View original document

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

February 1956

Volume X X X V I I I

Number 2

District Farmers7 Prospects
and Purchases in 1956
I n 1955 EIGHTH DISTRICT FARMERS' INCOMES were improved by larger cash
receipts from cotton and broilers, but the gain was almost exactly offset by lower receipts
from hogs, tobacco and rice.
For 1956 underlying forces may net out to a decline in cash receipts. Severe adjust­
ments appear inevitable for cotton sales, but the exact timing is less certain. On the other
hand, farmers have absorbed much of the shock in the present beef and hog cycles which
likely foretells higher prices in the latter part of 1956. The expected price strength and
larger sales volumes suggest better times for red meat producers in this area.
Adjustments in spendable funds hold diverse meanings for different categories of
farm purchases. Expenditures for seed, tractor operation, food, and medical care may be
affected only moderately by farm income changes. However, optional outlays for com­
mercial feed and fertilizer may be more responsive, although in complex ways, as will
deferrable capital expenditures including those for furniture, household equipment, farm
equipment,; and farm buildings.

ral

Bank
St. Louis

Operations o f the FRB St. Louis in 1955— p . 22




Survey of (Current Conditions—p . 26

In 1935 Eighth District farmers’ incomes were
improved by larger cash receipts from cotton
and broilers, . . .

D i s t r i c t FARM RECEIPTS in 1955 were quite
close to the level of those in the previous year. Gross
income from cotton, the most important district cash
commodity, was well above receipts in 1954. So high
a gross income from cotton surprised even the closest
observers who made estimates before the harvest
season. Prices were about as expected, but the aver­
age yield per acre set a new high at 57 per cent above
the recent ten-year average. Consequently, cash re­
ceipts from the 1955 cotton crop were up approxi­
mately 17 per cent from the level of 1954.
Receipts from broilers likewise pleasantly aston­
ished farmers in northwest Arkansas and southern
Indiana. Notwithstanding a sizable increase in out­
put and tremendous competition from record per cap­
ita supplies of red meats, average prices for the year
were up nearly one-tenth. The result was a rise of
almost one-fifth in receipts from broiler sales.
.. . but the gain was almost exactly offset
by lower receipts from hogs, tobacco and rice.

On the negative side, tremendous supplies of pork
competing with record per capita consumption of beef
and poultry meats broke the hog market to the lowest
point since December 1941. Consequently, cash re­
ceipts from hogs, which are produced primarily in the
northern half of the district, plunged down about onefourth from the level of 1954. In other district areas
receipts from geographically concentrated tobacco
and rice crops also fell about 10 and 20 per cent,
respectively, as a production decline of 20 to 25 per
cent was only partly offset by higher prices. Changes
in the income position o f other major commodities
were moderate.

the 1955 crop. Presumably this cotton must eventually
be sold or disposed of in other ways. At best, such
large supplies will be an impediment to expansion of
inventories either in government or private hands.
Against the large supply may be set an annual domes­
tic consumption of approximately 9 million bales, plus
a foreign demand which is expected to dwindle to 2.5
million bales during the coming marketing year.
These figures suggest the inevitability of production
adjustments or price adjustments or some combina­
tion of the two. As a consequence, the United States
Department of Agriculture has tentatively established
district states acreage quotas for 1956 at 6 per cent
below 1955. Separate provisions for acreage reduc­
tions on a voluntary basis also have been considered;
as proposed, such provisions would likely affect total
cash farm receipts only moderately.
However, yield per acre may have more influence
than acreage planted on total cotton production. If
the record district yield, estimated for 1955 at 542
pounds per acre, becomes a new “normal,” production
in 1956 may be down only 6 per cent, i.e., simply by
the proportionate acreage quota reduction. Should
cotton farmers achieve only the average yield per acre
in the Delta during the last three years, production
would be off close to 20 per cent. Or if an extension
of the nine-year moving average were used as a guide,
production could be expected to approximate 30 per
cent less than last year. In all cases some allowance
should be made for weather uncertainty.
The possible income drop on account of output
reduction alone would be serious, but an additional
factor must also be considered. There may be a sizable
drop in effective support levels. A combination of the
two factors could result in a drop of one-fourth to
one-third in cotton receipts from the levels enjoyed
by district farmers in 1955.
. . . but the exact timing is less certain.

For 1956, underlying forces may net out
to a decline in cash receipts.

The level of cash farm receipts for the whole dis­
trict in 1956 may turn out to be somewhat less favor­
able than in 1954 and 1955. Price support proposals,
with their implementation now uncertain, could, of
course, materially alter any forecasts for specific com­
modities. Aside from the uncertainties involved, exist­
ing pressures from the supply and demand positions
of some commodities will cause eventual shifts from
1955 levels of cash farm receipts; some will be favor­
able to district farmers and some will be unfavorable.
Severe adjustments appear inevitable
for cotton sales, . . .

Among crops likely to be in an unfavorable position
will be cotton. A brief summary of the outlook indi­
cates why. The total United States supply of cotton
for the 1955-1956 marketing year has been estimated
by the United States Department of Agriculture at
25.9 million bales, including 14.6 million bales from
Page 18



All of the factors in this computation have a degree
of uncertainty both as to magnitude and timing. If
yields per acre should closely approach or exceed
those of 1955 and if price supports change very little,
inevitable adjustments in income from cotton sales
would be deferred though they might later be magni­
fied. On the other hand, reduced yields and price
supports could, of course, result in an earlier adjust­
ment toward bringing supplies more nearly in line
with the quantity consumed. Whatever the outcome
may be in 1956, firms selling to farmers in cotton
areas can be certain that more negative than positive
pressures on cash receipts from cotton will eventually
be realized.
On the other hand, farmers have absorbed
much o f the shock in the present beef and
hog cycles . . .

Beef and pork producers, unlike cotton farmers,
have already accepted sharp price reductions which

typically have been associated with recent production
cycles. Production peaks in both of these cycles coin­
cided in 1955 at exceptionally high levels.1 Concomi­
tantly, United States red meat producers have initiated
steps to moderate what appeared to them as over­
production at prices at which they could profitably
sell. For cattlemen, steps taken have included an
increasingly higher rate of cow and heifer slaughter,
an effective way to reduce future numbers of market­
able cattle. In 1955 female stock accounted for 49
per cent of the total numbers processed, compared
with 42 per cent in 1952.
. . . which likely foretells higher prices
in the latter part of 1956.

However, the full impact of increased slaughter of
breeding stock during the period 1953 to 1955 may
not be felt in the first half of this year. Total numbers
slaughtered, particularly of finished cattle, may be
even greater than in the year before, promising more
than adequate supplies of high quality beef. More
favorably, some price relief to farmers appears in
sight for the latter part of the year, as the slaughter
of cows and heifers is expected to decline from the
unusually high numbers of 1955. Expressed in the
terms of experienced cattlemen, the cattle numbers
cycle nationally shows signs of turning down which,
on the basis of past experience, means that the price
cycle may soon turn gently upward in the latter part
of 1956.
The hog outlook as reported by the United States
Department of Agriculture is quite similar to the pros­
pect for beef cattle: national supplies will become
increasingly large the first half of 1956 as a result of a
12 per cent increase in pigs born in the fall of 1955.
More hopefully, as a result o f reduced prices during
the fall and early winter of 1955, farmers had 2 per
cent less sows bred to farrow spring pigs for sale in
the fall of 1956. Like the beef cycle, the present hog
cycle apparently is following a normal pattern and
will likely reach a peak in production by the latter
half of 1956. The consequence will probably be
moderately higher prices, relative to those this win­
ter, for hogs sold next fall and winter.
The expected price strength and larger sales
volumes suggest better times for red meat
producers in this area.

Happily for district farmers, livestock production
and sales in 1956 can be expected to reflect the genl
Cattle production cycles refer to the rhythmic variations over periods
of several years in the numbers sold. Typically, numbers sold increase for
5 to 10 years and then decrease over a similar number o f years. C onse­
quently, there is norm ally a period o f about one and one-h alf decades
from peak to peak in cattle numbers marketed. United States Departm ent
o f A griculture estimates suggest that 1955 m ay have been the peak o f the
cattle numbers cycle. The price cycle tends to be the inverse o f the cattle
numbers cycle. H og production and price cycles are quite like the b eef
cycles, except that the hog cycles are shorter, reflecting m ore rapid repro­
duction processes.




erally excellent recovery in feed supplies from the
drouth of 1954 and previous years. In Missouri, for
example, the increase in feed grain and hay output in
1955 was a surprising 140 per cent. As a consequence
of improved crops and pastures in the district, farm­
ers in 1955 were encouraged to keep more cows and
heifers for the future.
So it is with hogs. Farmers in district states other
than in Indiana and Illinois will have 23 per cent
more pigs to sell this coming spring than they did in
the spring o f 1955, though the increase nationally is
expected to be only 12 per cent. For sale next fall, the
increase from the fall of 1955 will approximate 14 per
cent compared with a 2 per cent decline for the
nation. Thus with hogs as well as with cattle, dis­
trict farmers can look forward to 1956 as a year in
which they may multiply at least seasonally higher
prices in the latter part of the year by greater total
sales for a moderate net increase in cash receipts from
sales of red meats.
Adjustments in spendable funds hold diverse
meanings for different categories of farm
purchases.

The volume of district farmers' purchases in the
year ahead will be affected by many things. The
levels of the preceding year's net disposable income,
together with the stock of liquid assets built there­
from, plus the prospects for net disposable income in
1956 are the key elements in decisions to make certain
expenditures. On the other hand, firms selling some
items or products to farmers find that gross receipts,
which are roughly twice net income figures, are the
more significant element in the farmers' expenditure
decisions. Expenditures for consumption items by
the farm family tend to be influenced by net dispos­
able income, whereas outlays for the cost of doing
business on farms seem to be more responsive to gross
cash farm income.
On the assumption that aggregate district cash farm
receipts were unchanged in 1955 and will decline
moderately in 1956, what may be expected in terms of
farmers’ purchases of major items? The volume of
sales to farmers, as with sales to other businessmen
and consumers, is usually somewhat uncertain. H ow ­
ever, an inspection of past relationships between de­
clining farm income and cash expenditures for certain
categories of purchases affords valuable insights for
those interested in farmers as customers.2 Projections
of and conclusions from these historical relationships
are made in the following paragraphs, with allowance
for uncertain factors such as price support and allot­
ment programs, changing consumer demand, and
basic secular changes in production methods.
2
F or a discussion o f the farmer as a custom er o f the lending agency,
see “ A L ook at American Farm Credit E xperience,” Monthly Review,
Federal Reserve Bank o f St. Louis, D ecem ber 1955.

Page 19

CHART 1

CHART 2

N O N -D IS C R E T IO N A R Y EXPENDITURES

D ISC R ET IO N A R Y EXPENDITURES
in a Period of Declining Cash Farm Receipts

in a Period of Declining Cosh Farm Receipts
1947-49«i00
150

1947-49-100

S '

MEDICAL
^CARE

/
/

FERTILIZER AND
y
LIME ^ / '
/

\

/
FEED BOUGHT

/
/

I

\

s
1947

1949

195

Source* Agricultural Statistics, 1954, U.S.D.A.

Expenditures for seed, tractor operation, food ,
and medical care may be affected only
moderately by farm income changes.
Farmers and their families typically have certain
cash operating and living expenses which are no more
than moderately affected by changes in the level of
prices, yields, or cash farm receipts of the magnitude
experienced recently or that might be experienced in
the near future. Among these expenses are seed, oper­
ation of motor vehicles, food, and medical services,
expenditures which are not discretionary either in the
short- or long-run. During the recession of 1949, dol­
lar purchases by farmers of these goods and services
changed only moderately (Chart 1). To the business­
man, the historical reluctance or the seeming inability
of farmers to vary greatly their purchases of these
goods and services may portend relative stability of
sales. However, to farmers who must buy regardless
of the level of cash farm receipts, nondiscretionary
expenditures present a problem, for outlays on the
four goods and services listed above equal approxi­
mately one-fifth of national gross farm income.
However, optional outlays for commercial feed
and fertilizer may be more responsive, . . .
Some expenditures are more responsive to income
changes than those listed above; farmers' purchases
of commercially prepared feeds have historically de­
clined, albeit irrationally in many cases, as cash farm
receipts dropped. In 1949 the decline was nearly onefourth (Chart 2 ). Unlike their choices with respect to
seed and tractor fuel, farmers have closer alternatives
to buying commercial feed. They can mix feeds
grown on their farms with purchased protein and
other components, or they can feed a ration including
primarily home grown feeds. Apparently, as cash re­
Page 20



tv
1947

1949

1951

1953

Source: Agricultural Statistics, 1954, U.S.D.A.

ceipts become more limited, farmers have tended to
select one or both of those alternatives. Thus it is
that, notwithstanding the large number of animal
units now being fed on United States farms, feed men
are confronted with the challenge of maintaining sales
during periods of increasing resistance on the part of
farmers.
. . . although in complex ways, . . .

Sales of fertilizer, another item of optional expendi­
ture, likewise declined as cash receipts fell during the
severe depressions of 1920-1921 and 1929-1933. H ow ­
ever, in recent years fertilizer sales have been main­
tained even in periods of falling income ( Chart 2 ). The
change from traditional patterns has been partly the
result of acreage allotments and price support pro­
grams which apparently encouraged the substitution
of fertilizer for the restricted land area with resulting
higher per acre yields. Furthermore, a wider accept­
ance of fertilizer applications based on soil tests has
been a major facet of the advanced scientific farming
of the mid-twentieth century. Thus, happily for farm­
ers, mineral processors, and fertilizer distributors, but
much to the distress of those trying to reduce over­
supplies, the expanded use of fertilizer has softened
the shock of acreage controls and may continue to
do so.
. . . as will deferrable capital expenditures
including those for furniture, household equipment,
farm equipment, and farm buildings.
A characteristic common to most capital expendi­
tures is that they can be made at a rate more rapid
than present needs require and be accumulated for
future use. Conversely, purchases can be deferred for
a period of time while farmers utilize existing capital

CHART 3
DEFERRABLE EXPENDITURES
in a Period of Declining Cash Farm Receipts
1947-49*100
r ..

..

FARM BUILDINGS AND
EQUIPMENT
l

/

\
\

i

i

....................V *
/ \

/'
/'

" " furniture AND
HOUSEHOLD EQUIPMENT

/

1947

1949

1951

1953

Source: Agricultural Statistics, 1954, U.S.D.A.

equipment and facilities. The former characteristic
has historically typified the rate of capital expendi­
tures by farmers during years of high or rising income
and the latter during periods of low or falling cash
receipts.
Purchases of furniture and household equipment
declined considerably more than gross cash receipts
in the 1949 recession, 22 per cent as compared with 8
per cent (Chart 3 ). Further evidence of the sensi­
tivity of farmers’ durable purchases to changes in
receipts may be seen in the 16-year period from 1939
to 1955, when both dollar purchases of furniture and
household equipment by farmers and gross farm in­
come more than trebled.
The relationship between the level of cash receipts
and expenditures on farm equipment and buildings
has been less consistent. During the period 1910 to
1948 the correlation appeared quite high, but since




then it has been less so. In 1949, as realized gross
farm income declined 8 per cent from that of 1948,
capital expenditures on motor vehicles, machinery,
other equipment, and buildings increased by 7 per
cent, thereby breaking the traditional correlation of
previous years (Chart 3). Several suggestions for
recent departures have been offered: a high rate of
technological advance, farm consolidation accompany­
ing increased mechanization, the high level of farm­
ers’ equities and financial assets, and more efficient,
labor-saving equipment attractively displayed. What­
ever the causal factors may have been, and notwith­
standing the present high value of real capital on
United States farms, a high level of sales in 1955 leads
farm equipment dealers to hope that the traditional
relationship between declining farm income and falling
sales volume no longer prevails. Certainly farm con­
solidation at a rate which resulted in 11 per cent
fewer farms over a five-year period plus the almost
unbelievable rate of technological development were
of great consequence in determining outlays for farm
machinery and farmstead equipment, which approxi­
mated 15 per cent of cash receipts from farm market­
ings in 1955.
One final observation seems appropriate. Farmers,
like all producers, must invest limited capital funds
to their best advantage. Supposedly, then, as farm
receipts decline farmers’ decisions become more diffi­
cult, and businessmen must compete more strenuously
for a restricted number of dollars. The commodities
which are bid highest will tend to be those on which
farmers think they can get the greatest returns. Aside
from the major non-discretionary items, purchases of
goods such as fertilizers and needed physical equip­
ment, which are related to price support activities or
major fields of technological development, would
seem most likely to continue at high levels during
the coming year.
L a w r e n c e
E. K r e i d e r

Page 21

1

9

5

O P E R A T IO N S

5

OF THE FEDERAL RESERVE BANK OF ST. LOUIS

T YEAR 1955 was described as one of those years
J.HE
of “boom without letup” in the January issue of the
Monthly Review. Such a description might also well be
applied to this Bank's operations during the year. Mere
count of the number of transactions is, of course, only a
rough indication of the work accomplished. Nevertheless,
the sizable figures in the accompanying table suggest the
amount of effort that went into the day-to-day handling of
the Eighth Districts central banking duties. Most opera­
tions exceeded the heavy volume of 1954.

Bank during 1955 was the announcement that contracts
had been let for a new building to house Louisville
Branch operations. While the advantages to be gained
from efficient, modern quarters were important, a prime
factor in this Bank’s decision to construct the new building
was the need for more operating space.

Contracts Awarded for New Louisville
Bank Building

The site for the new branch building is located in the
northwest section of the central business district of Louis­
ville, and has an area of 28,620 square feet. Fronting
180 feet each on Fifth Street and Armory Place, and 159
feet on Liberty Street, the site has three street exposures
and was acquired after comprehensive site studies and
analyses.

To many people, and particularly to citizens of Louis­
ville, the most tangible sign of expanding activity by this

The proposed building consists of a basement and threestory structure with a service and mechanical tower core

RUSSELL

MULLBARDT

SCHWARZ

VAN H D E F E N,

ARCHITECTS

New Louisville Branch Building
Page 22



of five stories. It will have a gross floor area of 126,500
square feet.
Earnings and Expenses
Federal Reserve Banks were chartered over four decades
ago to serve as the operating arms of the Federal Reserve
System. In their day-to-day operations the Banks, includ­
ing the Federal Reserve Bank of St. Louis, incur certain

COMBINED VOLUME OF OPERATIONS
AT THE ST. LOUIS BANK AND THE LOUISVILLE, MEMPHIS

Checks (T o ta l)...................................

For this Bank in the year 1955, total current earnings
were $17 million; net expenses were $6 million. Approxi­
mately $600,000 of the years net earnings were paid to
the stockholding member banks; about $1,000,000 was
transferred to surplus, and a little over $9,000,000 was
paid into the United States Treasury.
Discount Activity

AND LITTLE ROCK BRANCHES IN 1955 AND 1954
N um ber o f Pieces H andled

expenses. At the same time, earnings accrue to each
Bank. After providing for the 6 per cent dividend stip­
ulated by law on the stock of the Bank, together with cer­
tain protective additions to surplus, the balance (approxi­
mately 90 per cent of net earnings) is paid into the Treas­
ury of the United States.

195 5

1 95 4

1 8 8 ,16 0 ,0 0 0

1 8 4 ,40 2 ,0 0 0

C ity C h eck s...................................

2 6 ,3 6 7 ,0 0 0

2 5 ,3 0 4 ,0 0 0

Country C h eck s...........................

1 03 ,74 7 ,0 0 0

9 8 ,9 6 3 ,0 0 0

Checks on this B an k .................

1 94 ,00 0

182 ,00 0

Governm ent C h eck s.................

4 1 ,7 6 9 ,0 0 0

4 3 ,0 5 7 ,0 0 0

1 6 ,0 83 ,0 0 0

1 6 ,8 96 ,0 0 0

C u rren cy............................................

2 02 ,6 8 6 ,0 0 0

2 15 ,1 9 8 ,0 0 0

Discount activity increased appreciably in the year. The
number of discounts rose from a total of 612 in 1954 with
a value of roughly $1.5 billion to 1,450 in 1955 with a
value of about $4.75 billion. Borrowings were progressive­
ly more costly to member banks as the discount rate was
raised four times from 1V per cent in April, to 2 per cent
z
in August, to 2*4 per cent in September, and finally to 2x
k
per cent in November.

3 65 ,97 4 ,0 0 0

Postal M on ey O rd ers.................
C o in ......................................................

3 63 ,95 5 ,0 0 0

Transfer o f F u n d s...........................

1 32 ,00 0

120 ,00 0

N on-cash C ollection s......................

4 9 9 ,0 0 0

4 7 0 ,0 0 0

U. S. G overnm ent Interest
C ou p on s..........................................

6 14 ,00 0

6 73,000

D iscount and A d va n ces...............

1,4 5 0

612

Safekeeping of Securities:
Securities R eceived and
R elea sed .....................................

162,000

173,000

C oupons D e ta ch e d ......................

311 ,00 0

296 ,00 0

V . S. Savings Bonds Issued,
E xchanged, and R edeem ed.

7,2 2 7,00 0

7 ,0 9 7,00 0

Other Governm ent Issues. . . .

2 68 ,00 0

309 ,00 0

W ithheld Tax D epository
R eceipts P rocessed...............

588 ,00 0

5 31 ,00 0

Treasury Tax and L oan
A ccoun t T ransactions..........

157 ,00 0

140 ,00 0

C hecks H andled (T o t a l).................

$62 ,71 1 ,5 6 5,00 0

$ 5 8 ,52 7 ,8 0 4,00 0

City C h eck s...................................

3 6 ,9 1 2 ,5 7 9 ,0 0 0

3 4 ,1 1 1 ,5 4 0 ,0 0 0

Country C h eck s................................

1 5 ,7 4 2 ,5 4 8 ,0 0 0

1 4,3 1 6 ,6 6 3 ,0 0 0

Checks on this B an k .................

2 ,9 0 7 ,1 6 8 ,0 0 0
6 ,8 7 7 ,9 8 4 ,0 0 0

6 ,9 8 6 ,4 7 9 ,0 0 0

Postal M on ey O rd ers......................

2 71 ,2 8 6 ,0 0 0

2 8 6 ,0 6 8 ,0 0 0

C u rren cy..............................................

1 ,1 5 8 ,4 9 5 ,0 0 0

1 ,2 8 4 ,3 3 6 ,0 0 0

C o in ......................................................

3 2,6 81 ,0 0 0

3 2,2 50 ,0 0 0

Transfer o f F u n d s.............................

3 9,0 90 ,6 0 7 ,0 00

3 7 ,9 92 ,7 7 9 ,0 00

Non-cash C ollection s......................

3 4 6 ,8 4 2 ,0 0 0

3 4 1 ,6 8 5 ,0 0 0

While certain activities may stand out in any one year
because of their variation up or down from earlier levels,
three were notable for their consistently high volume. They
were check collection, coin and currency handling, and
fiscal agency operations. They alone accounted for almost
$73 billion in transactions during the year, nearly $2.5
billion more than in 1954. Check handling was at an
all-time annual peak. Savings bond transactions were up
slightly, reflecting both a larger number of bonds issued
and more matured bonds redeemed. The volume of oper­
ations in processing United States Treasury bonds de­
creased over one-tenth in the year as the Treasury con­
ducted fewer refunding operations. In addition to the
figures shown in the table, another $100 million worth of
other United States Government agency issues were
handled.

2 ,8 2 7 ,0 5 4 ,0 0 0

G overnm ent C h eck s.................

Operations with the Largest Volume

Fiscal Agency Operations;

D olla r V olu m e

U. S. G overnm ent Interest
C o u p o n s..........................................

6 6,6 32 ,0 0 0

5 2,8 55 ,0 0 0

Discounts and A d va n ces...............

4 ,7 5 4,02 0 ,0 0 0

1 ,4 78,340,000

3 3,7 57 ,0 0 0

26,7 72 ,0 0 0

Safekeeping of Securities:
C oupons D e ta ch e d ....................
Fiscal Agency Operations:
U. S. Savings Bonds Issued,
Exchanged, and R edeem ed
Other Governm ent Issues..........

8 52 ,57 0 ,0 0 0

8 09 ,66 4 ,0 0 0

8 ,0 4 1,50 3 ,0 0 0

9 ,8 2 7 ,6 3 6 ,0 0 0

Figures are rounded to the nearest thousand except for the num ber of
discounts and advances.




Another particularly large volume figure, in this case
representing more the tremendous advantage of modern
communication methods than a large load of paper work,
was that for transfer of funds. In 1955, transfers by this
Bank and its branches of over $39 billion were a billion
dollars higher than in 1954, with a 10 per cent larger
number of transactions.
An interesting departure from the general increase in
operational volumes shown by the table was the decrease
in volume of currency handled compared with 1954. This
does not mean, however, that the amount in circulation
decreased. What it did reflect was a change in the law
which permitted the Reserve Banks to put fit Federal
Page 23

Reserve Notes of other Reserve Banks into circulation
rather than returning such notes to the Banks that issued
them. The year 1955 was the first full year in which this
saving was allowed.
Other Services

It is interesting to note that of the six remaining opera­
tions shown in the table, four had a considerably larger
volume compared with 1954 and only two had a smaller
volume.
Many other important activities, such as accounting,
auditing, bank examination, field service, maintenance,
protection, planning and research, not represented in the
table, should not be overlooked. At the close of the year
there were 492 member banks maintaining reserve ac­
counts and 39 nonmember banks carrying accounts for
the settlement of check clearings with this Bank. Internal
audits of this Bank and its branches were conducted as
usual during the year. And examinations were made of
State member banks in this district. In addition, the an­
nual examination of this Bank, including the branches,
was made in October by the Chief Federal Reserve Ex­
aminer and his staff for the Board of Governors of the
Federal Reserve System.
Besides serving the banking and business community
through everyday transactions, this Bank continued to
meet requests from banker, educational and civic groups
for speakers on a variety of subjects. During 1955 officers
and staff members attended 317 meetings, addressing
142 of them. In the course of the year 2,600 persons, a
majority of them students, visited the St. Louis office or
one of the branch offices and were given conducted tours
of the establishments. And 108 groups were shown films
relating to the central banking function. A currency ex­
hibit available from this Bank was displayed by ten com­
mercial banks during the year.
During 1955 the Bank continued its policy of main­
taining a good working environment for its personnel by
making certain major physical improvements. In Feb­
ruary, the Research Department moved into new offices
from the quarters which it had occupied for a number of
years. Later on, modernization of work space used by
the Money Department was begun.
Personnel Changes

Total employment at the St. Louis and branch offices
at the end of 1955 was 1,155 compared with 1,203 at
the end of 1954. Most of the reduction in personnel
occurred at St. Louis and Memphis.
The following designations and appointments were
made in December:
The Board of Governors of the Federal Reserve System
Page 24




redesignated Mr. M. Moss Alexander, St. Louis, Chairman
of the Board of the Federal Reserve Bank of St. Louis and
Federal Reserve Agent at the Bank for the year 1956.
Mr. Alexander, President, Missouri Portland Cement Com­
pany, St. Louis, a Class C Director of the Bank, has served
as Chairman and Federal Reserve Agent since January
1954. He also served the Bank as a Class B Director
during the years 1949 through 1953.
The Board of Governors also reappointed Mr. Caffey
Robertson, Memphis, Tennessee, a Class C Director of the
Federal Reserve Bank of St. Louis for a three-year term
beginning January 1, 1956, and reappointed him Deputy
Chairman of the Board for the year 1956. Mr. Robertson,
President, Caffey Robertson Company, Memphis, Ten­
nessee, has served as Class C Director and Deputy Chair­
man of the Board since January 1954. He was formerly
a director of the Memphis Branch of the Federal Reserve
Bank of St. Louis for the years 1952 and 1953.
Mr. A. Howard Stebbins, Jr., President, Stebbins and
Roberts, Inc., Little Rock, Arkansas was reappointed as
a member of the Little Rock Branch Board for a threeyear term beginning January 1, 1956.
Mr. J. D. Monin, Jr., Farmer, Oakland, Kentucky, was
appointed as a member of the Louisville Branch Board
for a three-year term beginning January 1, 1956.
Mr. Henry Banks, Farmer, Clarkedale, Arkansas, was
reappointed as a member of the Memphis Branch Board
for a three-year term beginning January 1, 1956.
The Board of Directors of the Federal Reserve Bank
of St. Louis made the following appointments:
Mr. J. V. Satterfield, Jr., President, The First National
Bank in Little Rock, Little Rock, Arkansas, was appointed
as a member of the Little Rock Branch Board for a threeyear term beginning January 1, 1956.
Mr. Magnus J. Kreisle, President, The Tell City Na­
tional Bank, Tell City, Indiana, was reappointed as a
member of the Louisville Branch Board for a three-year
term beginning January 1, 1956.
Mr. J. H. Harris, President, The First National Bank of
Wynne, Wynne, Arkansas, was appointed as a member
of the Memphis Branch Board for a three-year term be­
ginning January 1, 1956.
The Board of Directors of the Federal Reserve Bank
of St. Louis also appointed Mr. Lee P. Miller as a member
of the Federal Advisory Council to represent the Eighth
Federal Reserve District for the year 1956. Mr. Miller
is President of Citizens Fidelity Bank and Trust Company,
Louisville, Kentucky.
Mr. G. O. Hollocher retired as Assistant Vice President
of the Bank at the end of the year, and Mr. S. K. Belcher
retired as Assistant Manager of the Memphis Branch on
October 1.

There were also the following additional official ap­
pointments by this Bank during 1955: William J. Abbott,
Jr., appointed Vice President of the Bank; Marvin L.
Bennett, Guy S. Freutel, Paul Salzman, and William E.

Walker appointed Assistant Vice Presidents of the Bank;
Sherley C. Davis appointed Assistant Manager of the
Little Rock Branch; Wilbur H. Isbell appointed Assistant
Manager of the Memphis Branch.

DIRECTORS AND OFFICERS OF THE FEDERAL RESERVE BANK OF ST. LOUIS
February 1, 1956
Directors

Officers

M. Moss Alexander, Chairman of the Board
Delos C. Johns, President
Frederick L. Deming, First Vice President
William E. Peterson, Vice President
Howard H. Weigel, Vice President and Secretary
Joseph C. Wotawa, Vice President
Dale M. Lewis, Vice President
William J. Abbott, Jr., Vice President
Earl R. Billen, Assistant Vice President
John J. Christ, Assistant Vice President
Willis L. Johns, Assistant Vice President
Stephen Koptis, Assistant Vice President
Woodrow W. Gilmore, Assistant Vice President
John J. Hofer, Assistant Vice President
Marvin L. Bennett, Assistant Vice President
Guy S. Freutel, Assistant Vice President
W. E. Walker, Assistant Vice President
Paul Salzman, Assistant Vice President
George E. Kroner, Chief Examiner
Orville O. Wyrick, Assistant Chief Examiner
Gerald T. Dunne, Council and Assistant Secretary
George W. Hirshman, General Auditor

M. Moss Alexander, Chairman
Caffey Robertson, Deputy Chairman
S. J. Beauchamp, Jr.

William A. McDonnell

Phil E. Chappell
J. E. Etherton

Joseph H. Moore
Louis Ruthenburg

Leo J. Wieck

LITTLE ROCK BRANCH
Shuford R. Nichols, Chairman H. C. McKinney, Jr.
Donald Barger
J. V. Satterfield, Jr.
T. Winfred Bell
A. Howard Stebbins, Jr.
E. C. Benton

Fred Burton, Vice President and Manager
Sherley C. Davis, Assistant Manager
Clifford Wood, Assistant Manager
W. J. Bryan, Assistant Manager

LOUISVILLE BRANCH
Pierre B. McBride, Chairman M. C. Minor
David F. Cocks
J. D. Monin, Jr.
Magnus J. Kreisle
Noel Rush
W. Scott McIntosh

Victor M. Longstreet, Vice President and Manager
L. K. Arthur, Assistant Manager
L. S. Moore, Assistant Manager
Donald L. Henry, Assistant Manager

MEMPHIS BRANCH
John D. Williams, Chairman
Henry Banks
J. H. Harris
A. E. Hohenberg




John A. McCall
William B. Pollard
John K. Wilson

Darryl R. Francis, Vice President and Manager
C. E. Martin, Assistant Manager
H. C. Anderson, Assistant Manager
Wilbur H. Isbell, Assistant Manager
Page 25

OF CURRENT CO NDITIO NS
1 3 USINESS generally finished the old year and
started the new at a record pace, but in January there
was evidence that the over-all rate of activity had
leveled off. In addition, attitudes and confidence of
both businessmen and consumers seemed to weigh a
little more heavily the possible spreading effects of
the cutbacks in auto production, which marred the
scene of general prosperity.
The change in business activity during January
could be seen in recent developments in the labor
markets. In December total employment in nonfarm
establishments in the nation increased a slight amount
from November, after seasonal adjustment. But by
early January insured unemployment had risen more
than the usual amount and sizable layoffs announced
later in the month indicated a continuation of this
trend. Industrial production held steady in Decem­
ber, despite some curtailment in auto output which
continued to decline in January counter to the usual
trend. The downturn in auto production, which by the
week ended January 28 amounted to 22 per cent from
mid-December levels, was needed to bring dealers’
stocks of new cars into better relationship with cur­
rent and prospective sales. Construction activity
declined more than seasonally in December and
private nonfarm housing starts dropped below 1.2
million, seasonally adjusted annual rate, compared
with the rate o f 1.5 million a year earlier. At the same
time, contract awards, which presage construction
activity in the months ahead, were running above the
advanced levels of a year ago in January.
Not all forces in the economy were on the down­
grade. In January the demand for goods and ma­
terials for inventory apparently continued, particu­
larly in the case o f materials in short supply. Some
inventory building took place in anticipation of
further price increases. Another element of strength
in the current business situation is the rate of invest­
ment in new plant and equipment, which businesses
planned to expand 2 per cent from the fourth quarter
of 1955 to the first quarter of 1956.
Labor Markets

Reflecting the high level of business activity
Page 26




reached by the end of 1955, December employment
in all of the district’s major labor markets, except
Evansville, was larger than a year earlier. Unem­
ployment was less than a year ago in all major areas.
In January, however, sizable layoffs were announced,
primarily at automobile assembly plants, which had
operated at unusually high levels during 1955. Par­
tially as a result of these layoffs, insured unemploy­
ment in the district’s major labor markets increased
more rapidly in the four weeks ended January 21
than in comparable periods of the two previous years.
Some layoffs, moreover, were not effective until later
in the month.
Nationally, insured unemployment increased more
rapidly from early December to early January than
a year earlier, and about as rapidly as two years ago
when unemployment increased more than seasonally.
However, expansions in several district plants were
also noted. General Electric Company announced
that it would hire some 2,000 additional workers in
Louisville during the first two months of the year.
The added employment will be used to begin pro­
duction of food freezers formerly manufactured out­
side the district and to step up output of refrigerators
to meet current demands. McDonnell Aircraft Corpo­
ration in St. Louis announced that it would hire
about 3,000 additional workers in 1956 to expand pro*
duction of the V oodoo jet fighter airplane.
In Evansville, where manufacturing employment
is concentrated in a few plants producing durable
goods, primarily refrigerators and automobiles, em­
ployment has fluctuated more sharply than in most
other cities during past business cycles. In the last
few months this experience was repeated, although
a large part of the recent decline is reported to be
occasioned by unusual temporary circumstances. Em­
ployment at the International Harvester plant, where
as many as 3,300 had recently been employed, has
been reduced preparatory to turning the plant over
to its new owner, Whirlpool-Seeger Corporation,
which plans to begin production of appliances in a
few months. At the Plymouth plants, about 3,200 of
the 7,200 workers on the payroll at the beginning of

January were laid off during the month. In addition,
employment at other refrigerator plants was reduced,
as it usually is, in January.
With the decline in employment over the past few
months, some workers have left the Evansville area
as a result of recruitment or transfer and to search
for jobs elsewhere. In December the labor force was
about 2,000, or 3 per cent, less than a year earlier,
and some additional decline probably occurred in
January.
Manufacturing
Most Eighth District manufacturers, except in auto
assembly, apparently continued output at seasonally
high levels in January. Steel mills in the St. Louis
area operated at 99 per cent of rated capacity. And
trade reports indicated that steel not needed by the
auto plants was finding a ready market. Livestock
slaughter there was about one-third higher than a
year ago for the first three weeks o f the month. Dur­
ing the first half of January, Southern lumber out­
put rose 15 per cent and crude oil output in district
states advanced 11 per cent over year-earlier levels.
Coal production also probably experienced a more
than seasonal gain.
December electric power consumption for 14 se­
lected industries in the five largest district cities
ranged from 7 to 55 per cent higher than in Decem­
ber 1954, with an over-all average of 13 per cent
higher. There was little change, however, between
the December total and the November 1955 total,
as minor gains and declines in the use of power off­
set each other.

Construction
Total construction contracts awarded in the Eighth
Federal Reserve District in the final quarter of 1955
advanced slightly over the corresponding period a
year earlier. This trend apparently continued in the
first half of January, when total construction con­
tracts awarded in the St. Louis territory of the F. W.
Dodge Corporation, were somewhat larger than in
the comparable period a year earlier.
Department store sales
After marking up a new record in 1955, depart­
ment store sales continued at a high level in the open­
ing weeks of 1956. Sales of weekly reporting depart­
ment stores in the Eighth Federal Reserve District
were about 5 per cent higher in the first three weeks
of January than a year earlier, after adjustment for
the difference in number of trading days.




Banking
During the five weeks ended January 25, total
loans at district weekly reporting banks contracted 2
per cent, about the usual drop for this period of the
year. Despite the shrinkage, loan volume at the end
of the period was 13 per cent over the level a year
earlier. A large share of the decline in the current
period was due to a reduction in outstanding loans
to commercial and industrial concerns. Business bor­
rowers by major industry classification with sizable
net repayments were commodity dealers and trade
outlets. On the other hand, manufacturers of tex­
tiles, apparel, and leather increased their indebted­
ness more than the average amount during the cor­
responding weeks of recent years. Loans on real
estate and securities were also off. However, "other,”
largely consumer, loans showed little net change.
In addition to the loan contraction, district week­
ly reporting banks sold securities on balance, re­
ducing investment portfolios $22 million. Holdings
of both Government and other obligations were re­
duced.
Total deposits fell sharply ($167 million) during
the five-week period, with banks in all reporting
centers sharing in the loss. The decrease in deposit
balances reflected Treasury calls on tax and loan
accounts, substantial reductions in interbank deposits
and net withdrawals by individuals and businesses.
To help meet the drain of funds these banks lowered
their balances carried with the Federal Reserve Bank
and reduced their other cash assets.
Interest rates generally moved downward in the
last three weeks of January in contrast to a trend
toward higher levels throughout most of 1955. For
sensitive rates the decline was fairly sharp. The
average rate on Treasury bills issued on January 26
was 2.25 per cent compared with the peak rate of
2.69 per cent on December 29. Rates on bankers' ac­
ceptances were marked down % of 1 percentage point
to a level of 2% per cent on January 19. Yields on
most longer-term issues also drifted moderately lower
in the period.
Farm product prices and income
Average prices received for district farm com­
modities increased more than seasonally during the
four-week period ending January 20. Broiler prices
recovered from a 15 per cent loss during the pre­
vious four weeks. Hogs, cattle, milk and soybeans also
shared in the price strength. These gains were partly
offset by a sharp drop of one-fifth in egg prices.
District cash farm receipts for November 1955 were
25 per cent above November 1954 as a result of
larger sales of cotton.
Page 27

D ec. 1955*
com pared with
Nov. 1955
Dec. 1954

V A R IO U S IN D IC A T O R S O F IN D U S T R IA L A CT IV IT Y

* l( l€

Dec.
1955
Industrial Use of Electric Power (thousands o f KW H per working day, selected
industrial firms in 6 district citie s)........................................................................................
Steel Ingot Rate, St. Louis area (operating rate, per cent o f ca p a city )......................
Coal Production Index— 8th Dist. (Seasonally adjusted, 1 9 4 7 - 4 9 = 1 0 0 ) ......................
Crude Oil Production— 8th Dist. (Daily average in thousands of b b ls .).................
Freight Interchanges at RRs— St. Louis.
(Thousands o f cars— 25 railroads—
Terminal R. R. A ssn.)........................................................................................ ...................
Livestock Slaughter— St. Louis area. (Thousands o f head— w eekly a vera g e)..........
Lum ber Production— S. Pine (Average w eekly production— thousands o f bd. ft.) .
Lum ber Production— S. Hardwoods. (Operating rate, per cent o f ca p a city )............

14,643
103
88 p
370.3

-0 -%
-0 + 7
__ 2

108.3
146.1
199.9
89

+
—
—

+
+
+
+

-0 9
3
9

13%
36
14
11

+ 9
+ 30
+ 3
+ 5

* Percentage change figures for the steel ingot rate, Southern hardw ood rate, and the coal production index, show
the relative per cent change in production, not the drop in index points or in percents o f capacity.
p Preliminary.

e < *'

M
B A N K D EB IT S1
D ec.
1955
(In
millions)

D ec. 1955
com pared with
Dec.
N ov.
1954
1955

133.0
176.0
200.4
984 .3
822.2
2,442.9

— 2% — 6%

Six Largest Centers:
East St. Louis—
National Stock Yards,

1 1 1..............................

Evansville, In d .............
Little Rock, A rk...........
Louisville, Ky. ............
Memphis, Tenn.
St. Louis, Mo.
Total— Six Largest
Centers ............

+ 3
+ 4
+ 14
— 4
H 6
b

+ 1
+ 7
+ 10
+ 1
+ 1

+

5%

+

3%

43.9
16.9
31.3
57.2
34.2
11.5
12.7
34.5
66.2
5 5.0
29.5
4 5.5
39.8
16.0
8 2.8
2 2.8

+
+
+
+
—
+
—
+
—
+
+
—
+
+
+
+

13%
9
10
3
3
5
15
7
3
8
6
14
3
8
2
1

+
+
+
+
—
+
+
+
+
+
—
+
+
+
+
+

1 2%
7
3
2
12
15
9
32
18
7
12
8
2
3
6
26

599.8

+

2%

+

7%

$ 5,3 58 .6

+

5%

+

3%

$ 4,758.8

Other Reporting Centerss:
Alton, 111....................... • $
C ape Girardeau, Mo.
El D orado, Ark.
Fort Smith, Ark. .
Greenville, Miss.
H annibal, M o. ..........
H elena, A rk.................
Jackson, Tenn.
Jefferson City, Mo.
O w ensboro, Ky...........
Paducah, K y . ............
Pine Bluff, Ark.
.
Quincy, 111. ..............
Sedalia, M o .................
Springfield, M o ...........
Texarkana, Ark.
T otal— Other
.................
Centers
T otal— -22 Centers

■

$

IN D E X O F BANK D E B IT S — 22 Centers
Seasonally Adjusted (1 9 4 7 -1 9 4 9 = 100)
1955
1954
N ov.
D ec.
Dec.
T74~4
160.2
165^5
l Debits to dem and deposit accounts o f individuals,
partnerships and corporations and states and political
subdivisions.

CASH

FA RM IN C O M E
Percentage Change
Jan. thru Nov.
N ov. ’ 55
1955
(In thousands Nov.
from
com pared with
o f dollars)
1955 N ov. ’54
___________________________
1954
1953
Arkansas . $127,595 + 4 0 % + 9 % + 1 0 %
Illinois.........
140,441 — 12
— 9
-— 10
Indiana.
80,200 -— 14
— 10
— 10
Kentucky .
— 5
43,666 + 1 8
— 10
Mississippi
125,270 + 4 4
— 15
+ 7
M issouri. . .
107,031 + 1 3
— 5
— 5
— 6
— 10
Tennessee. _________ + 1 9
6 3,317 _

Seasonally adjusted
T o t a l............
233 .6 p
Residential.
325.4 p
A l l O t h e r .. .
191.0 p

7 States . . $ 687,520 + 1 2
— 5
— 8
— 2
8th District $406,481 + 2 5
— 6
Source:
State data from U SD A preliminary
estimates unless otherwise indicated.

277.1
279.3
276 .0

230.5
299.2
198.6

* Based on three-m onth m oving average
(centered on m id-m onth) o f value o f awards, as
reported by F. W . D od g e Corporation.
p Preliminary

A SS E T S A N D

LIA BILIT IES EIG H T H DIST R IC T M E M B ER B A N K S

(In Millions o f Dollars)

W eekly Reporting Banks
Change from
D ec. 21,
Jan. 25, 1956
1955

Assets
Loans* .........................................
Business and Agricultural .
Security .................................
Real Estate ...........................
Other (largely consumer) .
U. S. Government Securities
Other Securities ......................
Loans to Banks ........................
Cash Assets ................................
Other Assets .............................
Total Assets ........................

$1,583
821
55
275
455
943
236
11
868
46
$3,687

Liabilities and Capital
Dem and Deposits o f Banks . , . .
Other Dem and Deposits ...............
Time Deposits ...............................
Borrowings and Other Liabilities
Total Capital Accounts .................
Total Liabilities and Capital .

All M em ber Banks
Change from
Dec. 28,
Nov. 30,
1955
1955

$— 37
— 29
—
1
—
4
—
1
— 15
—
6
— 19
— 97
-0 $— 174

$2,548

$+

1,962
497

+

1,576
68
$6,651

23

1
-0 -

+ 126
— 1
$ + 149

682
$— 79
$ 805
$+8 0
2,110
— 87
4,089
+ 107
559
—
1
1,211
—
1
69
77
—
7
— 40
267
-0 469
+
3
$3,687
$— 174
$6,651
$ + 149
e adjusted to exclude loans to banks; the total is reportei
net; breakdowns are reported gross. For all m ember banks loans are reported net and include loans
to banks; breakdown o f these loans is not available.

DEP ART M EN T ST O RES
Stocks
on Hand
Net Sales
D ec., ’55
12 mos. "55 Dec. 31 ’ 55
com pared with
to same
com p, with
N ov., ’ 55 D ec. 54 period ’54 D ec. 31 ’ 54

$

RETAIL F URNITURE ST O R E S
Percentage o f Accounts
Stocks- and Notes R eceivable
Sales Outstanding D ec. 1, ’ 55,
Ratio collected during Dec.
Jan. 1 to
Excl.
Dec. Dec.
Instal. Installment
1955 1954 Accounts Accounts

N.A.
N.A. N.A.
8th F.R. District Total . . + 4 7 %
18
53
+ 9%
+ 7%
9
1.28
Fort Smith Area, A r k .i. + 6 4
1.35
46
+ 8
+ 3
N.A.
3
+ 2
N.A. N.A.
13
Little R ock Area, A rk.. . . + 4 4
48
+
N.A.
N.A. N.A.
-0Quincy, 111......................... + 5 2
+ 1
+ 12
1.35
1.46
+ 4
Evansville Area, I n d .. . . . + 4 0
+ 6
+ 5
1.27
1.27
Louisville Area, Ky., Ind .. + 4 6
20
54
+ 5
+ 6
N.A.
N.A. N.A.
— 6
7
Paducah, K y........................+ 6 5
+21
+ 12
1.40
20
+ 9
1.51
St. L,ouis Area, M o., 111.
+44
58
+ 29
+ 25
+ 35
1.63
1.58
Springfield Area, M o.. . . . + 51
1.42
1.41
+ 5
16
42
Memphis Area, T enn .. . . + 55
+ 4
+ 5
N.A.
N.A. N.A.
+ 9
All Other Cities2 ...............+ 5 2
+ 11
1 In order to permit publication o f figures for this city (or area), a special sample has been co n ­
structed which is not confined exclusively to department stores. Figures for any such nondepartment
stores, how ever, are not used in com puting the district percentage changes or in com puting depart­
ment store indexes.
2 Fayetteville, Pine Bluff, Arkansas; Harrisburg, Mt. Vernon, Illinois; Vincennes, Indiana; D an­
ville, Hopkinsville, M ayfield, O w ensboro, Kentucky; Chillicothe, Missouri; Greenville, Mississippi;
and Jackson, Tennessee.
IN D E X E S O F SALES A N D STOCKS— 8TH D IS TR IC T
Dec.
Nov.
1955
1955
208
149
125
124
N.A.
147
N.A.
130
Stocks, seasonally adjusted4 ..........................................................
3 D aily average 1 9 4 7 -4 9 = 100
4 End o f Month average 1 9 4 7 -4 9 = 1 0 0
N. A. Not available.
Outstanding orders o f reporting stores at the end of D ecem ber, 1955, were 14
than on the corresponding date a year ago.
Trading days: D ec., 1955— 26; Nov., 1955— 2 5; D ec.,




IN D E X O F C O N S T R U C T IO N C O N T R A C T S
A W A R D E D EIG H T H FEDERAL RESERVE D ISTR ICT *
(1 9 4 7 -1 9 4 9 = 100)
Nov. 1955 Oct. 1955 Nov. 1954
Unadjusted
T o t a l............
199.9 p
248.9
197.3
Residential
2 76.6 p
273 .7
254.3
A llO t h e r .
164.3 p
237.4
170.8

Oct.
1955
135
122
145
129

D ec.
1954
194
117
106
118

per cent larger
1954— 26.

Net Sales
Inventories
D ec., 1955
D ec., 1955
com pared with
com pared with
N ov., 55 D ec., 54N ov., 55 D ec., 54
8th Dist. T o t a ll. . . - h 3 1 %
St. Louis Area . . . . - b 34
Louisville Area . . - b 7
Memphis Area . . - b 60
Little R ock Area - b41
Springfield A rea. - b 34

7%
7
1
+ 30
31
+
+ 5
+
+

+ 19%
+ 28
+ 8
*
*
+ 8

— 7%
— 7
— 10
—

*
5

* Not shown separately due to insufficient coverage,
but included in Eighth District totals.
1 In addition to follow in g cities, includes stores in
Blytheville, Fort Smith, Pine Bluff, Arkansas; Owens­
boro, Kentucky; G reenw ood, Mississippi; Evansville, In­
diana, and Cape Girardeau, Missouri.
N O T E :— Figures shown
to revision.

are preliminary and subject

P E R C E N T A G E D IS T R IB U T IO N OF
F U RN ITU R E SALES
Cash Sales .................
Credit Sales ...............
Total Sales ............

D ec., *55
15%
85
100%

N ov., ’55
15%
85
100%

D ec., ’54
16%
84
100%