ality .” Fed float prices also will have an effect. The m arket rate of interest will be assessed against item s in float, which will increase the cost of money. B ut, it also will accelerate the use of new electronic equipm ent in small banks and th a t will change the ways we handle money by helping to reduce costs and serve farm custom ers better. W ho will bear the cost of bank deregulation in the farm economy? Only tim e will tell. □ o f) O ® ® ® 67 hile you are re-evaluating costs and charges T for your services, take a hard look at your money order program. Even small things like money orders can contribute to profits or increase expenses. We believe that Travelers Express has some important reasons for you to switch from your own money order program to ours: • Save tellers’ time in issuing. • Simple reporting and record keeping. • No cost for money order forms and reporting forms. And, we control the inventory for you. • Savings in space and overhead because we store paid items for you. • Less backroom work; we do it for you. • Fast exception item handling. T • Good customer relations—we handle the “nuisance” problems and do the “look-up” work. • Balances build because they are not reduced by daily clearings. No other organization can process money orders more efficiently than Travelers Express. That’s because we are money order specialists handling around 65 million a year; we have the equipment, the staff, the know-how! And, you can trust the stability and financial integ rity of Travelers Express. As a Greyhound Company we are part of one of A m erica’s largest corporations and are backed by substantial resources. Our financial representatives are nearby. Please contact your nearest Travelers Express office or call me at 612 546-6161. “I urge you to take a good hard look at the profitability of your own money orders.” 'j C.A.E. Anderson, Jr. President Travelers Express Company, Inc. 1. North Central Region 3. Pacific Region Travelers Express» I A GREYHOUND 5. Southeast Region (8 0 0 ) 3 2 8 -5 6 7 8 * (8 0 0 )8 5 4 -2 4 2 1 * In Minnesota, call: California only: In Georgia, call: (8 0 0 ) 7 4 2 -5 7 5 0 * (8 0 0 ) 4 7 2 -2 4 7 2 * (4 0 4 )3 2 5 -1 3 3 3 2. South Central Region 4. Midwest Region (8 0 0 ) 5 2 7 -9 2 1 0 * (8 0 0 )3 2 3 -1 5 1 1 * (8 0 0 ) 2 4 1 -9 2 5 0 * 6. Northeast Region (8 0 0 ) 2 5 7 -8 4 1 8 * In Texas, call: In Illinois, call: In New Jersey, call: (214) 7 4 2 -1 6 0 5 (3 1 2 )2 7 9 -2 5 5 0 (6 0 9 ) 4 2 4 -4 1 9 0 COMPANY *Toll free WATS line https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 68 M inn esota N ew s Two Promoted in Blaine Elected EVP in Wayzata F irst N orthtow n N ational B ank in Blaine has prom oted Charles MacArth u r to assistan t vice presidentinstalm ent loans and m arketing and Donovan M cGuire to personal banking officer. Steven E . Rykkeli has been elected executive vice president of the F irst National Bank of W ayzata. The p ast 10 years M r. R yk keli has been on the staff of the American N a tional B ank and T rust Company of S t. Paul. M ost recently he has been a vice presi dent in th a t b a n k ’s correspondent bank departm ent. M r. Rykkeli holds a degree in business adm inistration from M ankato S tate U niversity. Insurance Corporation and the Federal Reserve B ank of M inneapolis to proceed w ith the alternate exam ination program , the aim of which is to reduce unnecessary supervision over banks exhibiting no significant financial problems. Such banks will be examined in alternate calendar years by the sta te and the appropriate federal agency. M r. P int said th a t over 90 percent of the 556 sta te banks would currently qualify under the new program . The rem aining banks, which require more th an normal supervisory attention, are not included under the divided examination schedule and will be examined more frequently under existing policy. Commissioner Announces New Examination Policy Elected to Slayton Board C. MacARTHUR D. McGUIRE M r. Mac A rth u r joined F irst Bank N orthtow n in Jan u ary , 1981 from the F irst N ational Bank of W aukesha, Wis. Mr. McGuire has served the bank as a personal banking representative since 1979. Holds Annual Rose Show A new exam ination policy was announced recently by M innesota Commissioner of Banks Michael J . P int. Under the new policy, m ost state-chartered banks will be exam ined in alternate years by sta te and federal authorities, rather th an by both authorities during the same year. The Commissioner said the B ank ing Division of the S tate D epartm ent of Commerce has reached final agreem ent on a cooperative arrange m ent w ith the Federal Deposit ® ® ® ® • N orthw estern S tate B ank of Slayton has elected Jerry Moline and R uth Dawson directors, according to Palm er “ D uffy” Hoffland, president. 0 Mr. Moline farm s and is a licensed public accountant, m aintaining an office in Slayton. M rs. Dawson and her husband own a variety store in Slayton. (|) Also announced was the election of L ynette Kanne to assistan t insurance agency m anager of the M urray County Insurance Agency. She joined the b a n k ’s insurance agency in (|) 1977 as a secretary. New Quarters for Long Lake Bank FIRST AMERICAN National Bank held its 9th Annual Rose Show recently. The event is co-sponsored by First American, the St. Cloud Flower and Garden Club and Granite City Rose Society. The theme of this year’s show, “ Banking W ith Roses,” was reflected in the entry categories: Balanced Budget, In the Red, The Gold Standard, Float-a-Loan and others. Anyone is eligible to enter roses for judging, and prizes include ribbons, plaques, certificates and silver plates and bowls. The show was coordinated by Janet K. Cotton of the bank’s staff. Austin Promotions Told Allyn C. M artinson, president of N orthw estern S tate B ank of A ustin, has announced the prom otion of Jerry Helin to a ssista n t vice president-instalm ent loans and Rod L. M eyer to ag loan officer. M r. Helin joined the bank in 1969 as a teller. M r. M eyer started with the bank in 1980 as an ag trainee. Digitized forestern FRASER N orthw Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 ARCHITECT’S drawing of the State Bank of Long Lake’s new building. TA TE B ank of Long Lake will M inneapolis. The new building will provide have new quarters by year-end according to Rodger Bense, presi custom ers a pleasant atm osphere in addition to more services, including dent. The facility, nearly 7,000 square eight teller stations and four drive-in feet, was designed by Dykins banking lanes. The new building is located in A ssociates of M inneapolis and is being constructed by Crawford - downtown Long Lake ju s t off ^ Merz C onstruction Com pany, also of Highway ft 12. S 69 A U T O M A T IC COIN W R A P P E R 5 A m o u n ts a n d d e n o m in a tio n s a u to m a tic a lly in d i c a t e d b y p a te n te d " r e d b o rd e re d w in d o w s ” . A m o u n t s in w in d o w s a lw a y s in r e g is te r . . . e lim in a te s m is ta k e s . A c c o m m o d a te s a ll c o in s fro m l c to $1.00. 2 TUBULAR COIN W R A P P E R E s p e c ia lly d e s ig n e d fo r m a c h in e f illin g . . . a re a l tim e -s a v e r. P acked fla t. In s ta n t p a te n te d " P o p O p e n ” a c tio n w ith fin g e r tip p re s s u re . D e n o m in a tio n s id e n tifie d b y c o lo r c o d in g . . . 6 d if fe r e n t s ta n d a rd c o lo rs . 3 RAINBOW COIN W R A P P E R D U Z IT A L L COIN W R A P P E R 9 COIN W R A P P E R B a s ic c o in w ra p p e r in e x tra s tro n g k r a ft s to c k . P rin te d in 6 d if fe r e n t s ta n d a rd c o lo rs to d if f e r e n t i a t e d e n o m in a tio n s . T r i p le d e s ig n a t io n t h r o u g h c o lo rs , p r i n t i n g a n d le tte rs . T a p e re d e dg e s. B K W A R T E T COIN W R A P P E R W ra p s 4 d e n o m in a tio n s in h a lf size p a c k a g e s . A m in ia tu r e o f th e p o p u la r " A u to m a tic W ra p p e r” . . . 25c in p e n n ie s , $1.00 in n ic k e ls , $2.50 in d im e s , $5.00 in q u a rte rs . 7 F E D E R A L BILL S T R A P P a cka ge c o n te n ts c le a rly id e n tifie d on fa c e s a n d e d g e s b y c o lo r co d e d p a n e ls w ith in v e rte d a nd re v e rs e fig u re s . M a d e o f e x tra s tro n g s to c k to a s s u re u n b ro k e n d e liv e rie s . O n ly p u re d e x trin e g u m m in g used. C o lo r c o d e d fo r q u ic k , e a sy id e n tific a tio n . Red fo r p e n n ie s . . . b lu e fo r n ic k e ls . . . g re e n fo r d im e s . . . to in d ic a te q u a n tity a n d d e n o m in a tio n s . . . e lim in a te s m is ta k e s . T a p e re d e dges. 8 E xtra w id e . . . e x tra s tro n g . D e sig n e d fo r a re a s w h e re h a lv e s a re w ra p p e d in $20.00 p a cks . . . " red b o rd e re d w in d o w ” fo r e ase o f id e n tific a tio n . A c c o m m o d a te s $20.00 in d o lla rs , $20.00 in h a lv e s . T a p e re d e dg e s. OLD S T Y L E COLORED BILL S T R A P E n tire s tra p is c o lo r c o d e d to id e n tify d e n o m in a tio n . P rin te d a m o u n t a p p e a rs on to p a n d b o tto m o f p a cka g e . E xtra w id e fo r m a rk in g a nd s ta m p in g . E xtra s tro n g s to c k fo r s a fe d e liv e ry a n d s to ra g e . P u re d e x trin e g u m m in g . BANDING S T R A P S Id e a l fo r p a c k in g c u rre n c y , d e p o s it tic k e ts , c h e c k s , e tc . . . . d o n o t b re a k o r d e te rio ra te w ith age. Size 10 x % in c h e s a n d m a d e o f s tro n g b ro w n K ra ft s to c k w ith g u m m e d e n d fo r ease o f s e a lin g . P acked 1000 to a c a rto n . SEE Y OUR D E A L E R T H E C. L. DOWNEY COMPANY https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis OR • S E N D FOR FREE S A M P L E S HANNI BAL, MI SSOURI • DEPT. N orthw estern Banker, S eptem ber, 1981 70 M innesota N ew s Morris Bank Opens Detached Facility New Director in Edina ^ David A. O rlady, president of F irst B ank Southdale in Edina, has announced the election of W alter H. B runingto the board. M r. Bruning is vice president of retail m arketing for i() Control D ata Corporation. Promoted at Kanabec State Ellen Regan has been prom oted to vice president/cashier of the Kanabec W S tate Bank. She joined the bank in 1953 as a teller, and was prom oted to cashier in 1977. Ms. Regan is an AIB course instructor. ^ Holding Companies Approved The following applications to become bank holding companies through the stated acquisitions have O J . LaFA V E, J r., president of complete remodeling of the down been granted federal approval: ■the Citizens B ank in M orris, has town Citizens Bank. The downtown • Olivia Bancorporation, Inc. — announced th a t the first detached bank will feature an enlarged lobby, American State Bank of Olivia; banking facility in Stevens County provisions for sit-down teller service, • W alker Ban Co. —F irst National opened for business recently. The a new 800 square feet addition, Bank of W alker; II first 50 custom ers at the facility on expanded officer facilities, and a new • W inthrop B ancshares, Inc. th a t day received gift certificates insurance departm ent on the first —W inthrop State Bank; redeemable a t the M orris m erchant of floor. The second floor of the • Crosstown Holding Company, their choice. remodeled bank will house an Ham Lake - Crosstown S tate B ank of Citizens South features include environm entally controlled book Ham Lake, Inc.; 0 three drive-up lanes, a walk-in teller keeping room, a custom er m eeting • Remer Bancorporation, Inc. service, a loan office area, a night room to accommodate 75 people, a —Security State Bank of Remer; depository, and ample parking bank library to hold 600 volum es, and • Lakeville Financial Services, Inc. facilities. The vestibule will house a an employe lounge. The new Dewey —F irst Lakeville S tate Bank; new computerized Diebold autom atic Nelson law office and Citizens R ealty • Hugo Bancorporation, Inc. ® teller machine which will provide complete the offices on the second —F irst State Bank of Hugo; 24-hour banking, seven days a week. floor. The second floor is reached by • Good Thunder B ancshares, Inc. M r. LaFave indicated th a t the elevator. B oth the newly remodeled —F irst State Bank of Good Thunder; facility is a full-service bank, able to Citizens B ank downtown and C iti • Keewatin Bancorporation, Inc. provide all of the services of a zens South provide complete access —F irst N ational Bank of Keewatin; ® conventional bank. for the handicapped. W ork on the • Perham State Bancshares M r. LaFave also announced th a t downtown bank is expected to be —Perham State Bank; construction is underw ay on the completed in December, 1981. • Zappco, Inc., S t. Cloud —Zapp National Bank of St. Cloud; • Wood Lake Bancorporation ® St. Cloud Bank Sponsors Ag Awareness Day —Wood Lake Corporation, which owns 90% of the State Bank of Wood The F irst Am erican N ational Bank Lake. of S t. Cloud sponsored an A gricultur al Awareness Day recently, featuring • Southw est Bancorporation, Inc., £ a bus tour of Stearns County M inneapolis—F irst Am erican S tate agribusinesses. B ank of Brownsdale; B ank officers hosted area business• Lac Qui Parle BanCorporation, people on the five hour tour to Inc., B oyd—S tate Bank of Boyd; Anderson Farm s near Belgrade, a • Royalton B ancshares, In c .— 1,500-acre crop, cattle and farrowing Royalton S tate Bank; operation; Fiedler’s B u tter Day • H artm an Bancshares, Inc., Farm s near Sauk Centre, a 240-acre O kabena—F irst S tate Bank of dairy farm and Im dieke’s Turkey Okabena, and Farm , Inc. near Melrose, a 290-acre PART of the group attending the recent bus • Kimball Bancshares, In c .— farm with H olsteins, turkeys and tour of Central Minnesota farms sponsored S tate B ank of Kimball. by First American National Bank of St. extensive crop irrigation. The Federal Reserve Board denied The tour was conducted to show Cloud. From left: A.D. Didier, pres., First the application of Buhl Bancorpora American; Francis Januschka, Stearns how agriculture is of prime im por County Extension agent, and St. Cloud tion to become a holding company by tance to the central M innesota and businessmen Don Heigeson, Earl Pleticha acquiring the F irst N ational B ank of 0 and Don Volkmuth. the national economy. Buhl. CITIZENS Bank in M orris’ new detached banking fa cility. E N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 71 Look for us in San Francisco Jim Reagan Bob Sipple Bob Jacobson We look forward to seeing our banker friends at the American Bankers Association Convention. We hope to see you there and to talk with you about how Ameri can’s full line of correspondent services can benefit your bank. Am erican National Bank and tust C o m p an / https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 72 M innesota N ew s New Facility Opens in Albert Lea k SECURITY State Bank in Albert Lea’s new 10,500 square foot facility. S tate Bank in A lbert S ECURITY Lea has opened a new 10,500 square foot facility, according to Herb Lund, president. The old building, built in 1905, has only 2,500 square feet of space. The old building is now partially a d e n tist’s office and other rentable space. The new parking lot has 30 parking places. The auto-bank was remodeled by adding a fourth lane and modernized w ith brick facing which m atches the main bank. The them e of the grand opening was “ Millionaire for a D a y ,” and the bank gave away interest on one million dollars for a day to two people. Short wave radios and calculators were also given away. The highlight of the celebration was the giving away of a calendar depicting 12 historical buildings of A lbert Lea th a t was reproduced from actual penned drawings by Ron H unt, M antorville a rtist. A V IP p arty was also held for Twin Cities correspondent banks, contrac tors and other dignitaries. New Glencoe President Calvin A. Johnson has been elected president and director of the F irst National Bank of Glencoe. Mr. Johnson was pre viously a vice president of F irst Bank of M anka to, where he has been associated since 1971. He has a degree in business adm ini C.A. JOHNSON stration from M ankato S tate U niversity. The announcem ent was made by Lowell G. W akefield, chairm an. Joins Hopkins Bank Bradford L. Rehor has joined the N orthw estern N ational Bank W est in Hopkins as a loan officer. M r. Rehor was formerly w ith the S tate Bank and T rust Company, Nevada, la . He began his banking career w ith the Gulf coast N ational Bank, Sarasota, Fla. Pint Announces Appointment Commissioner of Banks Michael J . P int announced the appointm ent of Paige W inebarger as assistan t commissioner in the banking divi sion. Ms. W inebarger will be responsible for the supervision and regulation of banks, tru s t companies, certificate investm ent companies and savings banks. M s. W inebarger assum es this new position after spending 13 years with the Federal Reserve System . For the p ast year she was employed as an attorney in the m onetary affairs section of the legal division at the Board of Governors of the Federal Reserve System in W ashington, D .C . Ms. W inebarger graduated from Longwood College, Farm ville, Va., with a BS degree in business education. She also received a law EMPIRE State Bank in Cottonwood is now under construction. degree from the U niversity of Virginia School of Law in C harlottes D R IA N Golberg, president of pleted, will provide complete banking ville, Va. Em pire S tate Bank, C otton service to the com m unity including wood, has announced th a t MAC extended banking hours a t drive-up, New Waseca Director Construction Company of M inneapo walk-up and future ATM facilities. A Howard Sahlstrom has been lis has started construction of the large m eeting room w ith kitchen elected a director of F irst S tate Bank b an k ’s new quarters in Cottonwood. facilities is located in the lower level. of W aseca, according to Glenn The new two story facility w ith The rem ainder of the lower level Thompson, president and chairm an. mezzanine located at M ain and W est opens up to grade tow ard the south M r. Sahlstrom is senior vice F irst Street was designed by Dykins and will be available for office rental president and chief financial officer of A ssociates, Inc. of M inneapolis. The space. The mezzanine provides the E .F . Johnson Company, a 16,000 sq. ft. structure is scheduled comfort areas for employes, and W aseca-based company m anufactur mobile telecom m unications com m unity activities during banking ing for completion in December, 1981. The building project, when com hours and future expansion space. equipm ent. Empire State Bank Begins Construction A Digitized forestern FRASER N orthw Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 73 * Are you working harder than your portfolio? FFCSCSB. 99-28 9927 S - ö l 1-4 9.30 12 -1-83 9 7.20 IQ.ÖÜ (2-1-86 98 »■40 7-239C 96-28 J'l 9 9 .2 7 99*26 97*20 97*24 363 ? 9 9 .3 ! - 1 99*30 - ! 97 29 ■8 98 9 6 28 -16 ........I !.LT T T E s g i 13.40 BID 2j AUTO ~ 7 Ç d a il y 7 '2 S35EZE1 8.98 m 7 .0 0 TSES MDICAT I ON m m 98-30 97-28 97-26 99!) 6)0-85 98 * 9 8 .2 98-4 ÎÛ5Ü 610 « .9 /• 28 97* 12 9 1 .2 8 -4 -4 DOW re 1 86,_______ J1 18- 6 ~8d w a c i « §m 30 [8 7 5 60 8 7 5 90 18 3 7 5 120 8 50 1)50* 8 50 I 180 18 875 E T T I1 m [ JONES INOl I mvsosis ¥OUiM* -, .J SELL tim e m Iftw 223Ä- 3m r Major tests lie ahead — for the Fed, for money markets and for the economy. New offerings are flooding the markets and interest rates continue to gyrate. How do you keep pace with an uncertain market? For many banks, the answer is First Bank Saint Paul. Our Investment Services Group has 36 full-time professionals ready to help you with the most sophisticated investment tools available. Our “ Blue List Bond Ticker” makes available by computer new listings and price changes as they occur. And the latest money market news is just a phone call away on our Money Market Hotline. A Full Service Bank https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ♦ We also have the largest inventory of municipal bonds in this region, plus a wide variety of government securities, repurchase agreements, commercial paper and other money market investments so we can tailor a program to meet your specific objectives. We can execute your transactions rapidly, provide safe-keeping and give you a monthly computer report on your portfolio’s performance. Meet Clayton Johnson our Assistant Vice President. Clayton is responsible for Southern Minnesota and Iowa. Give him a call at (612)291-5664. He’ll be happy to answer any questions you may have. First Bank S aint Paul Member First Bank System Investment Services Group The First National Bank of Saint Paul 332 Minnesota Street Saint Paul, Minnesota55101 (612) 291-5659 Member FDIC N orthw estern Banker, S eptem ber, 1981 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W e bring experience, innovation to ag financing. Meeting the rapidly increasing capital demands of agriculture is a chief concern not only of our region’s farmers and ranchers but also the banks who serve them. That is why we formed AgCo — to modernize agricultural lending by tapping new sources of funds to help you meet the growing needs of your finest agricultural customers. Large, Short-term Loans AgCo specializes in large, short-term agricultural loans — $250,000 to $4 million — which you can provide to your customers on a correspondent basis. These loans are financed through the sale of insured, A-l rated commercial paper, drawing funds from our nation's money centers to the agricultural heartland. This unique financing method offers a ready source of funds, often at rates lower than that of competitive lenders. A Century of Experience AgCo is one of many financing tools available from Omaha National. We have been lending to agri culture for more than a century and continue to provide the expertise required to help you and your customers determine the best financing package. To discover how AgCo and Omaha National can help you serve your customers better, contact your Omaha National representative, or call AgCo at (402) 348-6546. AgCo The Om aha National Banl^ Subsidiary of Omaha National Corporation 17th & Farnam — Omaha, Nebraska 68102 Member FDIC https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis c "A Lisbon Bank Adds Cashier Farm ers S tate Bank of Lisbon has announced the addition of Jerry W anken as cashier/ag loan officer. Mr. W anken was formerly w ith a M innesota bank and has 11 years of financial experience. N o rth D a k o ta T. A . Roney, p re s ., C a rrin g to n H. J . A rg u e , exec. d i r . , B ism a rck J V Bank of N.D. Elections H .L. Thorndal, president of the Bank of N orth D akota, has announced the election of Evelyn Zelmer to vice president and Alyce Starck and B etty Zeeb to assistan t vice presidents. Ms. Zelmer joined the bank in 1955 in opera tions. She was promoted to a s E. ZELMER sistan t cashier in A. STARCK B. ZEEB 1973 and assistan t vice president in 1977. Ms. Starck joined the bank in 1968 in operations and was prom oted to assistan t cashier in 1976. Ms. Zeeb began her career at the bank in 1968 as a posting machine operator. She was prom oted to assistan t cashier in 1973 and transferred to the loan departm ent in 1979. (1981-82) year. The election m eeting was recently held a t the M oorhead Country Club. The following bankers were voted into office: President-Steve Jaco b son, vice president of F irst National B ank of M oorhead, M inn.; F irst Vice President-John Bridgeford, assistan t vice president, F irst B ank of N orth D akota, Fargo; Second Vice Presi dent-Don H ass, vice president of Polk County S tate Bank, Crookston, M inn.; Secretary-Treasurer-Tom H ansen, vice president of F irst N ational Bank of Fargo, and Im m ediate P a st President-Jack Lavin, vice president of Fargo N ational B ank and T rust Company. The board of directors members are: Donald A. Green, vice president of F irst Bank of N orth D akota, Fargo; Lew W ilson, vice president of the B ank of N orth D akota, Bismarck; Don Holen, vice president of F irst National Bank of W ahpeton, and S tan Foss, vice president of F irst N ational Bank and T rust Company, Bismarck. Capital Stock Increases The applications by the following banks to increase capital stock have been approved: N orthw estern S tate Bank of Hillsboro, from $450,000 to $750,000 by stock dividend; Union S tate Bank of Fargo, from $425,000 to $625,000 by cash subscription, and RMA Elects New Officers American S tate B ank & T rust Co. of The N orth Central Chapter of W illiston, from $500,000 to Robert M orris Associates has elected $1,650,000 by issuing $1,150,000 in its new slate of officers for the coming preferred stock. North Dakota Group Meetings Group Date Location N ortheast A rt Clare Motel, Devils Lake N orthw est 21 Sept. 22 American Legion Club, Tioga Southw est Sept. 23 Holiday Inn, Dickinson Southeast Sept. 24 M ilt Young Civic Center, LaMoure Sept. Digitized forestern FRASER N orthw Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 Holding Company Approved The Federal Reserve B ank of M inneapolis has approved an appli cation by Union Holding Company of Halliday to become a bank holding company through the acquisition of the Union B ank of Halliday. Lakeside Promotes Three Lakeside S tate Bank of New Town has announced the following prom o tions, according to President Darold Petersen: Zinie Peterson to senior vice president, M arlene Pennington from cashier to vice president and D orothy Miller to cashier. Ms. Peterson has been w ith the bank 13 years and presently serves as senior loan officer and personnel officer. Ms. Pennington joined the bank in 1963, serving in various capacities including cashier. Ms. Miller has been w ith Lakeside for 14 years, serving as head teller and loan officer. George D. Norton Is Named Chairman of the BAI George D. N orton, executive vice president and cashier of the Philadelphia N ational Bank, has been elected chairm an of the board of Bank A dm inistration In stitu te. The announcem entwas made by BAI President Ronald G. Burke following a m eeting of the In stitu te ’s board of directors. M r. N orton succeeds N. Berne H art, president and chairm an of United Banks of Colorado, Inc., Denver, who will continue to serve on the board’s executive comm ittee in an advisory capacity. ABA Strives to Improve Lives of Disabled Persons The U nited N ations has declared 1981 as the International Year of the Disabled Person and in recognition of the UN project, the American Bankers Association has become a comm unity partner w ith the U .S. Council for IY D P, ABA President Lee E. G underson has announced. 77 “The Bank of North Dakota Philosophy” l T o e n c o u ra g e a n d p r o m o te A g r ic u ltu r e C o m m e rc e , a n d In d u s tr y in N o r t h D a k o ta Of Dakota II T o p r o v id e th e m o s t e f f ic ie n t a n d e c o n o m ic a l fin a n c ia l s e rvice s t o th e S ta te , its A g e n c ie s , a n d In s tr u m e n ta litie s 700 Main Street P.O. Box 1657 Bismarck, North Dakota 58505 III T o p r o v id e p ro fe s s io n a l a ssistan ce w h e n e v e r p o s s ib le a n d w h e re v e r it w ill e n c o u ra g e a n d p r o m o te th e w e ll b e in g a n d A d v a n c e m e n t o f N o r th D a k o ta a n d its c itiz e n s STATEMENT OF CONDITION June 30, 1981 RESOURCES LIABILITIES Cash and Due from B a n k s .................... $39,698,895.46 U.S. Government Securities.................... 71,678,239.21 Federal Agencies S ecurities.................. 73,439,319.85 Bankers Acceptances and Other Investm ents............................... 6,587,796.19 State and Municipal S e cu ritie s............. 14,842,806.01 Federal Funds S o ld ................................. 168,095,000.00 Loans FmHA Business & Industry G u a ra n ty ...................... FmHA Housing G u a ra n ty ............. FHA and Gl Home Loans................................. Farm R.E. Loans............................. R.E. C o n tra cts................................. Loans to State In s titu tio n s ........................ Bank Stock L o a n s ......................... SBA Participation L o a n s.............. N.D. Bank Participation L o a n s............................................ Other L o a n s .................................... Demand Deposits: Individuals, Partnerships and C orporations...................... $ 5,243,390.51 Now Accounts - In d iv id u a ls....... 258,340.28 Now Accounts - P ublic................. 586,824.31 Deposits of B a n k s........................ 27,099,742.94 State and Political Subdivisions............................... 102,547,286.87 Official Checks, etc....................... 4,769,575.95 140,505,160.86 8,250,001.75 1,127,934.32 167,065,590.16 37,088,513.01 240,967.25 205,627.11 8,140,047.13 16,436,516.00 107,372,666.04 14,712,373.41 TOTAL LOANS.......................................... 360,640,236.18 Accrued Interest Receivable.................. 10,658,294.20 Bank Building and E quipm ent............... 1,435,814.55 Unamortized Bond Issue C o sts............ 432,044.56 Other Assets.............................................. 209,136.46 TOTAL RESOURCES................................ $747,717,582.67 The Bank of North Dakota is owned, operated and controlled by the State of North Dakota under the supervision of the Industrial Com m ission. Time and Savings Deposits: Individuals, Partnerships and C orporations...................... State and Political Subdivisions............................... 19,645,383.30 353,169,000.83 372,814,384.13 TOTAL DEPOSITS.................................... 513,319,544.99 Fed. Fds. Purch. & Sec. Sold under Agreement to Repurchase . . . . 134,825,000.00 Accrued Interest Payable........................ 6,394,311.38 Other L ia b ilitie s........................................ 3,814,974.78 Long Term Debt - Mtg. B o n d s ............... 42,323,000.00 Reserves.............................................. 3,500,000.00 Capital................................................. 16,000,000.00 S u rp lu s............................................... 12,000.000.00 Undivided P rofits............................... 15,540,751.52 47,040,751.52 TOTAL LIABILITIES, RESERVE & C AP ITA L........................... $747,717,582.67 INDUSTRIAL COMMISSION ALLEN I. OLSON Ranked as the 34th largest agricultural lender nationwide and the tenth largest in the Great Plains states by the ABA in 1980. Governor ROBERT O. WEFALD KENT JONES Attorney General Comm, of Agriculture H. L. TH O R N D A L President https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, Septem ber, 1981 78 N orth D ako ta N ew s In d e p e n d e n t C o m m u n ity B a n k s o f N o rth D a k o ta Annual Convention September 16-17 Holiday Inn, Dickinson Noon P.M. 1:30 H E IN D E P E N D E N T Com m unity Banks of N orth D akota will hold its A nnual Convention at the T Holiday Inn in Dickinson Septem ber 16-17. Topics to be covered at the m eeting will include EEO Compliance, E xtending A g B ank Services, IB A A and Independent Banking in the ’80s, Corporation Farm ing and Employe M anagem ent and Relations. O ther activities will include a chuckwagon barbeque, dance featuring the Lloyd Johnson Trio, a rt gallery, fashion show a t the luncheon and convention banquet. The program follows: 2:30 3:15 3:30 3:45 Wednesday, September 16 A.M . 8:00 8:30 10:15 10:20 10:30 B reak fast—Executive Council and com m ittees only (R em ington/W inchester Rooms). R egistration opens (Lobby). Call to order by ICBND President Ja ck Hoeven, president, F irst W estern S tate Bank, M inot. All sessions held in C olt/Springfield Rooms. Welcome by Dickinson M ayor A rth u r E. B aum gartner. Session I —Compliance. 5:00 6:30 7:15 9:00 Chairm an-Jim Jorgenson, Executive Vice President, S tate Bank of Kenm are. ^ “ EEO Compliance’’—Ron Green, attorney: E p stein, Becker, Borsody, and Green, New York, New York; also faculty member, ABA N a t’l Compliance School. Lunch on your own. Session I —(Continued-Chairman Jorgenson. “ Compliance: A CEO ’s Perspective’’—Tracy Kelly, president and chairm an, Am erican National Bank, Bristow, Okla.; also faculty m em ber, ABA N ational Compliance School. ‘‘E xtended Services to A ssociation M em bers’’— C. Scott W illiams, executive director, Com m un ity Bankers A ssociation of Ohio, Columbus. Coke and coffee break. R eport-Bank of N orth D akota-H erb Thorndal, Pres.; Bob Caudel, Senior Vice President. ICBND Business Session—Jack Hoeven presid ing. Recess. W atering Hole (Social Hour)-Poolside. A rt Gallery open for view ing/V isits to exhibits. Chuckwagon BBQ —Inform al; w estern theme. Hoedown! Dance to the Lloyd Johnson Trio. ^ ^ || || Thursday, September 17 AM . 8:00 8:30 Continental breakfast-B ankers Only. R egistration continues. a 1981 North Dakota School of Banking Graduates RECENTLY graduating from the North Dakota Bankers A ssociation’s School of Banking at the University of North Dakota in Grand Forks are Dan R. Anderson, pers. loan o ff., Walsh County Bk. & Tr. Co., Grafton; James W. DuBois, cash., Union St. Bk., Hazen; Marian K. Dunn, inst. loan o ff., Amer. St. Bk. & Tr. Co., W illisto n ; Calvin R. Emerson, asst, v.p., First Natl. Bk. in Grafton; Carol M. Heintzman, ® pers. bkng. o ff., Fargo Natl. Bk. — Tr. Co.; Terry A. Hendrickson, asst, cash., Sec. St. Bk., Dunseith; Tim Hennessy, inst. loan o ff., St. Bk. ofB urleigh County Tr. Co., Bismarck; Delores James, asst, v.p., Bk. of N.D., Bismarck; Ranae L. Johnson, unit person, First Bk. of Langdon; Barbara Lee Kittler, cash., Bk. of Turtle Lake; Robert J. Lindseth, asst, cash., Cit. St. Bk. of Ray; Duane Midboe, asst, cash., Northwood St. Bk.; Bev Mikkelson, asst, v.p., Garrison St. Bk.; Duane Pesek, asst, cash., First Natl. Bk. of Devils Lake; Evelyn O. Runck, First Bk. of N.D.-Jamestown; Donna MaeSchaff, asst, cash., Dakota Western Bk., Bowman; Rodger Allen Schock, loan o ff., Farmers St. Bk., Elgin; Linda Kay Simpson, First Bk. of N.D.-Fargo; Paul H. Skorheim, ag. loan o ff., First Bk. of N.D.-Wahpeton, and Faye Marie ® Thompson, Fargo Natl. Bk. & Tr. Co. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 79 T H E A N S W ER . . . to Your Credit Life Needs... For complete details, please call us ( 612 ) 944-3900 Minnesota Protective Life Insurance Co. 7901 FLYING CLOUD DRIVE • EDEN PRAIRIE, MINNESOTA • 55344 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1987 9:00 9:45 10:30 10:45 11:30 Noon P.M . 12:30 1:45 Session II —E xtending A g Bank Services Chairm an-Robert E. Caudel, Senior Vice Presi dent, B ank of N orth D akota, Bism arck. ‘‘Commodity M arketing-H edging’’—Chairm an -Ed Behrendt, broker, Piper, Jaffray & Hopwood, Bismarck; Lonnie Parsons, ag. rep., W estern S tate Bank, Devils Lake. “ Corporation Farm ing” —Greg Larson, a tto r ney: W heeler, Wolf, Peterson & McDonald, Bism arck. Coke and coffee break. “ IBA A W ashington Office R eport” —Weldon B arton, IBAA A griculture/R ural Am erica Rep resentative. ICBND Business Session—Jack Hoeven pre siding. Cocktails (Pre-Luncheon Cash Bar) Cheese and fruit table (Compliments of IC B N D ). Luncheon-Duane A nderson, ICBND president elect, presiding. Invocation. E ntertainm ent-M ens’ and L adies’ Fashion Show. “ IBAA and Independent Banking in the 80’s ” — Arch G. M ainous, J r., IBA A treasurer; presi dent, Citizens Union N ational Bank & T rust Company, Lexington, Ky. 2:15 3:15 3:30 4:00 4:30 5:00 5:30 7:00 8:00 9:00 Session I II —Personnel M anagem ent C hairm an-Paul M archell, president, F irst State Bank, Buxton. “ Em ploye M anagem ent and R elations” — Stanley L. Schmuckler, director of executive resources, The Sun Company, Inc., Rabnor, Pa. Coke and coffee break. Session I II —(Continued). Speaker: Stanley L. Schmuckler. Brief Comments-Lee M. Stenehjem , J r., Com m issioner of Banking. ICBND Business Session—Jack Hoeven pre siding. Recess. B anquet social hour (Poolside). A rt gallery open to view ing/V isits to exhibits. Convention B anquet—A lbert A. Wolf, M .C., Executive Secretary & General Counsel, ICBND. Invocation. “ W hy a Banker Needs a Sense of H um or” — Introduction of D istinguished G uests. Présentations-Installation of Officers. Friday, Septem ber 18 A .M . 8:30 B reakfast-Executive Council and Committees only. any other ATM network in the Rocky M ountain region, including checking and savings deposits and w ithdraw als, transfers between checking and savings accounts, cash advances on credit cards, paym ents to credit card accounts, and balance inquiries. The broad range of banking services will W. W . G rant, p re s ., Denver be available to custom ers around the D. A . C h ildears, exec, m g r., Denver clock through the ATM s of all of the participating financial institutions. M essrs. H art, Baker and Lee said the ATM s of their participating institutions will carry a common M inibank network identifier in H R EE Colorado financial in sti Denver. tutions will share an autom ated They described a switch as a conjunction w ith the already estab teller machine (ATM) netw ork th a t card-activated system th a t electron lished individual indentification ap will enable their custom ers to initiate ically routes transactions originating pearing on their machines and cards. U nited B anks, F irst of Denver and banking transactions a t 126 locations at the ATM of one financial throughout the state. institution to the card-issuing Columbia Savings currently have a U nited Banks of Colorado, Colum financial institution. As a result, a combined total of more than 725,000 bia Savings and Loan Association cardholder of one participating firm cardholders, who will initiate approx and the F irst National B ank of D en may use an ATM of another im ately 11.6 million ATM tran sac ver are forming the network, or participant, and the switch will route tions in 1981. Their 126 ATM s are lo “ sw itch,” and expect it to be the transaction to the card-issuing cated throughout m etropolitan Den operational statew ide by later this institution for authorization. The ver and in more th an two dozen other year. authorization is routed back to the Colorado comm unities, including Details of the shared ATM system , machine being used —all in a span of a B righton, Broomfield, Golden, Boul to be called M inibank Switch few seconds—and the transaction is der, Longm ont, Loveland and E stes Park; F ort Collins, Greeley, LaSalle, Network, Inc., were announced completed. Sterling, F ort M organ, B rush, Yuma jointly by N. Berne H art, chairm an Initial plans for the ATM network and W ray; Akron, S trasburg and and president of U nited Banks of were revealed earlier this year by Byers; Colorado Springs and Pueblo; Colorado, Inc., Bob R. Baker, U nited B anks and Columbia. and Steam boat Springs, Carbondale, chairm an and president of Columbia, The new M inibank Switch will offer G rand Junction, Delta, M ontrose and R obert E. Lee, president and chief executive officer of F irst of more transaction capabilities than and Gunnison. C olorado Three Financial Institutions to Share ATMs T Digitized forestern FRASER N orthw Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 81 Some Correspondent Banks are notoriously slow movers. Picking the best one for your money is tough. Sure, experience counts. So does profession alism. But you’re also looking for fast turnaround. And this is where we really have the jump on the rest of the pack. We’re Colorado National Bank. When you call us we get moving. And not at a snail’s pace. Getting a quick start and following it through back to you is our first priority. But it’s just the beginning of our |7th&Champa st. complete Correspondent ¡Service. We hcive Member fdic a team of officers covering your region. Strong support areas. A reputation for quality. And personnel knowledgeable about Commercial Loan Participations. Call on the faster bank with a proven track record. Colorado National Bank. At 893-1862. We make big ideas happen. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, Septem ber, 1981 82 Colorado N ew s In d e p e n d e n t B a n k e rs Friday, Septem ber 18 AM . 8:00 o f C o lo ra d o 9:00 Annual Convention September 17-19 The Lodge, Vail HE IN D E PE N D E N T Bankers of Colorado will hold its 1981 A nnual M eeting Septem ber 17, 18 and 19 at T The Lodge in Vail. Of special im portance will be additional inform ation about IB C ’s m arketing program , new legislation effecting agri-banking, the introduction of Colorado’s new Banking Commissioner, election of officers and directors and entertainm ent by “ K irk” K irkpatrick from A tlanta, Ga. The convention program follows: Thursday, Septem ber 17 AM. 9:00 9:00 11:30 P.M. 5:30 7:30 11:30 Noon • 3:00 p.m . —R egistration open in the lobby. Business Sessions featuring: P resident’s Report, E arl F. Lehigh. IBAA Associate Director, Ken G unther, W ashington Report. w B ank Commissioner of A griculture, M organ Sm ith. H osted Cocktail P arty. Luncheon—Speaker: IBA A President, W.C. # B ennett. P.M. 6:00 7:30 H osted Cocktail P arty. A nnual B anquet—S peaker/E ntertainer: “ K irk” K irkpatrick. • Saturday, Septem ber 19 A.M . 9:00 4:00 p.m . —R egistration in the lobby. Golf tee-off tim e. Tennis. Singletree Barbeque for anyone wishing to attend. 11:30 Noon E xhibitor’s Cocktail P arty. Dinner on one’s own. P.M. 2:00 Second business session featuring: Reports, Elections, Resolutions, COIN PAC, Independent S tate Bank and Senator Bill A rm strong. H osted Cocktail P arty. Luncheon—Speaker: Newly-elected president, IBC. (|| A djourn the convention. Energy Draft Collection Operation Begun IR ST National B ank of Denver F has established a separate draft collection operation because of a 150 percent increase in energy-related business over the p ast 12 m onths. “ Our volume of work from energy companies has exploded,” said Joseph P. McCann, vice president and m anager of corporate services. “A year ago, our June energy draft collections were $5.8 million. -This June they were $14.7 million and it looks like the July figure could reach $16 m illion,” he said. In association with the b an k ’s energy departm ent, headed by Senior Vice President R obert B. M addox, a special collections staff was desig nated to handle only energy company transactions. Previously, energy drafts were handled by the same departm ent th a t processes the b a n k ’s other collection item s. Since M ay 1981, F irst of D enver’s energy collections staff has more than doubled. A m inicom puter system is being installed to facilitate virtual custom service in processing resource developm ent firm s’ drafts, the bankers said. “ I t is a crucial function,” Mr. McCann said. “ For example, oil and gas companies m ust make prom pt, accurate paym ents to lessors, usually the farm ers and ranchers who lease Digitized forestern FRASER N orthw Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 7981 q the m ineral rights under their land. I t is well recognized in the industry th a t leasing agreem ents can carry millions of dollars of liability if not handled precisely. The reputation of a petroleum company and the landm en ride w ith a b an k ’s handling of the lease p aym ents.” Elected EVP in Loveland Named President at LaSalle ^ M arian M. Peppier has been named president of U nited Bank of LaSalle, it has been announced by K. Edw ard Saboe, chairm an. M s. Peppler’s responsibilities will include super- <|l vising overall bank operations, including m anagem ent and planning. Ms. Peppier has 17 years of banking experience. She has served as vice president and cashier of the # LaSalle bank since 1970. Since 1976 she has been secretary to the board. D ayton E. Johnson has been elected executive vice president and cashier of Am erican B ank in Loveland. He was m ost recently vice Central Bank Changes Told president of the U nited S tates Bank Daniel H. Wiedemeier, vice in G rand Junction. He graduated president of M ountain Bell and from the U niversity of N ebraska w ith general m anager of its operations in a BS degree in agronom y. Mr. Colorado, has been elected to the Johnson will also serve as a director. board of Central B ank of Denver, according to Donald D. Hoffman, Common Stock Offered chairm an. Also announced were the following Colorado N ational B ankshares, Inc. announced it has filed a promotions: Terry D. M artin to registration statem ent for a public assistan t vice president-m ortgage offering of 750,000 shares of its loans; Scott Brennan to retirem ent common stock w ith the Securities planning officer; Eileen K. Dillon to and Exchange Commission. The custom er service officer, and Joan Company currently has 4.1 million M ohar to custom er investm ent shares outstanding. B lyth E astm an officer. M r. M artin recently joined the PaineW ebberlnc. andD ainB osw orth Inc. have been nam ed as m anagers of bank from the F ourth N ational Bank a nationwide group of underw riters in W ichita, Kan. He holds a degree in which expects to offer the securities business adm inistration from Wichita S tate U niversity. in mid A ugust. # — ® _ w _. ^ B a n k /a g serv ic e s . . . (Continued from page 43) ® W eather Service can provide very localized weather inform ation on frost, m oisture conditions, changes in weather, hum idity and the like, which m ay m ean the difference between a profit or loss for farm ers. ^ • Banks will make arrangem ents am ong them selves and possibly w ith other financial institutions to organize entities th a t can buy and sell commercial paper, acceptances, and originate real estate loans th a t can form the collateral for pass-through certificates. ^ • Electronic capability will provide access to inform ation on docum entation and control system s th a t a bank can utilize in the event its own system is som ew hat lacking in certain aspects. • Financial institutions will become financial £ counselors who will be able to “ p lay ” w ith borrow ers’ balance sheets and the listed assets and liabilities to get an optim um mix at best term s and prices which can quickly be related to projected cash flows for reasibility. • E sta te planning, w ith the continued inflation in real q estate land value, will become a necessity even w ith some m odest changes in the inheritance tax provisions. The m anagem ent of retirem ent funds them selves will offer opportunities for financial institutions. Farm ers will increasingly be in b etter cash positions as the farm • profits improve in the latte r half of the 80’s, and this will perm it farm ers to make more short-term investm ents. There is also an increase in concentration of farm land ownership which offers opportunities for banks to be come agents for absentee landlords and get into the • active m anagem ent farm s. • The pressure on proprietary agribusiness from cooperatives and the pressures on operations of both these types of organizations from the high cost of money we have seen for the last several years has been resulting • in a dram atic change in the U .S. food system , particularly in some p a rts of the U nited S tates. M any proprietary companies have come to the conclusion th a t their best expertise is in m arketing agricultural products. There has been a strong move by • processors—to date, principally the food and vegetable canners and freezers—to sell or divest them selves of brick and m ortar. The m ajority of sales have been made to farm ers who provide the raw product th roughput for these processors. • • Increasing am ounts of intitial m argin and m aintenance m argin will be needed by growers to hedge their production or inventory positions in the futures m arkets. Increasing am ounts of capital will be provided by m eans of lines of credit as opposed to 90-day ® advances. Since m any farm ers are financially strong, banks will provide more advised lines of credit; i.e., informing a borrower th a t he has X dollars available at the local bank for his use, predeterm ined by reference to a balance sheet and prior profit and loss experience. • There will be more leasing of assets, such as dairy cows and sows. Banks will collaborate w ith other institutions to provide some m eans of handling low equity farm ers. One m eans could be interest-only loans with little am ortization of principal. ® In sum m ary, financial institutions will be offering a https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 83 greater range of products and services. Different types of deposits and investm ent instrum ents will proliferate. Jo in t ventures, corporations w ith m ulti-bank owner ship, and cooperative organizations will issue and service these deposit/investm ent services. Possibly the use of trade acceptances, banker’s acceptances, and ineligible acceptances (finance bills) will be more generally utilized. There will be a quantum jum p in the num ber of entities involved in inform ation collection and dissem ination. The growing use of com puters and the interactions perm itted by rem ote term inals w ith main frame hardw are will encourage the b an k ’s and custom er’s use of the latest inform ation relating to finance, m arkets, weather, global economic and political data. Proposals have been made to set up a national system for m onitoring the U .S. inventory of livestock. D ata on breeds, ages, ownership, location, transfers of title, liens, etc., all keyed to a perm anent identification num ber carried by each anim al will provide not only better control of collateral for the lender bu t also m anagem ent inform ation for the livestock operator. As exports become more of a factor involving more farm ers and agribusiness, banks will provide the bundle of services required to initiate and consum m ate a trade transaction. These services will come on stream quickly if the Trading Company A ct is legislated into law . □ L o n g range fo c u s . . . (Continued from page 43) continue to narrow. M arketing system s will be more centralized, perhaps even to the point of greater integration of the production - m arketing - processing or exporting chain. Deregulation will enhance the ability of the agricultural banker to meet the needs of this changing agriculture. I t will give him a greater capacity to enter the national and international m oney-m arkets to obtain the funds to meet the increasing needs of his farm custom ers. Perhaps these funds will come a t a greater cost and result in higher interest rates for farm credit, b u t m ost farm ers today understand prime rate and m any are already accepting money m arket rates from supplier finance plans. The new agricultural banker not only will be required to furnish more credit bu t he will become an expert on farm ing practices. His bank will supply supporting services: computerized accounting system s, m arketing inform ation and plans, investm ent and estate planning counsel, and new approaches to finance and ownership through tru sts, corporations, partnerships, joint ventures, or cooperative approaches with other farm ers. M ost of all, deregulation will remove the sameness from banks. I t will enable the individual banker to make his own bank a more creative, different type of bank - one more able to m eet the changing needs of his custom ers one better able to m eet these changes than his banker-com petitor across the street, the Farm Credit System lender, the governm ent agency, or w hatever new type of credit provider th a t m ay appear. I t will give the individual banker the capacity to be, not ju st another bank, bu t the one m ost geared to serve his m arket area. □ N orthw estern Banker, S eptem ber, 1981 84 C. Dorman Named President ^ W y o m in g D. R. W assenburg, p re s ., Big Piney M. C. M u n d e ll, exec. d i r . , Laram ie Holding Companies Announce Merger H E W YOMING N ational Cor poration and F irst B ankshares of T W yoming, the third and fourth largest bank holding companies respectively in the state, will through m erger become the second largest bank holding company in the state as ranked by size. The W yoming National Bank of Casper, lead institution in the W yoming N ational group, is the s ta te ’s largest bank w ith to tal resources of $298 million. They W yoming N ational Corpora tion was formed in 1970. A t th a t tim e the W yoming N ational B ank of Casper had resources of $65.7 million. In addition to the Casper bank, the corporation also includes the W yom ing N ational B ank of Gillette, the W yoming N ational B ank of E a st Casper and the W yoming B ank of Rawlins. Application for the m erger of the two bank holding companies was first announced in Septem ber of 1980. The merger, approved Ju n e 8, has been under study by the Federal Reserve Board since th a t time. The combined companies will have assets of $442 million. The W yom ing National Corporation will be the surviving corporation. F irst B ankshares of W yoming, formed in 1979, includes one of the oldest federally chartered banks in the s ta te —the F irst N ational Bank and T ru st Co. of Cheyenne organized in 1882. O ther F irst B ankshares of W yoming banks are: the W yoming S tate B ank of Cheyenne and the F irst N ational Bank of W heatland. Total combined assets of the Cheyenne group exceeds $144 million. WBA Announces Committee Chairmen H E W YOMING Bankers A sso ciation has announced chairmen T and mem bers of its various com m ittees for the 1981-82 year. Listed below are the chairmen: Legislative - Harm on H. W att, pres., F irst In te rsta te Bank, N .A ., R iverton. Agricultural-General - Lloyd S ny der, v .p ., American National Bank of Powell. Agricultural-Winter - Tracy J . Swanson, pres., W estern B ank of Cody. Agricultural-Summer - M .E. Aller heiligen, asst, v .p ., Shoshone F irst National Bank, Cody. Coordination with State Treasurer Orin G. Geesey, pres., First W yoming Bank N .A ., Kemmerer. WBA Credit Conference - M ark Kinner, v .p ., F irst In te rsta te Bank N .A ., Casper. Trust - Robert J . W yatt, v.p. & tr. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 off., Bank of Commerce, Sheridan. WBA Consumer Credit Conference - Norman K. Brown, inst. loan m gr., First In terstate B an k N .A ., Laram ie. Chief Executive’s Officer’s Confer ence - Don H. B abbitt, pres., Stockgrowers S tate Bank, W orland. ABA Bankpac State Chairman Paul P. Jacques, pres., F irst W yoming Bank N .A ., Cheyenne. WBA Support of 4-H Clubs Donald C. B rayton, sr. v .p ., B ank of Commerce, Sheridan. ABA Task Force on AIB - Donn H . D orsett, pres., B ank of Casper. Nominating - George E. Cooke, dir., American National B ank of Powell. Audit - Beverly L. Sheen, v.p. & cash., Bank of Laramie. Resolutions - Jay F. Bordewick, pres., F irst W yoming Bank, Casper. WBA Convention Athletic Direc tor - John W. Easterbrook, v .p ., F irst In te rsta te B ank N .A ., Laram ie. John O stlund, chairm an of the W yoming N ational Bank of Gillette, has announced th a t Charles E. Dorm an has been named president. He succeeds Ted E rn st who has resigned. Mr. O stlund was for merly vice presi dent and senior loan officer of the Perry S tate B ank C.E. DORMAN in Perry, l a . , and since M arch of 1981 has been vice president of the W yoming N ational B ank of Casper. M r. Dorm an began his banking career w ith the Perry S tate B ank in 1958, serving in nearly every area including bookkeeping, operations, personnel, instalm ent and comm er cial loans and tru st. He graduated from Broward Junior College in F ort Lauderdale, Fla. Riverton Bank Acquired W yoming Bancorporation and American N ational B ank of Riverton have announced th a t the two bankingorganizations have agreed to a stock exchange whereby American N ation al B ank would become an affiliate of W yoming Bancorporation. The affil- (| iation is subject to the acceptance by the shareholders of American N ation al Bank and the approval of the Board of Governors of the Federal Reserve System and other regulatory authorities. As of June 30, 1981, W yoming B ancorporation’s assets were $598.33 million and assets of American National B ank of Riverton totalled i) $44.94 million. W yoming Bancorporation present ly owns 21 full-service banks located in 19 W yoming comm unities. David R. Johnson, president, announced D the approval by the Board of Governors of the Federal Reserve System for the activation of the charter of the F irst W yoming Bank, N .A .-T orrington. ® Sheridan Promotion Told William H . Ruegam er, president of the B ank of Commerce in Sheridan, | | has announced the promotion of M ary Lee Corley to assistan t cashier. M rs. Corley joined the staff in 1979 as an officer trainee. She received her BA degree in governm ent from the American U niversity in W ashington. At United Bank of Denver we have the best Correspondent Bankers in the Rockies and Eastern Plains. And to stay out in front, we’re always trying to find ways to serve our customers better. on the road calling on you. Not sit ting behind their desks. The phone company may not like our style, but we’re sure our customers will. In the field of Correspondent Banking that means seeing our customers more often. Getting to know their banks and their needs. In short, we believe the best service comes from knowing the customer best. SSUnited Bank of Denver Dorit call us. We’re callingonyou. That’s why our nineteen Corre spondent Bankers are going to be spending up to 40% of their time https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis WFRE OUR OWN COMPETITION. Correspondent Banking Group 1740 Broadway Denver, Colorado, 80217 (303)861-8811 National Associatbn, Member FDIC 86 to become a bank holding company through the acquisition of the Culbertson S tate Bank. M o n ta n a Elected Officer in Billings J. B. Wallander, pres., Froid V J. T. Cadby, exec, v.p., Helena Kermit O. Hanson Honored John Reichel, chairm an of the board of the Pacific Coast Banking School, has announced the establish m ent of a Kermit O. H anson Professorship of Business A dm inis tration a t the U niversity of W ashington. M r. H anson, dean of the G raduate School of Business A dm inistration a t the U niversity, has given tim e and leadership to PCBS for over 25 years. M r. Hanson retired from the U niversity in June and as educational director of PCBS in Septem ber. Mr. Reichel reports th a t more th an one half of the fund goal of $500,000 has been pledged as a m eans of recognizing the contribution Dean Hanson has m ade to banking education and the banking industry. The PCBS board honored Dean Hanson a t a reception in Seattle recently at the U niversity Tower Hotel. The Advisory Board was at th a t tim e presented with a contribu tion tow ard the chair from the banks in sponsoring states. Income from the endowment will be used to enhance the level of education w ith noted professors and program s in the future. The M ontana Bankers Association unanim ously adopted a resolution expressing appreciation for Dr. H anson’s service to business educa tion and PCBS at the association’s annual convention held this summer at Big Sky, M ont. Miles City Changes Told Richard G. M itchell and Thom as Scott have been elected to the board of F irst Citizens B ank in Miles City, Larry W. Jochim , president, has announced. M r. M itchell is president of the Security A b stract and Title Company and a principal owner of the W .A. M itchell Co. M r. Scott is president of Security B ank of M ontana. Elected directors em eritus were Roy H anson and A strid Ross for their Digitized forestern FRASER N orthw Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 # service to the bank since its opening in 1974. Also announced was the election of Brenda Rickett to cashier. She joined the bank in 1975 as a teller and was promoted to assistan t cashier in 1978. Advanced in Billings F irst B ank Billings has elected Michael J . Hickey assistan t vice president - com mercial loans. Mr. Hickey join ed the bank in Jan u ary , 1979 as a commercialloan officer. Previous ly he was associ ated w ith F irst Bank Lewistown and F irst Bank M.J. HICKEY M inneapolis. Mr. Hickey is a graduate of the U niversity of W isconsin w ith em phasis in political science and economics. Hamilton Bank Expanding Citizens S tate B ank of H am ilton has purchased and subsequently demolished two buildings adjoining its main bank to the west. New building began in July, which will give the bank an additional 6500 square feet of the ground floor. The new addition will include a full second story for future expansion plus storage room and an enlarged lounge. W hen the new addition is completed in a few m onths the staff will move into the new quarters and the present quarters will be remodeled. Completion of the entire project is expected in M arch, 1982, at which tim e the bank will occupy the entire structure. Jeanne C . Florez has been elected a ||, real estate loan officer of F irst N orthw estern N ational B ank of Billings, Al W eingardner, president, has announced. M s. Florez attended E astern M ontana College and joined <||i the bank in 1979. Two Elected in Helena E d Jasm in, president of the i| ) i N orthw estern B ank of Helena, has announced the elections of Curtis B . Briggs to vice president-com m ercial loans and Thom as E. M cGowan to instalm ent loan officer. f|> M r. Briggs is a graduate of M oorhead S tate College, and was previously a vice president of the F irst National B ank of M oorhead, M inn. M r. McGowan is a graduate of # M ontana S tate U niversity and E astern M ontana College and worked in the instalm ent lending area of the N orthw estern B ank of Lewistown before joining the Helena bank. # Thorndal Elected Trustee William Thorndal, president of C entral B ank of M ontana in G reat Q> Falls, has been elected a trustee of the M ontana Bankers Association Groups 5A and 5B for the Insurance Board. m MBA Plans Annual Consumer Loan Conference The M ontana Bankers A ssocia tion’s 1981 Consumer Loan Conference will be held Septem ber 16-18 at the Outlaw Inn in Kalispell. Topics will include Regulation Z-Simplification A ct & Model Form s, Problem Credits, Basics of Consumer Lending, Variable Rate Financing and UCC Lien Filing and Perfection. A golf outing will begin a t 1:00 p.rri. Septem ber 16 a t the Buffalo Hills Golf Course. Also on Wednesday, registration will begin a t 3:00 p.m . and a reception will begin a t 7:30 p.m . The program will begin at 9:00 a.m . Septem ber 17 w ith a welcome by Robert L. Reiquam, MBA president. Holding Company Approved Discussion groups will cover the The Federal Reserve B ank of basics of consumer lending T hursday M inneapolis has approved the afternoon. The m eeting will adjourn application by Culbertson Ban Corp. at noon Septem ber 18. # • ® * _ m 87 Our comm itm ent to service is your Source of strength in Correspondent banking, First of Denver is the source you can depend on for prompt, decisive answers and action on your loan participation requests, for the newest, most comprehensive cash management systems, for an availability schedule which sets the standard in the Rocky Mountain region, for highly skilled bankers who make it their business to anticipate changes in the agri-business and metro markets that can affect your bank and customer needs. And we respect and protect the integrity of your customer \ relationships. \ So consider the Source. j 7'® i s \ think First. First of Denver The First National Bank of Denver, Correspondent Bank Department, P.O. Box 5808 T.A. Denver, Colorado 80217 (303) 893-2211 Member First National Bancorporation https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, Septem ber, 1981 88 « * » J S 0 ïS • • • « ss* * ï^ e^ d e ^ ‘‘ c o o f f re V ^ e > V l'X cÄ f ^ d e V g e T Ä ^ e . > oe -notv11^ riàe^ C o ^ ° « '0et oî C O* ~ « à . * * * * * * r c e ^ e (40 ^ 4 N orthw estern Banker, Septem ber, 1981 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ° * ^ e tc e V \ ^ S '*** 8 °8 89 surround the secretarial area. The second level board room overlooks the banking lobby and is connected to the first floor by a hold cascading stair structure near the greenhouse. The entire facility is newly furnished in desks and millwork of natural lacquer oak and chairs covered in earthtone and pastel fabrics. The brick-lined vault and polished steel vault door visually highlight the teller line and check w riting stands. Springfield State Sold CEDAR shingle roof accents the recently-completed Hastings State Bank. New Hastings State Bank Opens H E site for the new H astings S tate B ank was chosen because T of its visibility, its m ulti-vehicular access, and its viability w ith respect • to the downtown core of the city. Located a t the northw est corner of the site, the main structure is formed of steeply-pitched cedar shingle roofs, m irroring the sloped roofs of ® neighboring churches and housing. Several features notable as one approaches the building from the south include a large greenhouse w aiting area, trellis covered and ® brick-paved walks connecting the brick and cedar shingle drive up gazebo to the m ain facility, and the 24-hour teller module on the southw est. The main banking lobby is divided into two areas: banking officers and secretarial staff on the west; tellers, vault, and bookkeeping on the east. The public lobby is formed by a series of vaulted wood trusses complimen ted by a wood ceiling and quarry tile floor. The custom er w aiting area is fram ed by the greenhouse w ith views to the planted trellis arcade. Six offices w ith large sliding glass doors The sale of the Springfield S tate B ank was consum m ated A ugust 3. The bank and the Springfield Insurance Agency were purchased by the Springfield S tate B ank C o., In c ., a holding company. E. Dean Kugler and Glenn M. A dair are the principal stockholders. Resigning as directors of the bank were former president Robert D. Iske and Dewey Callaway, Hazel A. L atham and Orville Nielsen. Directors of the bank under the new ownership are E. Dean Kugler, Karen J . Kugler, Glenn M. Adair, Virginia M. A dair, Elden A. Nielsen and D .G . M cDonald. B ank officers are: President-E. Dean Kugler: execu tive vice president and cashier-Glen M. Adair; vice president-M ary Ellen Nielsen; assistan t vice presidentJohn A. Novotny, and assistan t cashier-Stephen J . Ingram . Changes Announced in Utica Don B. Olson has joined the F irst N ational Bank of U tica as a loan officer. M r. Olson was associated w ith L ancaster County B ank in W averly the p ast 14 years. Also announced were the elections of Elaine H arvey, Aloa Franks and Joyce Petersen to assistan t cashiers. Jacob L. Kats Dies Jacob L. K ats, president and chairm an of the F irstN ationalB ankof Lewellen, died recently. He was w ith the bank for over 45 years and had over 50 years of banking experience. New President in Palmer UNIQUE interior of the new bank includes a wood ceiling. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The S tate B ank of Palm er has prom oted Randy Helgren to presi dent, replacing Roy Dinsdale, who rem ains as chairm an. M r. H elgren has served as executive vice president and cashier since Jan u ary , 1980. N orthw estern Banker, S eptem ber, 1981 90 Leo A. Daly I I I has been elected to the board of the U nited S tates N ational Bank of Omaha, Chairm an Donald J. Murphy has announced. M r. Daly is president of Leo A. Daly Company, an architectural firm in Omaha. Also announced were the prom o tions of C. Fred Mateer and Robert E . Billmeyer to vice presidents. Mr. # O m aha T a recent news conference Don Murphy, chairm an of U .S. A National Bank, announced th a t the bank will be the new ten an t of the first and second floors of the N orth Tower, C entral Park Plaza. U .S. N ational will lease 20,000 square feet of the building. Initially, 8,000 square feet will be sublet and held as a reserve for future expansion. The new facility, tentatively scheduled to open April 1, 1982, will be a full-service branch. On the main floor, facilities will include a main lobby, Personal Banking area, teller windows, 24-hour A utom atic Teller Machine a t the main entrance, commercial banking representatives and a safe deposit box area. A spiral staircase will connect the main floor w ith the second floor. The second floor is imm ediately adjacent to the skyway entrance connecting the two towers. Facilities on the second floor will include teller area and an ATM ju st off the 750-car parking garage. CHAIRMAN Donald J. Murphy, U.S. National Bank, and Chip Kabrud, Omaha division manager of Murdock Management Co., after lease was signed for new U.S. National Bank office in Central Park Plaza, North Tower. PACKERS N A TIO N A L BANK WES BOWEN D E D IC A T E D C.F. MATEER R. BILLMEYER M ateer joined the bank in Jan u ary of this year as a second vice president. He was previously vice president of F irst N ational B ank of Aberdeen, S.D. M r. M ateer completed under graduate work at the U niversity of Illinois-U rbana. M r. Billmeyer joined the bank in 1974, and was prom oted to invest m ent officer in 1979 and second vice president in 1980. He has a degree in business adm inistration from the U niversity of Iowa and an MBA from the U niversity of N ebraska-Om aha. * * * H. David Neely, president of F irst N orthw estern T ru st Co. of N ebraska, has announced the following promotions: Lar ry T. Eischeid, Richard H. S id ing and Harry P. Yosten to second vice presidents and Janet M. Keyser to invest m ent officer. Susan M. Joe L.T. EISCHEID was elected assistan t operations officer. F irst N orthw estern T ru st Co. was TO YO UR N EED S 402/731-4900 24th & “L” Omaha, Nebraska 68107 Member FDIC RICK OTTO R.H. SIELING N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 H.P. YOSTEN Jim Flodine, George McFadden, Fred Kuehl, Don Ostrand, Ralph Peterson, frust your correspondent banking to our efficiency experts These superb profes sionals are d e d ica te d to meeting all your i individual corres- I pondent needs. Call " us for details on e le c tronic da ta processing, cash letter processing, overlines, fed fund i transactions; or any I other correspondent " service. We’ll show you how friendly effi cien cy ca n be. first national bank of omaha https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis In Nebraska cafll us toll free at 800-642-9907, Outside Nebraska call us toll free at 800-228-9533, Member FDIC. 92 N ebraska N e w s Now, First National Bank has a new source of funds available for cattle and grain loans. FIRST AGCORP. agricultural credit corporation that is a wholly owned, non-banking sub sidiary of First Midwest Bancorp., Inc. First Agcorp is another of the many correspondent services available through the First National Bank of St. Joseph. Just call John Kam, “ „“ X"®" Where your success is a tradition. First National Bank St. Joseph, Missouri 64502 Call: (816) 279-2721 Affiliate of First Midwest Bancorp., Inc. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 Member F.D.I.C. J.M. KEYSER S.M. JOE ^ incorporated in 1977, consolidating all N orthw est Bancorporation tru s t functions. * * * O Omaha N ational Corporation re ported net income of $4,105,065 for the first six m onths of 1981, Board Chairm an John D. Woods announced recently. (( This six-m onth figure compares to $4,309,051 during the first half of 1980. E arnings per share were $2.63, compared to $2.68 in 1980. Omaha N ational Corporation is the (D holding company for the Omaha N ational Bank, Realbanc, Inc., and other financial subsidiaries. The com parative results are partially attributable to an elevation # in 1980 earnings due to non-recurring interest income stem m ing from the collection during the first quarter of 1980 of a m ajor loan th a t had been carried in a nonaccrual sta tu s, Mr. • Woods said. Lloyd R. Kitrell Elected President of Indiana Bank (>) Security B ank & T rust Co. of Vincennes, I n d ., has elected Lloyd R. Kitrell president and chief executive officer. M r. Kitrell was m ost recently president and chief executive officer of City N ational B ank & T rust Co. of H astings since 1973. In Vincennes he succeeds Richard J . Bond, who is retiring from active bank m anage m ent to become board chairm an. 4) M r. Kitrell has a degree in business adm inistration from the U niversity of Nebraska-Lincoln. He has served as a national bank examiner and has held executive positions w ith the 0 Beatrice N ational B ank & T ru st Co. and the American N ational B ank of Omaha. Trust Company Approved ,p Paul J . Amen, D irector of Banking and Finance, approved the Bank of Bellevue’s application to amend its charter to allow the transaction of ( | tru s t company business. i FRANK E. WILLIAMS Executive V P PATRICK H. RENSCH Vice President and Counsel ROBERT E. ROH Vice President C. W. POORE, JR. Sec.-Treas WM. (Bill) ABTS Assistant VP WAYNE A. RASMUSS THOMAS B. MEHL Assistant V.P MIKE MULLEN Representative Representative THE SCHWESER PROFESSIONALS: 11 people who know what there is to know about MONICIPAL and what they can do for you. We’re the specialists in municipal bonds. In our 40-year history we’ve handled hundreds of issues, helping governmental subdivisions to better serve their constituents. And that’s the reason we can offer you and your customers competent advice and counsel on tax-free municipal bonds. We can also give expert bank bond portfolio analysis. Why not give us a call and see what the Schweser Professionals can do for you. JOHN H. CRAVENS Representative ROBERT E. Schweser Company INCORPORATED 208 So. 19th St. Omaha. Nebr. 68102 (402) 344-4611 3525 East Twenty-sixth Street Des Moines, Iowa 50317 (515) 266-2104 INVESTMENT BANKERS-UNDERWRITERS M e m b e r o f th e S e c u r itie s In v e s to r P r o te c tio n C o r p o r a tio n https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis S ilt N orthw estern Banker, Septem ber, 1981 94 years service industry. to the banking ® Promoted at Scottsbluff Jack Selzer, president of S co tts bluff N ational B ank & T rust C o., has^ announced the promotion of Sharon Koch to tru s t adm inistrative assis tan t. M s. Koch joined the bank three years ago as tru s t departm ent secretary. ' 4 Key Executives Promoted To New BAI Posts L in c o ln Havelock B ank has announced the promotion of P atrick Gibbons from operations officer to assistan t vice president. Mr. Gibbons joined the bank in 1977. He had previous ly been employed with the F irst N ational B ank of Fairbury, where he worked in P. GIBBONS various d ep art m ents. M r. Gibbons has a degree in business adm inistration from the U niversity of N ebraska at Lincoln. T. Cummings New President Of First National-Chadron Tom Cummings has been named president of F irst N ational B ank in Chadron, succeeding Bill J . Blough, who has moved to Am erican S tate B ank in McCook. His 23 years in banking include experience as a state bank examiner, vice president of the Lexington S tate B ank and president of the F irst B ank & T rust Co. of Cozad. M r. Cummings joined F irst N ational seven years ago as executive vice president. He then took a position as president a t P latte Valley Federal Savings and Loan A ssocia tion. L ast Jan u ary , M r. Cummings became semi-retired, b u t will be coming out of retirem ent to work full-time as president. m anaging officer in 1923 and president in 1940. He retired from the bank in 1950 b u t remained on its board until 1980. In 1951, he was employed by the Livestock N ational B ank of Sioux City (now N orthw estern National) and was a field representative w ith the correspondent-bank division. In 1960, he and his son, Richard J r., purchased the B ank of Elgin, where he was president and, a t the tim e of his death, chairm an of the board. M r. D raper also had been a real estate broker since 1917. The N ebraska Bankers Association in 1967 gave him an award for 50 To better serve its constituency and to thoroughly address key industry issues, B ank A dm inistra tion In stitu te President and Chief Executive Officer Ronald G. Burkean recently announced the creation of four directorates and prom oted key executives to head the new ly-estab lished posts. Reporting directly to M r. Burke<||> Eire: David Van L. Taylor, executive vice president, banking services; W ayne B. Lewin, executive vice president, education; R. Gerald Fox, executive vice president, communica- # tions, and Michael G. Glass, executive vice president, finance and membership. First State-Scottsbluff Celebrates Opening * IR ST S tate B ank of Scottsbluff F recently celebrated the opening of its new building a t 2002 Broadway. Special event for the grand opening was an “ In sta -P a y ” game in which comm unity members inserted a card, which they received in the mail, into an In sta-P ay machine which selected winners. Prizes included a fiberwoven blanket, a floating lantern flashlight and an 18 inch plaid travel bag. Everyone opening a new savings account of $250 or more during the grand opening also received one ol these gifts. The new building provides 8,700 square feet of operations space on one1® level. B ank Building and Equipm ent Corporation of America, of St. Louis, M o., designed and built the structure, incorporating many energy-saving features. A large® skylight which runs the length of the bank lobby adds architectural interest to the contem porary design of the building. Richard Draper, Sr. Dies Richard K. Draper, Sr., chairm an of the B ank of Elgin, died recently at age 84. M r. D raper started his banking career in 1917 a t the F irst National B ank of Belden and became its N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 7981 ^ FIRST State Bank of S cottsbluff recently completed its new facility. 95 Specialists in fulfilling your every correspondent need... GARY L. BIECK Vice President & Manager Correspondent Bank Division CRAIG E. WANAMAKER Vice President STEVEN L. ANDERSON Assistant Vice President KATHY M. VOTAW Correspondent Bank Officer MARVIN HEFTI Correspondent Bank Officer MARK A. ZABACK Correspondent Bank Officer MARK HAHN Correspondent Bank Officer CHARLES R. ELLIS Correspondent Bank Officer lllllim illllll FIRST N A T IO N A L LIN C O LN 13th & M Sts. • P.O. Box 81008 • Lincoln, NE 68501 Phone: (800) 742-7462 Mem ber, F.D.I.C. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 Conventional wisdom: visit w ith us when you're in Dos Moines. When you’re in town for the Iowa Bankers Associ ation Convention this month, we hope you’ll spend a few minutes visiting with our Correspondent Bankers. We’d welcome the op portunity to talk with you about the many correspond ent services available from Bankers Trust. And we’ll be glad to show you how the strength and resources of Iowa’s largest locally owned, independent bank can help you improve your bank’s efficiency and profit. Welcome to Des Moines. Welcome to Bankers Trust! / / / // / / / / N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 Bankers Come Crow Trust W ith us Des Moines, Iowa 50304 Member: FDIC/Federal Reserve System Iowa’s largest locally owned, independent bank Use our toll-free WATS line: 800-362-1688 Bankers Trust Correspondent Bankers (I. to r.) Roger Arwood, Ben Eilders and Don Jordahl at the Des Moines Marriott Hotel, site of the 1981 IBA Convention September 20-22. 97 Iowa Bankers Association 95th Annual Convention D es M o in e s M a r r io t t H o te l S e p te m b e r 2 0 - 2 2 EDWARD L. TUBBS President H E 95th annual convention of the Iowa Bankers Association promises to be an exciting, inform ation-packed m eeting for the more than 4,000 registrants expected to attend. The convention will be held Sunday through Tuesday, Septem ber 20-22, w ith the new M arriott Hotel in downtown Des Moines as convention headquarters and the site of the business m eetings. (For those guests registering at the M arriott for the first tim e, a separate story in this convention section gives directions to reach the check-in door of the hotel and the two parking garages.) This y ear’s convention will feature a spectacular array of entertainm ent, as well as the traditionally high level of platform speakers. Noted composer M arvin Ham lisch will perform at the piano w ith songs he has created, presenting two performances Sunday night at the Des Moines Civic Center. A Black and W hite Ball will be held M onday night, affording an opportunity for a return to the elegant G rand Ballroom at the F ort Des Moines Hotel. Guests m ay dress in either formal or semi-formal attire for this 8:30 p.m . to m idnight dance to the music of the Mike Day orchestra. The closing feature of the convention will be the “ Spotlight on Iow a’’ dinner Tuesday evening in the M arriott Ballroom. This will offer Iowa food, Iowa entertainm ent and Iowa hospitality. Live musical entertainm ent will feature the M aquoketa Peace Pipe Players, and the nationally-know n M ackinaw Music Show, which has played w ith noted entertainers. A record num ber of exhibitors will be displaying a wide variety of services and products used by banks, all on the third floor of the M arriott. H ospitality rooms hosted by correspondent banks also will be featured in the downtown hotels. S huttle bus service will be provided continuously between downtown hotels, Merle H ay mall and Younkers Tea Room. IB A President Edw ard L. Tubbs, chairm an of the M aquoketa S tate Bank, will preside at the business sessions. Scheduled to succeed him as president is Tom C. Dunlap, chairm an and president of South Story Bank & T rust Company of Slater, who has been president-elect this p a st year. L.C. “ B ud” Pike, president of the Farm ers Savings Bank, G rundy Center, has been IBA treasurer. Chief staff officer is Neil Milner, executive vice president and secretary, Des Moines. The complete program follows: T Sunday, September 20 P.M. 3:00 2:00 2:30 3:00 3:30 5:30 8:00 A.M. 9:00 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis -6:00, Convention R egistration — M arriott Second Floor. A nnual M eetings — M arriott Ballroom. IBA A nnual M eeting. IB IS A nnual M eeting. ITS A nnual M eeting. ABA Iowa M embers M eeting. -7:30, A N ight W ith M arvin H am lisch — Des Moines Civic Center. -9:30, A N ight W ith M arvin Ham lisch — Des Moines Civic Center. Monday, September 21 A gricultural Program — M arriott Ballroom. Presiding — Dave Kingland, chairm an, IBA A g Division; vice president, F irst National Bank, M ason City. N orthw estern Banker, S eptem ber, 1981 98 Iowa News Bookman Peters — Chairm an and CEO, City N ational Bank of Bryan, Tex. # IBM C Report. Pete Stubben, local trader, New York Futures Exchange. P.M. 2:00 D. KINGLAND B. PETERS 8:30 General Session — M arriott Ballroom. “ Outlook for Business and B anking” — Dr. William C. Freund, senior® vice president, and chief economist, New York Stock Exchange. IB IS Report, “ Com petitive Factors in the 80s: A Panel D iscussion” M oderator: Neil Milner, executive vice president, IBA. Thom as H. H uston, Iowa Superintendent of Banking. ® Lawrence Connell, chairm an, N ational Credit Union A dm inistration. Russ Browne, senior vice president, and m arketing director. Commercial Federal Savings and Loan, Omaha. “ Black and W hite Ball” — G rand Ballroom-Hotel F ort Des Moines. E ntertainm ent: The Mike Day O rchestra. ® Tuesday, September 22 A.M . 9:00 W.C. FREUND T.H. HUSTON L. CONNELL R. BROWNE General Session — M arriott Ballroom. ^ “Your Banking Custom er of the 80s — Peter Francese, Editor, American Demographics magazine. Lee Gunderson, President, American Bankers Association; Presi dent, Bank of Osceola, Wis. Iowa ABA Report. q ITS Report. “ America and the Rest of the World: W here Did We Go W rong?” — A m bassador Douglas M acA rthur II. Noon Reception and Luncheon — 50 Year Bankers and P a st IBA Officers. M arriott Hall of Cities. (||) 2:00 General Session — M arriott Ballroom. George H. Lawrence — President, American Gas Association. J.G . Cairns, J r., President, Peoples N ational B ank of W ashington, Seattle, W ash. IBA Report — Edw ard L. Tubbs, President. (|]| George Plim pton — Internationally-renow ned author, editor, and sportsm an. 6:30 “ Spotlight on Iow a” Dinner — M arriott Ballroom. □ You Will See Them at the 95th Annual Iowa Bankers Convention T H E 95th annual convention of the Iowa Bankers Association will be held Septem ber 20-22 a t the M arriott Hotel in Des Moines. Officers and representatives of larger banks from m ajor banking centers in the m idwest will be attending the convention. Following the list of bankers planning to a tten d is a list of N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 personnel from investm ent, service and equipm ent firms registered for the convention. Cedar Rapids Merchants National Bank: Jam es Coquillette, president; Robert O’M eara and Jo h n M angold, senior vice presidents; Terry M artin and Jerry Trudo, vice presidents, and Dale Froehlich, president. assistan t vice Peoples Bank and Trust: John M. Sagers, president; Don G. Ellis, executive vice president; Lawrence E. M cG rath, senior vice president/ cashier; Gary D. E rn st, senior vice p re sid e n t/tru st officer; Melvin J . McCalley and David Paxton J r . , vice presidents; M argaret E. Billings, assistan t vice president, and Lila M. Helms, tru s t officer. i|||i We've got Correspondent Banking Services in the bag. Whether you need over-line loan participation, help with collec tions, or assistance on compiling investment port folios, you can depend on getting it from American Trust, your full-service correspondent bank. You can also count on Bernie Miller, our cor respondent banker, for a full range of Federal Reserve System services: inexpensive and easy procurement of currency and silver, direct deposits of Federal checks through an Automatic Clearing Ffouse, and domestic and foreign wire transfer of funds. In addition, our Trust Department backs up Bernie with trust services to enable you to establish your own bank pension plan, profit-sharing plan and a wealth of other inflation-fighting programs. You may even wish to offer these same services to your own customers. To find out how easily you provide more services, call Bernie today at 319/582-1841. American % ïïu s t& Savings Danl^ The Dank^qf Opportunity Town Clock Plaza Dubuque. Iowa 52001 Phone: 319/582-1841 M ember F D I.C. & F R S "More banks are offeri}ig their customers more services thanks to the help they 're getting from American Trust. W ell see you in Des Moines at the Iowa Convention. J-*s, *■-*:'***«% ,_ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis II 100 Iowa News Chicago An Evening With Marvin Hamlisch American N ational Bank: Keene® H. A ddington, president; George K. M etzger, executive vice president; Robert F. Sherm an, senior vice president; Robert D. Regnerus and-^ Dennis F. Reher, correspondentw banking officers, and Philip C. Simmons, bond investm ent officer. C ontinental Bank: John B. Tingleff, Thomas E. Elyea and Lawrence® H. Frowick, vice p residents—finan cial In stitu tio n s m idwest division; Delmar Rogers J r., second vice president—financial institutions m idwest division; M. H annah J u d y # Duncan, banking associate—finan cial institutions-m idw est division; Chris D. Maxwell, bond officer— portfolio advisory services; M argot J . Shockey, municipal bond represen- O tative; How ard J . Beckstom , second vice president—governm ent bonds; Bruce Langille, governm ent bond representative, and Eric G. Wilson, bond officer. ® “ A Night w ith Marvin Ham lisch” w ill bring one of America’s top singer-composers to the Iowa Bankers Association annual convention. At 5:30 p.m. and 8:00 p.m. performances, he w ill play and sing such famous Hamlisch hits as “ The Way We Were,” “ A Chorus Line,” “ The S tin g ,” and “ The Spy Who Loved Me.” Committed to making your bank stand apart from the Drovers B ank of Chicago: Frank E. Bauder, chairm an of the board; Jam es F. Carmody, president; Robert F. Corey, executive vice® president; John J . C rotty J r ., and M ax A. Roy, senior vice presidents, and Kathleen T. H ardy, assistan t vice president. F irst National Bank: Thomas M. King, vice president and m anager; Clarence C. Cross, assistan t vice president; David J . Varnerin, loan officer, and Paul A. G argula ,1 commercial banking representative, all w ith correspondent bank division. Nevin Bowser, vice president, and Andy Lam pert and Meillyn Donahue, sales representatives, all with bond* departm ent. Tom Cooke, assistan t vice president, and Jane Blom quist, investm ent advisor, both with Fed Funds division. H arris Trust: John A. Sivright, executive vice president; Jerry H . Pearson, Jam es W. Hill, Gerlad R. O’Connor and Stephen P. D ustm an, vice presidents; Thom as P. M artin, ® assistan t vice president; Robert E. Stenbeck and Edm ond M. Kennedy, investm ent officers. LaSalle N ational Bank: Edw ard R. Gran t, chairm an of the board; M. Hill Hammock, executive vice president; William F. Love, vice president/ division head; Richard G. Brown, vice president, and Richard K. Fiesvig, assistan t vice president, all from N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 q q Lynn Horak Barbara Estey Charlotte Heaberlin Rita Pirrello Dick Pedersen Group Vice President and Manager, Investment Services Investment Officer Money Market Specialist Money Market Specialist Vice President & Manager, Funds Management Services The lowa-Des Moines now has a FUNDS MANAGEMENT DEPARTMENT, staffed with experts working full time to help you make the most of your money in short-term investments. These people combine know-how with up-to-the-minute money market information to handle investments including: • Fed Funds • Commercial Paper • Repurchase Agreements • Negotiable CD’s • Banker’s Acceptances Of course, we have always offered funds management and investment services. But we think our new approach — a separate, full-time department — will be of even greater benefit to banks and corporations trying to cope with today’s fast-changing money markets. Give us a call — you’ll find the bank that’s first in Iowa is first with help for your money, too. nesMpines A A NATIONAL BANK First in Iowa. . . by putting Iowa first. A dr 7th and Walnut, Des Moines, Iowa 50304 (515) 245-3131 or toll-free (800) 532-1820 © 198 1 lowa-Des Moines National Bank https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Member FDIC An Affiliate of Northwest Bancorporation Banco 102 Io w a N ew s correspondent bank division; R u dolph H. Frank, vice president, investm ent departm ent; M arc B. Benson, senior vice president; William V. Crawford, vice president, and Jam es W. Griffin, sales representative, all from bond d ep art m ent. Jeffrey B. Early and Frank M. Lockhart, commercial banking offi cers, and Patricia Kaczar, adm inis trative assistan t. Michael J . Furey, second vice president, —tru st; E d ward J . W alsh, vice president— bonds, and John P. Drawer, bond investm ent representative. H orst, vice president /cashier; Michael A. Bauer, correspondent banking w officer; Glen W. Piotter and Robert J . H artm an, com puter services officers; Jack R. McDonnell, senior com puter services officer, and John W. 0 Schricker, credit card officer. N orthw est Bank and T rust Com pany: Larry M akoben, vice presi D avenport B ank and T rust Com dent. The N orthern T rust Company: pany: John K. Figge, president; Stephen B. W hite, senior vice Jam es K. Figge and Thomas K. F ig Dubuque president/division head; Curtis E. ge, executive vice presidents; Robert American T rust and Savings Skinner, senior vice president; G. Lenertz and Jam es E. Shrader, Bank: Nicholas J . Schrup, chairm an E rnest P. W aud III, vice president; senior vice presidents; Richard R. of the board; Christy F. A rm strong. fl)> president; Leo F. Kane, executive vice president, and Bernard D. Miller, assistan t vice president. National Boulevard Bank: Peter DeRosier, vice president. H. D avenport K ansas City PEOPLES BANK “The largest, most complete independent bank" in East Central Iowa ★ ★ ★ Peoples full financial services... Helping build your good life. YOG CAN BANK ON IT! Peoples Bank and Trust Company Cedar Rapids FDIC • FRS 0 Commerce Bank: John J . W il liams, senior vice president, and Dennis C. Riffle, correspondent banking officer. U nited M isouri Bank: Richard C .® King, president; E.L . Burch and Alan B. Collins, executive vice presidents; Richard H. M uir, vice president. 0 M inneapolis F irst B ank Minneapolis: Robert J. Anderson, executive vice president; Glen R. W alters, Michael E .0 Boncher, Fred H. Squires, Larry C. Nelson and Lee C. H am ilton, vice presidents; William W. H am ilton, assistan t vice president. M arquette N ational Bank: William # J . A ddington, vice president and Richard E. Holmes, assistan t vice president. N orthw estern N ational Bank: E .0 Peter Gillette J r ., president; D onaldw G. Pederson, senior vice president/ correspondent banking, and Richard C. Storlie, vice president/correspondent banking. 0 New York Chemical Bank: John A. Robb, assistan t vice president. Omaha # F irst N ational Bank: Phil Giltner, president; Jack Canaday, executive vice president; Bruce Lauritzen, Bill Henry, Don O strand and Ralph # Peterson, vice presidents; Jim Flodine and Bob Meisinger, second vice presidents, and Diane C asart. The Om aha National Bank: John(|||> D. W oods, chairman; Thomas H. N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 103 THIS CONVENTION, YOU SHOULD MEET A HARRIS BANKER! • • • John Sivright Jerry Pearson Jim Hill Ed Kennedy Why a Harris Banker? Because Harris has the resources, the economic expertise, and the operational excellence to solve just about any problem a correspondent bank might have. Because Harris has a strong management commitment to setting up mutually profitable working relationships with correspondents. And because Harris has the professionalism of John Sivright, Jerry Pearson, Jim Hill and Ed Kennedy to bring our expertise to every corner of Iowa. Come and meet John, Jerry, Jim and Ed at this year’s convention in Des Moines. Or if you need help faster, call (312) 461-2121. See you at the convention! * HARRIS BANK. Harris Trust and Savings Bank, 111 W. Monroe St., Chicago, IL 60603. Member F.D.I.C., Federal Reserve System. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 1 04 Io w a N ew s Allen, president; John E. M artin, colm Erickson, vice p resident/ Daniel F. Boehle, Delmar J . Olson, cashier, and Tom Pohlman, corres John Furrow and Ralph Noren, vice pondent banking officer. presidents; John F. W ear, corres Security National Bank: R .E . pondent loan officer; Tish Selk, “ Gene” H agen, president; Jim assistan t m arketing officer; Mel Hongslo and Steve H atz, vice Lancaster and Sherry Hulme, client presidents; Ken Roeder, correspon consultants. dent bank officer, and Scott Otis, U .S. National Bank: Jam es correspondent bank representative. Campbell, president; Lee Bachand, Toy National Bank: Leslie H. Howard Nielsen and Robert BillOlson, president; Jam es Tritz, Rich meyer, vice presidents; William Breyfogle and S tan Fredericks, vice Dew hurst, card services officer. presidents. St. Joseph First National Bank: Bill M anring, assistan t vice president. First Stock Yards Bank: John K ara, president; and Bob Azelton, assistan t vice president and ag rep. St. Louis Mercantile Trust: Jerry Fleschner, vice president; Jerry B. Carman, assistan t vice president, and Charles A. E vans, banking representative. St. Paul First National Bank: Michael T. Mishou, Clayton L. Johnson and Robert J . Peroutka, assistan t vice p residents. Sioux City First National Bank: Richard C. Taylor, president; Gary W. Steven son, vice president, and Douglas A. Schm idt, assistan t vice president. Northwestern National Bank: Doug Brown, vice president; M al ROBERT J. KIRKE, Pres. Investment, Equipment and Service Firms *Burroughs Corporation, West Des Moines: Terry Sm ith, Glenn® Anspach, Dale B eaty, M arv McElvain, Chuck Taylor, Ron Pieracci, Joe Graziano, Jerry Ross, Jeff Gebauer, D an Reed, John W ashburn, Ed M angold, M ark Stuck, Tom ® Ham ilton, C urt Brown, Bob English, Jack Steck, Randy Luebe, Lee Meuler, Dawn Sherbeyn-Flick and Rick B archard. *Business Systems Corporation, Des Moines: Sue DeVrieze, Rita Shuey, Larry Ganer. Roling and Susan *Karma Cahill Fine Art and® Framing, Cedar Falls: Karm a Cahill. The asterick (*) indicates those Chiles, Heider & Company, firms registered as exhibitors. Omaha: Fred Douglas, Tad D unham , Automated Systems of Iowa, Jon Narmi, Jeff M oran, Mike Sparks <|j|i Ankeny: Jon Grindle, president. and David Van M etre. *Bank Building Corporation, St. Credit Bureau of Greater Des Louis: Roy W ingers, senior consul Moines: Jerry A. Jackson, president; ta n t. T .J. Driscoll, vice president/secre- *Banks of Iowa Computer Servi tary; P a tty Collette, adm inistrative # ces, Cedar Rapids: Brian Phillips, assistant; Kelly M. G ruber, Vali- president; Brian Scott, vice president Chek m anager, and Valerie F raas, —m arketing; Steve Boes and John credit reporting m anager. M eehan, m arketing representatives, *Cummins-Allison Corporation, (|||i and Annalee Scott, executive account Chicago: Keith Jung. m anager. Dain, Bosworth, Inc., Des Moines: *Bell& Howell, Des Moines: Norm Paul H . B artlett and Howell R oberts, L ust, sales manger; Glenn Klein, vice presidents. Gary Nickerson, Bob W eatherly and *Daktronics, Inc., Brookings, SD: Mike McMullen. Jim Thom as. *Brandt, Inc., Peoria, 111.: Bill *Data Business Equipment, Des Welch, Dick M artin, Dan Thiewes Moines: A rthur N. Joura, president and David Crew. Donald F. Jones, vice president, Lynn Groen, program m ing; Karen Riesenberg, custom er support; C urt Paul and Jam es B. Kelley, sales. ROBERT P. DORWEILER, Vice President *Deak-Perera, New York: Jerri® Schwartz, Gerald L. M arquard. Qhaw, jy jc D e rm o tt & (^ o . MUNICIPAL BONDS EXCLUSIVELY Underwriters, Distributors, & Consultants for General Market Municipal Bonds and Industrial Revenue Bonds 518 Stephens Bldg. DES N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis MOINES. 1981 Phone 515—243-6119 IOWA 50309 *Des Moines Stamp Manufactur ing Company, Des Moines: Tom Child, Dave Child, Frank Child Randy Miller, Ken D ular and John Higgins. Diebold, Des Moines: John M urphy, regional m anager; Bill Osier and Curt U ngs, sales representatives.® *Durham and Associates, Edina, MN: Ed Koscic. Statem ent of Condition Board of Directors V.O. FIGGE J u n e 3 0 ,1 9 8 1 Chairman of the Board PHILIP D. ADLER ASSETS Lee Enterprises C ash and Due From Banks F ederal R eserve Funds Sold U.S. G o vern m en t and its A gency S e cu rities O th er M a rk e ta b le C o rp orate O b lig a tio n s M u n icip a l S ecu rities F ederal R eserve Bank S tock Loans Bank P rem ises and Eq u ip m en t In terest A ccru als $ 78,372,938.79 12,100,000.00 114,270,305.99 26,381,846.01 84,223,087.66 1,122,000.00 179,457,087.59 8,457,402.21 7,523,205.94 1,596,079.63 8,931,776.52 C u sto m ers L ia b ility for Letters of C redit O th er A ssets $522,435,730.34 LIABILITIES C ap ita l S to ck Surplus U ndivided Profits $ Total C ap ita l Funds 2,400,000.00 35,000,000.00 18,921,480.93 $ 56,321,480.93 Reserves for In terest, Taxes, and O th er L ia b ilitie s Banks L ia b ility for Letters of C red it Federal Reserve Funds Purchased D ep o sits 9,307,477.48 1,596,079.63 65,948,814.24 389,261,878.06 $522,435,730.34 EDWARD L. CARMODY Senior Vice President JAMES KAHL FIGGE Executive Vice President JOHN KAHL FIGGE President THOMAS KAHL FIGGE Executive Vice President MEL FOSTER, JR. Mel Foster Company ROBERTA. HANSON President Deere & Company LLOYD G.SCHERMER President Lee Enterprises DEAN R. STICHNOTH President lowa-lllinois Gas & Electric Company CHARLES R. VON MAUR Petersen-Harned-Von Maur LARNED A. WATERMAN Lane and Waterman HENRY C.WURZER Kahl Properties D avenport Bank and Trust Company M em ber FDIC https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 106 N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 107 Know your customers. Look around. Banking has become one of today’s most competitive businesses. Your customers are being wooed by every financial institution in your market area. The trick to keeping your customers loyal, and to increasing your profits, is knowing as much about them as possible and keeping that information updated daily. Unfortunately, complete up-to-the-minute customer profiles are rare. Background in formation is often gathered randomly and stored in many different places, making it difficult to obtain for useful purposes. Until now. Until Banks of Iowa Computer Services Central Information File (CIF). With Banks of Iowa Computer Services’ CIF, complete information on your custom ers can be obtained in moments, either on a display terminal or as hard copy. The operative word is exhaustive. Since every possible piece of information gathered is centrally stored, you have immediate ac cess to such things as the status and history of a given customer’s account and his ac count relationships. The businesses he’s in and how they’re doing. And any pertinent family information. This information is critical in making quick, knowledgeable, profitable decisions. CIF is the most economical, efficient and sensible way to gather all this information and to use it for increased profits. Don’t kid yourself. There aren’t many new customers around. What you need to do is expand the ways your existing cus tomers use your bank. Because a lot of other financial institutions would like them as customers. And are trying to get them. Can you trust your customers? Yes — if you can trust your information retrieval sys tem. And that means CIF. Contact us today for an appointment. We’ll be glad to explain our system at your convenience. For more information call BICS marketing at (319) 399-3600. Banks of Iowa Computer Services^ A “ B A N K S O F IO W A ” S U B S ID IA R Y https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 108 Io w a N e w s *E astm an Kodak Company, M in neapolis: Dennis Colburn, Steve Penisten and Gary Sauerteig, sales representatives/m icrographics m ar kets. Financial Institu tio n Services, Inc., Omaha: Lom e Newhouse. *Financial Products, Inc., Eau Claire, W is.: Les H. L iptak, vice president; John Lawder, Randy Johnson and William Lundbohm , sales representatives. *Financial System s, Inc., K ear ney, Nebr.: Ken M eredith. *General B ank E quipm ent & System s, Inc., Omaha: Thom as C. Sternberg, John T. Say les, B .J. Gehrki and M ark C. Vandem ark. *Greenleys Iowa Supply Com pany, Sigourney, la.: Terry Greenley. *Kirk Gross Company, W aterloo, la .: R.T. Zahn, chairman; Gerald L. Gross, president, and Robert Jam erson, architect. Tom H agan & Associates, N orth K ansas City, Mo.: Tom H agan, owner, and Linda Blue Sm ith, president. *Hawkeye Bancorporation, Des m anager, Omaha; Richard A.|> Moines: Paul D. Dunlap, president; Collins, sales engineer, Omaha, and M yron Weil, executive vice presi George Vinson, sales engineer, Sioux dent; R obert M urray and Jim City. Bullard, senior vice presidents, and *Life Investors, Cedar Rapids: Stephan L. Jones, vice president. Don N achtm an, Bob O kerstrom and® Bob Kesselring. *HBE B ank Facilities, St. Louis: *M & M Sales Company, Des M artin Goldberg and Gary Gauger, Moines: Larry Perry, B art C hristian account executives. son, Ed Simmons, M ark Clarke, Holder and Associates, Ames: Don Larry W arren, Tom Dunn, Dick^*' and P a t Holder. Haire, Larry Collins and Steve *Iowa Bankers Insurance and H uy ette. *McDonald Business Services, Services, Inc., Des Moines: The ^ entire staff! A1 Tinder, executive Des Moines: Jim McDonald. director; Bill Carr, Larry Gille, Jim *Merlin Inform ation System s, Jensen, Gary Livesay, Ron Meyer, Visalia, Calif.: Dan Sims. M argie Schaefer and Millie Uding, *MGIC, Des Moines: Ed Kallevice presidents. myn, vice president/m arketing rela *Kooker & A ssociates, Spencer, tions; Dennis Grogan, regional # la: Earl F. Kooker. director of m arketing; Ted Miller and *A ustin P. Lawler & Associates, Gordon Chapm an, account execu tives . Lom bard, 111.: A ustin P. Lawler. *M idwest Calculator, Des Moines: ^ *LeFebure, Cedar Rapids: Frank R. Volesky, regional sales m anager, Thomas L. W eaver, executive vice Cedar Rapids; Lon W arren, sales president, and Randy Forburger, engineer, Cedar Rapids; Richard vice president. *Money Handling Machines, Inc. Wilson, sales engineer, Des Moines; Jack D uD ash, sales engineer, M ason City; Finley Jackson, regional sales (B randt Sales & Service, Omaha: Jim Grimes. (I <01 m Jon Narmi Ken Ferrarmi Jim Kelly Jim Fox Tad Dunham Jeff Moran # Bill Carver Fred Douglas Bill Beavers Jim Foley Dave Van Metre See You at the Iow a Convention Chiles, H eider &Co, I nc. MEMBER NEW YORK STOCK EXCHANGE, INC. 1300 W OODMEN TOWER ■ OMAHA, NEBRASKA 68102 ■ (402) 346-6677 612 LIBERTY BUILDING ■ DES MOINES, IOWA 50309 ■ (515) 243-0833 N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 S ÏP C We take the foreign intrigue out of international banking. We’ve simplified international banking services for our correspondent banks and their customers. For example, instead of dealing with one person when you open a letter of credit, and a different person the next day, you deal with one individual. An international specialist who handles your letters of credit and collections from beginning to end. Our bankers make every aspect of international banking easier. They untangle the complexities of trade finance, foreign payments and money transfers, foreign exchange, and more for you and your customers. Take the mystery out of international banking. Call Bob Sherman, Correspondent Banking Division or Jerry Langley, International Banking Division at (312) 661-5000. American National Bank and Trust Company of Chicago 33 N. L a S a l l e 6 0 6 9 0 / L a S a lle a t W a c k e r / 2 2 2 S . R iv e r s id e P la za / ( 3 1 2 ) 6 6 1 - 5 0 0 0 Branch offices in London and Cayman Islands. International offices in Argentina, Brazil, Colombia, Germany, Holland, Hong Kong, Mexico. Peru and Singapore. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1 10 Io w a N ew s *Money Processing C onsultants, Cedar Rapids: Kim Ballew. *Nesper Sign A dvertising, Cedar Rapids: Larry Sovern. Monroe Calculator, Des Moines: Norm Greenwald, branch m anager; Dal H uston, Roger Oakland and John Trave, sales representatives. Newlin B ank Sales, Des Moines: Richard C. Newlin, president; William D. Newlin and M artha J . Newlin, vice presidents. *Northwestern Bell, Des Moines: *Mosler Safe Company: Doug Moore, regional sales m anager, and Keith Arneson, Bob DeYoung, Mik Jim Bell, regional service installation Lucas, Robin Nixon and Dennis m anager, K ansas City. Bob Hood, Spurgeon, account executives. Paul branch m anager, and Darwin F est, Blum and Joe Hobbs, custom er sales representative, Des Moines. service representatives. Terry Froelich, sales representative, *Omaha N ational Bank: John Minneaolis. Lindsey M ichalski, sales Furrow, vice president; John C ar representative, Omaha. michael, product planning m anager; *NCR Corporation, Des Moines: Mel L ancaster, assistan t operations Jam es Schulte, M arcus W ilson, officer, and Sherry Hulme, client Linda W ignall and Lori B ents, Des consultant. Moines; John Peglow, Cedar Rapids; *Pinger System -M idw est Credit Leonard Fagen, Sioux City; Bob Bureau, Des Moines: Jerry A. Lapinski, M inneapolis. Mike M ur Jackson. phy, W aterloo. Glen Simpson, *A.O. Sm ith H arvestoreP roducts, Dubuque. Steve P atterson and John E vans, D avenport. Don Frazer, Inc., Ames: Stephen K. Sullivan. Bonnie Gray and Steve M arrison, *The T R W -Fujitsu Com pany, Oak Omaha. Dave Bublitz and Dave Brook, 111.: W in Tripp. H eath, M ason City. *U nited B ank Services, Grand *National Fidelity Life Insurance Island, NE: H arry E oriatti. Company, Des Moines: Craig Ross *United Business E quipm ent & and John Wolf. Microfilm, Lincoln: Bill H ardt, Lucile Hoffman, Ron Wick, R o r# Brotherson and Rex Luse. U nited S tates Check Book Com pany, Omaha: E d Batchelder, vice president/sales; Glen A ltfillisch^| Bernie Burger, John Kohring, Tom Potthoff and Chuck S tra tta n , representatives. *U SLIFE Credit Life Insurance Company, Des Moines: Bob A tess. # *Winn International Corporation, Chicago: Ira Kaplan. Brenton Banks Tells Income (|)i Brenton Banks Inc. of Des Moines said its net income for the first six m onths of the year totaled nearly $3.1 million or $2.61 per common share, an increase of 24 percent over the $2.11® per share from the same period a year ago. The bank holding company also reported an 11 percent increase in assets, an 8 percent increase in® deposits and a 3 percent increase in loans. Chairm an William H. B renton projected a continuation of the* favorable trend. m Carleton D. Beh Company Investment Bankers/Financial Consultants 1300 Des Moines Building/Des Moines, Iowa 50309 Division of DigitizedNfor FRASER orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 Button & Company Inc. ® 111 Ready with Single System Banking with all of its Cost Saving Features! The newest innovations in banking are ready for you at the N ational Bank of Waterloo Computer Center. This new facility, staffed by experienced bankers, is ready to serve you w ith practical, efficient data processing services . . . at significant savings. You'll find our correspondent banking and data processing professionals responsive, helpful and ready to m eet your needs. Call or write us today. . National BankofWaterloo Bank Data Processing Professionals A Phone 1-800-772-2411 Waterloo, Iowa 50704 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Member Federal Reserve System F D I € N orthw estern Banker, Septem ber, 1981 112 Io w a N e w s Directions To Convention Headquarters and Parking • Marriott Hotel—7th & Grand • Approach Marriott westbound on Grand Ave. to entrance just west of 7th St. intersection. # • Check-in and unloading area at en trance area. • Limited underground parking at check-in area. • Downtown Des Moines maps avail® able from hotel doorman. Locust St. Mall—7th & Locust • Right onto 7th St. from hotel check in. # • IV2 blocks South to Walnut. • Right on Walnut 1 block West to 8th St. • Right on 8th 1 block North to Locust. || • Right on Locust Vi block East to entrance. • Sky walk to Marriott. Grand Ave. Garage—7th & Grand F ir s t S tr in g . • R ight onto 7th St. from hotel checlo* in to left land. • V2 block South to Locust. • Left on Locust 1 block E a st to 6th Bob Azelton H. H. “Beanie” Broadhead John Kara T hat’s what you get from the First Stock Yards Bank. Our correspondent bankers are real pros when it comes to financial expertise and personal attention. Their specialties are bank stock loans, commercial loans, agricultural loans, and data processing. Together, they make millions of dollars worth of loans every year. Team up with a first string correspondent banker -o n e of the pros from First Stock Yards Bank of St. Joseph, Missouri. W here your su ccess is a tradition First Stock Yards Bank St. Joseph, Missouri 64504 Call: (816) 238-0651 A ffilia te of First M idwest Bancorp, Inc. Member F.D.I.C. DigitizedNfor o rthFRASER w e s tern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 A ve, T. A • Left on 6th 2 blocks N orth to H iglr St. • Left on H igh St. 1 block W est to 7th St. • Left on 7th V2 block South to em~ trance. • Sky walk to M arriott. For convenience, the hotelm anagem ent recommends using the Locust. Street Mall facility. 113 Iowa’s fertile lap is a patchwork of peace and plenty. T he pork grows lean and the com grows tall. Communities hum with prosperity. Iowa bankers keep them humming. We salute you. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis # M in n e a p o lis We ll be there. First Bank Place Minneapolis, M N 55480 Phone: 6 I2 /3 7 0 -5 4 7 4 Member FDIC N orthw estern Banker, S eptem ber, 1981 114 Io w a N ew s Assistant to President Hired in Shenandoah Were interested in handling ag credit needs. Yours. t Security Bank, we’re peoi pie with an interest in your success. People you can count on for ag lending and all your correspondent needs. Our Correspondent Banking Officers have a special commitment to agriculture. And we have our own Security Agri-Credit Corporation to help you with increased credit demands. So, start corresponding with Security for ag lending, data processing, overlines and investments. You’ll discover we’re people with an interest in you. A Security Correspondent Bankers Top to Bottom Jim Hongslo Steve Hatz Ken Roeder Wilma Weeks Scott Otis People with an interest in you. Western Iowa’s Largest 7 1 2 /2 7 7 -6 5 5 4 MEMBER F.DJ.C. © 1 9 8 0 Security National Bank orthw estern Banker, Septem ber, DigitizedNfor FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 Robert S. Ross, president of the City N ational B ank in Shenandoah, has announced ........ th a t George H. Perry has recent ly joined the bank as assistan t to the president. M r. Perry is m arried to the former Nancy Ross. M r. Perry G.H. PERRY graduated w ith a _ BA degree from the U niversity of" Iowa and earned his JD degree from Drake U niversity Law School. He was A ssistan t U nited States A tto r ney and then U nited S tates A tto rn e j# for the southern district of Iowa from 1974 to 1977. For the past four years he has been a trial lawyer in Algona. New Mingo Banking F acility# C onstruction has been completed on a new banking facility for the Mingo T rust and Savings Bank, according to Jerry Schierm eister. president. * The new 3500 square foot facility has four teller stations, three executive offices, a directors confer ence room and a drive-up window^ th a t serves one lane of traffic. A large* com m unity room in the basem ent will be available for use by the general public. The use of locally supplied n atu raL oak and w alnut throughout the* interior adds a special dimension to the facility. A lbert A. Pacelli of Oaklawn, 111. provided architectural services. Office Concepts, L td. oU W aterloo was responsible for the* interiors. A recent open house for area bankers was attended by 140 guests. The public open house was attended^ by more th an 400 people. Ottumwa Officer Election SECURITY N A TIO N A L B A N K SIOUX CITY, IOWA 51101 * John S. Zdychnec, president and chief executive officer of F i r s # N ational B ank of O ttum w a, has announced the election of Cheryl Simplot to compliance officer. Prior to joining F irst N ational B ank in February, 1981, M s. S im p lo # worked as bank examiner for the S tate of Iowa. She is a graduate of the U niversity of Iowa where she received a BBA degree in business adm inistration. ® 115 WELCOMETOIKE QUALITYCONTROLDEPARTMENT. T here’s no way to compromise quality. So when we review your invest m ent portfolio, we stress quality first. Although it is more dif ficult to discern than yield and maturity, the quality of an investm ent is what does the earning. We’ve developed an outstanding record of earnings U nited we grow. Together. through careful, sound investm ents— high-quality investments. W hile we are a bit conservative by some people’s stan dards, we are very suc cessful by everyone’s. We welcome you to meet our Investm ent Division staff. Your investments will be in very qualified hands. MISSOURI BANK OF KANSAS CITY, N.A. INVESTMENT DIVISION Member FD IC 10th and Grand, Kansas City, Missouri 64106, (816) 556-7200 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 1 16 Io w a N ew s H o w IB A T o p E x e c u tiv e s V ie w A s s o c ia tio n P ro g re s s AN B a n k e r interview with ED TUBBS, President o r t h w e s t e r n an(j „ _T -w-v „ „ . . _r . r, N E IL M IL N E R , Exec. Vice Pres. Iowa Bankers Association H EN a banker takes on the heavy responsibility as presi dent of his state banker association, he not only accepts a rushed, harried, at tim es frustrating, b u t exciting 12 m onths, b u t he receives a bonus in the new friendships he develops with other bankers and a greater appreciation of the real w orth of each one of those m embers to the welfare of the entire association. And, as an added value, both the president and the association full-time executive develop a special bond as they work together over a two-year period of tim e, learning the personality of each other, how the other’s m ind works, his am bitions and expectations. Such a unique sharing experience th a t develops into a lifelong friendship has been the good fortune of Edw ard L. Tubbs, president during 1980-81 of the Iowa Bankers Association, and Neil Milner, IBA executive vice president. M r. Tubbs is chairm an of M aquoketa S tate B ank in M aquoketa, and will cap this association year Septem ber 20-22 when he presides at the 95th annual convention of the IBA in Des Moines. In between busy sessions last m onth at which they m et w ith groups of Iowa bankers to explain the proposed purchase of a Des Moines building as the new IBA headquar ters, M r. Tubbs and M r. Milner joined forces for this interview, giving their frank responses to these questions. Q. In w hat ways do you feel the Iowa Bankers Association has had any real input or inpact nationally on the ABA, federal regulators or Congress? W N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 Ed Tubbs (left) and Neil M ilner review the program for the^|, 95th annual Iowa Bankers Association convention. Ed: We feel our association is the m ost respected state association in the country. A large p a rt of the reason for th a t is Neil M ilner, who has been president of the National Association of S tate Banker Execu tives and has had great experience in the legislative arena and in providing services to members. Our endeavors are looked a t frequently as an example for other state associations. I ’m sure other state associations would feel the same way about their associations. Legislatively, we have strong representation at the ABA level, w ith C hristy A rm strong, president of Am erican T ru st & Savings B ank in D ubuque, serving as one of the 27 bankers nationwide who make up the ABA board of directors. Neil’s strong standing and input are again evident in this area. Dale DeK oster, president of the W aterloo Savings Bank, and Dick B uxton, president of Peoples T rust & Savings Bank in Indianola, have done outstanding work a t the ABA level on the Governing Council. On the ABA governm ent relations comm ittee we have had very able representation by Bob Brenton, president of B renton Banks, Inc., Des Moines, and Dick Summerwill, president of Iowa S tate B ank & T rust Co. in Iowa city. In addition, Neil and I are in there constantly, so Iowa has a lot of opportunity for input to the ABA. Certainly, it is my impression Iowa takes a leadership role. This is especially pronounced in the projec ted 12-state association organization being developed now. Neil: A specific example of Iow a’s input nationally occurred some m onths ago when the Fed sent an urgent request for data reflecting the percent of deposits in six-m onth CDs.-. We got the request Wednesday** night, sent a m ailgram to each Iowa bank (657) Thursday night, then our staff fielded the return phone calls from the banks Friday, Saturday andgw Sunday. D uring th a t tim e, more than** 500 of the 657 banks responded and our office staff stayed on duty throughout the weekend. This inform ation was compiled by ou r^ staff and sent to the Fed prior to its Tuesday m eeting. The results of th a t up-to-the-m inute survey had a dram atic im pact. W hen the DIDC was discussingn removal of the quarter percent differential recently, we asked our members to respond to Treasury Secretary Regan, then the federal regulators and also the Chicago F e d || We were told by the Chicago Fed th a t its office had over 200 replies from Iowa banks alone the day prior to the DIDC m eeting. T hat again was a “ short fuse” deal on a T hursday# night. Our bankers received the request from us on Friday and the replies had to be in prior to the DIDC m eeting the following mid-week. I should also m ention th a t w e# m aintain excellent rapport w ith our Congressional delegation in W ash ington and meet w ith them regularly. Some are in key positions. A t the state level, my impression is# th a t we have a communications relationship so th a t our views are heard and considered. I would say we have high credibility. The real strength of all o u r# endeavors goes to m embership 117 We’ll put you on the m ap... with Instant Access convenience for your customers. a • UI O u r respondent banks in the four-state area surrounding Sioux City can now assume banking leadership in their communities with 24-hour electronic banking services for their customers. In conjunction with Banks of Iowa Computer Services (BICS), we were recently one of the first in the nation to provide acrossstate-line EFT processing for respondent banks: Valley Bank in Sioux Falls and Yankton, South Dakota; and Dakota County State Bank in South Sioux City, Nebraska. Their customers can now use an Instant Access card in either Nebraska, South Dakota, or Iowa at more than 200 locations to perform account withdrawals, Gary Stevenson D o u g S c h m id t Vice President Correspondent Banking Assistant Vice President Correspondent Banking 712/277-0618 712/277-0614 Look for us at the IBA convention and S. Dak. group meetings to find out how our complete correspondent services can benefit your bank. transfers and balance inquiries (only account deposits are excluded by law between states or non-contiguous counties). A transaction initiated in Sioux Falls, South Sioux City or Yankton takes just 11 seconds to be routed through the Iowa Transfer System (ITS), confirmed with BICS and sent back to the originating ATM! You too can become the dominant EFT financial institution in your area by actively establishing terminal locations and issuing your own Instant Access cards. Give us a call soon to find out how we can put your bank on the map with electronic convenience for your customers. First National Bank bi Member FDIC • Sioux City • A BANKS OF IOWA’ BANK https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 1 18 Io w a N ew s Neil and Ed listen intently to a banker’s question at a recent meeting. participation in the process of contacting legislators. I think it is fair to say th a t on any substantive issue which we can’t see is clearly in the public interest, then we reevaluate our position. We know th a t the legislator in a comm unity often seeks his local banker’s views on a broad range of economic issues. Q. What are some of the concerns or initiatives you feel have not been completed this year? What are some of the accomplishments? Ed: One would be our effort to acquire a new building location for IBA headquarters. (This was to be voted on by members by late A ugust.) A nother would be the 12-state Mid America Banking Services Co., Inc., still in the process of being formally organized. One accom plishment was over hauling the Iowa B ankruptcy Law. A nother was passage of the Omnibus Banking Bill, which included elimina tion of the state reserves requirem ent and providing one additional banking office for each bank. Passage of the Public Funds deposit bill was another, for it keeps those deposits in banks, although they are now on a bid basis. Q. How are banks in this state meeting competition from all types of competitors? How are country banks faring internally; with their farm business; can they continue to meet N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 loan demand; can their farm customers continue to meet their obligations at the bank? Ed: Our bankers are resourceful. Our job in the IB A is to make them aware of w hat they need to do to compete. I t ’s hum an nature for some not to act until the decision is forced upon them . We are still the largest lender to agriculture, although our percentage of the m arket is slipping. We have a severe challenge from the unregula ted Farm Credit System on one hand, and the th reat of losing our deposit base to Money M arket Funds on the other hand. The key to me is th a t bankers do a responsible job of credit analysis and lending w ith ag custom ers. I believe th a t the bank th a t follows th a t kind of program will successfully compete for the farm loan business. Q. Are we on a pendulum of public interest in seeking out high return investments? Is this likely to swing back more to savings? Isn’t this increased economic sophistication by the public at least partially a result of years of banker education? Ed: We are definitely not on a^ pendulum b u t on a new plateau. W e r never go back. People perceive this and recognize the need to consider how to m anage their money. Higher rates of capital now are a fact of life^ b u t hopefully will settle a t a low er level. There is no question th a t people are more knowledgeable. I t ’s a develop m ental process, though, and not goal we reach. Deregulation creates the need for m aking decisions and having to look at alternatives. Banking has been fortunate and successful in educating is own s t a ^ people, as well as the public over the* past three decades so th a t more people are perceptive of this change and capable of m aking these economic decisions for their o w ^ welfare. So far as loyalty to an institution is concerned, I ’ve seen m any people who usually w on’t leave for one-quarter to one-half percent, buj||, over th a t you run the risk of losing your custom ers, especially older people on fixed incomes who need the best return. Neil: There is also a relationship 1 between the num ber of services a custom er uses and his willingness to stay. Y ou’ll see less movem ent in a com m unity bank than in a money center or regional bank. I think P caution is in order to each bank m anager. I t is not safe to assum e he can get by w ith less than com petitive rates. E ach person has a different threshhold of loyalty. ® Q. Neil, what are the expanded services that have been offered to IBA members in the nine years since you joined the association? Neil: F irst, it is only right to statl® th a t the grow th of IBA and its services is a direct result of the leadership of the officers and m em bers. • The new program s developed inr the past nine years include a dram atic expansion of the insurance program s. The IB IS actually was formed in 1971 ju st before I came here. The em ploy^ benefits plan for member banks has® “There is a relationship between the number of services a customer uses and his willing- ^ ness to stay. I think a caution is in order to each bank manager. It is not safe to assume he can get by with less than competitive rates.” m "T h e Bull stops here” Straight Talk and Fast A ction. That’s right. The Bull stops here. Because at Drovers we know what our correspondents want. Straight talk and fast action. When you correspond with us, you have a ready-line to Drovers’ full senior management team; a team that knows what’s happening out where you are. With them goes the muscle, brain power and experience that have made the name “Drovers” so highly respected with correspondent bankers throughout the midwest for over 95 years. The Bull stops here. No if s, and’s or hut’s. That’s why we say, “Drovers Country is your kind of country, and Drovers Bankers are your kind of bankers.” Put us to the test. D ro v e rs B a n k o f C h ic a g o 47th Street & A shland A venue, C hicago, IL 60609 (312) 927-7000 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Member FDIC Member Federal Reserve System 120 Io w a N ew s “Our bankers are resourceful. Our job in the IBA is to make them aware of what they need to do to compete. It’s human nature for some not to act until the decision is forced upon them .” evolved from individual policies to a group policy to the present selfinsured program . There were 137 banks in the medical program in 1972 and now there are over 400. Total prem ium s for IB IS in 1972 were $500,000; in 1980, all lines exceeded $8 million. The num ber of banks served is very high for member b a n k s, their employes and custom ers. The ID EA annuity is another innovation w ith IB IS and now has over $20 million in the plan. • Form ation of the Iowa Transfer System was another m ajor step. This statew ide electronic funds transfer system was researched in 1974-75, then formed in 1976. We moved our own com puter center in-house in 1979. The IBA staff also played a key p art in developm ent of IA CH A . The ITS staff, headed by Dale Dooley, now provides staff support for IACH A. • The Iowa Bankers M ortgage Corporation was started in 1979 to provide a secondary m arket. The IBA and IBMC boards are totally convinced th a t this concept is vital to the banking industry, especially in view of the fact th a t S&Ls have increased their banking powers and credit unions have share drafts. This is a particularly difficult tim e for m ortgage companies. Several of the national ones have merged or liquidated. The IBMC board faces a m ajor challenge in m ortgage finan cing—the challenge of the current m arket to m aintain this tool for future use of the Iowa banking industry. • A nother innovation was our H R -10 prototype developed w ith the use of outside consultants. The new tax bill greatly expands banking’s m arket. I t gives the opportunity to expand the core of deposits, since Iowa banks have access to the H R -10 prototype and the counseling and m aterials available through the association, which are valuable tools F u n d in g ag loan s . . . (Continued from page 42) Under continued 8-10% inflation conditions, it has been estim ated th a t the farm credit needs will increase three to four tim es in the next decade. Growth in ag loan demand is higher than the grow th rate of deposits. Today, a num ber of country banks are experim enting with retail repurchase agreem ents, while they continue to urge regulators to authorize a deposit vehicle which would be rate com petitive for smaller am ounts. Selling C .D .’s to existing money m arket funds is being accomplished in a limited way, b u t is gaining more acceptance, while other groups of banks are examining the initiation of a fund them selves. Suggestions have been consistently made urging banks to set up an agency to sell bonds or commercial paper into the m arket. This should continue to receive consideration. Cooperation w ith the Farm Credit System needs further exam ination in light of the recently passed legislation expanding the authority of the System . Participation w ith Production Credit Associations or direct discounting to the Federal Interm ediate Credit Banks have funding possibilities, b u t banks continue to wait to see how the new regulations will be interpreted by the Farm Credit System . A t least one group of state bank associations, the Mid America Banking Service Corp., is exam ining the possibility of establishing a DigitizedN orthw for FRASER estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 to assist local banks. Iowa and a few surrounding states are the only ondf to adopt this prototype. Ed: A m ajor accom plishment of IBA has been the revision of all banking forms to meet regulations with which we m ust comply. The fir ® two of these are done. This is really the purpose of the association—to provide these services to members so they can serve their custom ers and compete. ® • The H um an Resources program initiated by IBA , and headed by K athy Fischer makes IBA the only association in the country with sl qualified professional working ful® time for the banking industry. This has been accepted enthusiastically by banks which have used this service. Neil: We should point out thaL association dues have not b e e * im pacted by all these special services. These services are based on a “ user p ay s” concept. Before we end this, I ’d like tc^ comment th a t our toll-free W A T» lines are one of the membership services which have been enthusias tically received, as dem onstrated by the W ATS line usage. These lines ar|k affiliates. All calls are fully cost affiliates. All calls are fully cost allocated by com puter tapes supplied by the phone company at the end of each m onth to IBA so we can show* the am ount of usage by each departm ent or affiliate. □ corporation for the discount of loans to the Farm Credit System . The need for an outlet for participations or a source purchased money will be im portant for a num ber of reasons. F irst, it will give banks interested in m aintaining their involvement in agriculture the ability to participate, loans, lending m ajor help w ith individual loan lim ir problems. Loan lim its per custom er have been a m ajor concern of rural banks for some time and the problem increases over tim e as per custom er loan volume has grown a t a significantly greater rate th an bank capitate Second, if local deposits are a b a n k ’s only dependable source of funds then, in a purely com petitive environm ent, any interm ediary less regulated w ith regard to earnings and capital, or a poorly m anaged institution soliciting com m unity deposits a t any c o ste could force an otherwise sound institution to pay more for deposits than it should or could afford to pay. Third, it would give rural banks the ability to compete with other institutions which presently have excellent access to the money m arkets; principally, the Farqjj, Credit System . Fourth, it m ay be a more efficient way to fund loans. Time may show th a t gathering deposits in $10,000 and smaller quantities, and combining them to fund a $250,000 credit line m ay be quite inefficient relative top buying a piece of a billion dollar bond sale. CJ ON A PRECIOUS METALS PROGRAM REQUIRING M INIM AL RESOURCES O ur prom otional support h elp s you profit. C ap tu re your sh are of a new m arket that's a lre a d y 5 m illion cu stom ers strong. O u r p ro g ra m m a k e s a v a ila b le c o m p le t e , r e a d y -to -r o ll p r o m o M a n y o f y o u r c u sto m e rs a re a m o n g th e 5 m i ll io n tio n a l m a t e r ia ls . In c lu d in g c u s to A m e ric a n s m e r lit e r a t u r e , a d s li c k s , d i s p l a y w h o i n v e s t e d in p r e c i o u s m e t a l s in m a t e r ia ls , r a d io s c r ip ts a n d s t a t e 1980. m e n t e n c lo s u r e s . U p u n t il n o w , t h e y 'v e h a d to t u r n Have a profitable conversation w ith D eak—today. to o t h e r f i n a n c i a l i n s t i t u t i o n s — o r e v e n a c o m p e t in g b a n k in y o u r m a r k e t — to e n t e r t h e p r e c i o u s m e t a l s A t o ll- fr e e c a l l to P a m S t e p h a n y 800- 221-3825 (in N e w ’fo r k , 212- 742- 0606) w i l l a c q u a i n t y o u m a rk e t. B u t n o t a n y m o re . at A turn-key program you ca n profit from right now. w i t h t h e fa c t s . O r s e n d t h e c o u p o n . D e a k - P e r e r a in t r o d u c e s th e P r e c io u s © D eak-P erera 1981 M e t a l s P r o g r a m fo r b a n k s . T h i s i s a p r o g r a m ------------------------------------------------------ I y o u c a n s t a r t i m m e d i a t e l y . B u t y o u d o n 't h a v e M s. P a m S te p h a n y , D e a k - P e r e ra to c o m m i t c a p i t a l . 29 B r o a d w a y N e w "fo rk , N . Y 10006 T h r o u g h D e a k - P e r e r a , y o u c a n o ffe r y o u r N am e. c u s t o m e r s g o l d , s ilv e r , p l a t i n u m o r p a l l a d i u m . T h e y m a y t a k e p h y s i c a l d e l i v e r y o r i n v e s t in T i t le __ c e r t i f i c a t e fo r m . Bank. A program that's e a sy to adm inister. S tre e t. W h e n y o u h a v e a c u s t o m e r , y o u c a l l o u r to llf r e e n u m b e r . Tfou'll t h e n h a v e i m m e d i a t e a c c e s s to m a r k e t q u o t a t i o n s . Y du c a n p l a c e o r d e r s fo r y o u r c u s t o m e r s in s t a n t ly . W e d o a l l t h e w o r k . W e 'll e x e c u t e e a c h o r d e r a n d a r r a n g e fo r d e l i v e r y o r s t o r a g e fo r y o u r c u s t o m e r s . E v e r y t i m e w e b u y o r s e ll, y o u e a r n in c o m e . I C ity — .S t a te . A rea C od e. .T e le p h o n e . _Zip_ L Deak-Perera. 1 THE WORLD S MONEY EXPERTS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 122 Io w a N ew s Group Chairmen Report Area Conditions G ROUP chairmen of the Bankers Association have m itted the following reports on and business conditions in areas: Iowa sub farm their replacem ents, high inputs, and low m arket prices have destroyed profit potential. M ost have cut back substantially and others have locked their doors. M any won’t reopen! The family sized cattle feeding operation of the future will be a highly Group 3 mechanized, and profit oriented Chairman Donald E. Sabbann, program utilizing feeder cattle Chairman Donald E. Sabbann, futures for replacem ent, corn and president, Corwith S tate Bank, protein futures for feed inventory and Corwith: W eather, dropping grain m arketing futures on the day they go prices, mediocre livestock prices, and in the pen. Prim e and choice will be continued high interest rates make it meaningless by traditional standards hard to know which of them is having and we’ve seen the last of “ H igh the greatest economic im pact on the priced m anure.’’ The m arket gamble Group Three area. I ’m sure these will be left to the speculators and we’ll comm ents will be similar to those all be ingesting more substitutes. We from other areas of the state. continue to look a t the hog industry The w eather p attern was one of as our m ortgage lifters b u t white extrem es, w ith crops in general in the m eat is price com petitive and western counties appearing to be changes are developing in the pork heading toward bum per yields, the industry, too. We see m any deep southern counties nearly too dry until seated adjustm ents in agriculture. m id-July, and the northeast counties Commercial activity in northeast experiencing the largest hail belt ever Iowa parallels the rest of the country. seen in th a t area, a t a date nearly too We all feel the bite of the new “ pay late for replanting. I t appears now as you go’’ philosophy in W ashing the areas not dam aged by hail will ton. We don’t like to take the have very good yields, b u t price medicine b u t we like the getting prospects certainly are not im prov better. The adjustm ents are working ing. when the European Common M arket The interest rates and the grain countries, our international allies, prices are reflecting in the activity on complain th a t our high interest rates main street, w ith implement dealers, and tig h ter spending policies have auto dealers and contractors still strengthened the dollar abroad and experiencing the least activity, but have affected the ability of the rest of business in general is quite slow. We the world to sell their products have seen some improvement in the against us in the world m arket, employment picture from a year ago thereby voiding their ability to inflate when two of our counties had the their purchasing power against us. I t unw anted distinction of being in the is a complicated world, getting highest unem ploym ent percentages smaller by the day and our little share in the state. of “ Gods C ountry” is not an island. Group 4 Chairman John E. Mangold, senior vice president, Merchants National Bank, Cedar Ra pids: The eight Group 5 Chairman David N. Walthall, president State Bank and Trust, Council Bluffs: county Group IV areanorth, n o rth east of Cedar R a pids, is a little share of “ Gods C ountry.’’ Late July crops are good to excellent. A few spotty areas have been hail dam aged or missed the rains and a few rem ote thunderstorm s have caused damage. Our cattle feeders face some tough decisions. H igh D rought condi tions in S outh west Iowa have taken a lot out of the agricultural economy. A dry, warm spring sap ped m uch of the top m oisture in April and May and left very little m oisture reserve for crops. Conditions throughout the summ er have been somewhat spotty as far as DigitizedN orthw for FRASER estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 m oisture is concerned, b u t a large p art of this area suffered from lack o® rain and very hot w eather at corn tasseling time. Pastures have been hit the hardest «1.1 season and m any farm ers have been feeding hay to their c a ttl® during late June and all of July. H ay crops also have suffered. I t appears now with the recent rains th a t the soybean crop will be about normal while the corn m ay b ™ slightly below average. Hog farm ers have been in a financial squeeze, especially because of w inter and spring low prices. The cattlem en have had an up and down® m arket w ith some losses of $50 to $100 per head during the w inter m onths, b u t some profits have been made in June and July. ^ Group 7 Chairman William J. Beohm, president, Tama State Bank, Tama: D uring this per® iod of push-pull inflation, our area of the state is holding its own. In an effort to m aintain a solid standard of living during this infla tionary time, the farm com m unity is spending its money for dayto-day necessities while w aiting for interest rates to stabilize before investing in large capital item s. ® This situation brings poor retail sales to some of our business comm unity (e.g. auto dealerships, machinery and large ticket c o n su m e ^ goods). Businesses, however, that® turn over inventory several tim es a year are doing fairly well. In spite of a dry spring and low subsoil m oisture, we have a goocU crop. We received tim ely rains in® June and Ju ly and our crops look excellent a t this time. C attle feeders and cow-calf opera tions in this area are suffering due to. low prices and high interest rates. Hopefully, prices and interest rates will tu rn around and p u t these operations back on a profitable basis. H og prices were low earlier t h i ^ year, bu t have shown a steady recovery during the second quarter of 1981 and should continue into 1982, bringing hog producers favorable p rofits. ^ We look forward to improved long 123 When it comes to *correspondent banking services. . . O ver 100 b an k s in a 4 -state area are re ceiving these and m any m ore services th ro u g h th e financial expertise of Toy N atio n al’s O correspondent b an k in g d ep artm en t. SIO U X LA N D ’S LARGEST HOME OWNED INDEPENDENT BANK Call on one of our financial ex p erts. . . l|f Rich Breyfogle 35 Yrs. of Service 279-5680 Stan Fredericks 15 Yrs. of Service 279-5730 Leo Stavas 16 Yrs. of Service 279-5679 Sue Packard 5 Yrs. of Service 279-5678 Toll Free Iowa Wats 1-800-352-9014 m T O Y N A T IO N A L Banking for your future. M a in B a n k , 4 th lr N e b ra s k a • M id -T o w n O ffic e , 17 03 P ie rc e St. M o r n in g s id e O ffic e , H ig h w a y 75 & G le n n M e m b e r FDIC https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 124 Io w a N e w s term conditions as the President’s economic program takes effect. Group 6 Chairm an Robert E . Chittenden, president, Farm ers Savings Bank, Mitchellville: The crops in our area have never looked better! There has been a complete turn around since June 1st. We started w ith near drought condi tions and no sub-soil m oisture but, since the 1st of June, have had rains alm ost every week. However, additional rainfall will still be needed in A ugust to complete the crop due to continued low sub-soil m oisture. Even though there should be good crops in both corn and beans, the m arket prices and world production will be the determ ining factors in w hether a profit will be realized. Farm ers will, however, be able to take less per bushel because of larger production per acre. H og and cattle producers are in a break even to small profit position. Every tim e prices s ta rt up, the dem and slips and consumers tu rn to other sources of protein. Our overall economy has been flat w ith farm ers and rural businessm en buying only w hat is necessary. In terest rates are crippling our farm Advanced in Sioux City R .E . Hagen, president, Security N ational B ank of Sioux City, has announced the following promotions: HAND STAMP T H E IN K 'S IN THE S T A M P ! economy. We are still looking for the ease in interest rates th a t h asn ’t come. hold off on capital outlays until rates fall. * • H ousing sales and construction are alm ost non-existent, and prices in the real estate m arket are beginning to soften, especially for buyers who can Group 11 pay cash. ® Chairm an William Logan, presi Consumers are looking for b a r dent, S tate Central Savings Bank, gains and delaying purchases as long Keokuk: Group as possible. 11 businessm en All together, business and agricul and farm ers are ture in Group 11 are stream lining an£P feeling the severe consolidating while optim istically strain of continu looking to the coming years under the ing high interest Reagan adm inistration. rates and slug gish demand. • Group 12 M any farmers are Chairm an Ed Norland, vice still reeling from president, Iowa T rust & Savings the blow inflicted Bank, Em m etsby the failure of a burg: Crop condi local grain eleva tor. Autom obile dealers are selling tions look very Timely out and closing up shop. A large good. departm ent store is even now holding rains all sum m er have made for a going out of business sale. Times are tough, and those who are very good crop not able to ad ju st are being driven prospects. Live stock operations out. On the more positive side, farm ers have not had a had a very good year last year which good year; how provided a dim light during a very ever, im prove dark period. This year also looks to be m ent in the hog m arket the last few pretty good for farm ers in our area, m onths has helped the hog producers. although some have been badly hurt The demand for feeder cattle loans by early rains. New industrial plants is much lower th an normal because of in our area have been able to make losses suffered the p ast two years i ^ efficient use of their technological feeding operations, and high interest advantages over older plants to rates. Our area is very dependent on develop their m arkets and strengthen the health of the agricultural the bottom line, while the older plants economy. William O. W ogstad to vice president-investm ents, Scott Otis to correspondent bank representative and Diane L. Spain to m anaging officer of the b an k ’s N orthside branch. M r. W ogstad joined the b a n k ’s investm ent departm ent in 1978, and in 1979 was prom oted to senior investm ent officer. He is a graduate of Bradley U niversity in Peoria. Mr. NO IN K PAD! NO R E -IN K IN G ! 25,000 IM P R E S S IO N S ! Can't leak, can't dry out. S ta m p s crisp and clean every time. Can be m ade any size. Purple, red or black ink. DES MOINES STAMP MFG. COMPANY Manufacturers of Marking Products Since 1880 851 S IX TH AVE DES M O IN E S. IO W A 5 0 3 0 6 PHONE 1515) 2 8 8 -7 2 4 5 DigitizedNfor FRASER orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B. WOGSTAD 1981 S. SPAIN Spain has been w ith the bank since 1979 as teller operations supervisor, and was elected an officer in 1980. Anita Remodeling Completed A m ajor remodeling has been completed at the A nita S tate Bank, according to Jim Chelesvig, p re sk dent. ® The to tal interior was re-organized to improve space utilization and operating efficiency. The newly remodeled facility now has five office^ and a directors’ conference room on the main level. A distinctively traditional design was used to compliment the original architecture of the building. Tha* main lobby features oak woods ana three large brass chandeliers. Office Concepts, L td. of W aterloo was in charge of the entire project. Local contractors and suppliers w e r || used throughout the project. 125 A Growing Iowa Banking Company Adds A $44 Million Bank •:/// rdJÚ fort ,Disqm ban MAI K b TRUST CO. is i As of July 1, 1981, the Fort Madison Bank & Trust Co. became a part of Banks of Iowa, Inc. Making this large and strong banking organiza tion in Iowa even more substantial. As of June 30, 1981, $1.36 billion in assets (plus the $44 million added as of July 1, 1981) stands behind each of the ten Banks of Iowa, Inc. banks. That’s financial capability! Banks of Iowa 520 Walnut, P.O. Box 10317 Des Moines, Iowa 50306 Member Banks: Burlington — First National Bank Cedar Falls — Cedar Falls Trust and Savings Bank Cedar Rapids — The Merchants National Bank of Cedar Rapids Council Bluffs — Council Bluffs Savings Bank Davenport — First Trust and Savings Bank Des Moines — Valley National Bank Dubuque — Key City Bank And Trust Company Fort Madison — Fort Madison Bank & Trust Co. Ottumwa — Union Bank and Trust Company Sioux City — First National Bank in Sioux City Non-Banking Subsidiaries: Banks of Iowa Computer Services, Inc. — Cedar Rapids, Des Moines, Sioux City and Waterloo B1 Mortgage Company, Inc. — Omaha and Lincoln, Nebraska: Cedar Rapids, Iowa https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, Septem ber, 1981 126 Io w a N ew s Iowa Bankers Use Mail Ballot to Elect New Officers for 1981-82 Term joined Farm ers S tate Bank a t Plainfield. In 1966 he moved to th® Clarke County S tate Bank at Osceola, and a year later in 1967 was ESU LTS of a mail ballot conduc with a BS degree in business named president of Citizens Savings ted in A ugust to elect new adm inistration. He returned to his Bank in Sac City, the post h ^ officers of the Iowa Bankers native town of H opkinton and continues to hold a t this tim e. 1 Association for 1981-82 will be worked in the Citizens S tate Bank for Mr. Spearm an is a p ast president announced Septem ber 22 during the 6x /2 years. In 1954 he started the of the Sac County Bankers A ssocia annual IBA convention in Des South Story Bank & T rust in Slater tion, served on the IBA legislative Moines. and has been its chief executive comm ittee for 10 years and is a Scheduled to advance from presi officer throughout th a t period. member of the board of directors or dent-elect to president of the The bank a t 1980 year-end had Iowa Bankers M ortgage Corpora association is Thom as C. Dunlap, deposits of $11,500,000. tion. Mr. Spearm an also has been chairm an and president of the South extremely active in civic life, Story Bank & T rust at Slater including serving as president of th a L.C. “ B ud” Pike pictured with convention program . Mr. Pike is a native of Brownsdale, Country Club, Chamber of Com m ercé He will succeed Edw ard L. Tubbs, and Kiwanis Club there in past years. chairm an of the M aquoketa S tate M inn., where he was born October 20, □ 1922. He began his banking career Bank in M aquoketa and chairm an of w ith F irst N ational Bank in A ustin, the executive com m ittee a t F irst Council Bluffs Elections Central S tate Bank in D eW itt, where M inn., in 1940, working there until he M arilyn H ughes has been ele c te d joined the U nited S tates N avy in his son, Alan Tubbs, is president. cashier of the F irst N ational B ank of 1942. D uring World W ar II he was in Council Bluffs. the subm arine service, serving M rs. H ughes aboard the USS Sailfish in the Pacific joined the bank Fleet. in 1979 as adm in Upon his return to A ustin in 1945 istrative assis he joined Geo. A. Hormel & Co., ta n t in the ac rejoining F irst N ational B ank in counting dep art A ustin a year later. From 1948-57, m ent. She was Mr. Pike was with Travelers elected account Insurance Company, startin g as a ing officer in farm loan appraiser, then serving as June, 1980. L.C. PIKE R.W. SPEARMAN assistan t m anager for a four-state The following HUGHES area before resum ing his banking promotions were also announced^ The announced candidate for the career. Robert Em erine to head business office of president-elect is L.C. He joined the Farm ers Savings grow th and development; Jackie “ B ud” Pike, president of the Bank in G rundy Center in October, Farm ers Savings Bank in G rundy 1957, became a director of the bank in Yochum to branch m anager; Vern Center. Mr. Pike has been IBA 1964, and has served as president and Knop to personal banking area treasurer the p ast year. Nom inated to chief executive officer since 1972. He supervisor; Charlene M artin a n (^ succeed him as treasurer is Russell served in several posts w ith bankers M ary W ay to personal bankers; Jan e W. Spearm an, president and tru s t associations before being elected IBA Tedesco to adm inistrative assistan t, officer of Citizens Savings Bank in treasurer. He is a p ast president of and Susan W hite to supervisor of Sac City. Candidacies of both men the G rundy County Bankers Associ personal banking support staff. were endorsed a t the group m eetings ation, past chairm an of IBA Group 7 earlier this year. and served on the IBA legislative Capital Stock Increases council. As group chairm an and later Thom as C. Dunlap The following banks have increased Mr. Dunlap is a past president of as treasurer, M r. Pike has been a capital stock recently: Brenton B ank the Story County Bankers A ssocia member of the IBA board of directors & T rust Co., Adel, from $500,000 t<^ tion, served as secretary and then and executive committee. He has also $1 million by transfer from surplus; chairm an from 1976-78 of Group 2 of been very active in civic endeavors in Commercial T ru st & Savings Bank, the IBA , and in th a t office was a G rundy Center. Charles City, from $200,000 to Russell W. Spearm an member of the IBA executive council. $400,000 by transfer from undivided He also served for three years on the M r. Spearm an was born in M t. profits; W est Des Moines Statap executive council of the Iowa Pleasant on Ju ly 3,1931, and grew up Bank, from $1.44 million to $2.88 Independent Bankers, serving as on a Henry County farm near Salem. million by transfer from surplus; president of the body in 1976-77. He He attended Iowa W esleyan College Cleghom S tate Bank, from $50,000 is presently serving a second term on and served w ith the Iowa National to $200,000 by transfer from the Iowa Transfer System board of G uard from 1948 to 1956 at M t. undivided profits, and Le M a r ^ directors. Pleasant. Savings Bank, from $400,000 to $1.2 A native of H opkinton in eastern Mr. Spearm an began his banking million by transfer from undivided Iowa, M r. Dunlap attended the career in 1952 w ith the Hillsboro profits. Bankers T rust Company of U niversity of Dubuque following Savings Bank. He was associated Des Moines increased capital stock World W ar 11 service in the Naval Air w ith the F irst N ational B ank in $500,000 by sale of 5,000 shares o | | Corps, and was graduated in 1948 M ason City from 1957 to 1961, then $100 par preferred stock. R N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 we Have What No Other Correspondent Bank Has! It’s easy to talk in generalities about a correspondent bank’s “expertise,” but when you get right down to it, a bank is only as good as its people. Specifically speaking, at Valley Bank, we have three of the top professionals in the field. Our specialized bankers are available to give you the informative answers you need to produce maximum results. W e have what no other correspondent bank has — Verne Bates, Alton McGlothlen, and Dennis Hagedorn. Call today, or stop by and meet them personally. Valley N ational B ank ili Member F D I C A BANKS OF IOWA' BANK Main Office — Sixth and Walnut ■ Des Moines, Iowa 50304 Verne C. Bates Vice President and Trust Officer 245-6217 Allon McGlothlen Vice President Operations Division 245-6148 Dennis J. Hagedorn Vice President Money Desk 245-6123 T rial B a la n c e -P r e p a re d B y & B a n k s o f Io w a C o m p u te r S e rv ic e s Inc. Check Processing and Transit Services investment ^»ervices Personal Trust S e rv ic e s Fed Funds Excellent Availability Of Funds a"d Sold B e n e f it P la n E m p l°y e e S e rv ic e s Collection Services |e r v « c e s JAMESC**0«BfS0H $ V a te y N atio n al B ank Ä https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 128 Io w a N ew s Stand Alone ATM Building in Fort Madison FORT MADISON Bank and Trust Co. has installed a free standing ATM building. The building was purchased from a bank in Galesburg, III., and was originally built by Diebold. The ATM is an NCR to match existing in-bank machines. Fort Madison Bank & Trust was recently purchased by Banks of Iowa. ree in industrial adm inistration a n ^ political science from Iowa State U niversity, and a law degree from Drake U niversity School of Law. He was m ost recently with the firm of A bbott, Silver and Koos ¡9 D avenport. Mr. Sleep started his banking career w ith the Citizens Savings Bank in Anam osa in 1969, and was later named cashier of the C it^ National Bank of Cedar Rapids. He joined the bank in M ason City as correspondent banking officer in 1980. Mr. Knapp has a BS degree i # business adm inistration from the U niversity of Nebraska-Lincoln. In 1981 he attended the U niversity of N ebraska-Om aha as an MBA candidate m ajoring in banking a n # finance. He was previously a loan counselor w ith Postal T hrift Loans in Council Bluffs. ITS, Credit Union League Reach Agreement A N IN T E R IM agreem ent was reached July 14 by the Iowa Transfer System (ITS) and the Iowa Credit Union League, according to O. Ja y Tomson, ITS president and president of Citizens National Bank, Charles City, enabling Iowa credit unions to hook-up to the s ta te ’s electronic banking network and provide electronic funds transfer service to thousands of credit union members statewide. Mr. Tomson said th a t the ITS-credit union agreem ent is one of the first of its kind in the United S ta te s —a statew ide credit union organization joining a banking-affili ated switch. ITS executive director Dale Dooley said th a t he expects several of the sta te ’s larger credit unions to actively participate in the system w ithin the first year of the agreem ent. He also said th a t U niversity of Iowa Credit Union, Iowa City, would be the first credit union participant. “ Our agreem ent shows the contin ued potential for a statew ide electronic financial network such as ITS and the need for all financial institutions to share facilities for electronic funds tra n sfe r,’’ said Mr. Tomson. “ Credit union members will be able to access all tem inals for personal business 24 hours a day. We look forward to a long and m utually beneficial relationship with the s ta te ’s credit unions.’’ ITS, which earlier this year began N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 sharing arrangem ents with bank groups in South D akota and N ebraska, currently serves 103 banks in 60 communities with 226 autom ated teller term inals located in banks and off-premise leocations such as grocery stores and shopping m alls. ITS is an affiliate of the Iowa Bankers Association. Manly State Bank Buys Hanlontown, Retains Office The Citizens Savings Bank Hanlontow n has been merged into the M anly S tate Bank and an office is being retained at Hanlontow n, according to Tom W. M asey, president of M anly S tate Bank. Mijp M asey also announced th a t directors have approved a change in name for M anly S tate Bank and it is now known as F irst S tate Bank. The m erger and name change has b e e ^ Mason City Elections Told approved by the Iowa departm ent of F irst N ational Bank of M ason City banking. has announced the following elec The M anly S tate Bank offices a t tions: Gary K. K ensett and Plym outh will continue Koos to vice as they were before, under the n e # president and F irst S tate Bank name. tru s t officer, The Hanlontow n bank was Robert Sleep to purchased from the Hall family, assistan t vice long-time owners of Citizens Savings president and Bank. R obert W. Peterson, who h a # Steven R. Knapp been executive vice president of to commercial Citizens Savings, will continue in loan officer. th a t capacity as m anager of the M r. Koos re Hanlontow n office, Mr. M asey ceived a BS degstated. # A t m id-year, M anly S tate Bank had $19.8 million deposits and Citizens Savings had $6.3 million deposits, giving the merged bank a base of $26.1 million com bine# deposits. Mr. M asey also announced th a t the building adjoining the M anly bank has been acquired and remodeling is underway to increase available offic# space for the bank staff. S> < ^ ' S -K $ vt^v>v ^ O ^ & JP * y^> ' <£-eV * ft«* A®' * Over 180 Iowa financial institutions have used Kirk Gross Co. services! Do they know something you don’t? Kirk Gross Co. has a solid reputation in Iowa for designing new financial institutions and re modeling present ones. If you are thinking abI out a new facility, put the responsibility and ¡0 worrying in the hands of the TURN KEY proL fessionals. We keep up on the latest ideas on planning, designing, construction and fur nishings. That’s why we have completed more than 180 projects since 1971. The best part of this unequaled record is that so many are re peat, satisfied customers. Let Kirk Gross Co. explain how our complete TURN KEY prog ram will save you time and money. _______: ________ I _ l « / _ If you’d like to know what other bankers know about Kirk Gross Co., call at your earliest opportunity. (How about right Now! Phone 319-234-6641) I _________ __ . ~ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 4015 Alexandra Drive P.O. Box 2097 Waterloo, Iowa 50704 130 electronic banking programs. M^ Quigley joined Bankers Trust m June, 1978 as a management trainee. He received his BBA degree from the University of Iowa. Raymond G. Johnston, president and chief executive officer of United Central Bank of Des Moines, N.A. has announced the election of Martin C. Sprock as financial planning officer of the trust department. Previously, Mr. Sprock was associ ated with Coopers and Lybrand Certified Public Accountants in Des Moines as a tax supervisor. Mr. Sprock received his bachelors degree at Drake University where he majored in economics and account ing, and his JD degree at Drake University Law School. He is also a certified public accountant. * * * Herman C. Kilpper, president and chief executive officer of Bankers Trust Company, has announced the promotion of Steven L. Quigley to corporate services officer, responsible for the management of the bank’s John Ruan, chairman of the board and chairman of the executive committee of Bankers Trust, has announced the election of Jack C. Pester, chairman of the board of Pester Corporation, to the Bankers Trust board of directors. J. PESTER Before assum_ ing chairmanship of Pester Corpor ation, Mr. Pester was president of that group of corporations which refine and market petroleum products throughout the Midwest and Rocl# Mountain states. Mr. Pester holds a bachelor’s degree from Drake University. United Central Bancshares, Inc., has announced the appointments of Gene L. Johnson as president of United Central Bank & T ru # Company of Estherville, and of Allen R. Kloess as president of United Central Bank & Trust Company of Kalona. visit OUÏ booth G.L. JOHNSON Stephens Bldg Des Moines 5 1 5 /2 8 4 -1 9 3 0 N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 A.R. KLOESS Mr. Johnson was elected to the Estherville position to succeed George H. Shadle, who has résigné^ to pursue other interests. Mr. Johnson formerly was president of the Kalona bank, a position he has held since 1972. Mr. Kloess, who was elected t# succeed Mr. Johnson at Kalona, formerly was vice president, cashier and secretary of the board of United Central Bank & Trust Company of Marengo, a position he has held sine# 1978. 131 • UNITED CENTRAL BAN K OF DES MOINES, N.A. WELCOMES YOU TO THE • 95TH ANNUAL IOWA BANKERS ASSOCIATION CONVENTION Raymond G. Johnston Robert G. Millen Ivan L. Johnson Eddie A. Wolf President and Chief Executive Officer Executive Vice President Senior Vice President Senior Vice President Correspondent Banking William B. Greaves Cyrus D. Kirk Raymond A. Schneider Max W. Evans Vice President Correspondent Banking Vice President Correspondent Banking Correspondent Bank Officer Vice President Farm Management Gene E. Loverink Jack R. Schreiber Ronald W. Nienow Harry A. Wilmer Vice President Operations Vice President and Senior Trust Officer Vice President Investments Senior Vice President Senior Loan Officer We have changed our name since last year’s convention, but one thing hasn’t changed . . . our commitment to provide Iowa’s banks and bankers with the best correspondent services possible. The United Central Bankers pictured will be at the convention to talk to you about how UCB can help you. By the way, one other thing has not changed. We are still located at Locust and Sixth in downtown Des Moines, only one block from the Marriott Hotel. So stop by and see us when you are in town or call us any time at 1-800-362-1615. UNITED CENTRAL BANK DES MOINES, N.A. ■ (515) 245-7111 ■ M EM BER FDIC LOCUST AT 6TH ■ 5T H & W ALNUT ■ 3 4 0 0 WESTOWN PKWY. 35TH & INGERSOLL ■ 501 E. AR M Y POST RD. AFFILIATED W ITH UNITED CENTRAL BANCSHARES, INC. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 132 Iowa News Mt. Pleasant B&T Names Don Carmody as President Donald F. Carmody, 33, has been appointed president of the Mt. Pleasant Bank & Trust Co., according to Gerald L. Nordbrock, chairman of the bank. Mr. Carmody formerly was vice president in the correspondent banking department at Bankers Trust Company, Des Moines. He succeeds R. J. Bontrager, who resigned September 1 to pursue other interests. Mr. Carmody is a native of Melrose, la., and attended Center ville Junior Col lege and Drake University. He joined Bankers Trust Company in 1969 and held a variety of posi tions with that bank in commer cial loans, instalment lending and correspondent banking. He is a graduate of the ABA Commercial Lending School at the University of Oklahoma in Norman. Don and Mary Lou Carmody will move to Mt. Pleasant as soon as housing accommodations are ar ranged. New Examination Supervisor N. Dean Rowland has been named bank examination supervisor for the Iowa Depart ment of B anking. Mr. Rowland has been with the Banking Depart ment since 1974 and has most recently served as a bank exam ination analyst after having N.D. ROWLAND worked in the Denison, Le Mars, West Union and Des Moines examining districts. His new duties will include responsibility for bank holding company applications, changes in controlling interest and the examina tion of 554 state chartered banks. Mr. Rowland succeeds Randy Steig, who has accepted a position with the Iowa Bankers Association. Named Office Manager Kimberly Tierney Keller, a loan officer at Peoples Trust and Savings N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 There were 560,460 more average shares outstanding during the 198# period. Other income increased 46 % during the first six months to $6.611 million primarily benefitting from higher income from Hawkeye’s no£ bank subsidiaries and other fee income. Noninterest expenses climbed at a slower pace than other income amounting to $18.928 million in the first half, a 32% increase Fed Approves Application Higher salary expense accounted for The Federal Reserve Board has the largest share of the increase. announced its approval of the application of First Security Ban- Neil Milner to Receive shares, Inc., Lake Park, to become a ASAE Key Award • bank holding company by acquiring IB A executive vice-president Neil Security State Bank, Lake Park, and Milner has been named a recipient of Security State Bank, Hartley. the American Society of Asso ciation Execu Mt. Ayr Bank to Join tives’ (ASAE) Hawkeye Bancorporation Key Award, the It was announced recently that highest honor the majority stockholders of Security national associa State Bank of Mt. Ayr have reached tion bestows on a an agreement with Hawkeye Bancor member who is a poration, Des Moines, to become the chief staff officer company’s 28th affiliate bank. Terms of an association. of the proposed cash acquisition, The IBA office N. MILNER which is subject to Federal Reserve was notified in August with word of approval, were not disclosed. the award. Security State Bank has assets of ASAE annually gives the Key over $34 million. It is one of three Award to “those who demonstrate banks in Ringgold County and exceptional qualities of leadership # represents nearly two thirds of the their own association, and who market share. Ringgold County, of display exemplary devotion to which Mt. Ayr is the county seat, is voluntary membership organizations located in extreme southern Iowa as a whole.’’ Robert L. Skinner, bordering on Missouri. This is a new executive president of the Iowa F e # geographic market for Hawkeye. and Grain Association, initially Hawkeye Bancorporation, with nominated Mr. Milner for the award. assets of over $1.2 billion, presently Letters of recommendation fol has 26 affiliate banks. In addition the lowed from U.S. Senator Charles acquisition of Jackson State Bank, Grassley, U.S. Representative Jam # Maquoketa, was recently approved Leach, U.S. Representative Tom and will be completed in the third Harkin, Governor Robert Ray, ABA quarter. executive vice-president Willis W. Alexander, and IBA general counsel A. Arthur Davis. • Hawkeye Reports Income Mr. Milner, who also recently Hawkeye Bancorporation’s income after securities transactions for the earned designation as a Certifieed second quarter of 1981 was $3.202 Association Executive (CAE) will be million, an increase of 29% over the recognized, along with other Key $2.479 million earned in the same Award recipients, at ASAE’s annu# period of 1980. This amounted to $.64 meeting to be held October 10-14. per share compared with $.60 a year earlier, according to Paul D. Dunlap, Elected to Boone Board Robert F. Scott, president Hawkeye’s chief executive officer. For the first six months of 1981 net Boone State Bank and Tru income was $6.126 million, 26% Company, has announced the higher than the $4.852 million earned election of Jim J. Anderson to the in the prior year period. Earnings per board of directors. Mr. Anderson is a share for the first six months were prominent Boone County farmer a i^ $1.31 versus $1.18 a year earlier. cattle feeder. Bank, has been named office manager of the new office being constructed by the bank at the Westroads Center on Highway 92 West in Indianola. Ms. Keller joined the Peoples Bank staff in 1978 as a consumer loan officer, following her graduation from Simpson College. At Simpson she received a BA degree in English and American studies. 133 ] Marquette’s ' resourceful team Dick Holmes. Jack Campion. They come backed by the resources of Marquette to help you satisfy your customer’s needs and your own investment goals. Dick Holmes, veteran correspondent banker, can help you answer today’s tough banking questions; how to compete in today’s fluctuating markets and how to operate within new regulations. He also can give you fast response to your needs for overlines and participations, wire transfers and collections. Jack Campion, of our Investment Department, can advise on your portfolio needs, based on your assets, liabilities, tax management and goals. He will help you develop strategies best for your bank and its unique situation. Marquette is acutely aware that these are complex and difficult times for bankers. Especially Iowa bankers whose customers are charged with feeding the United States and the world in the face of uncontrolled costs. Our team was chosen for professional skill and understanding of your problems and needs. They’ll be in Des Moines and at your service. See you September 20, 21, 22! A Marquette National Bank M e m b e r FDIC 777 Marquette Avenue, Minneapolis, MN 55480 Your Complete Correspondent https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, Septem ber, 1981 134 Iowa News Six Hawkeye Bancorporation Appointments Announced Paul D. Dunlap, president of Hawkeye Bancorporation, has an nounced the appointment of Donald R. Runger and Lewis L. Lowe to sen ior vice presidents and James M. Earley to vice presidents-trusts. KeithD. Engquist, president of Hawkeye Insurance Services, Inc. and Central D. WILCOX J. HOOGEVEEN Life Insurance Co., will assume responsibility for developing a Nebraska, and is a member of the state-wide farm real estate operation National Association of Realtors as part of Hawkeye’s expansion into and the Farm and Land Institute. farm management services. Denis G. Wilcox has been named president and chief executive officer of Jasper County Savings Bank in Newton, replacing Mr. Runger. Mr. Wilcox joined the Bank in 1964 and most recently has been executive vice president-commercial, real estate and instalment loans. Jack Hoogeveen is the new president and chief executive officer of Lyon County State Bank in Rock Rapids. He has been with the bank 19 years and most recently was executive vice president and trust officer. Mr. Lowe will remain chairman. J.M. EARLEY K. ENGQUIST Mr. Runger will assume responsi bilities for corporate administration of the company’s 26 affiliate banks. He has been president and chief executive officer of Jasper County Savings Bank in Newton since 1971, and has been named chairman of the board. Mr. Lowe has been president of Lyon County State Bank in Rock Rapids since 1970 and has been associated with Hawkeye since 1959. He is a graduate of the University of Iowa. In his newly-created position, Mr. Earley will be responsible for statewide trust services for Hawkeye affiliate banks. He earned both his undergraduate and JD degrees from the University of Iowa. He has been senior vice president, senior trust officer and director of United State Bank in Cedar Rapids. Mr. Engquist has been a broker since 1960 and has been associated with Hawkeye since 1971. He is a graduate of the University of Digitized Nfor FRASER orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 period of 1980. For the second quarter, income before securiti® transactions was $3,904,000 or $1.68 per share compared with $3,438,000 or $1.48 per share in the second quarter of 1980. These figures reflect the tot® financial statements of the member banks and non-banking subsidiaries in nine metropolitan communities located throughout Iowa. Banks ^ Iowa, Inc. is a publicly-held bam! holding company with approximately 80% of its stockholders residing in Iowa. Net income for the six months w^| $6,580,000 or $2.83 per sha® compared with $6,403,000 or $2.76 per share for the same period a year ago. Net income for the second quarter was $3,339,000 or $1.44 p ^ share compared with $3,294,000 or $1.42 per share in the second quarter of 1980. Earnings per share were computed for the periods, giving effect to tlm 10% stock dividend paid March 15^ 1981. Advanced in Davenport Davenport Bank and T ru ^ Company has announced the promo AIB Programs Featured tion of Richard R. Horst to vice president-cashier. Mr. Horst joined At IBA Convention Booth The American Institute of Banking the bank in 1980 as corresponde^ ® has recently introduced a new banking officer. volunteer structure which will facilitate increased expertise in planning for the organization, course offerings, and publication of the groups educational programs. Iowa’s state committee is chaired by Doug Brown, vice president at Northwest ern National Bank in Sioux City. Bankers from around the state will be able to discuss A.I.B. course R. HORST J.M. SHRADER offerings and see recently introduced new texts during the Iowa Bankers M. Shrader was promoted Association annual convention Sep to James correspondent banking officer. Mi^ tember 21st and 22nd. The A.I.B. Shrader, who joined the bank in 197® will have a booth stocked with has held several positions, most information on courses and the recently as assistant marketing simple procedures necessary to form officer. a study group. Anyone interested in discussing A.I.B. is invited to stop by the booth in the Exhibit Hall at Branch Bank Remodeled the Marriott Hotel. The Jasper County Savings Bank of Newton has announced the recent First Half Income Reported remodeling of its local branch facility Banks of Iowa, Inc., reported according to Denis G. Wilcox, income before securities transactions president. The new look includes the for the six months ended June 30, use of large graphic murals, similar to 1981, of $7,601,000 equal to $3.27 per those chosen for the main facility. share, up 11.5% from $6,815,000 or Office Concepts, Ltd. of Waterlq^ $2.93 per share during the same handled the project. IBIS does it all. Because bank insurance is all we do. Over a decade ago, Iowa Bankers Insurance and Services was created for a single purpose. To serve the insurance needs of Iowa banks. And that’s just what we’ve done. With traditional coverage such as credit life and D & 0 liability. With special employee benefit packages such as health and life. And by creating beneficial new services for banks such as the IDEA Annuity. Our years of experience have taught us that no two banks have the same insurance needs. So we tailor all our coverages, making sure precise insurance needs are being met at an affordable cost. We’ve also developed strong working relationships with many major insurance companies, making us an independent agency. It’s our job to find the best product at the best price. And, most importantly, we’ve cultivated a staff whose expertise in the fields of banking and insurance are unmatched by any other bank insurance agency in the country. 658 Iowa banks own IBIS. Your bank is one of them. So why not give us a call today and compare? You’ll be surprised at how affordable the best coverage can be. Iow a B ankers Insurance Services, Inc. 430 Liberty Building, D es Moines, Iowa 50308 (515)286-4300 Call our toll FR EE WATS num ber 1-800-532-1432 The rig h t com bination. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 136 Iowa News La Crosse, W is., Bank Names New Director Terry C. Gillette was named to the board of directors of First Bank (N.A.), La Crosse, Wis. at the recent quarterly meeting. Mr. Gillette, 43, is president of Gillette Industries, a manufacturer and sales organization of Bill Blass downfilled outer wear, with sales offices in New York and London. He is associated with the law firm of Johns, Flaherty & Gillette, La Crosse. First Bank La Crosse is a division of First Bank (N.A.) which, with the Milwaukee division, represents Wis consin’s fourth largest bank with assets of more than $600 million. First Bank (N.A.) is part of First Bank System, Inc., the regional bank holding company headquartered in Minneapolis-St. Paul. ACORN Registers 'Accepted Sale Registers by Bank Clerks Everywhere" ror info rm a tio n w rite THE ACORN PRINTING CO. O akland, Iowa Gross, KirkW aterloo....................................................129 INDEX OF ADVERTISERS September, 1981 Acorn P rin tin g ..............................................................130 American Bankers A ssociation.................................... 31 American Express Money Orders ............................... 9 American Express Travelers Cheques.......................... 25 American Nat’l Bk. &Tr. Co., Chicago ...................... 109 American Nat’l Bk. & Tr. Co., St. P aul.......................... 71 AmericanTr. & Sav. Bk., Dubuque .............................. 99 Associates C om m ercial................................................27 Banco Financial/Lease N orthw est.............................. 65 Bank Building Corp...................................................... 139 Bank of North D a ko ta ....................................................77 BankersTr. Co., Des M o in e s........................................ 96 Banks of Iowa............................................................... 125 Banks of Iowa Computer S e rvice ....................... 106-107 Beh, Carleton D.............................................................110 Chase Manhattan Bank..................................................13 Chiles, Heider& Co., Om aha...................................... 108 Chilton Corp................................................................... 7 Colorado Nat’l Bk., Denver............................................81 Commerce Bank N .A ., Kansas C ity .............................. 33 Continental Bank, C h ic a g o .......................................... 21 Davenport Bk. & Tr. Co................................................. 105 Deak P ere ra..................................................................121 Dean, Witter, Reynolds..................................................12 Des Moines Stamp ......................................................124 Downey, C.L., Co........................................................... 69 Drovers Bank of Chicago ............................................119 Financial Institution Services ...................................... 53 First Nat’ l Bk., Denver....................................................87 First National Bank, Kansas C ity.................................. 51 First Nat’ l Bk., L in c o ln ..................................................95 First Nat’ l Bk., M inneapolis........................................ 113 First Nat’ l Bk., Omaha ..................................................91 First Nat’ l Bk., St. Joseph ............................................92 First Nat’ l Bk., St. P a u l..................................................63 First Nat’ l Bk., St. Paul (Bonds).................................... 73 First Nat’ l Bk., Sioux C ity ............................................ 117 First Stock Yards Bk., St. J o s e p h .............................. 112 Harris Bank, C h ica g o ................................................. Hawkeye Bancorp......................................................... 130 Heller, WalterE., Chicago........................................ 10-11 Hummer&Co., Wayne, C hicago................................. 8 Insured Credit Services.................................................. 49 Iowa Bankers Ins. & S ervices...................................... 135 lowa-Des Moines Nat’l Bk............................................ 140 lowa-Des Moines Nat’l Bk., B o n d s ............................ £¡1 E.F. Kooker& Associates............................................ 104 LaSalle Nat’l Bk., C h ica g o ............................................35 LeFebureCorp............................................................... 3 Life Investors, Cedar Rapids ...................................... 137 Manufacturers HanoverTr. Co., New York Marquette Nat’l Bk., M inn eap olis............ MercantileTr. Co., St. Louis ................... Merchants Nat’l Bk., Cedar R apid s.......... Midland Nat’l Bk., M inneapolis................ Minnesota Protective L ife ......................... Mortgage Guaranty Insurance Corp.......... . . .55 . . .79 22-23 . . Office Concepts, W aterloo....................... Omaha National B a n k ............................... . . .88 .111 . . .61 . .136 .100 74-75 . . .90 * SLTCorporation, St. Louis............................................59 Schweser & Co., Robert, Om aha.................................. 93 Security Nat’l Bk., S iouxC ity...................................... 114 Security Pacific Nat’l Bk., Los A ngeles................. 46-47 Shaw, McDermott & Co., Des M oines........................ 104 StonierGraduateSchool of B anking............................ 29 Packers Nat’l Bk., Omaha......................... Peoples Bk. & Tr. Co., Cedar Rapids........ Toy Nat’l Bk., Sioux C ity ............................................. Travelers Express Co., M inneapolis............................ 67 United Bank of Denver....................................................85 United Central Bank of Des M oines............................ 131 United Missouri Bk., K an sa sC ity.............................. 115 United States Nat’l. Bk., Omaha.................................. 4-5 Valley Nat’l Bk., Des Moines Van Wagenen, G.D., Minneapolis Tom Pohlman Northwestern Ba n k Of Sioux City An Affiliate of Northwest Bancorporation Banco 1981 :M ... 2 Nat’l Bk. of Commerce, Linco ln............... Nat’l Bk. of W aterloo................................. Nat’l Boulevard Bank, C h ic a g o ............... Northwestern Bell Telephone Co.............. Northwestern Nat’l Bk., Minneapolis Northwestern Nat’l Bk., Sioux C ity .......... Your Direct Line to Prom pt, Personal Correspondent B anking Services N orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 15-18 tfb 137 QUESTION: Do You Want . . . • • • • Increased Bank Profits? More Satisfied Customers? Improved Employee Performance? All With No Added Cost? If So Contact Life Investors! Life Investors can help you in each of these important areas through our proven . . . Training Programs. These Programs Concentrate On: • TRAINING in Selling Each Bank’s Services • TRAINING in Effective Selling Techniques • TRAINING in Cross-Selling Techniques If Your Answer Is Yes Call us for assistance at: 319-398-8625 Rex Eno Dave Tesdahl Bob Okerstrom Bob Kesselring Life Investors Credit In su ra n ce D ivision 4333 Edgewood Road N.E. Cedar Rapids, Iowa 52499 319-398-8625 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, S eptem ber, 1981 138 Iowa News Toy Nat’l Data data processing personnel provided equipment dem onstrations on various system functions for attending bankers. Central Information File services and revealed that in preparation Iot providing on-line services, Toy began totally centralizing its data proces sing facilities early in 1980. Being aware of the advantages of on-line system services since the micP 1970’s, Ken Brooke, vice president, data processing, related Toy’s history of “strong and deliberate approaches to new technical servic^ prior to offering them to custom s banks.’’ Mr. Brooke emphasized the bank’s continued attitude of not necessarily being the leaders in the introduction of technical develop ments but rather being certain of the market needs and demands before entering the competitive market. Focusing on management report capabilities, Leo Stavas, vice p r e ^ dent, correspondent bank depart ment, pointed out that during the time that Toy was analyzing the marketplace, not only had computer capabilities improved, but equipmeq^ and software prices had become more economical as well. Dale Dooley, executive director, Iowa Transfer System, up-dated the guest bankers on developments qf EFT and ATM services through Iowa Transfer. Mr. Dooley welcomed the Toy Will Offer On-Line EDP to Banks ES Olson, president, Toy National Bank, Sioux City, welL corned representatives from 60 banks to a data processing seminar July' 23rd in Sioux City. Mr. Olson announced Toy’s expansion into Dale Dooley, exec, dir., Iowa Transfer System, provided up-date on ITS s e rv ic ^ and capabilities. k x Rich Breyfogle, v.p., Toy Nat’l., welcomes Russ Bonander, v.p. and Lyle Impecoven, v.p. Security Sav. Bk., Larchwood, la., to processing system seminar. Digitized Nfor FRASER orthw estern Banker, Septem ber, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1981 South Dakota and Nebraska bankers present and informed them of the co-operative programs between ITS and neighboring states. W The services introduction portion of the seminar was followed by equipment demonstrations conduc ted by Toy’s data processir^ personnel. Equipment exhibitors were IBM, NCR and Northwestern Bell. Following the seminar, guests were treated to a buffet dinner and fe a tu re of the Sioux City Rivercade festival.□ This 1958 building doesn’t look or act its age. Inside and out, both the form and function of this bank were recently updated by Bank Building Corporation. Decades of success and growth had committed Citizens National Bank to their established location, and they'd outgrown their building in the process. Total redesign was needed. Both inside and outside wall surfaces were removed and replaced. Floor area was doubled. In the process of becoming a more use-filled building, the new Citizens has made a strong visual impact on its community. This project was completed on Bank Building Corporation budget and on time, with minimum inconvenience to customers and employees. Which comes with practice: since 1913, Bank Building Corporation has completed over 8000 projects—many of them remodeling assignments. We know' that some older buildings are right for remodeling, while others are not. And we’ve learned to know the differences between them. Before your need to remodel or build becomes acute, please call Tom Spalding at 314/647-3800. Let’s become acquainted and share more information. Ask us to show you a new beginning or two. 1130 Hampton Avenue St Louis, Missouri 63139 Perform ance According to Plan. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis As bankers,we’ve never had so much to talk about. The winds of change are blowing - in the Iowa B<UlkerS Convention future. ourbusiness S e p te m b e r 2 0 ,2 1 ,2 2 5 r ic Z r e .'a n d M a m 0 t t H O t e l ( i f most certainly in banking. ... , . , We ve never had more pressinq , ,. . Jr , reasons to get together, discuss these , .... changes, and listen to some expert opinions on topics vitally important to All of us from D e s M o in e s the Iowa-Des Moines will be there. We look forward to seeing you ,u .... and hope you 11 pay a visit to , , ... , . ~ »« . our bank while you re in Des Moines We promise you a warm welcome! IOWA . nesMomes“ M A NATIONAL BANK F irst in Iowa by p u ttin g Iowa first. M em ber FDIC An Affiliate of Northwest Bancorporation 7th & Walnut, Des Moines, Iowa 5 0 3 0 4 Lance Davenport https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Bernie Kersey Bob Buenneke John Rigler Linda Collins (515) 2 4 5 -3131 Gariy Frandson Mark Conway Dorothea Wolfe
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