A N N U A L REPORT OF THE

FEDERAL DEPOSIT INSURANCE CORPORATION

1967

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Federal Reserve Bank of St. Louis
LETTER OF T R A N S M I T T A L

FEDERAL DEPOSIT INSURANCE CORPORATION

Washington, D. C., May 15, 1968

SIRS: Pursuant to the provisions of Section 17(a) of the Federal

Deposit Insurance Act, the Federal Deposit Insurance Corporation

is pleased to subm it its report for the calendar year 1967.

Respectfully yours,

Chairman

THE PRESIDENT OF THE SENATE

THE SPEAKER OF THE HOUSE OF REPRESENTATIVES

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FEDERAL DEPOSIT INSURANCE CORPORATION

EXAMINATION

DIVISION

COMMITTEES

BOARD OF REVIEW 

LIQUIDATIONS, LOANS AND 

PURCHASES OF ASSETS 

SPECIAL

EXECUTIVE ASSISTANT 

TO THE BOARD

ASSISTANTS

LEGAL

DIVISION

LIQUIDATION

DIVISION

RESEARCH

DIVISION

OFFICE 

OF THE 

CONTROLLER

AUDITOR

BOARD OF DIRECTORS

CHAIRMAN 

COMPTROLLER OF THE CURRENCY 

DIRECTOR

SECRETARY

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FEDERAL DEPOSIT INSURANCE CORPORATION

BOARD OF DIRECTORS

Chairman .......................................................................... K. A. Randall

Director.................................................................................. (Vacancy)

Comptroller of the Currency...................... ...............William B. Camp

OFFICIALS

Assistant to the Chairman ....................... ..............John L. Flannery

Special Assistant to the Chairman ............ ..........................Lynn Mah

Special Assistant to the Chairman

for Mutual Savings Banks..................... ............Raymond T. Cahill

Assistant to the Director..........................................Albert J. Faulstich

(Comptroller of the Currency)

Chief, Division of Examination................... .........Edward H. DeHority

General Counsel ................................................................S. Rex Lewis

Controller ..................................................... Edward F. Phelps, Jr.

Director, Division of Research.................... ......................... (Vacancy)

Chief, Division of Liquidation .......................................A. E. Anderson

Secretary...................................................... ..................... E. F. Downey

Auditor (Acting).......................................................... John D. Roderick

Senior Advisor to the Board....................... Raymond E. Hengren

Executive Assistant to the Board............... Timothy J. Reardon, Jr.

Assistant to the Board.......................................... William M. Moroney

May 15, 1968

V

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Federal Reserve Bank of St. Louis
FEDERAL DEPOSIT INSURANCE CORPORATION DISTRICTS

DISTRICT OFFICES AND SUPERVISING EXAMINERS

Boston

Mark J. Laverick 

Two Center Plaza 

Boston, Massachusetts 02108

New York

Claude C. Phillippe

74 Trinity Place

New York, New York 10006

Philadelphia

Alan R. Miller 

Public Ledger Building 

6th and Chestnut Streets 

Philadelphia, Pennsylvania 19106

Richmond

Albert E. Clark

403 East Grace Street

Richmond, Virginia 23219

Atlanta

Lewis C. Beasley

1000 Bank of Georgia Building

Atlanta, Georgia 30303

Columbus

William D. Allen 

Huntington Trust Building 

37 West Broad Street 

Columbus, Ohio 43215

Madison

Wallace A. Ryen 

715 Tenney Building 

Madison, Wisconsin 53703

Chicago

John J. Early

164 West Jackson Boulevard 

Chicago, Illinois 60604

St. Louis

John Stathos 

420 Locust Building 

1015 Locust Street 

St. Louis, Missouri 63101

Memphis

Quinton Thompson

First National Bank Building

165 Madison Avenue 

Memphis, Tennessee 38103

Minneapolis

Roger B. West 

748 Roanoke Building 

Minneapolis, Minnesota 55402 

Kansas City

Stanley Pugh

1708 Federal Reserve Bank Building 

Kansas City, Missouri 64106 

Dallas

Lloyd Thomas

Federal Reserve Bank Building 

Station K

Dallas, Texas 75222

San Francisco

Walter W. Smith

Wells Fargo Building

44 Montgomery Street

San Francisco, California 94104

FEDERAL DEPOSIT INSURANCE CORPORATION

M a i n O f f i c e : 5 5 0 1 7 t h S t r e e t , N. W., W a s h i n g t o n , D. C. 2 0 4 2 9

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Federal Reserve Bank of St. Louis
CONTENTS

The year in brief--------------------- ----------------------------------------- xi

PART ONE 

BANKING DEVELOPMENTS

The economy in 1967 ------------------------------------------------------- 3

Financial developments...................................................- .... — 5

Commercial bank performance in 1967 ________ ___________ 9

PART TWO 

OPERATIONS OF THE CORPORATION

Disbursements to protect depositors............................................ 19

Supervisory activities................................................................... 22

Federal legislation ...................................... .................................. 29

Rules and regulations of the Corporation________________ __ 30

Administration of the Corporation ............................................ 33

Finances of the Corporation ......................................................... 34

PART THREE 

LEGISLATION AND REGULATIONS

Federal banking legislation— 1967 ______ _____ ___________ 93

Rules and regulations of the Corporation— 1967 ................... 99

State banking legislation— 1967 __________________ ________ 143

PART FOUR

STATISTICS OF BANKS AND DEPOSIT INSURANCE

Number of banks and branches................... .............................. 154

Assets and liabilities of banks__ ______________ ___ _______ 170

Income of insured banks.................................................... ....... 186

Banks closed because of financial difficulties;

deposit insurance disbursements______________________ 216

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LIST OF TABLES

DISBURSEMENTS TO PROTECT DEPOSITORS:

1. Insured banks closed during 1967 requiring disbursements by the Federal Deposit Insurance Corporation ............................................................. 19

2. Protection of depositors of insured banks requiring disbursements by

the Federal Deposit Insurance Corporation, 1934-1967 .......................... 20

3. Analysis of disbursements, recoveries and losses in deposit insurance

transactions, January 1, 1934-December 31, 1967 .................................. 21

SUPERVISORY ACTIVITIES:

4. Mergers, consolidations, acquisitions of assets and assumptions of

liabilities approved under section 18(c) of the Federal Deposit Insurance Act during 1967 ..................................................................................... 24

5. Bank examination activities of the Federal Deposit Insurance Corporation

in 1966 and 1967 ................................................................................ ........... 25

6. Actions to terminate insured status of banks charged with unsafe or unsound banking practices or violations of law or regulations, 1936- 

1967 .................................................................................................................. 26

14. Description of each merger, consolidation, acquisition of assets or 

assumption of liabilities approved by the Corporation during 1967 ..... 43

ADMINISTRATION OF THE CORPORATION:

7. Number of officers and employees of the Federal Deposit Insurance

Corporation, December 31, 1966 and 1967 ............................................ 34

FINANCES OF THE CORPORATION:

8. Statement of financial condition, Federal Deposit Insurance Corporation, December 31, 1967 ............................................................................. 35

9. Statement of income and the deposit insurance fund, Federal Deposit

Insurance Corporation, year ended December 31, 1967 ........................ 36

10. Determination and distribution of net assessment income, Federal Deposit Insurance Corporation, year ended December 31, 1967 ................ 37

11. Sources and application of funds, Federal Deposit Insurance Corporation, year ended December 31, 1967 ......................................................... 37

12. Income and expenses, Federal Deposit Insurance Corporation, by year,

from beginning of operations, September 11, 1933, to December 31, 

1967, adjusted to December 31, 1967 ....................................................... 38

13. Insured deposits and the deposit insurance fund, 1934-1967 ............... 39

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NUMBER OF BANKS AND BRANCHES:

Explanatory note ...................................................................................................... 154

101. Changes in number and classification of banks and branches in the

United States (States and other areas) during 1967 .......................... 156

102. Changes in number of commercial banks and branches during 1967,

by State .......................................................................................................... 15

103. Number of banking offices in the United States (States and other

areas), December 30, 1967

Grouped according to insurance status and class of bank, and

by State or area and type of office........................................ .................... 160

104. Number and deposits of all commercial and mutual savings banks

(States and other areas), December 30, 1967

Banks grouped by class and by deposit size .................................... 169

ASSETS AND LIABILITIES OF BANKS:

Explanatory note ...................................................................................................... 171

105. Assets and liabilities of all banks in the United States (States and

other areas), June 30, 1967

Banks grouped according to insurance status and type of bank .... 172

106. Assets and liabilities of all banks in the United States (States and

other areas), December 30, 1967

Banks grouped according to insurance status and type of bank .... 174

107. Assets and liabilities of insured commercial and insured mutual

savings banks in the United States (States and other areas)

December call dates, 1963-1967 ........................................................ 176

108. Assets and liabilities of insured commercial banks in the United States

(States and other areas), December 30, 1967

Banks grouped by class of b ank............................................................. 180

109. Assets and liabilities of insured commercial banks operating throughout 1967 in the United States (States and other areas), December 

30, 1967

Banks grouped according to amount of deposits ............................ 181

110. Percentages of assets and liabilities of insured commercial banks

operating throughout 1967 in the United States (States and other 

areas), December 30, 1967

Banks grouped according to amount of deposits.............................. 183

111. Distribution of insured commercial banks in the United States (States

and other areas), December 30, 1967

Banks grouped according to amount of deposits and by ratios of

selected items to assets and deposits ............................................ ........ 184

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INCOME OF INSURED BANKS:

Explanatory note ...................................................................................................... 187

112. Income of insured commercial banks in the United States (States and

other areas), 1959-1967 ............................................................................. 188

113. Ratios of income of insured commercial banks in the United States

(States and other areas), 1959-1967 ........................................................ 190

114. Sources and disposition of total income, insured commercial banks in

the United States (States and other areas), 1959-1967 ........................ 191

115. Income of insured commercial banks in the United States (States and

other areas), 1967

Banks grouped by class of bank............................................................. 192

116. Income of insured commercial banks operating throughout 1967 in the

United States (States and other areas)

Banks grouped according to amount of deposits ............................ 194

117. Ratios of income of insured commercial banks operating throughout

1967 in the United States (States and other areas)

Banks grouped according to amount of deposits ............................ 196

118. Income of insured commercial banks in the United States (States and

other areas), by State, 1967 ..................................................................... 198

119. Income of insured mutual savings banks, 1959-1967 ............................ 208

120. Ratios of income of insured mutual savings banks, 1959-1967 ........... 210

121. Sources and disposition of total income, insured mutual savings

banks, 1959-1967 ......................................................................................... 211

122. Income of insured mutual savings banks in the United States (States

and other areas), by State, 1967 ............................................................. 212

BANKS CLOSED BECAUSE OF FINANCIAL DIFFICULTIES;

DEPOSIT INSURANCE DISBURSEMENTS:

Explanatory note ...................................................................................................... 217

123. Number and deposits of banks closed because of financial difficulties,

1934-1967 ...................................................................................................... 218

124. Insured banks requiring disbursements by the Federal Deposit Insurance Corporation during 1967 ................................................................... 219

125. Depositors, deposits and disbursements in insured banks requiring disbursements by the Federal Deposit Insurance Corporation, 1934-1967 

Banks grouped by class of bank, year of deposit payoff or deposit

assumption, amount of deposits, and S ta te ............................................ 220

126. Recoveries and losses by the Federal Deposit Insurance Corporation

on principal disbursements for protection of depositors, 1934-1967 .... 222

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Federal Reserve Bank of St. Louis
THE YEAR IN BRIEF

Commercial banks experienced a favorable year in 1967, increasing their assets by more than 12 percent. Operating earnings of insured commercial banks rose about 5.6 percent from 1966, while net 

income after taxes increased by about 17 percent. The liquidity 

position of commercial banks and of savings institutions improved 

significantly in 1967. Investments comprised a larger share of commercial and mutual savings bank assets than a year earlier.

In 1967, the Corporation’s disbursements were required in four 

bank failure cases involving a total of almost $11 million of deposits 

and approximately 4,700 depositors. By the end of the year, over 

98 percent of the depositors had fully recovered their funds, with the 

aid of Corporation disbursements totaling $7.8 million.

The deposit insurance fund rose by $234 million during the year 

to a total of $3,485 million. As of December 31, 1967, the fund 

amounted to 0.78 percent of total deposits in insured banks, and 

approximately 1.33 percent of insured deposits.

At the end of 1967, there were 14,244 banks in the United States, 

of which 13,850, or 97.2 percent, were insured. The banks not participating in Federal deposit insurance included 224 commercial 

banks and nondeposit trust companies and 170 mutual savings banks. 

During 1967, the total number of banks in operation decreased by 

47, and the number of insured banks by 23. A 1,105 net increase in 

branches raised the total number of banking offices by 1,058.

The Corporation conducted 7,148 examinations of main offices, 

4,662 examinations of departments and branches, and 1,767 investigations during the year. Major changes were made in the structure 

of FDIC Districts in 1967, involving an increase in their number from 

12 to 14 and shifts in the boundaries of several Districts. The new 

alignment of Districts became fully operational on July 1.

Temporary legislation granting the Federal bank supervisory authorities additional flexibility in establishing maximum interest rates payable by insured banks on deposits, which was enacted in 1966, was 

extended on September 21, 1967, for a one-year period. The Corporation issued new rules and regulations to define and clarify insurance coverage and to carry out the intent of Congress to provide insurance up to $15,000 per depositor.

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Federal Reserve Bank of St. Louis
BANKI N6 

DEVELOPMENTS

PART ONE

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3

By most yardsticks 1967 was an excellent year for commercial 

banks. Deposits and assets increased by about 12 percent, and most 

banks were able to post sizeable gains in earnings at the same time 

that they increased their liquidity. A brief review of the principal economic and financial developments in 1967 will help place the principal developments in banking in better perspective.

THE ECONOMY IN 1967

The U.S. economy during 1967 recorded its seventh consecutive 

year of expansion. The pace of economic activity, however, was not 

uniform throughout the year or throughout all sectors of the economy. 

Gross national product (GNP) advanced at an annual rate of only $13 

billion during the first half of the year, in contrast to a gain of more 

than $32 billion during the second half of 1967. About half the overall gain came as a result of price level increases.

Changes in GNP in 1967 were closely tied to fluctuations in the 

level of inventory accumulation and to changes in the level of Government spending. Inventory accumulation was substantial in 1966 and, 

partly as a result of a disappointing level of final sales, net inventory 

accumulation occurred at an $18.5 billion annual rate in the fourth 

quarter of 1966. Thereafter, inventory accumulation declined sharply, 

falling to less than $1 billion in the second quarter of 1967. The depressing effect on the economy of inventory behavior during the first 

half of 1967 was partially offset by an increase in the level of government expenditures, particularly by the Federal Government.

In the second half of 1967, inventory investment began to pick up 

and, thus, to exert an expansionary influence on the economy, while 

the advance in Government expenditures moderated. The net influence of changes in inventory accumulation and Government 

expenditures on changes in GNP is depicted in Chart 1.

Business spending on plant and equipment declined slightly in the 

first half of 1967 and posted moderate gains in the second half. 

Spending on residential construction increased throughout 1967, following a sharp decline in the last three quarters of 1966, and by the 

fourth quarter of 1967 approximately regained the level achieved prior 

to the 1966 decline (Chart 2).

Consumer expenditures, particularly for durable goods, expanded at 

a relatively modest pace in 1967. If the effect of increases in the consumer price level is excluded, expenditures on durable and nondurable goods (consumer expenditures exclusive of spending on services) 

barely increased between the fourth quarter of 1966 and the fourth

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4 FEDERAL DEPOSIT INSURANCE CORPORATION

CHART 1

RELATIONSHIP AMONG GNP, GOVERNMENT SPENDING 

AND INVENTORY ACCUMULATION BILLIONS OF DOLLARS BILLIONS OF DOLLARS

quarter of 1967. Households saved an unusually high proportion of 

their incomes in 1967 (Chart 3). Recent price rises, uncertainty about 

the economic outlook and taxes and unsettled conditions in financial 

markets may have influenced the high personal savings rate. Clearly, 

the effect of the high savings rate was to moderate the pressure on 

both goods and financial markets in 1967.

In summary, 1967 can be characterized as a year in which the 

economy maintained a relatively high rate of activity, but a year in 

which “ real" gains were modest. The economy was able to absorb a 

rather substantial inventory adjustment and a slowdown in consumer

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THE ECONOMY IN 1967 5

CHART 2

HOMEBUILDING ACTIVITY

BILLIONS OF DOLLARS MILLIONS OF UNITS

Figures are seasonally adjusted annual rates

spending relatively painlessly. To a considerable extent this occurred 

because Government spending increased substantially.

FINANCIAL DEVELOPMENTS

In some respects financial markets behaved paradoxically in 1967. 

During most of the year monetary policy remained expansionary. 

Banks and other financial institutions had ample funds to meet loan 

demands, a situation which contrasted markedly with the stringency 

existing during much of 1966. However, the cost of funds was high. 

Interest rates in early 1967 continued the decline begun in late 1966, 

but began to turn upward once again in March in the case of corporate and Government bonds and about mid-year in the case of shortterm securities.

Monetary policy. Following a period of considerable restraint, the 

monetary authorities began to move toward an easier policy in the 

fourth quarter of 1966. Throughout most of 1967 the monetary authorities continued to make reserves available to commercial banks. 

The effect of this increase in the reserve base was supplemented by 

reductions in reserve requirements on time and savings deposits. In 

April the discount rate was reduced from 4 1/2 to 4 percent. Monetary

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6 FEDERAL DEPOSIT INSURANCE CORPORATION

policy remained fairly expansionary until late in 1967 when the expansion of the reserve base was moderated. In late November, partly in 

response to the devaluation of the British pound, the discount rate 

was again raised to 4Y2 percent.

Credit demands. While substantial credit expansion occurred in 

1967, credit demands of the various sectors of the economy were not 

uniformly strong. A Federal cash deficit of approximately $7.3 billion 

in calendar year 1967 added to the pressure on financial markets. 

The acceleration of corporate tax payments and repayment of Federal 

agency debt contributed to an improved Treasury cash position in the 

first half of the year when Treasury receipts normally exceed expenditures. In the second half of 1967, however, the cash deficit was about 

$20 billion and Treasury financing exerted considerable pressure on 

financial markets.

State and local governments added a record dollar volume to their 

debt in 1967. In part this reflected financing postponed from 1966 

when financial markets became extremely tight. Both Federal and 

State and local government financing was concentrated in commercial 

banks in 1967. Net purchases of Federal and State and local government securities by commercial banks amounted to $15.3 billion, and 

banks also were substantial net purchasers of Federal agency securities.

Despite an upswing in housing starts, the volume of mortgage financing in 1967 barely exceeded the relatively low 1966 level. Among 

other considerations, this reflected the fact that mortgage closings 

tend to lag somewhat behind movements in housing starts and the 

fact that high interest rates, and inflexible rate ceilings on mortgages

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FINANCIAL DEVELOPMENTS 7

in some areas, restrained the level of housing turnover and refinancing.

The overall increase in corporate debt in 1967 was slightly less 

than in 1966. Despite the fact that banks had ample funds during 

most of 1967 and were generally more eager to make loans than in 

1966, corporate borrowing from banks expanded by less than in the 

two previous years. The expansion of trade credit was also at a slower 

pace than during the two previous years. What made 1967 so unusual 

from the standpoint of corporate financing was the tremendous volume of bond financing. Net corporate bond financing increased by 

about 50 percent compared with an already extremely high 1966 

level (Chart 4).

CHART 4

CORPORATE AND MUNICIPAL BOND FINANCING

BILLIONS OF DOLLARS BILLIONS OF DOLLARS

1961-65 1966 1967

A V E R A G E

The increase in the volume of corporate bond financing in early

1967 was not surprising. In previous periods when economic activity 

has slackened and monetary policy has eased, corporations have taken 

advantage of lower interest rates in the capital market to replenish 

their liquidity through long-term financing. However, the 1966-1967 

decline in interest rates was extremely short-lived, particularly with respect to corporate bonds. The quick turnaround in bond rates reflected 

expectations that the pace of business activity would accelerate in the

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8 FEDERAL DEPOSIT INSURANCE CORPORATION

second half of the year and the heavy calendar of bond financing that 

was building up.

Between February and December, rates on high and medium-grade 

corporate bonds rose by more than 110 basis points to their highest 

level since 1921. Despite the rising level of interest rates on corporate bonds, the volume of corporate bond financing continued to be 

high throughout the year. Either high rates did not weigh heavily in 

corporate decisions or the need for long-term financing was considered to be very pressing.

Apparently the difficulties experienced by some firms in 1966 with 

respect to obtaining adequate financing persuaded them of the need 

for heavier reliance on long-term financing. The heavy volume of bank 

borrowing in 1965 and 1966 led to relatively high use of credit lines 

by some firms and, as a result, provided little leeway for financing unexpected cash needs. Long-term financing, for some firms, provided a 

means for paying down such lines. Additional needs for long-term 

financing were related to the speed-up in corporate tax payments occurring in 1966 and 1967. This speed-up had the effect of eliminating 

what had amounted to a permanent source of financing aggregating 

about $8 billion for all corporations.

Interest rates. The heavy volume of corporate bond financing put 

substantial pressure on financial markets. Because the principal suppliers of funds to the corporate bond market in recent years have 

been insurance companies and pension funds with relatively fixed inflows of funds, it was necessary to tap other financial resources to 

finance the greatly increased volume of long-term corporate debt. This 

required concessions to the bond market in the form of substantially 

higher interest rates to attract such investors as individuals and mutual savings banks.

During the spring of 1967 bond rates increased while the effect of 

relatively easy monetary policy exerted downward pressure on shortterm interest rates. Thus, for a while there emerged an unusually 

large spread between short-term and long-term interest rates. In the 

second half of 1967 Treasury bill rates moved up sharply, but still remained well below bond rates.

In the mortgage market, the recovery in the inflow of funds to mortgage lenders outdistanced the recovery in housing starts during the 

first half of 1967. As a result, normally sluggish mortgage rates did 

not begin to move up again until well after the turnaround in corporate bond yields, and the rise of mortgage rates in the second half of 

1967 (partly because of interest ceilings and usury laws) was relatively modest. Indeed, interest rates on medium-grade corporate bonds 

moved above the average rate on conventional and insured mortgages 

in the latter part of 1967.

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FINANCIAL DEVELOPMENTS 9

CHART 5

INTEREST RATES

PERCENT PERCENT

The experience in 1967 (Chart 5) testified to the fact that interest 

rate relationships cannot be taken for granted. While a considerable 

overlap exists among the portfolios of different lenders and considerable arbitrage occurs in financial markets, the mix of credit demands 

can importantly affect the relationships among interest rates and result in significant deviation from “ normal” patterns.

COMMERCIAL BANK PERFORMANCE IN 196 7

Deposits. Deposits at insured commercial banks advanced by a 

record $43 billion in 1967— more than 12 percent. A substantial increase in the reserve base of member banks contributed importantly 

to a record $19 billion— 9.8 percent— gain in demand deposits. Sizeable increases were experienced by banks in their IPC, public and 

bank demand deposits. While most banks shared in the increases, 

large banks and banks located in financial centers experienced greaterthan-average growth in demand deposits.

Time deposits rose by more than $24 billion in 1967— approximately double the 1966 advance. Two-thirds of the total gain was 

recorded during the first half of the year. As short-term market rates 

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10 FEDERAL DEPOSIT INSURANCE CORPORATION

cates of deposit, but also because of reduced gains in consumeroriented time deposits.

During 1967 gains occurred in all categories of time deposits. Savings deposits, which had declined in 1966 as a result of competition 

from other savings instruments— including bank time deposits— increased by $4.4 billion, or 4.8 percent. Large-denomination CD’s, despite a decline in the latter part of the year, increased by about $4 billion. Other IPC time deposits, excluding negotiable CD’s, increased 

$12 billion, or about 30 percent.

During 1967 a growing number of commercial banks attempted to 

bid for a larger share of savings dollars through open book accounts. 

Such accounts have enabled commercial banks to offer an instrument 

similar in form and competitive in rate with savings instruments offered by thrift institutions. The 5 percent ceiling applicable on such 

accounts of less than $100,000 was generally the prevailing rate 

on these savings instruments during the second half of 1967. Starting from a relatively low base, time deposit open accounts under 

$100,000 experienced the largest percentage gain of the various time 

deposit categories in 1967.

A number of factors contributed to the favorable performance of 

time and savings deposits at commercial banks in 1967. These included the high personal savings rate, the desire of spending units to 

rebuild their liquidity and the relatively attractive rates offered on 

time deposits compared with short-term money market rates— at least 

during the first half of the year.

During the early months of 1967 the number of banks lowering 

their rates on consumer-oriented time deposits exceeded the number 

of banks raising such rates, but, as market interest rates began to 

climb, the number of rate increases on time deposits rose. By the latter part of 1967 most of the larger banks were offering the 5 percent 

maximum permissible rate on at least one time-deposit instrument of 

less than $100,000. Rates on negotiable CD’s followed roughly the 

same pattern, although they moved more uniformly in line with money 

market rates.

In September Congress extended for one year the interest rate legislation originally enacted in September, 1966, and scheduled to expire 

in September, 1967. The interest rate ceiling remained at 51/2 percent 

for time deposits in denominations of over $100,000 and 5 percent 

for denominations of less than $100,000.

While commercial banks, mutual savings banks, and savings and 

loan associations all competed actively for individual savings in 1967, 

some of the intensity of the savings competition of 1966 was gone. 

The savings pool was growing rapidly, rate competition from the money 

market was less intensive; and there was only limited opportunity

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COMMERCIAL BANK PERFORMANCE IN 1967 11

for rate changes, although there continued to be some experimentation with new or modified instruments. In addition, the most 

rate-sensitive funds posed less of a problem because they had already 

been largely withdrawn from banks and thrift institutions in 1966. 

Both mutual savings banks and savings and loan associations experienced sizeable savings gains— about 8 percent in the case of mutuals 

and about 9 percent in the case of savings and loan associations.

Loans and investments. Loans of insured commercial banks increased by $18 billion in 1967, slightly more than in 1966, but below 

the increase experienced in 1965 and 1964. Bank investments rose 

by $19 billion, the largest annual gain since World War II. As a result, 

bank liquidity as measured by the loan-deposit ratio increased for the 

first time in several years.

In the light of the abundant volume of funds available to banks in 

1967 and the fact that there probably existed a backlog of unsatisfied 

loan demand from 1966, the 8.4 percent loan increase in 1967 was 

modest. The dollar gains in commercial and industrial, real estate, 

and consumer loans approximated the gains in 1966. The percentage 

gain in consumer loans was pulled down by a relatively small gain in 

automobile loans, which resulted from a high level of loan repayments 

and reduced new car sales.

The larger banks had greater-than-average percentage gains in deposits, but less-than-average gains in loans. While the 20 largest banks 

in the country showed a loan increase of 6 percent, all other banks 

showed a gain of almost 10 percent. In part, the performance of the 

largest banks may have reflected the fact that they entered 1967 under 

a somewhat greater pressure to rebuild liquidity than did those banks 

more removed from money centers. At the same time, high rates of 

return on municipal and Federal agency securities probably discouraged larger banks from reaching for loans.

Investments. Banks posted substantial gains in 1967 in Treasury, 

State and local government, and Federal agency securities. Their holdings of Treasury securities, which had declined during the four previous years, increased by $6.3 billion or 11 percent. Bank purchases 

of Treasury securities were largely confined to the short end of the 

market— maturities of three years and under. Bank options were limited somewhat by the fact that Treasury financing was concentrated, 

in all but one instance, in relatively short maturities. While banks 

were concentrating new purchases in the short end of the market during 1967, existing holdings of long and intermediate-term Treasuries 

were, of course, becoming a year shorter in maturity. The result was a 

general shortening in maturities and, combined with the increase in 

the holdings of Treasury securities, a considerable increase in bank liquidity (Chart 6).

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12 FEDERAL DEPOSIT INSURANCE CORPORATION

Banks raised their investments in State and local government 

securities by about $9 billion in 1967 to bring their holdings of such 

securities to approximately $50 billion— more than double their holdings of 5 years earlier (Chart 7). Banks raised their holdings of other 

securities, principally Federal agency securities, by $3.7 billion, or almost 50 percent. A considerable share of this increase resulted from 

bank purchases of participation certificates.

Bank earnings. Operating revenue in 1967 increased approximately 

in line with the rise in bank assets. Operating expenses, however, 

advanced more rapidly and, as a result, net operating earnings increased less than proportionately to the increase in assets. Comparisons of 1967 to 1966, however, provide a somewhat deceptive picture 

of bank performance. They show only a 5.6 percent gain in net operating earnings, but a very substantial 16.3 percent gain in net income 

before taxes and a 17.0 percent increase in after-tax income. Actually, 

net operating earnings after taxes— the figure most used by commercial banks to report their earnings for statement purposes— appear to 

have increased by more than 8.5 percent in 1967— somewhat less 

than the percentage increase in bank assets and operating revenue.

The substantial expansion in bank holdings of tax-exempt securities

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COMMERCIAL BANK PERFORMANCE IN 1967 13

had the effect of restraining the before-tax return on bank earning assets, although it probably raised the taxable-equivalent yield on earning assets. This also tended to depress the level and percentage gain 

in operating revenue and net current operating earnings. The shift to 

tax-exempt income has a much greater relative impact on net current 

operating earnings than on operating revenue. A reduction of one percent in operating revenue, other things equal, would result in about a 

4 percent reduction in net current operating earnings.

Even if the advance in operating revenue is adjusted upward to reflect the effect of the substantial increase in tax-exempt securities, the 

1967 increase in operating revenue would still be less than the increase 

in operating expenses. Salaries and employee benefits advanced by 

about 10.9 percent in 1967. The number of bank employees rose 

about 5.2 percent and the rise in salaries, wages and benefits was 

slightly more. The other major component of bank expenses— interest 

on time and savings deposits— increased 18 percent compared with a 

15 percent advance in time and savings deposits. As a result, interest 

payments on time and savings deposits continued to account for a 

growing share of bank operating expenses.

Larger banks tended to experience greater percentage increases in

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Federal Reserve Bank of St. Louis
14 FEDERAL DEPOSIT INSURANCE CORPORATION

wages and salaries, but smaller relative increases in their interest 

cost on time and savings deposits. For the 50 largest commercial 

banks, the volume of time and savings deposits grew by 14.1 percent 

while interest costs on deposits increased by 13.8 percent. Larger 

banks were able to attract negotiable certificates of deposit at reduced rates in early 1967 and many were already at ceiling rates on 

savings certificates and other consumer-oriented time deposits in

1966. Many smaller banks, on the other hand, had been paying lower 

rates in 1966 and moved closer to the rates offered by larger banks 

which, in many instances, eliminated the competitive gap in 1967. Interest payments on the average outstanding volume of time and 

savings deposits were approximately 4.24 percent in 1967 compared 

with 4.02 percent in 1966.

In 1967 few banks realized substantial gains or losses in security 

transactions and for all insured commercial banks gains and losses 

approximately offset each other. This was in sharp contrast with the

1966 experience when insured commercial banks took security losses 

of $450 million. This year-to-year difference accounts for a considerable part of the large percentage gain in bank net profits between

1966 and 1967. If net security losses realized by commercial banks 

in 1966 were eliminated and 1966 tax liability were adjusted accordingly, 1966 net income would be raised by about $200 million. Use of 

this adjusted figure would produce a year-to-year increase in net income of about 9 percent in 1967.

Changes in bank income and expenses in 1967 were similar to 

those that have been occurring since about 1960. Interest expense on 

time and savings deposits has advanced relative to the growth in bank 

assets. Portfolio shifts and higher interest rates in the most recent 

years have almost raised the ratio of operating revenues to bank assets 

sufficiently to offset increased expenses. Portfolio shifts have not been 

fully reflected in operating revenues, however, for. expanded investment in tax-exempt securities has been reflected in lower tax payments rather than higher operating revenues. If security gains and 

losses and their effect on tax liability are eliminated, the after-tax net 

income per dollar of bank assets shows considerable stability during 

this period.

Net income of insured commercial banks in 1967 of $3,142 million 

represented a return on total capital accounts of about 9.6 per cent 

and a 10 percent return on total equity capital. Commercial banks 

paid dividends of $1,342 million in 1967, an advance of 8.2 percent 

over dividends paid in 1966. This represented a dividend pay-out ratio of 42.7 per cent, slightly less than the pay-out ratio for banks 

during the past several years.

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COMMERCIAL BANK PERFORMANCE IN 1967 15

Retained earnings of insured commercial banks in 1967 amounted 

to $1.8 billion. Total capital accounts increased by $2.3 billion, about 

$300 million of which represented an increase in outstanding capital 

notes and debentures. Because the overall 7.3 percent increase in 

bank capital was less than the percentage gain in bank deposits, the 

ratio of bank capital to deposits declined slightly in 1967.

After charge-offs of $601 million to loan loss reserves, commercial 

banks made net additions to such reserves of approximately $435 million compared to $325 million in 1966. At the end of 1967 insured 

commercial banks had loan loss reserves of about $4.7 billion, approximately 2 percent of total loans and more than 14 percent of total 

capital accounts. On an after-tax basis, net additions to loan loss reserves were equivalent to between 6 and 7 percent of commercial 

bank net income in 1967.

Number of banks. During 1967 the number of insured commercial 

banks and trust companies declined by 24 to 13,517. (Including mutual savings banks the number of insured banks at the end of 1967 

was 13,850.) As a result of a substantial increase in the number of 

bank branches, the number of offices of insured commercial banks 

increased by more than 1,000 and totaled 31,570 at the end of

CHART 8

INSURED COMMERCIAL BANKS

THOUSANDS THOUSANDS

1960 1961 1962 1963 1964 1965 1966 1967

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Federal Reserve Bank of St. Louis
16 FEDERAL DEPOSIT INSURANCE CORPORATION

1967. Ninety-four insured commercial banks began operations in 

1967 and 21 noninsured commercial banks transferred to insured 

status. This was more than offset, however, by a reduction in the number of banks through mergers and bank closings, including four bank 

failures.

Banking structure changes during 1967 were similar to those experienced during 1966— a small reduction in the number of banks and 

a substantial increase in the number of banking offices. The 134 commercial banks absorbed by merger was close to the average number 

absorbed through merger during the past several years. Changes 

since 1960 in the number of banks and banking offices are summarized in Chart 8.

Summary. The favorable performance of commercial banks in 1967 

was reflected in sizeable gains in their deposits, earning assets and 

net income. While expenses continued to rise relative to assets and 

operating revenue, the rise was somewhat less marked than in other 

recent years and was largely offset by an increase in operating revenue. Aided by monetary policy and the behavior of the economy, 

banks were able to reverse the recent trend and to achieve a substantial increase in liquidity in 1967. As a result, the banks were able to 

operate in a more comfortable environment in 1967 compared with

1966.

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Federal Reserve Bank of St. Louis
OPERATIONS

OF THE CORPORATION

PART TWO

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Federal Reserve Bank of St. Louis
19

DISBURSEMENTS TO PROTECT DEPOSITORS

Banks failing in 1967. Disbursements totaling $7.8 million were 

made by the Corporation to protect depositors in four banks which 

failed during the year. Deposits in the four banks amounted to almost 

$11 million and were held by 4 ,7 2 9 depositors. Full recovery was received by 4 ,6 4 5 depositors representing more than 98 percent of the 

total number.

Table 1 gives names and locations of the four banks with dates of 

closing and dates of first payments to the depositors. The four were 

placed in receivership with the Corporation serving as receiver in each 

case.

Following the pattern of failures in recent years, the four banks 

failed largely as a result of managerial weaknesses and illegal practices rather than as a result of an unfavorable economic environment. 

Illegal practices included fraudulent use of unissued stock certificates, fictitious loans and self-serving financial operations by leading 

officers of the banks.

Table 1. INSURED BANKS CLOSED DURING 1967 REQUIRING 

DISBURSEMENTS BY THE FEDERAL DEPOSIT INSURANCE CORPORATION'

Deposit

pay-off

case

number

Name and 

location

Date of 

closing

Number 

of depositors

Amount of 

deposits 

(in thousands)

Date of first 

payment to 

depositors

Depositors 

receiving 

full recovery

Deposits 

paid 

(in thousands) 2

T o ta l1.......................... 4,729 $10,878 4,645 $10,075

280 Bank of Pine Apple, 

Pine Apple, Alabama

January 31,1967 1,265 3,885 February 6, 1967 1,229 3,558

281 Southern Bank of 

St. Petersburg,

St. Petersburg, Florida

February 17, 1967 1,277 2,451 February 21, 1967 1,273 2,396

282 Sacul State Bank, 

Sacul, Texas

June 23, 1967 617 724 June 30, 1967 611 665

283 The Cedar Vale 

National Bank, 

Cedar Vale, Kansas

July 7, 1967 1,570 3,818 July 13, 1967 1,532 3,456

1 Figures adjusted to and as of December 31, 1967.

2 Includes $7,864 thousand paid by FDIC claim agents.

Banks failing, 1934-1967. Since the beginning of Federal deposit 

insurance the Corporation has made disbursements to protect depositors in 4 7 0 banks experiencing financial difficulty. These banks had 

slightly over 1.6 million deposit accounts and total deposits of $ 81 6

million. Data on the extent and method of protection are shown in 

Table 2.

Corporation disbursements and losses, 1934-1967. When the 

Corporation makes disbursements to aid depositors of failing banks, 

it acquires assets, which it liquidates, or the claims of depositors

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Federal Reserve Bank of St. Louis
20 FEDERAL DEPOSIT INSURANCE CORPORATION

whose insured deposits are paid. When an insured bank is closed and 

placed in receivership, the Corporation shares equally with other creditors in the proceeds from the liquidation. At the end of 1967, there 

were 36 failed bank cases containing assets to be liquidated. These 

active cases account for most of the accounts and deposits indicated 

as not yet paid in Table 2.

In its insurance operations through 1967, the Corporation disbursed $430 million. Recoveries, actual and anticipated, through the 

end of 1967 totaled $377 million, leaving an estimated $53 million 

loss, excluding $9 million of interest and allowable return which was 

recovered on the Corporation's advances. Details of Corporation disbursements, recoveries and losses are shown in Table 3.

Deposit insurance participation and coverage. National banks and 

State banks that are members of the Federal Reserve System are automatically covered by Federal deposit insurance. State banks that are 

not members of the Federal Reserve System become insured upon apTable 2. PROTECTION OF DEPOSITORS OF INSURED BANKS REQUIRING

DISBURSEMENTS BY THE FEDERAL DEPOSIT INSURANCE CORPORATION,

1934-1967

Ite m

A ll c a s e s 

(470 b a n k s )

N u m b e r

o r

am ount

P e rc e n t

D e p o s it p a y o ff 

c a s e s 

(280 b a n k s )

N u m b e r

o r

am ount

P e rc e n t

D e p o s it 

a s s u m p tio n c a s e s 

(190 b a n k s )

N u m b e r

o r

am ount

P e rc e n t

Num ber of depositors or accounts— t o t a l1.

Full recovery received or a v a ila b le ........

From FDIC2.................................................

From offset4.................................................

From security or preference5...................

From asset liquidation6.............................

Full recovery not received as of Decem ­

ber 31, 1967.........................................

Terminated cases........................................

Active cases7..............................................

Am ount of deposits (in thousands)— total

Paid or made a v a ila b le ..................................

By FDIC2.....................................................

By offset9....................................................

By security or preference10......................

By asset liquidation11................................

Not paid as of Decem ber 31, 1967..........

Terminated cases.......................................

Active cases12.............................................

1,632,606

1,627,973

1,582,337

39,824

2,957

2,854

4,633

3,298

1,335

$816,245

790,189

734,147

12,661

26,316

17,065

26,055

1,858

24,197

100.0%

99.7

96.9

2.4

.2

.2

.3

.2

.1

100.0%

96.8

89.9 

1.6

3.2 

2.1

3.2

.2

3.0

502,007

497,374

451,73831

39,824

2,957

2,854

4,633

3,298

1,335

$245,997

219,941

163,8998 

12,661 

26.316 

17,065

26,055

1,858

24,197

100.0%

99.1

90.0

7.9

.6

.6

.9

.6

.3

100.0%

89.4

66.6

5.2

10.7

6.9

10.6

.8

9.8

1.130.599

1.130.599

1.130.599

$570,248

570.248

570.248

100.0%

100.0

100.0

100.0%,

100.0

100.0

1 Number of depositors in deposit payoff cases; number of accounts in deposit assumption cases.

2 Through direct payment to depositors in deposit payoff cases; through assumption of deposits by other 

insured banks, facilitated by FDIC disbursements of $212,888 thousand, in deposit assumption cases.

3 Includes 58,483 depositors in terminated cases who failed to claim their insured deposits (see note 8).

4 Includes only depositors with claims offset in full; most of these would have been fully protected by insurance in 

the absence of offsets.

5 Excludes depositors paid in part by FDIC whose deposit balances were less than the insurance maximum.

6 The insured portions of these depositor claims were paid by the Corporation.

7 Full recovery available to 8,098 of these depositors.

8 Includes $209 thousand unclaimed insured deposits in terminated cases (see note 3).

9 includes all amounts paid by offset.

10 Includes all secured and preferred claims paid from asset liquidation; excludes secured and preferred claims paid 

by the Corporation.

11 Includes unclaimed deposits paid to authorized public custodians.

12 Includes $10,250 thousand representing deposits available but unclaimed, expected through offset, or expected 

from proceeds of liquidations; and $168 thousand representing up to the $10,000 prevailing insurance maximum of each 

of certain certificates of deposit whose insured status is in litigation.

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DISBURSEMENTS TO PROTECT DEPOSITORS 21

Table 3. ANALYSIS OF DISBURSEMENTS, RECOVERIES AND LOSSES 

IN DEPOSIT INSURANCE TRANSACTIONS,

JANUARY 1, 1934 - DECEMBER 31, 1967 

(In thousands)

Type of disbursement Disbursements Recoveries1 Losses

All disbursem ents—total........................................................

Principal disbursem ents in deposit assumption and

payoff cases—total.........................................................

Loans and assets purchased (190 deposit assumption cases):

To December 31, 1967.........................................................................

Estimated additional............................................................................

$430,087

376,841

212,887

$377,174

327,012

187,237

6,346

121,794

11,635

47,725

32,893

14,832

(2)

(2)

2,437

2,422

15

(2)

$52,913

49,829

19,304

Deposits paid (280 deposit payoff cases):

To December 31, 1967.........................................................................

Estimated additional............................................................................

163,147

807

51,130

32,893

14,832

399

3,006

2,116

1,772

30,525

Advances and expenses in deposit assumption and

payoff cases—total.........................................................

Expenses in liquidating assets in 190 deposit assumption cases: 

Advances to protect assets..................................................................

3,405

Liquidation expenses...........................................................................

Insurance expenses..............................................................................

Field payoff and other insurance expenses in 280 deposit payoff cases

Other disbursem ents—total...............................................

Assets purchased to facilitate termination of liquidations:

To December 31, 1967.........................................................................

Estimated additional ............................................

399

3,006

(321)

(665)

Unallocated insurance expenses............................................................ 344 344

1 Excludes amounts returned to closed bank equity holders and $9.3 million of interest and allowable return received 

by F.D.I.C.

2 Not recoverable.

plication to and approval by the Corporation’s Board of Directors. The 

numbers of banks and branches in the United States, classified by insurance status, are shown in Table 101.

The number of banks not participating in Federal deposit insurance 

continued to decline in 1967, and totaled 394 at the end of the year. 

One hundred and seventy of these were mutual savings banks, virtually 

all of which were in Massachusetts and insured by their own State’s 

insurance system. Commercial banks and mutual savings banks 

grouped according to insured status and class, and by States, are 

shown in Table 103.

The amount of insurance afforded each depositor in an insured 

bank is limited by statute. Initially, this limitation was $2,500; in 

mid-1934 it was raised to $5,000, in 1950 to $10,000, and on October 16, 1966, to the present maximum of $15,000. Within an insured 

bank, a depositor is currently protected up to $15,000 on the aggregate of all deposits maintained in the same right and capacity.

The number of accounts fully protected within the insurance 

limitation has always been high. On June 30, 1966, the date of the 

latest full-scale survey of deposits undertaken by the Corporation, 97 

per cent of the 193 million accounts in insured banks were fully protected under the applicable $10,000 maximum. The subsequent increase to the $15,000 maximum is estimated to have raised the proportion of accounts fully protected to nearly 99 percent of all 

accounts.

The roughly one percent of all accounts that exceed the insurance

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Federal Reserve Bank of St. Louis
22 FEDERAL DEPOSIT INSURANCE CORPORATION

limitation typically do so by a substantial amount. Consequently, 

the proportion of total deposits that is insured has always been substantially less than the proportion of accounts fully protected. The June 

30, 1966 survey showed that 54 percent of the dollar amount of deposits in insured banks was within the $10,000 limitation. As of December 30, 1967, insurance coverage within the $15,000 limitation is 

estimated to have increased to about 58.2 percent of the $448.7 

billion in total deposits in all insured banks on that date.

SUPERVISORY ACTIVITIES

It has been generally accepted that the activities of banks uniquely 

affect the public interest, and, therefore, are properly subject to governmental supervision. At present, the majority of banks in the United 

States are chartered and supervised by the banking agencies of the 

individual States. Under the existing system of Federal supervision, 

national banks are chartered and supervised by the Comptroller of the 

Currency. Insured State banks that are members of the Federal Reserve System are supervised by the Federal Reserve authorities in addition to the States. The authority and responsibilities of the FDIC 

that are related to deposit insurance extend to all insured banks. To 

avoid duplication of effort among the Federal supervisory agencies the 

principal examination activities of the Corporation apply to insured 

State banks that are not members of the Federal Reserve System. 

These banks are examined regularly by the Corporation, and must 

make various reports and comply with rules and regulations of the 

Corporation. Various activities by the banks, such as the establishment of branches or changing their location, or acquiring other banks 

through merger, require the Corporation’s approval.

Applications for deposit insurance. With respect to applications of 

banks which will be covered by Federal deposit insurance, the appropriate Federal agency is required by statute to consider several 

factors: (1) the financial history and condition of the bank, (2) the adequacy of its capital structure, (3) its future earnings prospects, (4) 

the general character of its management, (5) the convenience and 

needs of the community to be served by the bank, and (6) the consistency of its corporate powers with the purposes of the Act. Banks chartered by the States and not members of the Federal Reserve System 

must apply to and be approved by the Corporation to obtain deposit 

insurance. Banks beginning operations either as national banks or 

State member banks become insured upon certification by the appropriate agency that the above six factors have been given 

consideration.

During 1967, the Corporation approved 95 banks for admission to 

deposit insurance, 76 of which were new banks and 19 of which were

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Federal Reserve Bank of St. Louis
SUPERVISORY ACTIVITIES 23

existing banks. Of the new banks acquiring insured status, eight were 

in Illinois, six in Louisiana, and five each in New Jersey and Virginia. 

The remainder were divided among 27 States.

Applications for branches. The six factors enumerated above must 

also be considered before applications for new branches are approved 

by Federal supervisory agencies. Most of the increase in banking offices in 1967 and in recent years has resulted from the establishment 

of new branches. The extent of branching, however, as well as its geographical pattern, is influenced by differing State laws and regulations.

Applications for 380 new branches were approved by the 

Corporation in 1967, about 4 percent fewer than the number approved in 1966. A total of 35 new branches were established in connection with mergers approved by the Corporation, while 21 branches 

of absorbed banks were continued in operation under these reorganizations.

Mergers. The responsibilities of the Federal supervisory agencies 

were broadened by the Bank Merger Act of 1960 requiring the consent of one of the Federal supervisory agencies before an insured 

bank may engage in a merger. Banks must obtain the Corporation’s 

approval for any merger, consolidation, acquisition of assets or assumption of liabilities in which the resulting bank is a nonmember insured bank, outside the District of Columbia, or for a merger involving 

any insured bank and a noninsured institution.

An amendment to the Act in 1966 sought to establish a uniform set 

of standards to be taken into account by the bank supervisory 

authorities, Department of Justice and the courts with respect to their 

actions on mergers. Before approving an application the supervisory 

agencies are required to consider several specific factors, including 

the effect of the transaction on competition, financial and managerial 

resources, future prospects of the existing and proposed institutions, 

and the convenience and needs of the community to be served. A 

merger which has anti-competitive effects may be approved if this factor is clearly outweighed from the standpoint of the public interest by 

the probable effect with respect to the convenience and needs of the 

community.

Activities of the supervisory agencies in recent years reflect their 

increased responsibilities under the 1960 legislation. In the eight 

year period, mergers approved by the Corporation have involved 522 

banks. Two hundred and seventy-five of these were absorbed banks, 

with assets of approximately $4.4 billion. One hundred fifty-seven of 

these absorbed banks were nonmember insured banks, 96 were member banks, and 22 were noninsured institutions.

The volume of bank merger activity continued to be large in 1967,

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Federal Reserve Bank of St. Louis
24 FEDERAL DEPOSIT INSURANCE CORPORATION

as indicated in Table 4 showing the approvals of the three Federal 

agencies during the year. A total of 238 banks were involved, including 116 absorbing banks and 122 absorbed banks. The absorbed 

banks had combined resources of over $2.8 billion, and operated 

260 offices prior to the merger transactions.

Other applications. The Corporation’s approval is required before 

nonmember insured banks may undertake certain other activities, 

including any change in the location of the main office or branch, 

retirement or adjustment of capital, or changes in a bank’s corporate 

powers.

Bank examinations. In general the examination process affords the

Table 4. MERGERS, CONSOLIDATIONS, ACQUISITIONS OF ASSETS 

AND ASSUMPTIONS OF LIABILITIES APPROVED UNDER SECTION 18(c)

OF THE FEDERAL DEPOSIT INSURANCE ACT DURING 1967

Offices operated2

Banks

Number 

of banks1

Resources 

(in thousands)2

Prior to 

transaction

After

transaction

ALL CASES

Banks involved............................................. 2383 $24,084,092 2,048 2,041

Absorbing banks......................................................... 116 21,194,715 1,788 2,041

Absorbed banks.......................................................... 1223 2,889,377

1,501,325

460,252

915,865

11,935

260

National.................................................................... 55 116

State banks members FRS................................... 12 32

Not members FRS.................................................. 53 109

Noninsured institu tions.................................................. 2 3

CASES WITH RESULTING BANK

A NATIONAL BANK

Banks involved............................................. 138 $15,076,590 1,212 1,210

Absorbing banks......................................................... 67 12,739,195 1,040 1,210

Absorbed banks.................... .......................... 71 2,337,395

1,359,494

406,200

172

National.................................................................... 37 84

State banks members FRS................................... 7 24

Not members FRS.................................................. 27 571,701 64

Noninsured institutions.........................................

CASES WITH RESULTING BANK A 

STATE BANK MEMBER OF THE 

FEDERAL RESERVE SYSTEM

Banks involved............................................. 26 $ 5,130,400 364 363

Absorbing banks......................................................... 13 4,991,100 336 363

Absorbed banks.......................................................... 13 139,300

52.800 

18,700

67.800

28

National.................................................................... 7 13

State banks members FRS................................... 2 2

Not members FRS.................................................. 4 13

Noninsured institutions..........................................

CASES WITH RESULTING BANK NOT 

A MEMBER OF THE 

FEDERAL RESERVE SYSTEM4

Banks involved............................................. 74 $ 3,877,102 472 468

Absorbing banks......................................................... 36 3,464,420 412 468

Absorbed banks.......................................................... 383 412,6825 

89,031 

35,352 

276,364 

11,935

605

National.................................................................... 11 19

State banks members FRS ........................ 3 6

Not members FRS.................................................. 22 32

Noninsured institutions......................................... 23 3

1 The number of absorbing banks is smaller than the number of cases, because a few banks participated in more than 

one case.

2 Where an absorbing bank engaged in more than one transaction, the resources included are those of the bank before 

the latest transaction, and the number of offices before the first and after the latest transaction.

3 Includes two savings and loan associations.

4 Includes one case approved by the Corporation of anabsorption of a noninsured institution by a member bank.

5 In one case a branch of a national bank was absorbed,and in another a branch of a State member bank was absorbed; 

resources and offices of branches are included in this table.

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SUPERVISORY ACTIVITIES 25

principal means of contaet between the Corporation and the banks under its supervisory authority. Under the Federal Deposit Insurance 

Act, the Corporation may examine any insured bank for insurance 

purposes; however, in the case of national banks and State member 

banks, a review of the examination reports of the other Federal agencies has been satisfactory for the Corporation’s needs.

It is the Corporation's policy to examine banks at least annually— 

and more often if necessary— in order to be regularly informed 

of each bank's financial condition, and to be alerted to any 

conditions which may require correction. In over one-half of the 

States, the Corporation's examinations are usually conducted jointly 

or concurrently with the State authorities, a practice which helps to 

minimize the burden of examination activity and furthers the coordination of supervisory activities among the various agencies.

Banks examined by the Corporation and the State authorities comprise slightly over one-half of all banks in the country, but since most 

of these banks fall into the small-to-medium size category they account for only about one-fourth of bank assets. Approximately onethird of the banks are examined by the Comptroller of the Currency, 

about nine percent by the Federal Reserve Banks and the States, and 

the remaining three percent by the State authorities. Table 104 provides data on the number and size distribution of banks by 

supervisory status.

During 1967 the Corporation examined 7,148 banks including 129 

re-examinations. The number of examinations and investigations conducted by the Corporation in 1966 and 1967 are listed in Table 5.

Realignment of FDIC districts. During 1967 the Corporation made 

several changes in the distribution of States among FDIC Districts, at

Tables. BANK EXAMINATION ACTIVITIES OF 

THE FEDERAL DEPOSIT INSURANCE CORPORATION 

IN 1966 AND 1967

Activity

Number

1967 1966

Field examinations and investigations—total................................................ 13,577 13,663

Examinations of main offices—total....................................................... 7,148 6,980

Regular examinations of insured banks not members of Federal Reserve System... 6,962 6,815

Re-examinations; or other than regular examinations................................................... 129 144

Entrance examinations of operating noninsured banks.................................................. 44 21

Special examinations .................................................................................................... 13

Examinations of departments and b ranches...................................... 4,662 4,832

Examinations of trust departments................................................................................... 1,092 1,114

Examinations of branches................................................................................. ................. 3,570 3,718

Investigations.................................................................................................. 1,767 1,851

New bank investigations..................................................................................................... 165 169

S ta te b a n k s m e m b e rs o f Federal Reserve System .......................... 14 14

Banks not members of Federal Reserve System ............................. 151 155

New branch investigations.................................................................................................. 412 462

Mergers and consolidations................................................................................................ 146 160

Miscellaneous investigations............................................................................................ .. 1,044 1,060

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26 FEDERAL DEPOSIT INSURANCE CORPORATION

the same time increasing the number of Districts from 12 to 14. The 

restructuring of Districts, based upon an extensive study by the Division of Examination, was designed to achieve a more balanced workload among the Corporation’s field offices and to contribute to the 

efficiency of its various field operations.

The newly created Districts were: Philadelphia, comprising the 

States of Pennsylvania and Delaware; and Memphis, consisting of 

Tennessee, Mississippi, Arkansas, and Louisiana. Other changes were 

the transfer of Arizona to the San Francisco District office, Colorado 

and Oklahoma to Dallas, Wyoming to Minneapolis, Kansas to St. 

Louis, Iowa to Kansas City, Indiana to Chicago, and West Virginia and 

Kentucky to Columbus. The new alignment of States within Districts, 

shown on page vi, became fully operational on July 1, 1967.

Citations contemplating termination of insurance. If an examiner’s 

report discloses that an insured bank is engaging in a violation of 

banking regulations or laws, or other unsound practices, correction is 

first sought through the usual supervisory action. An Act effective on 

October 16, 1966, authorizes the Corporation, when corrective action 

is not obtainable by the State supervisory authority, to issue cease 

and desist orders directed to specific violations or practices. The Corporation may suspend or remove personnel in situations where personal dishonesty is involved.

When unsound practices or violations of law or regulations persist, 

the Corporation is authorized under Section 8(a) of the Federal Deposit Insurance Act to commence proceedings which may result in 

termination of the deposit insurance of the bank. The offending bank 

is given formal notification and a time limitation is specified for the 

corrective action, with due notification given also to the State supervisory authority. If this step fails to bring compliance, the bank is given 

an opportunity to present its case at an administrative hearing before

Table 6. ACTIONS TO TERMINATE INSURED STATUS OF BANKS 

CHARGED WITH UNSAFE OR UNSOUND BANKING PRACTICES 

OR VIOLATIONS OF LAW OR REGULATIONS, 1936-1967

Disposition or status

Started 

during 1967

Total banks against which action was taken.

Cases clo sed......................................................................................................

Corrections made....................................................................................................................

Banks absorbed or succeeded by other banks..................................................................

With financial aid of the Corporation ........................................................

Without financial aid of the Corporation ...................................................

Banks suspended prior to setting date of termination of insured status by Corporation.

I nsured status terminated, or date for such termination set by Corporation, for failure

to make corrections........................................................................................................

Banks suspended prior to or on date of termination

of insured status ...............................................................................................

Banks continued in operation 2........................................................................

1 No action to terminate the insured status of any bank was taken before 1936. In 5 cases where initial action was 

replaced by action based upon additional charges, only the latter action is included.

2 One of these suspended 4 months after its insured status was terminated.

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SUPERVISORY ACTIVITIES 27

insurance may be terminated. In the event of termination of insurance, each depositor continues to be insured for two years with respect to insured funds on deposit at the time of termination.

Table 6 shows that action was taken against 195 banks between 

1936 and 1967, and that all cases were closed at the end of 1967. In 

most cases the required corrections were made, or the cases were 

closed because the bank suspended operations or was absorbed by 

another bank.

There were no cases begun during 1967. Two cases which were 

open at the end of 1966 were closed when corrections were effected.

Regulation of bank securities. In 1964, Public Law 88-467 extended the provisions of the Securities Exchange Act of 1934 to cover 

securities traded in the over-the-counter market. Responsibility for administering the Act with respect to insured banks was given to the 

Federal bank regulatory agencies. Originally applicable to those corporations having 750 or more shareholders and over $1 million in assets, the minimum shareholder requirement was reduced to 500, effective July 1, 1966.

As a result of the lower shareholder requirement, the Corporation, 

during 1967, received registration statements from 89 insured State 

nonmember banks to bring the year-end total to 169. The latter figure 

reflects the withdrawal from registration of two banks through merger.

In addition to the registration statements filed by banks, the Corporation also receives periodic and current reports required by the Securities Exchange Act, and in addition, regulates proxy solicitation for 

annual and special meetings of shareholders of the banks. Another 

section of the Act requires the filing of beneficial ownership reports 

by every director, officer and large shareholder of a registered bank. 

As of the end of the year, 4,200 such reports had been received.

Changes in bank ownership and loans secured by bank stock. Public Law 88-593 requires a report to the appropriate Federal banking 

agency whenever a change occurs in the outstanding voting stock of 

any insured bank which would result in a change in control of the 

bank. When such a change does occur, the bank involved must report 

promptly any changes or replacement of its chief executive officer or 

any director occurring in the next twelve-month period. A supplementary provision requires a report whenever an insured bank makes a 

loan secured by 25 percent or more of the outstanding voting stock of 

an insured bank.

During 1967 there were over 270 changes in control involving insured nonmember banks reported to the Corporation. In those few 

cases where new ownership was not already known or could not be 

checked readily, an immediate investigation was made, and the bank 

involved was accorded special supervisory attention until the effect of

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28 FEDERAL DEPOSIT INSURANCE CORPORATION

the change was determined and the sound operation of the bank assured.

Other reports from banks. The Corporation obtains statistical and 

other information from banks through regular calls for reports of condition and through special data requests. Every insured bank reports 

its financial condition four times each year to one of the Federal supervisory agencies; nonmember insured banks report directly to the 

Corporation. Income and dividend statements are obtained from 

banks once each year. In 1947 the Corporation was given responsibility for collection and publication of all-bank statistics under an 

agreement arranged by the Bureau of the Budget with the Federal 

banking agencies. Statistics covering assets and liabilities of all banks 

and income and dividend statements of insured banks are included in 

Part IV of this report.

In connection with its collection and tabulation of data from the 

June 30, 1967 Report of Condition, the Corporation initiated a policy 

of providing individual banks with data comparing their asset distribution with that of other banks within their State. Work was initiated in

1967 to enable the Corporation to distribute comparative banking statistics to all insured commercial banks based on the December, 1967 

Report of Condition and the 1967 Income and Dividend Report. Individual bank figures were contrasted with comparable figures for all 

banks in the same State and in the same local area where branching 

regulations make the latter data meaningful.

During 1967 the Corporation conducted three surveys of time and 

savings deposits of insured nonmember banks. These surveys were 

designed to obtain information on savings flows and on interest rates 

offered on various savings instruments by individual institutions.

The Corporation made available early in 1967, in a series of 15 

booklets, the results of its June, 1966 Survey of Deposits. These surveys are conducted every two years to inform the Corporation of the 

extent of insurance coverage and its insurance liability under the Federal Deposit Insurance Act. The surveys also provide detailed information on the structure of bank deposits. The 1966 survey obtained, for 

the first time, data for noninsured banks and for individual offices of 

all banks. The data were classified by geographic area, size of bank, 

and type of account, providing a kind and degree of detail not previously available.

Conferences with supervisors of State banks. Conferences with 

State bank supervisory officials were held in April and October of

1967, continuing a series of such meetings initiated in 1964 to provide State banking department and Corporation officials an opportunity to review banking and bank supervisory developments. The April 

meeting was attended by the supervisors and staff aides of 13 States 

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SUPERVISORY ACTIVITIES 29

tendance at the October meeting were state banking department 

officials of 14 of the 15 States in the Districts of Columbus, Memphis, 

New York, Philadelphia and St. Louis.

FEDERAL LEGISLATION

Regulation of interest rates. The most significant Federal banking 

legislation enacted in 1967 was Public Law 90-87, approved September 21, 1967 (81 Stat. 226), which extended for one year the temporary legislation (80 Stat. 823) enacted in 1966 to authorize more flexible regulation by the Board of Governors of the Federal Reserve 

System and the Federal Deposit Insurance Corporation of maximum 

rates of interest payable by insured banks on deposits and to give to 

the Federal Home Loan Bank Board authority for the first time to regulate rates payable by insured savings and loan associations. The 

legislation which was extended also authorizes the Board of Governors 

of the Federal Reserve System to increase reserve requirements on 

time and savings deposits to a maximum of 10 percent and authorizes 

Federal Reserve open-market operations in obligations of agencies of 

the United States Government. This legislation originally was enacted 

on September 21, 1966 and was to expire at the end of one year commencing on that date.

Loans to executive officers. Section 22(g) of the Federal Reserve 

Act was amended by Public Law 90-44, approved July 3, 1967 (81 

Stat. 109), to liberalize the restrictions on loans by member banks to 

their executive officers. Under this amendment, a member bank may 

now make (1) a loan not exceeding $30,000 to any executive officer if 

it is secured by a first lien on the officer’s home; (2) extensions of 

credit to any executive officer not exceeding the aggregate amount of 

$10,000 to finance the education of the officer's children, and (3) 

other extensions of credit to any executive officer not exceeding the 

aggregate amount of $5,000. The terms of any such loan cannot be 

more favorable than those afforded to other borrowers and the officer 

receiving the loan is required to submit a detailed current financial 

statement.

Bank participation in gambling activities. Public Law 90-203, to 

prohibit insured banks and savings and loan associations from fostering or participating in certain gambling activities, was approved by 

the President on December 15, 1967, to take effect on April 1, 1968 

(81 Stat. 608). This legislation prohibits insured banks and savings 

and loan associations from selling or otherwise dealing in lottery tickets, from advertising lotteries, and from advertising or publicizing the 

existence or identity of any participant or winner in a lottery. However, it does not prohibit such institutions from accepting deposits, 

cashing checks, or performing other lawful banking services for a

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30 FEDERAL DEPOSIT INSURANCE CORPORATION

State operating a lottery or an officer or employee of that State who is 

charged with the administration of the lottery. Administrative enforcement of this law is the responsibility of the Federal agency having 

primary supervisory authority with respect to the financial institution 

involved. Criminal penalties also are prescribed.

Purchase of small business investment company stock. Among numerous amendments to the Small Business Investment Company Act 

of 1958 contained in Public Law 90-104, approved October 11, 1967 

(81 Stat. 268), was an amendment to section 302(b) of that Act (15 

U.S.C. 682(b)) relating to the purchase of stock of small business investment companies by banks. Under section 302(b), the stock of 

such companies had been eligible for purchase by national banks, and 

by insured State banks to the extent permitted by State law, except 

that a bank was not permitted to hold the stock in an amount aggregating more than two percent of the bank’s capital and surplus. The 

amendment increased the amount of stock of small business investment companies which may be held by a bank to five percent of the 

bank’s capital and surplus, but prescribed a new limitation under 

which a bank may not acquire such stock if, after making the acquisition, it will hold fifty percent or more of any class of equity securities 

of the company having actual or potential voting rights.

Anti-trust exemptions. On August 9, 1967, the President approved 

Public Law 90-62 (81 Stat. 165) which extended until June 30, 1969, 

the temporary legislation enacted in 1965 (79 Stat. 674) to provide 

standby authority to exempt from the anti-trust laws voluntary agreements and programs formulated by banks and other lending 

institutions to curtail the flow of funds to foreign countries in order to 

improve the balance-of-payments position of the United States.

RULES AND REGULATIONS OF THE CORPORATION

Deposit insurance coverage. The Corporation issued new regulations, effective September 1, 1967, to define and clarify the insurance 

coverage afforded deposits in insured banks. The basic purpose of 

these regulations is to carry out the intent of Congress in providing 

limited insurance coverage for each depositor, with a maximum now 

of $15,000. The regulations (which are included in revised Part 330 of 

the Corporation’s regulations) interpret the Federal Deposit Insurance 

Act to limit various devices which had been used to increase the insurance coverage beyond that meant to be provided by law.

In defining the term “ insured deposit” , section 3(m) of the Federal 

Deposit Insurance Act speaks of deposits “ maintained in the same capacity and the same right.” An amendment to this section enacted on 

October 16, 1966, authorized the Corporation to issue regulations to 

clarify and define the extent of the insurance coverage, and the new

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RULES AND REGULATIONS OF THE CORPORATION 31

regulations were issued pursuant to that authority. Similar regulations 

applicable to shareholders in institutions insured by the Federal Savings and Loan Insurance Corporation were adopted concurrently by 

the Federal Home Loan Bank Board. In general, the regulations of 

both agencies provide for parallel treatment of insurance on various 

types of accounts.

Specifically, the regulations set forth certain general principles regarding record-keeping requirements and the valuation of trust interests which provide a basis for determining the amount of insurance 

available to deposits held by depositors in the same or in different 

rights or capacities. As to each right or capacity, the regulations state 

the various ownership interests and the amount of insurance applicable thereto. Single ownership accounts, including those held by an individual or someone acting for him, testamentary accounts, accounts 

owned and held by executors or administrators, corporations, partnerships and unincorporated associations, public unit accounts, jointly 

owned accounts and trust accounts are defined and the amount of insurance coverage available to each such category of ownership is 

specified.

Advertisement of membership. Part 328 of the Corporation’s regulations relating to advertising by insured banks was amended effective 

August 1, 1967, to include the new official sign and to restate the requirements with regard to its display and the use of the official 

advertising statement. A new official sign was adopted by the Corporation for use by insured banks in view of the increase in deposit insurance coverage from $10,000 to $15,000 for each depositor. As was 

formerly the case, the official sign must be displayed at each station 

or window where deposits are received. The use of a substitute sign, 

in lieu of the official sign, is not permitted.

The mandatory requirements with regard to the official advertising 

statement— “ Member of the Federal Deposit Insurance Corporation" 

— were relaxed to permit, at an insured bank’s option, the use of the 

short title, “ Member FDIC,” or a reproduction of the official sign. Promotional items which are of the type or character making it impractical to include the official statement are included in advertisements 

which are exempted from the requirements as to the official advertising statement.

Published and unpublished records and information. For the

purpose of complying with section 3 of the Administrative Procedure 

Act, as amended by the so-called “ Freedom of Information Act," 

which became effective July 4, 1967, the Corporation, effective on 

that date, revised Part 309 of its regulations, which contains provisions relating to the availability of Corporation records and information to the public. In the same connection, sections 301.1, 303.10,

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32 FEDERAL DEPOSIT INSURANCE CORPORATION

305.1, 307.3, and 334.4 of the Corporation's regulations were 

amended in minor respects and the Corporation published a revised 

“ Description of Central and Field Organization" in the Federal Register on July 4, 1967.

Rules of practice and procedures. Effective August 1, 1967, Part 

308 of the Corporation’s regulations was revised in the light of 

amendments to section 8 of the Federal Deposit Insurance Act contained in the Financial Institutions Supervisory Act of 1966. Subpart A 

of the revised Part 308 prescribes rules of practice and procedure 

applicable to all hearings held pursuant to the provisions of section 8 

pertaining to (1) involuntary termination of the insured status of any 

bank, (2) the issuance of cease-and-desist orders against any insured 

State nonmember bank, and (3) the issuance of orders removing or 

suspending from office or prohibiting from further participation in the 

conduct of the bank’s affairs, any director or officer of an insured 

State nonmember bank or any other person participating in the conduct of the affairs of such a bank. Subparts B, C, and D prescribe 

rules and procedures applicable to each of the three classes of proceedings.

Securities of insured State nonmember banks. Part 335 of the Corporation's regulations, which relates to securities of insured State 

nonmember banks that are subject to the registration requirements of 

section 12(b) or 12(g) of the Securities Exchange Act of 1934, was 

amended effective December 31, 1967. The amendments were designed (a) to clarify the meaning of the term “ beneficial ownership” 

as it relates to the reporting of ownership of bank stock held by family 

members or relatives who reside in the homes of directors, officers 

and principal stockholders and (b) to provide for the inclusion of minority stockholder proposals in banks’ proxy-soliciting material, subject to proper safeguards.

Payment of deposits and interest. As set forth in greater detail in 

the Corporation’s Annual Report for 1966, Parts 327 and 329 of the 

Corporation's regulations were amended effective January 1, 1967, to 

sharpen the technical distinctions between time deposits and savings 

deposits. Part 329 also was amended effective July 1, 1967, to reduce the maximum rate of interest or dividends which insured nonmember mutual savings banks in the State of Alaska may pay on deposits from 5 1 4 to 5 percent per annum. This placed the Alaska 

banks on the same basis generally as similar banks in other States 

which had been subject to a 5 percent maximum rate since October 1, 

1966. An existing “ grandfather clause” permitting the Alaska banks 

to pay a higher rate on certain funds received prior to September 22, 

1966, remained in effect.

Employee responsibilities and conduct. Effective October 7, 1967, 

the Corporation amended Part 336 in numerous respects. Part 336,

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RULES AND REGULATIONS OF THE CORPORATION 33

which was adopted in April, 1966, pursuant to Executive Order 11222, 

prescribes standards of conduct and responsibilities for Corporation 

employees. It also contains requirements concerning the reporting of 

employment and financial interests, and the principal amendments 

were designed to restrict these requirements so as to make them applicable only to employees in positions where the possibility of conflict-of-interest involvement is clear.

Other amendments. Primarily for editorial reasons and to reflect recent statutory changes, there were a number of minor amendments 

made to Parts 303, 304, and 307 and sections 306.2, 325.0, 

327.3(c), and 331.1(d) of the Corporation’s regulations effective July 

19, 1967.

ADMINISTRATION OF THE CORPORATION

Structure and employees. Management of the Corporation is vested 

in a Board of Directors, consisting of three members, two of whom 

are appointed for six-year terms by the President, with the advice and 

consent of the Senate. Of the two directly appointed members, one 

serves as Chairman of the Board. The Comptroller of the Currency 

serves ex-officio as the third member of the Board.

Mr. William W. Sherrill, Director of the Corporation since March 4, 

1966, resigned on April 30, 1967 to accept appointment as a member 

of the Board of Governors of the Federal Reserve System. Mr. K. A. 

Randall, appointed as a Director on March 10, 1964, and elected 

Chairman of the Board on April 25, 1965, continues in that position. 

Mr. William B. Camp, whose appointment as Comptroller of the Currency was confirmed by the Senate on February 1, 1967, continues as 

the ex-officio member.

The organization of the Corporation and officials, Supervising Examiners and District offices are shown on pages iv, v and vi.

Employment of the Corporation on December 31, 1967 was 340 

higher than a year earlier, with the increase consisting of 300 permanent and 40 nonpermanent employees. Additions to the examiner 

force accounted for most of this increase, while other significant increases occurred in the Division of Liquidation and the Division of Research.

An expanded work load contributed to the need for additional personnel. The number of employees located in the Washington office 

and field offices, classified by division, are shown in Table 7.

Of the Corporation’s total employment, about 72 percent are Examination Division personnel, of whom over 92 percent are assigned to 

the field offices. From an average employment of 964 field examiners 

in 1967, 153 left the Corporation during the year, including 34 who 

left to enter military service. This gave rise to a turnover rate for field

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34 FEDERAL DEPOSIT INSURANCE CORPORATION

examiners of 15.9 percent, compared with 16.7 percent in 1966. The 

turnover rate for all permanent employees of the Corporation was 

21.3 percent in 1967 compared with 20.8 percent during the previous 

year.

Table 7. NUMBER OF OFFICERS AND EMPLOYEES 

OF THE FEDERAL DEPOSIT INSURANCE CORPORATION, 

DECEMBER 31, 1966 AND 1967

Unit

Total

Washington

Office

District and other 

field offices

1967 1966 1967 1966 1967 1966

Total................................................................... 1,869* 1,52s1 550 426 1,319 1,103

Directors...................................................................... 2 3 2 3 0 0

Executive Offices......................................................... 49 44 49 44 0 0

Legal Division.............................................................. 38 41 38 41 0 0

Division cf Examination............................................. 1,341 1,111 105 66 1,236 1,045

Division of Liquidation.............................................. 143 112 70 64 73 48

Division of Research.................................................. 132 89 132 89 0 0

Office of Controller..................................................... 164 129 154 119 10 10

1 Includes 108 non-permanent employees in 1967 serving on a short-term appointment or a when actually employed 

basis, and 68 in 1966.

Employee benefits and programs. Corporation personnel are covered by the benefit plans generally available to Federal employees. 

Amendments to the Federal Employees Group Life Insurance Act in

1967 provided additional group life insurance to all personnel, and 

also additional optional coverage for eligible personnel.

FINANCES OF THE CORPORATION

Assets and liabilities. Assets and liabilities of the Corporation on 

December 31, 1967 are shown in Table 8.

Total assets of the Corporation amounted to $3,692 million at the 

end of 1967. U.S. Government securities, valued at amortized cost 

and including accrued interest, accounted for over 99 percent of total 

assets. Most of the remaining assets were various claims and other 

assets acquired in insurance transactions, which were valued at 

slightly under $18 million after reserves for losses. Land and office 

building, less depreciation, were valued at about $8 million. Cash balances were slightly over $4 million.

Total liabilities at the end of 1967 amounted to $206 million of 

which almost $202 million were assessment credits due insured 

banks.

The difference between the total assets and total liabilities, $3,485 

million on December 31, 1967, constituted the deposit insurance 

fund. This fund, consisting of the Corporation’s accumulated net income,, is the basic cash reserve available to the Corporation for the 

protection of depositors. Additional resources are available to the Corporation through its borrowing power. The Corporation is authorized

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FINANCES OF THE CORPORATION 35

by statute to borrow from the U.S. Treasury, and the Secretary of the 

Treasury is authorized and directed to lend up to $3 billion, on such 

terms as they agree upon, when in the judgment of the Corporation’s 

Board of Directors the funds are needed for insurance purposes. The 

Corporation has not had occasion to use this borrowing authority.

Income and expenses in 1967. Income and expenses of the Corporation in 1967 are shown in Table 9. Total income for the year was

Table 8. STATEMENT OF FINANCIAL CONDITION > 

FEDERAL DEPOSIT INSURANCE CORPORATION, 

DECEMBER 31, 1967

ASSETS

Cash.

U. S. Government obligations:

Securities at amortized cost (face value $3,639,437,000; cost $3,615,647,815). 

Accrued interest receivable......................................................................................

Assets acquired in receivership and deposit assumption transactions: >

Special assistance to insured banks..............................................................................

Subrogated claims of depositors against closed insured banks................................

Net insured balances of depositors in closed insured banks, to be subrogated when

paid— see related lia b ility...........................................................................................

Loans to insured banks....................................................................................................

Equity in assets acquired under purchase agreements..............................................

Assets purchased outright...............................................................................................

Less reserves for losses.

M iscellaneous a sse ts ...................................................................

Land and office building, less depreciation on building.

Furniture, fixtures and equipm ent.........................................

Total a sse ts...............................................................

LIABILITIES AND DEPOSIT INSURANCE FUND2

Accounts payable and accrued liabilities......................................

Earnest money, escrow funds and collections held for others.

Accrued annual leave of em ployees................................................

Due insured banks:

Net assessment income credits available July 1, 1968 (See Table 10). 

Other assessment credits available immediately....................................

Net insured balances of depositors in closed insured bankssee related a sse t................................................................................

Total liabilities.

Deposit insurance fund, net income accumulated since inception 3 (See Table 9)..............................................................................

Total liabilities and deposit insurance fund.

$3,624,822,460

36,618,947

$ 10,000,000 

26,360,255

806,789

1,941,517

2,831,695

14,711

$ 41,954,967 

23,959,500

$ 182,354,257 

19,477,625

$ 4,158,907

3,661,441,407

$ 17,995,467

357,787

7,770,107

1

$3,691,723,676

$ 1,729,947 

301,134 

1,567,709

201,831,882

806,789 

$ 206,237,461

$3,485,486,215

$3,691,723,676

1 Reported hereunder is the book value of assets in process of liquidation. An analysis of all assets acquired in receivership and deposit assumption transactions, including those assets which have been liquidated, is furnished in Table 3.

2 Capital stock was retired by payments to the United States Treasury in 1947 and 1948.

3 The deposit insurance fund represents the accumulated net income of the Corporation and is available for insuring 

deposits and payment of expenses. The borrowing authority of $3 billion from the United States Treasury has never been 

used.

NOTE: These statements do not include accountability for the assets and liabilities of the closed insured banks for 

which the Corporation acts as receiver or liquidating agent.

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36 FEDERAL DEPOSIT INSURANCE CORPORATION

Table 9. STATEMENT OF INCOME AND THE DEPOSIT INSURANCE FUND, 

FEDERAL DEPOSIT INSURANCE CORPORATION 

YEAR ENDED DECEMBER 31, 1967

income:

Deposit insurance assessments:

Assessments earned in 1957..........................................................

Less net assessment income credits to insured banks...........................................

$302,953,719

182,348,551 $ 120,605,168

Adjustments of assessments earned in prior years.......... ........ 34,141

Net income from U. S. Government securities........................................................

Other income................................................................................................................

$ 120,639,309

142,302,102

8,240

Total incom e........ .... $ 262,949,651

Expenses and losses:

Administrative and operating expenses:

Salaries and wages....................................................................

Civil Service retirement fund and F.I.C.A. payments..............................

Travel expenses............................................................................................................

Office rentals, communications and other expenses...............................

$ 15,154,233 

959,380 

3,950,527 

4,330,424 $ 24,404,564

Provisions for insurance losses:

Applicable to banks assisted in 1967................................................

Adjustments applicable to banks assisted in prior years......................................

$ 2,035,000 

2,571,000 4,606,000

Non-recoverable insurance expenses incurred to protect depositors— net......... 415,329

Total expenses and lo sses .................................. $ 29,425,893

Net addition to the deposit insurance fund—1967.......................... $ 233,523,758

Deposit insurance fund, January 1, 1967............................................ $3,251,962,457

Deposit insurance fund, December 31, 1987, net income accum ulated since inception (See Table 8 and note 3 of Table 8). . . $3,435,485,215

$263 million, consisting of $121 million from net assessments on deposits of insured banks and $142 million from income on U.S. Government securities.

Assessments earned amounted to almost $303 million in the year. 

As provided by statute, the assessments are levied at an annual rate 

of of one percent of assessable deposits. However, a portion of the 

difference between assessments and the Corporation’s administrative 

and operating expenses and insurance losses each year is returned to 

banks in the form of a credit against future assessments. This share 

was established at 60 percent under the Act of 1950, and raised to 

66% percent in 1961. The total credit in 1967 amounted to about 

$182 million, and had the effect of reducing the net assessment rate 

to about one thirty-second of one percent of assessable deposits. The 

computation of net assessment income in 1967 is shown in Table 10.

The Corporation’s administrative and operating expenses and provision for insurance losses totaled $29 million in 1967. The net addition to the insurance fund for the year was $234 million.

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Table 10. DETERMINATION AND DISTRIBUTION OF NET ASSESSMENT INCOME, 

FEDERAL DEPOSIT INSURANCE CORPORATION,

YEAR ENDED DECEMBER 31, 1967

Determination of net assessm ent income:

Total assessments which became due during the calendar year.......................... $302,953,719

Less:

Administrative and operating expenses................................................................

Net additions to reserve to provide for insurance losses:

Provisions applicable to 1967.............................................................................

Adjustments to provisions for banks assisted in prior years........................

$ 2,035,000 

2,576,000

$ 24,404,564 

4,611,000

Insurance expenses.................... ........ 415,329

Total deductions................................... ........ $ 29,430,893

Net assessm ent income for 1967 $273,522,826

Distribution of net assessm ent income, Decem ber 31, 1967:

Net assessment income for 1967:

33V3% transferred to the deposit insurance fu n d ..............................................

662/ 3% credited to insured banks..........................................................................

$ 91,174,275 

182,348,551

Total. . . $273,522,826

Allocation of net assessm ent income credit among insured

banks, December 31, 1967:

Percentage of total 

assessment 

becoming due in 

1967

Credit for 1967..............................................................................................................

Adjustments of credits for prior years......................................................................

$182,348,551

5,707

60.19023%

.00189

Total...................................... ...... $182,354,258 60.19212%

Table 11. SOURCES AND APPLICATION OF FUNDS, 

FEDERAL DEPOSIT INSURANCE CORPORATION, 

YEAR ENDED DECEMBER 31, 1967

Funds provided by:

Net deposit insurance assessments...................................................................................

Income from U. S. Government securities, less amortized net discounts....................

Maturities and sales of U. S. Government securities......................................................

Collections on assets acquired in receivership and deposit assumption transactions 

Increase in assessment credits due insured banks........................................................

Total funds provided

Funds applied to:

Administrative, operating and insurance expenses, less miscellaneous credits

Acquisition of assets in receivership and deposit assumption transactions___

Purchase of U. S. Government securities................................................................

Net changes in other assets and liabilities.........................................................

$120,639,309

139,609,938

298,083,390

2,516,418

13,703,534

$574,552,589

$ 24,676,449 

8,135,926 

541,271,115 

469,099

Total funds applied $574,552,589

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38 FEDERAL DEPOSIT INSURANCE CORPORATION

The Corporation's financial transactions during 1967 are summarized in Table 11, showing the sources and application of funds. Over 

three-fourths of total funds available were provided through the turnover of the Corporation's portfolio of U.S. Government securities and 

interest received on the securities. Purchases of such securities repreTable 12. INCOME AND EXPENSES, 

FEDERAL DEPOSIT INSURANCE CORPORATION, 

BY YEAR, FROM BEGINNING OF OPERATIONS, 

SEPTEMBER 11, 1933, TO DECEMBER 31, 1967 

ADJUSTED TO DECEMBER 31, 1967

(In millions)

Year

Income

Total

Deposit

insurance

assessments1

Investments

and

other

sources2

Expenses and losses

Total

Deposit 

insurance 

losses and 

expenses

Interest 

on capital 

stock3

Administrative

and

operating

expenses

Net 

income 

added to 

deposit 

insurance 

fund4

1933-67..

1 9 6 7 ....

1 9 6 6 ....

1 9 6 5 ....

1 9 6 4 ....

1 9 6 3 .... 

1962. . . .

1 9 6 1 ....

1 9 6 0 ....

1 9 5 9 ....

1958.. ..

1 9 5 7 .... 

1956. . ..

1955.. .. 

1954. . ..

1 9 5 3 .... 

1952. . ..

1 9 5 1 .... 

1950. . ..

1 9 4 9 ....

1948. . ..

1 9 4 7 ....

1 9 4 6 ....

1 9 4 5 ....

1 9 4 4 ....

1 9 4 3 ....

1 9 4 2 ....

1 9 4 1 ....

1 9 4 0 ....

1 9 3 9 ....

1938.. ..

1937.. ..

1 9 3 6 ....

1935.. .. 

1933-34..

$3,897.0

262.9

241.0

214.6

197.1

181.9

161.1

147.3

144.6

136.5

126.8

117.3

111.9

105.7

99.7

94.2 

88.6

83.5

84.8 

151.1

145.6 

157.5

130.7 

121.0

99.3

86.6

69.1 

62.0

55.9

51.2

47.7

48.2

43.8

20.8

7.0

$2,412.4

120.6

111.7 

102.2

93.0

84.2

76.5

73.4

79.6

78.6

73.8

69.1

68.2

66.1

62.4

60.2

57.3

54.3

54.2

122.7

119.3

114.4 

107.0

93.7

80.9

70.0

56.5

51.4

46.2

40.7

38.3

38.8

35.6

11.5

(4)

$1,484.6

142.3

129.3

112.4 

104.1

97.7

84.6

73.9

65.0

57.9

53.0

48.2

43.7

39.6

37.3

34.0

31.3

29.2

30.6

28.4

26.3

43.1

23.7

27.3

18.4

16.6

12.6

10.6

9.7

10.5

9.4

9.4

8.2

9.3

7.0

$411.5

29.4

25.0

24.4 

18.9

16.4

13.8

14.8

12.5

12.1

11.6

9.7

9.6

9.0

7.8

7.3

7.8

6.6

7.8

6.4

7.0

9.9 

10.0

9.4 

9.3

9.8

10.1

10.1

12.9 

16.4

11.3 

12.2

10.9

11.3 

10.0

$52.8

5.0 

5.2 

6.7 

3.4

2.0

.1

1.6

.1

.2

$80.6

1.4 

.3

.7

.1

.1

.1

.1

.2

.5

.6

3.5

7.2

2.5

3.7

2.6

2.8

.2

.6

4.8

5.8

5.8

5.8

5.8

5.8

5.8

5.8

5.8

5.8

5.8

5.8

5.8 

5.6

$278.1 $3,485.5

24.4 233.5

19.8 216.0

17.7 190.2

15.5 178.2

14.4 165.5

13.7 147.3

13.2 132.5

12.4 132.1

11.9 124.4

11.6 115.2

9.6 107.6

9.1 102.3

8.7 96.7

7.7 91.9

7.2 86.9

7.0 80.8

6.6 76.9

6.4 77.0

6.1 144.7

5.7 138.6

5.0 147.6

4.1 120.7

3.5 111.6

3.4 90.0

3.8 76.8

3.8 59.0

3.7 51.9

3.6 43.0

3.4 34.8

3.0 36.4

2.7 36.0

2.5 32.9

2.7 9.5

4.25 -3 .0

1 For the period from 1950 to 1967, inclusive, figures are net after deducting the portion of net assessment income 

credited to insured banks pursuant to provisions of the Federal Deposit Insurance Act of 1950, as amended. Assessment 

credits to insured banks for these years amounted to $1,970 million.

2 Includes $9.3 million of interest and allowable return received on funds advanced to receivership and deposit 

assumption cases by the Corporation.

3 Paid in 1950 and 1951, but allocated among years to which it applies. Initial capital of $289 million was retired by 

payments to the United States Treasury in 1947 and 1948.

4 Assessments collected from members of the temporary insurance funds which became insured under the permanent 

plan were credited to their accounts at the termination of the temporary funds and were applied toward payment of subsequent assessments becoming due under the permanent insurance fund, resulting in no income to the Corporation from 

assessments during the existence of the temporary insurance funds.

5 Net after deducting the portion of expenses and losses charged to banks withdrawing from the temporary insurance 

funds on June 30, 1934.

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FINANCES OF THE CORPORATION 39

sented by far the largest share of the application of funds.

Income and the deposit insurance fund, 1 9 3 3-1 967. The Corporation’s net income, expenses and additions to the insurance fund since 

1933 are shown in Table 12.

Assessments have provided almost two-thirds of the Corporation’s 

income during the entire period. However, the accumulation of the 

fund over the years and its investment in U.S. Government securities 

have brought the Corporation an increasing volume of earnings from 

this source. By 1961, investment income was providing about one-half 

of total income, and subsequently its proportionate contribution has 

increased. Administrative and operating expenses have climbed gradually, while insurance losses have been moderate. Since its inception, 

the Corporation has been able to retain over 89 percent of its income 

for additions to the deposit insurance fund.

Table 13. INSURED DEPOSITS AND THE DEPOSIT INSURANCE FUND,

1934-1967

Year 

(Dec. 31)

Deposits in 

insured banks 

(in millions)

Percent

of

deposits

insured

Deposit

insurance

fund

(in

millions)

Ratio of deposit 

insurance fund to—

Total

deposits

Insured

Total Insured1 deposits

1967....................... $448,709 $261,149 58.2% $3,485.5 •78% 1.33%

1966...................... 401,096 234,150 58.4 3,252.0 .81 1.39

1965...................... 377,400 209,690 55.6 3,036.3 .80 1.45

1964...................... 348,981 191,787 55.0 2,844.7 •82 1.48

1963....................... 313,3042 177,381 56.6 2,667.9 .85 1.50

1962...................... 297,5483 170,2104 57.24 2,502.0 .84 1.474

1961...................... 281,304 160,3094 57.04 2,353.8 .84 1.474

1960....................... 260,495 149,684 57.5 2,222.2 .85 1.48

1959....................... 247,589 142,131 57.4 2,089.8 .84 1.47

1958....................... 242,445 137,698 56.8 1,965.4 .81 1.43

1957...................... 225,507 127,055 56.3 1,850.5 .82 1.46

1956...................... 219,393 121,008 55.2 1,742.1 .79 1.44

1955...................... 212,226 116,380 54.8 1,639.6 .77 1.41

1954....................... 203,195 110,973 54.6 1,542.7 .76 1.39

1953....................... 193,466 105,610 54.6 1,450.7 .75 1.37

1952....................... 188,142 101,842 54.1 1,363.5 .72 1.34

1951...................... 178,540 96,713 54.2 1,282.2 .72 1.33

1950...................... 167,818 91,359 54.4 1,243.9 .74 1.36

1949...................... 156,786 76,589 48.8 1,203.9 .77 1.57

1948...................... 153,454 75,320 49.1 1,065.9 .69 1.42

1947....................... 154,096 76,254 49.5 1,006.1 .65 1.32

1946....................... 148,458 73,759 49.7 1,058.5 .71 1.44

1945....................... 158,174 67,021 42.4 929.2 .59 1.39

1944....................... 134,662 56,398 41.9 804.3 .60 1.43

1943...................... 111,650 48,440 43.4 703.1 .63 1.45

1942...................... 89,869 32,837 36.5 616.9 .69 1.88

1941....................... 71,209 28,249 39.7 553.5 .78 1.96

1940...................... 65,288 26,638 40.8 496.0 .76 1.86

1939....................... 57,485 24,650 42.9 452.7 .79 1.84

1938...................... 50,791 23,121 45.5 420.5 .83 1.82

1937 ...................... 48,228 22,557 46.8 383.1 .79 1.70

1936...................... 50,281 22,330 44.4 343.4 .68 1.54

1935...................... 45,125 20,158 44.7 306.0 .68 1.52

1934....................... 40,060 18,075 45.1 333.0 .83 1.84

1 Figures estimated by applying to the deposits in the various types of account at the regular call dates the percentages 

insured as determined from special reports secured from insured banks.

2 December 20, 1963.

3 December 28, 1962.

4 Revised.

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40 FEDERAL DEPOSIT INSURANCE CORPORATION

Deposits in banks insured by the Corporation and the amount of 

the deposit insurance fund each year since 1934 are shown in Table 

13. The size of the fund and its immediate availability for the protection of depositors have contributed importantly to the confidence of 

depositors and the stability of the banking system. Following its first 

full year of operation, the Corporation has reported net earnings for 

transfer to the fund each year, and, except for two years, the fund has 

continually grown. The growth of the fund has approximately kept 

pace with the growth in insured deposits and total deposits in insured 

banks, as indicated by the stability of the percentages in the last two 

columns in Table 13.

Audit. A continuous internal audit is provided by the Auditor of the 

Corporation. In addition, the financial transactions of the Corporation 

are audited each year by the General Accounting Office, a practice begun in 1945. Previously, an audit was conducted each year by private 

accounting firms engaged by the Corporation.

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 41

BANKS INVOLVED IN ABSORPTIONS 

APPROVED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION

IN 1967

No.

State Town or City Bank (Table 14)

Arizona Casa Grande Central Arizona Bank 34

Mesa First Security Bank 34

Phoenix The Guaranty Bank 34

Tempe The Saguaro Bank 34

Colorado Littleton Arapahoe Bank 10

Littleton Valley National Bank 10

Connecticut Danielson County Bank and Trust Company 

of Danielson

22

Willimantic Willimantic Trust Company 22

Delaware Wilmington Brandywine-Mechanics Savings 

and Loan Association

23

Wilmington Wilmington Savings Fund Society 23

Indiana Madison North Madison Bank 9

Madison The Madison Bank and Trust 

Company

9

Kansas Ransom The Farmers State Bank 1

Ransom The First State Bank of Ransom 1

Kentucky Dayton Bank of Dayton 15

Centertown The Farmers Bank 25

Fort Thomas The Fort Thomas-Bellevue Bank 15

Hartford The Hartford Bank 25

Maryland Hughesville The Hughesville Savings Bank, 

Incorporated

2

La Plata The Southern Maryland National 

Bank of La Plata

2

Massachusetts Worcester Commerce Bank and Trust 

Company

35

Melrose Melrose Trust Company 37

Shrewsbury Shrewsbury Bank and Trust 

Company

35

Wakefield Wakefield Trust Company 37

Michigan Alto Farmers State Bank of Alto 8

Wayland Wayland State Bank 8

Mississippi Clarksdale Bank of Clarksdale 38

Lambert Bank of Lambert, Lambert, 

Mississippi

38

Missouri Clifton Hill Farmers Savings Bank of Clifton 

Hill

14

Salisbury Salisbury Savings Bank 14

New Jersey Freehold Township The Central Jersey Bank and 

Trust Company

36

Edison The Edison Bank 6

South Plainfield The First National Bank of South 

Plainfield

6

Sea Bright The Sea Bright National Bank 36

New York New York Chemical Bank New York Trust 

Company

26

New York Empire City Savings Bank 16

New York Excelsior Savings Bank 16

North Carolina Mocksville Bank of Davie 32

Wilson Branch Banking & Trust 

Company

32

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42 FEDERAL DEPOSIT INSURANCE CORPORATION

BANKS INVOLVED IN ABSORPTIONS 

APPROVED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION 

IN 1967— (Cont.)

State Town or City Bank

No.

(Table 14)

Ohio

Oregon

Pennsylvania

South Carolina

Tennessee

Washington

Puerto Rico

Smithfield First-Citizens Bank & Trust 11 

Company

Reidsville The Commercial Bank of Reids- 11 

ville, North Carolina

Sylvania The Community Savings and 18 

Loan Association

Delaware The Delaware County Bank 21

Good Hope The Farmers Bank of Good Hope 3

Jeffersonville The Milledgeville Bank 3

Ostrander The Ostrander Banking Company 21

Sylvania The Sylvania Savings Bank 18 

Company

Cave Junction Bank of Illinois Valley 19

Shedd Bank of Shedd 5

Eugene Citizens Bank 7

Albany Citizens Valley Bank 5

Eugene Emerald National Bank 7

Coos Bay Western Bank 19

Reading American Bank and Trust Co. 20 

of Pa.

Hanover Bank of Hanover and Trust 4 

Company

Norristown Continental Bank and Trust 30 

Company

Jenkintown Industrial Valley Bank and 13, 17 

Trust Company

Myerstown Myerstown Bank and Trust 20 

Company

Malvern National Bank of Malvern 13

Union City National Bank of Union City 12

Oil City Northwest Pennsylvania Bank 31 

& Trust Co.

Reading Peoples Trust City Bank 24

Philadelphia Sonsitaly Bank and Trust 30 

Company

Elkins Park The Elkins Park National Bank 17

Boyertown The Farmers National Bank and 24 

Trust Company of Boyertown

Grove City The Grove City National Bank 31

Titusville The Pennsylvania Bank and 12 

Trust Company

Wellsville The Wellsville National Bank 4

Lynchburg The Peoples Bank 27

Florence The Peoples Bank of South 27 

Carolina, Inc.

Humboldt Merchants State Bank 28

Gibson The Bank of Gibson 28

Bellevue Bank of the West 33

Renton Highlands National Bank of 33 

Renton

San German Banco de San German 29

San Juan Banco Popular de Puerto Rico 26, 29

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Table 14. DESCRIPTION OF EACH MERGER, CONSOLIDATION, 

ACQUISITION OF ASSETS OR ASSUMPTION OF LIABILITIES 

APPROVED BY THE CORPORATION DURING 1967

Resources

(in

thousands

of dollars)

Banking Offices

No. 1 In

operation

To be

operated

The First State Bank of Ransom

Ransom, Kansas 

to merge with

1,394 1 1

The Farmers State Bank

Ransom

1,512 1

Su m m ary report by A ttorney G eneral, Novem ber 17, 1966

The proposed merger would combine the only banks doing business within a 

30 mile radius of Ransom, a small town in the rural area of west central Kansas. The two banks are direct competitors to each other and this merger would 

eliminate that competition, the only competition which now exists in that area 

for any type of banking service.

B a sis for Corporation approval, Ja n u a ry 5, 1967

The proposal would merge the only banks in Ransom, Kansas, a rural community of 432 population. The banks are small independent units whose combined resources aggregate less than $3.0 million and their offices are situated 

one-half block apart. Under State banking laws one banking office would be 

eliminated and it is proposed that the resulting bank will occupy the quarters of 

Farmers, the bank which is to be absorbed.

The merging banks are under a degree of common ownership to the extent 

that eight individuals, including six directors of Farmers, own more than 20 percent of the applicant's stock and 48 percent of the stock of the Farmers. Applicant's lack of an executive officer and a qualified replacement has weakened 

the bank's management to a considerable extent. The merging banks do not engage in active solicitation of customers and competition between them is described as mild.

The addition of Farmers' IPC deposits would more than double the applicant's volume and the resulting bank would hold $2.2 million of such deposits. 

The size disparity between applicant and the larger of its two closest competitors, which has IPC deposits of $3.7 million, would be significantly narrowed 

and the resulting bank would continue to be smaller than four of the six banks 

within 27 miles of Ransom.

The population of Ransom has been static for about 15 years and the population of the county has declined since 1950. The combined average total deposits for the merging banks was smaller in 1965 than in either of the two 

previous years. Prospects for future growth in the area are not favorable and 

there does not appear to be adequate support or need for the two small banks 

in this community. Each bank has lending limits which are not adequate to accommodate the loan requirements of the increasingly larger agricultural units in 

the area. The resulting bank would have a legal lending limit twice that of each 

of the merging banks and it is planned that the community will be provided 

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44 FEDERAL DEPOSIT INSURANCE CORPORATION

tomer services and conveniences, including a night depository, drive-up window 

and additional safe deposit boxes. Furthermore, the proposal would provide 

stronger, more aggressive management to the applicant and the community 

would be more efficiently and economically served by a single banking office.

The degree of competition which will be eliminated between the two small 

merging banks is clearly outweighed in the public interest by the benefits which 

will result from the proposal. Following consummation of the merger there 

would remain six banking alternatives, in addition to the resulting bank, within 

27 miles from Ransom and the proposal would not tend to create a monopoly 

or in any other manner be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 2 In

operation

To be

operated

The Hughesville Savings Bank, 

Incorporated

Hughesville, Maryland 

(change title to Bank of 

Southern Maryland) 

to merge with

9,016 1 2

The Southern Maryland National 

Bank of La Plata

La Plata

13,136 1

Su m m ary report by Attorney G eneral, Novem ber 23, 1966

The proposed merger of Hughesville Savings and Southern Maryland will 

eliminate existing competition between two banks in a common service area. 

While the information given in the application does not permit us to measure 

the present concentration and the increase resulting from this proposal, it is 

clear that there will be an increase in concentration.

B a sis for Corporation approval, Ja n u a ry 18, 1967

The proposal would merge two relatively small banks whose combined resources aggregate little more than $22.0 million. Applicant is the smaller bank 

and its only office is located in Hughesville, 12 miles from the sole office of the 

National bank in La Plata, which is to be merged. The merging banks operate in 

a common service area, described as southern Maryland, which extends northward within 10 miles of the District of Columbia line. No banking locations intervene the offices of the merging banks, however, the National bank's primary 

competition is furnished by the La Plata branch of a bank with more than $600 

million IPC deposits; the same bank is the applicant's closest competitor with a 

branch 8 miles from Hughesville. The proposal would eliminate only a moderate 

amount of competition between the merging banks.

On June 30, 1966 there were 24 offices of 11 banks operating in the southern Maryland service area. In 1960 and 1961 two large city banks entered the 

northern portion of this service area. The largest bank, Maryland National Bank 

with IPC deposits exceeding $600 million, operates four branches in this area in 

addition to the La Plata branch and the branch located 8 miles from the applicant. The second largest bank has two branches presently in operation in the 

service area and holds almost $300 million in IPC deposits; in addition, it has 

two applications pending for branches to be located within 6 and 9 miles from 

La Plata. The resulting bank would have total IPC deposits of $17.3 million.

Although the resulting institution will be a small bank compared with the 

large city banks in the area, the increase in financial resources and the legal 

lending limit will be substantial relative to those of the separate merging banks. 

The resulting bank, by virtue of its larger financial resources and increased

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 45

managerial resources, would be able to more adequately serve the larger credit 

requirements of the community, enlarge the services presently offered to the 

depositors and borrowers in the area, and thereby offer more effective competition in this increasingly competitive service area.

The proposed merger would not substantially lessen competition, tend to 

create a monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 3 In

operation

To be

operated

The Farmers Bank of Good Hope

Good Hope, Ohio 

(change title to The Fayette 

County Bank) 

to merge with

1,173 1 2

The Milledgeville Bank

Jeffersonville

1,501 1

Su m m ary report by A ttorney G eneral, Decem ber 2 9, 1966

The Farmers Bank of Good Hope, located in Fayette County, Ohio, proposes 

to acquire the Milledgeville Bank, which operates in a different part of the same 

County. The latter had, as of June 30, 1966, total assets of $1.5 million, total 

deposits of $1.3 million, and loans and discounts of $701,000. It operates no 

branches, provides normal banking services on a relatively limited scale, and 

does not exercise trust powers.

The Farmers Bank of Good Hope, like The Milledgeville Bank, functions 

through a single office, located in a small rural community. Its resources and 

services are even more limited than those of Milledgeville.

The merging banks do not directly compete. They operate under common 

ownership, with the same officers and directors. Three other banks in Fayette 

County will continue to be substantially larger than the Resulting Bank. There 

will also be two other institutions of comparable size, and one smaller bank in 

the area.

It is concluded that the effects on competition resulting from this merger will 

not be adverse.

B a sis for Corporation approval, February 2, 1967

The proposal would merge two unit banks with combined resources of $2.7 

million which are located 18 miles apart. The applicant and Jeffersonville Bank 

serve separate areas intervened by two significantly larger banks located in the 

county seat town. There is no existing competition between the merging banks 

and recent acquisition of control of both banks by the same management precludes competition between them in the future.

The resulting bank would hold only 5.2 percent of the aggregate IPC deposits 

held by the nine banks competing in the overall service area. The two largest 

banks each hold more than 26 percent of such deposits. Competition in both 

merging banks' service areas should be stimulated to some degree by the larger 

financial resources of the resulting bank under the existing aggressive common 

management.

The increased lending lim it would permit more adequate accommodation of 

the agricultural credit needs in the areas of both banks. The present and anticipated industrial development in the Jeffersonville area would be better served 

and, in general, more comprehensive banking services would be offered both 

communities.

The proposed merger would not substantially lessen competition, tend to create a monopoly or, in any other manner, be in restraint of trade.

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46 FEDERAL DEPOSIT INSURANCE CORPORATION

Resources

(in

thousands

of dollars)

Banking Offices

No. 4 In

operation

To be

operated

Bank of Hanover and Trust Company

Hanover, Pennsylvania 

to acquire the assets and assume

the deposit liabilities of

23,335 2 3

The Wellsville National Bank

Wellsville

1,810 1

Approved under emergency provisions. No report requested from the Attorney 

General.

B a sis for Corporation approval, Ja n u a ry 2 6, 1967

Loan losses exceed Wellsville National's total capital account and 

management has failed to present a suitable recapitalization plan. The Comptroller of the Currency has advised the Corporation that he will appoint a Conservator on January 28, 1967 to enter into an agreement with applicant for the 

sale of all assets of the Wellsville National Bank in consideration of the assumption by the applicant of all deposits and all other obligations and liabilities 

of Wellsville National on such terms as a court of record of competent 

jurisdiction shall direct.

The participating banks’ offices are located 20 miles apart. Each bank is 

faced with competition from larger banks at closer locations and there has been 

virtually no competition between them. The increase in applicant's IPC deposit 

size as the result of the transaction would have little competitive effect in either 

bank's service area.

Wellsville National has been operating since 1907 and in view of the serious 

asset and management problems now in evidence it cannot survive as a unit 

bank. Under these circumstances it is found that an emergency exists and the 

Corporation must act immediately in order to prevent the probable failure of 

the bank. There is no other bank in Wellsville and the proposals would continue 

uninterrupted banking service in the community.

No. 5

Resources

(in

thousands

of dollars)

Banking Offices

In

operation

To be

operated

Citizens Valley Bank 24,564 5 7

Albany, Oregon

to merge with

Bank of Shedd 3,493 2

Shedd

Su m m ary report by A ttorney G eneral, October 3 1, 1966

Citizens Valley Bank, Albany, Oregon, is the resulting bank of a 1965 merger 

between Citizens Bank of Albany and Bank of Lebanon, Lebanon, Oregon. As of 

August 15, 1966, Citizens had assets of $24,564,000, loans and discounts of 

$15,163,000, deposits of $22,084,000, and capital accounts of $1,842,000.

Bank of Shedd, organized in 1913, has no history of mergers or consolidations. It had, as of August 15, 1966, assets of $3,493,000, loans and discounts 

of $2,224,000, deposits of $3,084,000, and capital accounts of $390,000 (adjusted August 25, 1966).

These banks are located 12 miles apart and deal in the same service area. 

Competition between them is present and will be eliminated by the proposed 

merger. However, in view of the number and size of the competing banks servDigitized for FRASER 

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 47

ing this area, and of Bank of Shedd's relatively small size, we conclude that the 

proposed merger will not adversely affect the structure of commercial banking 

in the area.

B a sis for Corporation approval, M arch 2, 1967

The merging banks are located in an area served by a number of branches of 

the two largest banks in the State, each of which has more than $1.2 billion in 

deposits. Applicant, the third largest bank with $23 million in total deposits, 

would acquire by the proposed merger the smallest bank in the area, Bank of 

Shedd, which has total deposits of $3.1 million. Bank of Shedd's two offices 

serve a small area within that served by the five offices of the applicant, however, a close working relationship has existed between the two banks since 1961 

and there is little competition between the merging banks. Bank of Shedd's fu ­

ture prospects for developing into an effective competitor are minimal.

The two statewide branch banks represented in the resulting service area 

hold the largest proportions (41.9 percent and 24.0 percent) of the aggregate 

total deposits held by the banking offices located in the area. Applicant would 

increase its percentage from 17.9 percent to 20.3 percent and would continue 

to be the third largest bank in terms of total deposits as well as proportionate 

shares held. The small increase in the applicant's size would have no adverse 

effect on competition in the service area.

Bank of Shedd's small size does not permit it to accommodate the size of 

credits demanded in the area it serves. The latter's offices, as branches of the 

larger resulting bank, would be able to provide a far greater scope of financing 

directly in the communities served.

The proposed merger would not substantially lessen competition, tend to create a monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 6 In

operation

To be

operated

The Edison Bank

Edison, New Jersey 

to merge with

43,307 4 7

The First National Bank of

South Plainfield

South Plainfield

7,371 3

Su m m ary report by Attorney G eneral, Decem ber 2 8, 1966

First National and The Edison Bank are both located in Northern Middlesex 

County, a rapidly growing residential and industrial area in Central New Jersey.

First National is the smallest of five banks operating in its service area and 

of three banks headquartered in that area. It has two branches in addition to its 

principal office, all of which are located in South Plainfield. As of June 30, 

1966, it had total assets of $7,371,000, total deposits of $6,863,000, total 

loans of $3,012,000, and total capital accounts of $476,000.

The Edison Bank is the third largest of five banks operating in its service 

area and the second largest of four banks headquartered in that area. In addition to its main office in Edison, it has three branches. Application for a fourth 

office was filed in 1964 but has been held in abeyance at The Edison Bank's request pending development of the area.

According to the application, the service areas of the merging banks are contiguous, but there appears to be some present competition between them, and 

head offices of the two banks are only 4.5 miles apart. If and when the fourth 

branch for which The Edison Bank has applied is established, additional competition would be probable, since that location is only about 2 miles from the

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48 FEDERAL DEPOSIT INSURANCE CORPORATION

head office and one branch of First National. From these facts, it would appear 

that the merger will eliminate a degree of existing competition and an even 

greater degree of potential competition.

B a sis for Corporation approval, M arch 23, 1967

The proposal would combine a $7 million bank operating a total of three offices with a $43 million bank operating a total of four offices. The resulting 

bank would continue to operate the three offices of First National. The participating banks have been under common ownership since 1964. There is no 

common management but the president of app.icant attends board meetings of 

First National in an advisory capacity.

Both the applicant and First National consider their trade areas to be contiguous but not overlapping. Neither of the participating banks has a significant 

volume of business in the other bank’s trade area and there is little effective 

competition between the two banks.

Applicant’s main office and two branches in Edison Township compete with 

the main office and three branches of First Bank and Trust Company, National 

Association which has a total of nine offices and total deposits of over $100 

million. Other commercial bank competition in the Edison area consists of two 

single-unit banks with resources less than the applicant and one branch of a 

larger bank.

First National’s three offices compete with Plainfield Trust State National 

Bank, Plainfield, which operates its main office and four branches in Plainfield. 

All of these offices are within 2 miles of the nearest office of First National. 

Plainfield Trust State National Bank has total resources of $112.7 million. Suburban Trust Company, Westfield, with total resources of $66,504,000 and eight 

offices also operates a branch in Plainfield. In September of 1966 the former 

National State Bank of Plainfield was merged into The National State Bank, Elizabeth, New Jersey, which had total resources of $203 million as of June 30, 

1966 and now operates three branches in Plainfield.

Applicant has 13.8 percent of the IPC deposits in the resulting bank’s trade 

area and would have 16.7 percent after the merger. Applicant is second to 

Plainfield Trust State National Bank which has 48.4 percent of the IPC deposits 

in the trade area. The other banks and branches in the trade area have less IPC 

deposits than the applicant but one bank with IPC deposits almost equal to the 

resulting bank operates a branch in the trade area and two larger banks also 

operate branches in the resulting bank’s trade area.

This proposed merger would enable the resulting bank to compete more effectively in the market and thereby increase competition. The benefits of increased lending limits, improved managerial resources and automation would 

accrue mainly to the South Plainfield area but would also permit the applicant 

to compete more effectively with the larger banks operating in the Edison area.

The proposed merger would not substantially lessen competition, tend to 

create a monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 7 In

operation

To be

operated

Citizens Bank 23,867 2 4

Eugene, Oregon

to merge with

Emerald National Bank 5,263 2

Eugene

Su m m ary report by Attorney G eneral, Feb ruary 10, 1967

Emerald National Bank, Eugene, Oregon (hereinafter Emerald), with its main 

office in the Bethel-Danebo area of Eugene and a branch in nearby Veneta, OreDigitized for FRASER 

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 49

gon, proposes to merge with- Citizens ESank, Eugene, Oregon (hereinafter Citizens), with its main office in Eugene and a branch in adjoining Springfield, 

Oregon. As of November 23, 1966, Emerald had total deposits of $4,788,000 

and Citizens had total deposits of $20,742,000. The closest offices of the two 

banks are about 3 miles apart.

The merger would eliminate existing and potential competition between the 

banks and would increase the concentration of banking resources in the Eugene 

- Springfield area.

B a sis for Corporation approval, M arch 2 3, 1967

The proposal would merge the two smallest banks serving the Eugene-Springfield area. Applicant holds total deposits of $20.7 million and National holds total deposits of almost $4.8 million. The two largest banks in the State, each of 

which is headquartered in Portland and operates more than 100 offices and 

holds more than $1.1 billion in total deposits, operate an aggregate of 14 offices in this area. One other bank serves the area; it is headquartered in Portland, holds total deposits of almost $61 million and operates a branch in 

Eugene.

National has a branch in the small farm community of Veneta, 12 miles west 

from its main office in Eugene. The applicant's only branch is located in Springfield, 4 miles east of Eugene. Surrounding the applicant's main office and 

within a radius of eight blocks are six branches of the large competing banks. 

National’s chief competition is from three branches of the State's two largest 

banks. Applicant’s Springfield branch faces competition from three branches of 

the two largest banks in the State. The merging banks' main offices, which are 

their closest offices, are 3 miles apart and are intervened by a branch of each 

of the three larger banks serving the area. There is little competition between 

the merging banks.

The two largest banks in the State operate 14 of the 19 offices in the service 

area and, in the aggregate, these offices hold almost 85 percent of the total deposits held by all bank offices in the area. The relatively nominal increase in the 

applicant’s share of the aggregate deposits, from 11.7 percent to 14.2 percent 

would have no significant effect on competition in the resulting service area.

The serious asset, capital and managerial problems of National substantially 

diminish its ability to provide effective competition and adequately serve the 

community. These problems would be resolved under the satisfactory financial 

and managerial resources of the applicant and the community would be better 

served by National's offices as branches of the resulting bank.

The proposed merger would not substantially lessen competition, tend to 

create a monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 8 In

operation

To be

operated

Wayland State Bank

Wayland, Michigan 

to acquire the assets and

assume the deposit liabilities of

10,186 3 5

Farmers State Bank of Alto 

Alto

3,877 2

Su m m ary report by A ttorney G eneral, Novem ber 17, 1967

The proposed acquisition would join two relatively small banks (assets of 

$10,096,00 and $3,716,100, respectively) doing business in a predominantly 

agricultural area within a radius of 25 miles of Grand Rapids, Michigan. The 

banks are located 25 miles apart and there is apparently no competition beDigitized for FRASER 

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Federal Reserve Bank of St. Louis
50 FEDERAL DEPOSIT INSURANCE CORPORATION

tween them. We conclude that the acquisition would not adversely affect the 

banking structure in the area.

B a sis for Corporation approval, April 6, 1967

This proposed transaction would combine two banks whose main offices are

18 miles apart. The applicant operates three offices and has total assets of 

$10,186,000 and Farmers with total assets of $3,877,000 operates two offices. 

The trade areas of the participating banks do not overlap and they are not directly competitive. There are two unit banks located in the area between the 

participating banks.

The president and cashier of Farmers have decided to retire and no provision 

has been made for management succession. The proposed transaction would 

result in better banking services for the two small communities now served by 

Farmers. With aggressive management and larger financial resources the Resulting Bank would be in a position to offer more complete banking services which 

should stimulate competition in Farmers’ trade area rather than lessen it.

This proposed transaction would not substantially lessen competition, tend to 

create a monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 9 In

operation

To be

operated

The Madison Bank and Trust Company

Madison, Indiana

20,789 4 5

to acquire the assets and

assume the deposit liabilities of

North Madison Bank 3,590 1

Madison

Su m m ary report by A ttorney G eneral, Ja n u a ry 26, 1967

The Madison Bank and Trust Company, Madison, Indiana, with total assets of 

$20,035,000 and three branch offices, proposes to purchase the assets and assume the liabilities of the North Madison Bank, Madison, Indiana, which has 

total assets of $3,306,000, and to operate the acquired properties as a branch 

office.

Applicant bank is the largest bank in Madison, Indiana and in its service 

area. The participating banks are two of only three competitor banks located in 

Madison, Indiana. The area is mixed industrial, residential and agricultural. Neither bank has merged, consolidated or effected an acquisition of assets or assumption of liabilities with any other bank within the past 10 years.

The proposed acquisition will eliminate existing competition between the participating banks, and increase the already high level of banking concentration 

within the county. Banking alternatives in Madison, Indiana will be reduced 

from three to two, and the applicant bank’s dominant position in the service 

area in which it does the major part of its business will be materially enhanced.

B a sis for Corporation approval, April 6, 1967

Applicant, which has $16.8 million IPC deposits, would acquire the assets 

and assume the Selling Bank’s liabilities, including IPC deposits of almost $2.8 

million, under the proposed transaction. Applicant’s main office and the sole office of the Selling Bank are 3 miles apart in the city of Madison. Selling Bank's 

closest competitor is the national bank headquartered in Madison which has 

IPC deposits of $6.9 million and a branch less than one mile east from Selling 

Bank. Applicant's office closest to Selling Bank is i y 2 miles west.

There are six commercial banks, in addition to the participating banks, within 

a 15-mile radius of Madison. Considerable competition is furnished by two savDigitized for FRASER 

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 51

ings and loan associations in Madison which together hold withdrawable balances of $18.2 million. One other association, in Carrollton, Kentucky, holds 

withdrawable balances of $3.7 million. The relative increase in applicant’s size 

would not have significant adverse effects on competition in Madison or in the 

overall service area. Commercial banks outside the service area, particularly in 

Kentucky, furnish competition to the participating banks for savings deposits; 

these and other banks outside the service area also provide some competition 

for commercial and other loans. Existing competition between the small, singleoffice Selling Bank and the applicant would be eliminated, however, it is not 

considered substantial relative to the overall competition provided by the numerous commercial banks in the service area, the commercial banks outside 

the area and the nonbank sources in Madison and throughout the service area.

Each of the three banks in Madison has been in operation for more than 50 

years. The limited resources attained by the Selling Bank during its history 

prevents it from adequately serving the industrial segment of the community 

which has undergone expansion in recent years. Selling Bank is presently under 

the active management of a 75 year-old president and its executive vice president is in ill health and on leave of absence. Under this situation, and in view 

of the lack of management succession which the bank has been unable to resolve by other means over an extended period of time, the future prospects for 

Selling Bank to aggressively compete and adequately meet the expanding industrial needs of the community are minimal.

The proposal would not substantially lessen competition, tend to create a 

monopoly, or in any other manner be in restraint of trade. Any unfavorable 

competitive effects that could result from the merger would be outweighed by 

the resolution of the management succession problem confronting the Selling 

Bank and by the increased support which the resulting bank would give to the 

community, particularly its industrial sector.

Resources

(in

thousands

of dollars)

Banking Offices

No. 10 In

operation

To be

operated

Arapahoe Bank

Littleton, Colorado 

(change title to Arapahoe 

Valley Bank) 

to acquire the assets and assume

the deposit liabilities of

7,470 1 1

Valley National Bank

Littleton

5,070 1

Su m m ary report by A ttorney G eneral, February 15, 1967

Arapahoe Bank with assets of $7,205,000 proposes to acquire the assets and 

assume the liabilities to pay deposits made in Valley National Bank, a bank with 

assets of $4,951,000. The banks are both located in the town of Littleton, Colorado, population about 21,500, about 10-1/2 miles distant from Denver, 

Colorado. The town of Littleton is included in the Denver metropolitan area.

Well over 70 percent of the deposits and loans of each bank originate in the 

primary service area of the other bank, and the two banks would appear to 

compete actively with one another. The resulting bank would control 43 percent 

of the deposits and 52 percent of the loans and discounts of the remaining 

three banks in Littleton.

Arapahoe Bank is presently a subsidiary of Denver U. S. Bancorporation, a 

registered bank holding company controlling five banks in Colorado with deposits in excess of $435,254,000. These deposits represent 14.9 percent of the total deposits held by commercial banks in Colorado. Three of the subsidiary

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52 FEDERAL DEPOSIT INSURANCE CORPORATION

banks of Denver Bancorporation are located in the Denver metropolitan area 

and one of these three banks is the second largest bank in Denver with total 

deposits of over $385,000,000.

Both the entire Denver metropolitan area— and the narrower suburban Littleton area— may represent relevant markets for certain classes of customers in 

Colorado, a unit banking State. Some smaller Littleton business borrowers and 

many individual depositors may be limited to the more convenient suburban 

community while larger and better known business firms probably have access 

also to financing within the entire Denver area.

Within the Denver metropolitan area the proposed merger would appear to result in a further increase in banking concentration and a lessening of present 

and potential competition. This results from the merging bank's present association with Denver Bancorporation, which now controls 24 percent of deposits 

within the Denver market.

Also, Denver Bancorporation would, through this proposed acquisition by its 

subsidiary (Arapahoe Bank), acquire a dominant competitive position within the 

narrower Littleton suburban community as well, affecting important classes of 

smaller local customers.

Finally, the proposed merger would result in the complete elimination of substantial present competition between the participating banks, within both the 

Littleton and Denver markets.

B a sis for Corporation approval, M ay 2, 1967

The purchase of Valley’s assets by the applicant would result in a bank with 

$12 million in resources and comparable in size to The Littleton National Bank, 

the participating banks’ closest commercial bank competitor. The applicant and 

Valley are located one mile apart and no commercial bank offices intervene. 

Branch banking is prohibited by statute. Applicant will abandon its present 

quarters and move to those presently occupied by Valley. In addition to the applicant, there are five commercial banks, two industrial banks and six offices of 

five savings and loan associations located within a 3-mile radius of Valley.

Applicant would substantially increase its IPC deposit size by the assumption 

of Valley's liabilities but would remain smaller than the closest competitor in 

Littleton, The Littleton National Bank. In addition, two other commercial banks 

competing in the service area, located in Englewood, are significantly larger 

than the resulting bank in deposit size. The resulting bank would be a subsidiary of applicant’s parent company, Denver U. S. Bancorporation, Inc., Denver, a 

registered bank holding company. Each of the two larger banks in Englewood 

are also subsidiaries of two other registered bank holding companies and a 

fourth competitor, the First National Bank of Southglenn, is an affiliate of a national bank in Denver which is the largest bank in the State.

Valley was opened for business in 1963. Serious loan problems have 

developed and its management is regarded as unsatisfactory. Consummation of 

the purchase and assumption agreement would resolve the asset and managerial problems of Valley. The proposal would eliminate one of the banking alternatives in Littleton, however, its problems limit its ability to adequately serve 

the community and effectively compete in the service area. The resulting bank, 

under applicant's management and with increased financial resources and the 

services available through the holding company, would be in a position to offer 

improved services to Valley's customers and to the community as a whole, 

especially the local business sector.

Although this proposal involves a reduction in competition, it is not believed 

the overall effect would be to substantially lessen competition in view of the 

loan problems and unsatisfactory management of Valley, the total competition 

provided by the commercial banks and nonbank sources located directly in the 

resulting service area, and the competitive influence on the area from banks 

and other financial institutions in nearby Denver. Any unfavorable competitive 

effects which would result from the proposal are outweighed in the public interDigitized for FRASER 

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 53

est by the resolution of the asset and managerial problems of Valley, the selling 

bank.

Resources

(in

thousands

of dollars)

Banking Offices

No. 11 In

operation

To be

operated

First-Citizens Bank & Trust Company

Smithfield, North Carolina

516,900 108 109

to merge with

The Commercial Bank of Reidsville, 2,753 1

North Carolina

Reidsville

Su m m ary report by A ttorney G eneral, Ja n u a ry 20, 1967

First-Citizens was organized in 1898. It presently operates 108 offices in 49 

North Carolina communities and has received regulatory permission to open 

eight additional de novo branches. As of September 20, 1966, First-Citizens had 

total assets of $512,433,000 and net loans and discounts of $274,141,000, total deposits of $453,843,000 and total capital accounts of $30,111,000.

Commercial Bank was organized in 1927. Its only office is in Reidsville, North 

Carolina (population— 14,267). Reidsville is the principal city of Rockingham 

County, which is in the center of the northern tier of counties in North Carolina. 

As of September 20, 1966, Commercial Bank had total assets of $2,509,000 

and net loans and discounts of $1,582,000, total deposits of $2,165,000 and 

total capital accounts of $145,000.

There appears to be little if any existing competition between the merging 

banks, as indicated by the relatively small size of Commercial Bank and the distance between it and the nearest offices of First-Citizens (25 miles).

The proposed merger would eliminate potential competition between the 

merging banks. North Carolina banking laws permit unrestricted de novo

branching. First-Citizens would appear to be one of the most likely de novo entrants into the Reidsville area, in view of the proximity of its nearest office to 

the area and the fact that since its organization First-Citizens has established 

over 100 de novo branches.

B a sis for Corporation approval, April 25, 1967

Commercial was organized in 1927 as an industrial bank; although it converted to the status of a commercial bank in 1960, its operations and policies 

continue largely unchanged. Instalment loans represent more than 80 percent of 

total loans and time deposits comprise 70 percent of total deposits. It operates 

neither branches nor a trust department. Within Reidsville there are also headquartered two other banks, both considerably larger than Commercial, serving 

this industrial community of 14,300 population with five offices. Non-bank 

competition includes two savings and loan associations in Reidsville.

Applicant is the fourth largest bank in North Carolina and the instant proposal 

will not change this rank. It operates 107 branches in 51 communities in 28 

of the State’s 100 counties and approval has been obtained for the establishment of 10 additional offices which have not yet opened for business. Its main 

office is at Smithfield, 115 miles southeast of Reidsville, and is branches nearest 

to Commercial are the six located in Greensboro, 24 miles southwest of Reidsville. Within Greensboro are represented also the first, second and third largest 

banks of the State with 7, 11 and 6 branches respectively. The subject proposal 

would have insignificant effect on competition in the areas presently served by 

applicant.

Commercial and applicant are not presently in competition with each other 

and there is small likelihood they would become competitive in the future. Applicant would gain an office in a county in which it is not now represented. The

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54 FEDERAL DEPOSIT INSURANCE CORPORATION

Reidsville community would benefit from the substitution of a bank branch supported by all the resources and specialized departments of the applicant. Applicant would offer trust facilities, a considerably wider range of credit services 

and a much larger lending capacity than presently afforded by Commercial. In 

the Reidsville area, the effect on bank competition would be favorable.

The proposal would not substantially lessen competition, tend to create a 

monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 12 In

operation

To be

operated

The Pennsylvania Bank and Trust Company

Titusville, Pennsylvania

62,412 6 8

to merge with

National Bank of Union City

Union City

5,931 2

Su m m ary report by A ttorney G eneral, February 27, 1967

This is a proposal to merge the six-office Pennsylvania Bank and Trust Company (deposits of $54,395,000) and the two-office National Bank of Union City 

(deposits of $5,375,400) some 20 miles northwest of Titusville, in northwestern 

Pennsylvania.

The application indicates that the service areas of the Charter and Merging 

Banks overlap only to a very small extent, and we conclude that the merger 

would not adversely affect competition.

Basis fo r C o rp o ratio n ap p ro val, A p ril 2 5 , 1 9 6 7

This proposal would combine two banks whose main offices are 22 miles 

apart which is the shortest distance between offices of the participating banks. 

The applicant operates six offices and has total assets of $62,412,000 and 

Bank of Union with total assets of $5,931,000 operates two offices. Applicant 

has one office at Pleasantville, 6 miles southeast of the main office, and its 

other four offices are located in the central and northern sections of Warren 

County. The closest of these four offices in Warren County is 32 miles from applicant's main office in Crawford County and the trade area served by these offices does not extend beyond Warren County. Bank of Union is located in the 

southeastern portion of Erie County and its one office at Wattsburg is 8 miles 

northeast of Union City. The two offices of Bank of Union and the four offices 

of applicant in Warren County are separated by two other commercial banks' offices and they are not regarded as being directly competitive.

The Resulting Bank's extensive trade area is in the northwestern section of 

the State where competition is intense and while this proposed transaction 

would eliminate an insignificant amount of competition between the participating banks it would also enable the applicant to compete more effectively with 

its larger competitors and thereby stimulate competition. Other competition in 

the trade area consists of four branches of banks whose main offices are located 

outside of the trade area and 13 offices of banks headquartered in the trade 

area. Of the other commercial banks operating in the trade area, five are larger 

than the applicant and one is almost equal in size. In addition to Bank of 

Union, the Union Bank & Trust Co., Erie, which is almost as large as the applicant, has an office in Union City and it is becoming increasingly difficult for 

Bank of Union to cope with this competition.

This proposed transaction would not substantially lessen competition, tend to 

create a monopoly or, in any other manner, be in restraint of trade.

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 55

Resources

(in

thousands

of dollars)

Banking Offices

No. 13 In

operation

To be

operated

Industrial Valley Bank and 

Trust Company 248,273 28 29

Jenkintown, Pennsylvania 

to acquire a portion of the assets

and assume a portion of the deposit

liabilities of

National Bank of Malvern 3,977* 2 1

Malvern

S u m m ary report by A ttorney G eneral, M arch 17, 1967

This is a proposal whereby the Industrial Valley Bank and Trust Company 

(“ Industrial Valley") would acquire about 59 percent of the assets of the National Bank of Malvern (‘ Malvern Bank") and would assume the same proportion of its liabilities. The assets to be transferred to Industrial Valley include 

one of Malvern Bank’s two offices (at Paoli, Pennsylvania).

The proposed transaction would eliminate any direct competition which exists 

between Malvern Bank's Paoli office and Industrial Valley's offices (the closest 

of which is 9 miles to the north in Phoenixville). At the same time, it should 

create at least the possibility of competition between Malvern Bank's two existing offices— which are 2 miles apart— since one of them will be operated by Industrial Valley and the other by Malvern Bank. Thus, provided the proposed 

transaction leaves Malvern Bank sufficiently strong to be a viable competitor, 

the two opposite effects would probably offset each other.

Industrial Valley appears to be the largest bank operating in Chester County, 

Pennsylvania (where it has five of its 28 offices and Malvern Bank has both its 

offices). Its acquisition of the Paoli office of Malvern Bank would appear to increase by about 2 percent its share of the county's IPC demand deposits.

B a sis for Corporation approval, April 25, 1967

Applicant has $248 million in resources and operates 28 offices in four 

southeastern Pennsylvania counties. Its main office and one branch are in Jenkintown, Montgomery County, which is about 12 miles north from downtown 

Philadelphia. Nine other branches are located in Montgomery County, 10 

branches are located in Philadelphia County, six are in Chester County and one 

is in Delaware County. Applicant would acquire 58.733 percent of the assets 

and liabilities of Malvern, a bank with resources of $6.8 million, including the 

latter's only branch at Paoli which is 2 miles from Malvern. The main office at 

Malvern would continue to operate as an independent bank.

Applicant's branch at Phoenixville is 9 miles north of Paoli and is applicant's nearest office to either of Malvern's locations. Phoenixville and Paoli are 

intervened by the east-west Pennsylvania Turnpike and the volume of business 

which each derives from the other's service area is negligible. The proposal 

would eliminate only minimal competition between the participating banks. Malvern is the smallest bank in its service area and faces competition from seven 

offices of four commercial banks and one office of a mutual savings bank which 

holds deposits of almost $1.7 billion. One commercial bank is headquartered in 

Paoli and has deposits of more than $30 million. Two other commercial banks 

in the area have deposits of'm ore than $350 million and $1.5 billion and presently compete with the applicant at other locations. Competition in the Malvern-Paoli area should be significantly enhanced, and the convenience and 

needs of the community would be much better served.

The applicant derives the major portion of its business from the three counties of Montgomery, Philadelphia and Chester. In addition to the participating 

banks, there are 29 competing commercial and mutual savings banks in these

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Federal Reserve Bank of St. Louis
56 FEDERAL DEPOSIT INSURANCE CORPORATION

counties which operate 410 offices. Applicant is eighth largest bank and has total deposits of $225.6 million. Six of the larger commercial banks are in Philadelphia and one is located in Montgomery County; four of these competitors 

have deposits ranging from $334 million to $842 million and three hold deposits exceeding $1.0 billion. Each of the four mutual savings banks in Philadelphia 

is larger than the applicant and hold deposits ranging from $256 million to $1.7 

billion. Applicant's assumption of about $3.3 million of Malvern's total deposits 

would have little effect on competition in applicant's service area.

The proposal would not substantially lessen competition, tend to create a 

monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 14 In

operation

To be

operated

Salisbury Savings Bank

Salisbury, Missouri 

to acquire the assets and

assume the deposit liabilities of

8,739 1 1

Farmers Savings Bank of Clifton Hill

Clifton Hill

975 1

Su m m ary report by Attorney G eneral, M arch 27, 1967

Salisbury Savings Bank ("Salisbury Savings"), Salisbury, Missouri— which 

holds over 50 percent of the IPC demand deposits in Chariton County, Missouri 

— proposes to acquire the assets and assume the liabilities of Farmers Savings 

Bank of Clifton Hill (“ Farmers” ), Clifton Hill, Missouri, a small bank in neighboring Randolph County.

The proposed acquisition would eliminate existing competition between these 

two banks— which are only 7 miles apart and are the only banks within this 

immediate area. The existence of competition between the two banks is underscored by the fact that the Salisbury Savings Bank will have to close the former 

Farmers office in Clifton Hill, and transfer customer accounts to the Salisbury 

office, in order to comply with the prohibitions against branch banking under 

the Missouri law. On the other hand, Farmers may be such a small institution 

that it is not, in reality, able to offer effective competition at this time.

The proposed acquisition will cause some increase in concentration. It will increase by about 3 percent Salisbury Savings’ share (now about 33 percent) of 

demand deposits in the service area defined in the application.

B a sis for Corporation approval, April 25, 1967

The selling bank is located in a community with a population of about 200 

and has resources of less than $1.0 million. The applicant, an $8.7 million 

bank, would purchase the assets and assume the liabilities of the selling bank 

which is located 8 miles distant. The two banks have been under the control of 

a charitable trust since 1964 (common ownership reportedly has existed for 

more than 50 years) and have worked in close association with each other. The 

small selling bank cannot obtain management and other personnel to operate 

the bank, and its stockholders desire to liquidate. There is no effective competition between the participating banks which would be eliminated by this proposal.

Applicant is the largest of four banks in the resulting service area. The assumption of selling bank's small volume of deposits would not materially alter 

the competitive situation in the resulting service area. The areas are agricultural 

in nature and the increasing size of the farm units require larger credit accomDigitized for FRASER 

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 57

modations than the selling bank can provide. The proposal would eliminate the 

selling bank's office but two banking alternatives are available 6 and 8 miles 

from selling bank's location.

The proposal would not substantially lessen competition, tend to create a 

monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 15 In

operation

To be

operated

The Fort Thomas-Bellevue Bank

Fort Thomas, Kentucky 

to acquire the assets and assume

the deposit liabilities of

15,233 2 3

Bank of Dayton

Dayton

3,711 1

Su m m ary report by A ttorney G eneral, M arch 3, 1967

The Fort Thomas-Bellevue Bank, Fort Thomas, Kentucky, proposes to acquire 

the assets and assume the liability to pay deposits of the Bank of Dayton, Dayton, Kentucky.

The Fort Thomas-Bellevue Bank operates its only branch office approximately 

5 miles northwest of Fort Thomas in Bellevue, four city blocks south of the only 

office of Dayton Bank. The transaction, if approved, will eliminate all competition presently existing between the Bank of Dayton and the Fort 

Thomas-Bellevue Bank as well as increase substantially the level of banking 

concentration within Campbell County, although some additional competition is 

provided by the Cincinnati, Ohio banks just across the Ohio River.

B a sis for Corporation approval, May 2, 1967

The applicant is a $15 million bank with two offices in Campbell County, Kentucky within easy access of downtown Cincinnati, Ohio. The single office selling 

bank has $3.7 million in resources and is located in the community of Dayton, 

about 4 miles from applicant's main office in Fort Thomas. Applicant's branch 

is in Bellevue, a community adjacent to Dayton, 0.7 mile from selling bank's office. The communities of Dayton and Bellevue are located along the Ohio River 

opposite the city of Cincinnati and are part of the Cincinnati metropolitan area. 

Most of the residents of the participating banks' locations commute to Cincinnati for employment.

While no commercial bank offices intervene any of the participating banks' 

locations, each of the latters' offices are directly competitive with other commercial banks at closer locations. The participating banks compete not only 

with the large commercial banks and savings and loan associations in Cincinnati, but with 13 other commercial bank offices in Campbell County, 12 savings 

and loan associations in that County including six which are located in Fort 

Thomas, Dayton and Bellevue, and numerous other nonbank financial institutions.

While the proposal would eliminate competition between the participating 

banks, the amount thereof is not considered to be substantial. Moreover, it appears to be insignificant relative to the total competition furnished by the numerous commercial banks and nonbank sources located in Campbell County 

and in downtown Cincinnati. The increased size of the applicant would not have 

material adverse effects on competition in the Campbell County service area 

and would permit it to compete more effectively with the other financial institutions.

The proposal would resolve the selling bank's management succession 

problem. The resulting bank's aggressive management, by virtue of its greater

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Federal Reserve Bank of St. Louis
58 FEDERAL DEPOSIT INSURANCE CORPORATION

capital resources, would more adequately meet the convenience and needs of 

the communities to be served and offer more effective competition, especially 

to the larger Cincinnati, Ohio banks and other financial institutions which represent a strong competitive influence in Campbell County.

The proposed transaction would not substantially lessen competition, tend to 

create a monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 16 In

operation

To be

operated

Excelsior Savings Bank

New York, New York 

(change title to Excelsior Empire 

Savings Bank) 

to merge with

250,960 3 6

Empire City Savings Bank

New York

170,976 3

Su m m ary report by A ttorney G eneral, Ja n u a ry 19, 1967

Excelsior Savings Bank was incorporated in 1869; its past 10-year history 

shows no mergers or consolidations. Excelsior had, as of June 30, 1966, assets 

of $250,955,000, loans of $204,548,000, deposits of $222,539,000, surplus of 

$12,691,000 and undivided profits of $11,601,000. It operates two branch offices in addition to its head office at 221-223 West 57th Street, all of which are 

located in the borough of Manhattan.

Empire City Savings Bank, incorporated in 1889, operates its head office at 

826-836 Third Avenue and two branch offices. All offices are in Manhattan. Its 

past 10-year history reveals no mergers or consolidations. As of June 30, 1966, 

Empire City had assets of $170,976,000, deposits of $154,290,000, loans of 

$146,380,000, surplus of $11,431,000, and undivided profits of $3,113,000.

The head offices of the two banks and their branches are in close proximity, 

and they appear to be direct competitors. This competition would be eliminated 

by the proposed merger.

The merging savings banks face competition from some 16 other savings 

banks controlling deposits exceeding $11 billion. The merging banks are the 

smallest and the third smallest in the area and the resulting bank would control approximately 3.3 percent of total savings bank deposits. The resulting 

increase in concentration would not be substantial.

B a sis for Corporation approval, M ay 2 2, 1967

Both applicant and Empire City operate three offices each, two each in the 

midtown section of Manhattan and one each in the upper west side section of 

the borough. The respective offices of the two banks are relatively distant and 

separated by numerous offices of competing institutions, including branches of 

far larger savings banks. The shortest distance between offices of the combining 

banks is 0.9 mile, sufficient in these circumstances to render them largely noncompetitive and to confine their operations to separate and distinct areas. Any 

competition between the two merging banks is small and indirect. Common borrowers and depositors are few although legal limitations and deposit insurance 

ceilings on deposits generally tend to promote some duplication of accounts at 

mutual savings banks that are truly competing against each other.

Applicant and Empire City are among the smallest of the 18 mutual savings 

banks in the borough of Manhattan and the 50 in New York City, numbering 

14th and 16th, respectively, in the borough and 33rd and 42nd in the city. The 

resulting bank would rank 13th in size in the borough and 24th in the city. By 

their field of operation, restricted by law largely to the acceptance of savings

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 59

deposits and the extension of real estate and certain specified other loans, applicant and Empire City face vigorous competition from the city’s concentration 

of commercial banks, savings and loan associations and insurance companies.

Financial and managerial resources and future prospects of both banks are 

satisfactory although it is maintained that improved banking locations must be 

acquired. The resulting bank would begin operations on a sound basis. Certain 

improvements in services afforded the community would be made practicable 

by the proposed merger, including the installation of an on-line EDP deposit accounting system such as employed by considerably larger competing mutual 

savings banks. There would also be gained an increased capacity to handle 

large real estate loan requests. Various economies are expected to accrue to 

the resulting bank which would tend to strengthen dividend-paying ability and 

competitive power.

This proposal would not substantially lessen competition, tend to create a 

monopoly or, in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 17 In

operation

To be

operated

Industrial Valley Bank and 

Trust Company 251,589 28 29

Jenkintown, Pennsylvania 

to merge with

The Elkins Park National Bank

Elkins Park

4,443 1

Su m m ary report by A ttorney G eneral, May 8, 1967

This is a proposal to merge the single-office Elkins Park National Bank (“ Elkins National"), located 10 miles north of Philadelphia, with Industrial Valley 

Bank and Trust Company (“ Industrial Valley"), which operates 28 offices in 

Philadelphia, Montgomery, Chester, and Delaware counties.

The two banks appear to be in direct competition. Their head offices are only 

2 miles apart in neighboring communities in Montgomery County and Industrial 

Valley has six other offices within the primary service area of Elkins National. 

This existing competition would be eliminated by the merger; nevertheless, the 

adverse effect would be considerably mitigated by the presence in the area of a 

considerable number of other banks, including branches of the large Philadelphia-based banks.

The merger would also involve some relatively slight increase in banking 

concentration. Elkins National has 0.7 percent of the IPC demand deposits in 

Montgomery County and less than 0.1 percent of such deposits in the Philadelphia Metropolitan Area. Industrial Valley (whose figures are not broken down by 

branch) would appear to hold between 10 and 15 percent of the IPC demand 

deposits in Montgomery County and 2.9 percent of such deposits in the Philadelphia Metropolitan market as a whole.

B a sis fo r Corporation approval, May 22, 1967

National is a $4.4 million single office bank located in Elkins Park, Pennsylvania, which is experiencing serious liquidity, asset, capital, earnings and 

management problems. The bank's common capital is impaired substantially 

and its blanket bond has been terminated. The applicant is a well-managed, 

aggressive institution with resources of more than $200 million. Its main office 

at Jenkintown is in Montgomery County and about 12 miles north from downtown Philadelphia; it operates a total of 28 offices in four southeastern Pennsylvania counties.

Elkins Park is about 2 miles from Jenkintown and within applicant's service

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Federal Reserve Bank of St. Louis
60 FEDERAL DEPOSIT INSURANCE CORPORATION

area. There is little competition between the merging banks since their deposit 

and loan structures reflect major differences. Moreover, National's many serious 

problems limit its effectiveness as a competitor. National and the applicant 

each face competition from numerous significantly larger commercial and mutual savings banks. The relatively nominal increase in applicant's size and its 

acquisition of a branch in Elkins Park would have little competitive effect in the 

resulting service area.

The Comptroller of the Currency has certified that an emergency condition 

exists and the Corporation finds it must act immediately in order to prevent the 

probable failure of National. The proposal would resolve National's problems 

and would not substantially lessen competition, tend to create a monopoly or, 

in any other manner, be in restraint of trade.

Resources

(in

thousands

of dollars)

Banking Offices

No. 18 In

operation

To be

operated

The Sylvania Savings Bank Company

Sylvania, Ohio 

to acquire the assets and assume

the deposit liabilities of

41,818 7 9

The Community Savings and Loan 

Association

Sylvania

8,919 2

Sum m ary report by A ttorney G eneral, A pril 3, 1967

The proposed merger involves acquisition by one of two commercial banks in 

Sylvania, Ohio, a suburb of Toledo, Ohio, of the assets of Sylvania's only savings and loan institution. Total deposits of the acquiring bank, Sylvania Savings, 

are $41.8 million and share accounts of the Community Savings and Loan Association amount to $8.7 million. Both institutions operate branches in western 

Toledo, which is immediately adjacent to Sylvania, and they compete with 

branches of four major Toledo commercial banks and four major Toledo savings 

and loan institutions.

The proposed merger would eliminate some competition with respect to time 

deposits and mortgage loans, which are the only services which both institutions offer; the areas which would be most immediately affected are Sylvania 

and the western part of Toledo. The two institutions are nevertheless not major 

factors in either product market, and the resulting increase in concentration 

would not be substantial.

B a sis for Corporation approval, Ju n e 13, 1967

The proposed purchase and assumption transaction would combine Sylvania 

Bank, a $41.8 million commercial bank headquartered in Sylvania, Ohio, with 

seven offices in the Sylvania-Toledo, Ohio area, and an $8.9 million Sylvania 

savings and loan association which has one branch in Toledo. Association's 

main office will serve as the mortgage department and trust department of the 

resulting bank. Its present branch will be closed at expiration of a six-month 

transition period following consummation of the proposal. The branch is about 

one block from an office of Sylvania Bank and its closing will cause no inconvenience to customers in that vicinity.

Competition between the participating institutions is limited to mortgage 

loans and time deposits. There is no competition between them with respect to 

the numerous other commercial banking activities. Moreover, the degree of 

competition between Sylvania Bank and Association is curtailed by their close 

relationship through common ownership and long-existing common management.

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Sylvania is a fast-growing suburb of the highly industrial City of Toledo in Lucas County, Ohio. Competition for both participating institutions is furnished 

primarily by five other commercial banks and four other savings and loan associations which operate numerous offices in and near Toledo. Sylvania Bank is 

the fifth largest of the commercial banks and Association is by far the smallest 

savings and loan association in the Sylvania-Toledo service area. The $8.5 million total deposits of Association to be assumed would raise Sylvania Bank’s position to fourth but it would continue to face competition from three substantially larger banks which hold total deposits ranging between $150 million and 

$400 million and four savings and loan associations holding withdrawable balances ranging between $70 million and $200 million. The increase in Sylvania 

Bank's size would have no significant effect on competition in the service area.

Association has experienced net deposit losses in recent years and its future 

prospects for growth and earnings appear to be limited. This proposal would resolve these problems. Association's customers will continue to receive generally 

the same mortgage loan and time deposit services which were available at Association plus the numerous additional services offered by a commercial bank. 

There will remain 21 offices of the other savings and loan associations in the 

Sylvania-Toledo area which would be accessible to any customers of Association 

who may prefer to deal with a savings and loan association.

The proposal would not substantially lessen competition, tend to create a 

monopoly or, in any other manner, be in restraint of trade.

No. 19

Resources

(in

thousands

of dollars)

Banking Offices

In

operation

To be

operated

Western Bank 21,934 6 7

Coos Bay, Oregon

to merge with

Bank of Illinois Valley 2,965 1

Cave Junction

Su m m ary report by A ttorney G eneral, M arch 2 4, 1967

The proposed merger of the Western Bank (“ Western Bank"), Coos Bay, Oregon (total deposits $19.9 million), and the Bank of Illinois Valley ("Illinois Valley"), Cave Junction, Oregon (total deposits $3.0 million), involves two banks 

operating in essentially different banking markets; their head offices are 145 

miles apart in nonadjacent counties; and Western Bank's nearest branch to Illinois Valley’s only office is about 40 miles away and in a different county.

In Josephine County, Illinois Valley holds about 7 percent of total IPC 

demand deposits; in Coos County and Curry County, together, Western Bank 

holds about 20 percent of total IPC demand deposits. It appears unlikely that 

there is any present direct competition between the merging banks. There are 

no common depositors or borrowers. Each bank operates in what would appear 

to be essentially distinct service areas, involving separate counties, with a distance between nearest offices of 40 miles.

We conclude that the proposed merger would not adversely affect competition.

B a sis for Corporation approval, Ju ly 2 7, 1967

Western Bank, Coos Bay, Oregon, a State nonmember bank, with total deposits of $19.6 million, has applied, pursuant to Section 18(c) and other provisions 

of the Federal Deposit Insurance Act, for the Corporation’s prior approval to 

merge with Bank of Illinois Valley, Cave Junction, Oregon (Valley), a State nonmember bank which has total deposits of $2.7 million. The banks would merge 

under the charter and title of applicant, and as an incident of the merger the

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Federal Reserve Bank of St. Louis
62 FEDERAL DEPOSIT INSURANCE CORPORATION

sole office of Valley would become a branch of applicant, increasing the number 

of its offices to seven.

Competition. Applicant's six offices are located in five communities spanning 

about 118 miles along the southern coastline of the State of Oregon. The site 

of the main office and one branch is the deepwater port of Coos Bay, estimated 

population 13,800. Valley's sole office is situated in the southeastern Oregon 

community of Cave Junction, population 330. This Josephine County community 

is located in the Siskiyou Mountains, 14 miles north of the California boundary. Valley's sole office is 75 road miles to the east of applicant's nearest 

branch, at Brookings, in adjacent Curry County, and there is nothing to indicate 

any competition existing between the merging banks. Valley's nearest competitors are situated to the northeast at Grants Pass, 30 miles distant.

Four of the five communities in the two-county area now served by the offices of the applicant have at least one competing bank office. The principal 

competitors of each of the merging banks are the State's two banking giants 

which in aggregate hold by far the major portion of its banking business.

The resulting bank, which would serve a three-county area, would have less 

than 15 percent of the total deposit volume in the resulting service area. The 

merger would have no adverse effects on competition.

Financial and managerial resources and prospects. The banking factors are 

favorable with respect to each of the merging banks, as they would be with 

respect to the resulting bank.

Convenience and needs of the community to be served. The merger would 

not have a substantial effect on the convenience and needs of the areas now 

served by applicant but it would benefit Cave Junction by providing larger lending limits, and that former Valley office will have available to it management 

depth, audit services and similar benefits which the larger institution can provide.

Conclusion. The Board of Directors is of the opinion that the merger would 

not substantially lessen competition, tend to create a monopoly, or in any other 

manner, be in restraint of trade, and would benefit the banking convenience 

and needs in the Cave Junction area.

Resources

(in

thousands

of dollars)

Banking Offices

No. 20 In

operation

To be

operated

American Bank and Trust Co. of Pa.

Reading, Pennsylvania 

to merge with

310,749 17 19

Myerstown Bank and Trust Company

Myerstown

24,814 2

Su m m ary report by Attorney G eneral, February 2 3, 1967

American Bank and Trust Co. of Pa. (“ American") is the largest bank in 

Berks County and adjacent counties of Lebanon, Lancaster, and Schuylkill, an 

area within which branching by banks with head offices in Berks is permitted by 

State law. As of November 30, 1966, American had assets of $298,445,000 and 

deposits of $262,852,000. Myerstown Bank and Trust Company, Myerstown, 

Lebanon County, Pennsylvania (“ Myerstown Bank") as of November 30, 1966, 

had assets of $24,006,000 and deposits of $21,031,000.

Within the service area of Myerstown Bank (Lebanon County) there are 10 

banking offices holding between them $163 million of deposits (as of June 30, 

1966). The three largest banks, combined, in Lebanon County (including the 

Myerstown Bank) accounted for slightly over half the total county deposits. 

Alone, the Myerstown Bank accounted for approximately 12 percent of total 

county deposits, and is the third largest bank in the County.

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 63

The acquiring bank (American) derives only a very small amount of demand 

deposits ($27,000) from within Lebanon County, constituting a negligible share 

of total county deposits (about .03 percent); its loans to Lebanon County customers ($1.4 million) comprise the higher but still small proportion of about 1 

percent of total county loans. It may be concluded that the present degree of 

competition between the American and Myerstown Banks is probably not significant.

However, the proposed merger will eliminate all future potential competition 

between these two banks. American is by far the largest bank in the four-county 

area. It has grown to a considerable extent by the merger process. In expanding 

from $5 million of deposits in 1929 to $263 million currently, American has acquired $67 million, or approximately 25 percent by absorbing other banks. 

Some $45 million of deposits have been acquired in six mergers since 1960. 

Lebanon County is surrounded by the area presently served by American.

If this merger is not approved, therefore, Arperican would be the most likely 

entrant into Lebanon County by de novo branching or by merger with a smaller 

bank in the area.

Moreover, if this merger is authorized, further acquisitions involving other independent banks within the area may be stimulated, and there are indications 

that this process of consolidation has already commenced.

If, however, any reason exists to warrant elimination of Myerstown Bank by 

merger— and none is apparent on the facts presented— less anticompetitive alternatives are available. The Bank’s directors state, "The bank has been 

approached by several institutions [to merge].”

B a sis for Corporation approval, Ju ly 27, 1967

American Bank and Trust Co. of Pa., Reading, Pennsylvania (applicant), a 

State nonmember bank with total deposits of about $275.4 million, has applied, 

pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance Act, for the Corporation's prior approval to merge with Myerstown Bank 

and Trust Company, Myerstown, Pennsylvania (Myerstown Bank), a State member bank which has total deposits of about $21.6 million. The banks would 

merge under applicant's charter and as an incident to the merger the two offices of Myerstown Bank would become branches of the applicant, increasing 

the number of its offices to 19.

Competition. Applicant is headquartered in Reading (population 98,177), the 

principal city and seat of Berks County, Pa. Eleven of its branches are located 

in Reading and general vicinity, three are in Schuylkill County, north of Berks, 

and two are in Lancaster County, southwest of Berks. Both offices of Myerstown 

Bank are located in Myerstown (population about 3,300), Lebanon County, west 

of Berks. They are 21 miles distant from West Reading, site of applicant’s closest office. Six offices of other banks are located in the intervening area, including four offices of the $114.5 million deposit Peoples Trust City Bank, Reading, 

Pa., and an office of the $84.6 million deposit Reading Trust Co.

The applicant derives only a very small portion of its demand deposits and 

loans from Lebanon County and existing competition between it and Myerstown 

Bank is not significant. The latter competes primarily with 10 other banks within 15 miles of Myerstown. Since Myerstown Bank is located about 3 miles from 

the Berks County line, it has some Berks County business, e.g., about 12 percent in demand deposits and a somewhat larger percentage in loans. Its largest 

competitor is the Berks-based Peoples Trust City Bank. Myerstown Bank also receives competition from two larger banks located in the City of Lebanon, about 

6 1/ 2 miles west of Myerstown.

Applicant has been expanding over the years and could legally apply to establish a de novo branch in Myerstown Bank’s area. But it is not clear that 

applicant could obtain regulatory approval for such a branch. According to applicant, it has attempted to branch de novo where it believed this feasible but 

there is no area in western Berks County and eastern Lebanon County which 

lacks a convenient banking facility. In February, 1967, the State denied appliDigitized for FRASER 

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64 FEDERAL DEPOSIT INSURANCE CORPORATION

cant's request to establish a de novo branch in Chester County, and earlier, in 

September, 1965, denied its request for such a branch in the City of Lancaster.

Myerstown Bank, on the other hand, claims to be interested not in expanding 

into other areas but in merging with a substantially larger bank, primarily because of the loss of business accounts whose credit needs have outstripped its 

loan limits. Even if applicant succeeded in penetrating the Myerstown area de

novo, the result could be to worsen this situation rather than produce significant competition between the merging institutions. Myerstown Bank indicates it 

decided to confine its merger discussions to applicant because of the similarity 

of their loan policies in promoting local economic welfare, and it is a fact that 

applicant has a good record in this respect. In view of the foregoing circumstances, it does not appear that this merger is likely to foreclose any meaningful potential competition.

The merger would increase applicant’s share of the deposits in the resulting 

bank's service area by 1.1 percent, giving it 17 percent of the aggregate. While 

applicant is the largest bank, there are 70 other banks in the service area and 

some of these are sizable competitors. So are the out-of-area banks which solicit 

the prosperous local industries and commercial establishments. No objections 

to the merger were offered during the field interviews with banking officials, 

which included the Myerstown area where any harmful impact of this proposal 

would be mainly felt.

The merger would have no significant adverse effects on competition.

Financial and managerial resources and prospects. The banking factors are 

favorable with respect to the merging banks as they would be with respect to 

the resulting bank.

Convenience and needs of the community to be served. Applicant is a well 

managed, progressive bank with a good record of service to the community, 

particularly in providing financial and other support for industrial diversification 

and expansion. The principal effect of the merger on convenience and needs 

would be to bring to the Myerstown area banking credit ample for its requirements. The economy of the area is prospering and its outlook is favorable, with 

existing industries developing rapidly and others seeking plant locations. As 

noted, the credit needs of a number of firms have surpassed Myerstown Bank's 

capabilities. Applicant would also offer the area generally more complete banking and fiduciary services, including electronic data processing facilities.

Conclusion. The Board of Directors is of the opinion that the merger would 

not substantially lessen competition, tend to create a monopoly, or in any other 

manner be in restraint of trade, and would benefit the banking convenience and 

needs in the Myerstown area.

Resources

(in

thousands

of dollars)

Banking Offices

No. 21 In

operation

To be

operated

The Delaware County Bank

Delaware, Ohio

14,082 3 4

to merge with

The Ostrander Banking Company

Ostrander

1,835 1

Su m m ary report by A ttorney G eneral, M ay 9, 1967

The Delaware County Bank, with two offices in the town of Delaware and one 

office in the town of Galena, 12 miles east of Delaware, proposes to merge with 

the Ostrander Banking Company. The latter is located in the small community 

of Ostrander, 8 miles southwest of the town of Delaware.

The proposed merger will eliminate some existing competition between the 

two banks, whose main offices are 8 miles apart in what still is a rural part of 

the county.

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There are three banks competing in Delaware County: Delaware Bank, Ostrander Bank, and The First National Bank of Delaware (also in the town of Delaware). Thus, the merger would reduce the total number of commercial banks in 

the county from three to two.

It would also increase concentration in banking resources in Delaware 

County. Delaware Bank already holds about 38 percent of the total IPC demand 

deposits in the county, and the proposed merger with Ostrander Bank would 

add another 5.5 percent to its market share. After the merger, it and The First 

National Bank of Delaware would have all the county’s IPC deposits.

B a sis fo r Corporation approval, Ju ly 2 7, 1967

The Delaware County Bank, Delaware, Ohio (applicant), an insured State nonmember bank with total deposits of $13.1 million, has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance Act, for the 

Corporation's prior approval to merge The Ostrander Banking Company, Ostrander, Ohio (Ostrander Company), an insured State nonmember bank which has 

total deposits of $1.6 million. The banks would merge under the charter and 

title of applicant and as an incident of the merger the sole office of Ostrander 

Company would become a branch of applicant, increasing the number of its offices to four.

Competition. Ostrander Company is 8 miles from applicant’s nearest office, 

at Delaware to the east, and the same distance from banking offices in Marysville, Ohio, to the west. Ostrander Company's service area extends in a radius 

about 4 miles from Ostrander and adjoins those of the Delaware and Marysville 

bank. Competition between the participating banks is not substantial, nor apt to 

become so.

Applicant's two Delaware, Ohio offices are in direct competition with three offices of The First National Bank of Delaware, a $25 million affiliate of BancOhio 

Corporation, a registered bank holding company with 23 banks in Ohio having 

total resources of about $900 million. First National's Sunbury, Ohio office is 

only 2 miles distant from applicant’s Galena branch. Another BancOhio affiliate 

is located in Marysville, Ohio. Some additional, but less significant, competition 

stems from the northern portion of Franklin County where offices of large banks 

headquartered in Columbus, Ohio are located.

The resulting bank will compete with banks in Delaware County as well as 

those with nearby offices in the counties adjoining Delaware to the east, west 

and south. The relevant service area is considered by the Corporation to include

19 banking offices, nine in Delaware County, six in Franklin County and two 

each in Union and Licking Counties; the resulting bank would be the sixth largest of the 11 banks operating such offices. Applicant’s share of the area deposits would increase from about 15 to 17 percent, and the resulting bank would 

rank third in area deposit volume.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly, or in any other 

manner be in restraint of trade.

Financial and Managerial Resources and Prospects. The banking factors are 

favorable with respect to each of the merging banks. These factors with respect 

to the resulting bank would likewise appear to be favorable, subject to strengthening the bank's capital as set forth in the final paragraph of the accompanying 

order.

Convenience and Needs of the Community. The resulting bank will have a 

lending lim it of $85,000 as opposed to $60,000 for the applicant, and this 

higher lim it would benefit the Delaware community. It would also to some extent 

benefit the Ostrander community in meeting an indicated need for increased 

credit capacity to serve the larger farm operations and sizable residential mortgage customers. This need could be accentuated if the population growth from 

Franklin County (Columbus), now under way in southern Delaware County, becomes more significant in the Ostrander area.

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66 FEDERAL DEPOSIT INSURANCE CORPORATION

Resources

(in

thousands

of dollars)

Banking Offices

No. 22 In

operation

To be

operated

Willimantic Trust Company

Willimantic, Connecticut

21,651 2 3

to merge with

County Bank and Trust Company 

of Danielson

3,409 1

Danielson

Su m m ary report by A ttorney G eneral, Ju n e 20, 1967

The Willimantic Trust Co. proposes to merge with the County Bank and Trust 

Co., of Danielson. The two banks are located in towns 22 miles apart in Windham County in northeastern Connecticut.

The 1960 population of Windham County was 56,223, and that of the towns 

of Willimantic and Danielson 13,881 and 4,642, respectively. The Connecticut 

Development Commission projects a doubling of population by the year 2000.

Windham County has five banks with nine banking offices. In both Willimantic 

and Danielson the only banking alternative to the applicants are two branches 

of Connecticut Bank and Trust Co., the State's second largest bank. There are 

no other banks in the 22 miles between the two communities, which are connected by U.S. Route 6.

These two banks are 22 miles apart in different communities in Windham 

County. However, because there are no other banks in the intervening area (except for the two branches of Connecticut Bank and Trust), the proposed merger 

may eliminate some direct competition between Willimantic Trust and County.

Willimantic Trust now holds 20.5 percent of total deposits within Windham 

County and its acquisition of County would increase its market share by 4.0 percent. (It is not possible to calculate the market shares in terms of IPC demand 

deposits because Willimantic Trust failed to include separate branch allocation 

of such deposits.)

B a sis for Corporation approval, A ugust 4, 1967

Willimantic Trust Company, Willimantic, Connecticut (applicant), an insured 

State nonmember bank with total deposits of about $19,710,000, has applied, 

pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance 

Act, for the Corporation's prior approval to merge with County Bank and Trust 

Company of Danielson, Danielson (Town of Killingly), Connecticut (County 

Bank), an insured State nonmember bank which has total deposits of about 

$2,978,000. The banks would merge under the charter and with the title of the 

applicant, and as an incident of the merger, the sole office of County Bank 

would become a branch of the applicant, increasing the number of its offices to 

three.

Competition. Applicant is headquartered in Willimantic (population about 

14,400) and operates one branch in Storrs, 9 miles north of the main office. 

County Bank's office is located in Danielson (population 4,642), 20 miles northeast of Willimantic. The primary service areas of the merging banks are separate but contiguous. The 20 miles intervening their offices are sparsely 

populated and neither bank derives an appreciable amount of business from the 

other's service area. No significant competition exists between them, nor is 

there any reasonable potential for such competition indicated by the record.

Both banks compete directly in their main office communities with branches 

of the State's largest commercial bank. Additional competition is furnished by a 

mutual savings bank in each of the communities of Willimantic and Danielson. 

The State's largest bank holds 61.5 percent of the IPC demand deposits held 

by the seven bank offices in the resulting service area. Following the merger, 

applicant would hold 37.4 percent of such deposits. With respect to IPC time

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 67

deposits, the resulting bank would be the smallest and hold 20.2 percent of 

the aggregate. Applicant would operate three of the seven banking offices.

The effect of the proposed merger on competition would not be adverse.

Financial and managerial resources and prospects. These factors are favorable with respect to the resulting bank, as they have been with respect to applicant. County Bank, which was opened in 1962, experienced some initial losses 

but in general its financial condition and management have been regarded as 

satisfactory.

Convenience and needs of the community to be served. The principal effect 

of the merger on banking needs and convenience would be in Danielson. 

Applicant would provide a significantly larger lending limit, and in general 

more complete and convenient banking services, including trust services which 

are not presently available at County Bank. The larger loan limit would benefit 

the improving economy in the Town of Killingly.

Conclusion. The Board of Directors is of the opinion that the merger would 

not substantially lessen competition, tend to create a monopoly, or in any other 

manner be in restraint of trade, and would benefit the banking convenience and 

needs in the Danielson area.

Resources

(in

thousands

of dollars)

Banking Offices

No. 23 In

operation

To be

operated

Wilmington Savings Fund Society

Wilmington, Delaware 

to acquire the assets and assume

the liabilities of

223,176 6 7

Brandywine-Mechanics Savings and 

Loan Association

Wilmington

3,016 1

Su m m ary report by A ttorney G eneral, M arch 2, 1967

Wilmington Savings Fund Society is the larger of the two mutual savings 

banks that are presently located in the State of Delaware. It has assets of 

$218.6 million and operates six offices, four of which are in or close to the city 

of Wilmington. The Brandywine-Mechanics Savings and Loan Association has assets of $3.2 million and operates one office in the City of Wilmington, a little 

over one mile from Wilmington Savings Fund Society's head office and somewhat less than a mile from one of the latter's branches.

It appears from the application that there is considerable existing competition between these institutions, particularly with respect to mortgage loans. It 

also appears that Wilmington Savings Fund Society would like to have an office 

in the Brandywine-Mechanics service area and might open a de novo branch 

therein absent this transaction.

On the other hand, the directors of Brandywine-Mechanics have allegedly decided that their institution will “ merge, consolidate or in some other way cease 

to exist in its present form ." From the competitive standpoint, it might be 

preferable for Brandywine-Mechanics to be purchased by or merge with the 

smaller of the State's mutual savings banks or with one of the smaller savings 

and loan associations.

B a sis for Corporation approval, A ugust 4 , 1967

Wilmington Savings Fund Society, Wilmington, Delaware, (Society) with total 

deposits of about $193 million, has applied, pursuant to Section 18(c) and 

other provisions of the Federal Deposit Insurance Act, for the Corporation's 

prior approval to acquire the assets and assume the liabilities of BrandywineMechanics Savings and Loan Association, Wilmington, Delaware (S & L), which 

has total share accounts of about $2.7 million. As of the effective date of the 

sale, the share accounts of seller, including serial, full paid, and instalment full

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68 FEDERAL DEPOSIT INSURANCE CORPORATION

paid, will be converted to deposit accounts of the buyer without loss of interest 

and/or earnings. The resulting bank would be under the charter and title of Wilmington Savings Fund Society. As an incident to the transaction, the sole office 

of S & L would become a branch of Society, increasing the number of its offices 

to seven.

Competition. The main office and one branch of Society are located within 

the city limits of Wilmington; two of its branches are located in the city's suburbs and the remaining two are in Dover and Newark, outside the Wilmington 

trade area. S & L's sole office is located in an industrial-residential section in 

the northwestern part of Wilmington, an area which has experienced steady 

population decline. Society's branch at 3rd and Union Streets in Wilmington is 

slightly less than one mile distant from S & L and its main office is a little over 

a mile away.

The records of S & L indicate that the bulk of its accounts originate within 

one-half mile of its office. There are no other financial institutions within this 

area, however, one commercial bank operates a branch 0.7 of a mile distant 

and has received approval to establish another two blocks distant from S & L. 

Within a radius of i y 2 miles of S & L there are seven other savings and loan 

associations, the main office and the 3rd and Union Streets branch of Society 

and four operating commercial bank offices. About 4.5 percent of Society's deposit accounts bear addresses located in S & L's service area, however, these 

accounts are principally carried at the main office of Society and would appear 

to evidence the convenience of that location to the depositors' place of business rather than a degree of competition between Society and S & L.

S & L is the fourth smallest of the 10 savings and loan associations in the 

City of Wilmington and after several years of negligible growth, is experiencing 

a decline. Its directors have indicated that the organization will definitely merge, 

consolidate, or in some other way cease to exist in its present form. Society, on 

the other hand, is a well established institution with a record of consistent 

growth and sound operation. It would increase in size only nominally as the result of this proposal.

Competition between the participating institutions is not significant, nor apt 

to become so if they did not merge. The Board of Directors is of the opinion 

that the proposed transaction would not substantially lessen competition, tend 

to create a monopoly, or in any other manner be in restraint of trade.

Financial and Managerial Resources and Future Prospects. While Society’s record under these factors is favorable, S & L is experiencing a decline in its 

share accounts, its surplus (capital) protection is below generally accepted 

standards and the prospects for increasing it are poor. Its management, while 

capable of operating on the present scale, has made no provision for succession and is determined to withdraw from the field of competition.

The resulting bank would be satisfactory under all these factors.

Convenience and Needs of the Community. The subject transaction would 

have little effect on the services offered to the community. S & L’s office would 

continue in operation but as a branch of a larger and much stronger savings institution and there would be no reduction in the services offered the community 

by such institutions.

Resources

(in

thousands

of dollars)

Banking Offices

No. 24 In

operation

To be

operated

Peoples Trust City Bank

Reading, Pennsylvania 

to merge with

138,415 11 13

The Farmers National Bank and Trust

Company of Boyertown

Boyertown

17,256 2

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Su m m ary report by A ttorney G eneral, M arch 13, 1967

Peoples Trust City Bank (“ Peoples") is the second largest bank in Berks 

County, Pennsylvania. Its head office and two branches are located in Reading, 

which is the commercial and industrial center of Berks County; it also has four 

branches in the Reading suburbs, and four other branches located elsewhere in 

the county. The Farmers National Bank & Trust Company of Boyertown (“ Farmers"), Boyertown, Pennsylvania, is one of two banks serving a small community, 

and its surrounding rural area, located about 15 miles east of Reading, in Berks 

County. The distance between Farmers and the closest branch of Peoples is approximately 10 miles.

The proposed merger would eliminate a certain amount of direct competition, 

particularly in the market for industrial and commercial loans, where Farmers 

has been active.

Also, the proposed merger would significantly increase Peoples’ share of the 

already concentrated Berks County market, where Peoples and the largest bank 

together have more than 75 percent of total deposits. Peoples has total IPC demand deposits of $39.2 million and Farmers has $4.2 million in such deposits. 

These represent 24.4 percent and 2.6 percent, respectively, of the $160.1 m illion in total IPC demand deposits for the county as a whole, as reported in the 

most recent published study.

Although the distance between the two banks and the proximity of Boyertown 

to Montgomery County (in which the major Philadelphia banks have branches) 

indicate that the foregoing market shares may overstate somewhat the competitive significance of the proposed Peoples-Farmers merger, we think it plain that 

the proposed merger would increase in concentration an already highly concentrated banking market. The application reveals no compelling countervailing 

considerations; Farmers is plainly a well managed and profitable bank, which 

has been able to serve the needs of its customers directly or through participation loans.

B a sis for Corporation approval, Septem ber 8, 1967

Peoples Trust City Bank, Reading, Pennsylvania (applicant), an insured State 

nonmember bank with total deposits of about $124 million, has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance 

Act, for the Corporation’s prior approval to merge with The Farmers National 

Bank and Trust Company of Boyertown, Boyertown, Pennsylvania (Farmers), 

which has total deposits of about $15 million. The banks would merge under 

the charter and title of applicant, and as an incident thereof, the two offices of 

Farmers would become branches of applicant, increasing the number of its 

offices to 13.

Competition. Seven of applicant's 11 offices, including the main office, are located in Reading, Pennsylvania, population 98,000, or its immediate vicinity. 

The remaining offices are located to the west, northwest and southeast of Reading. All of applicant's offices are within Berks County. Farmers’ main office is 

situated at Boyertown, population 4,000, 14 miles east of Reading and just inside the eastern boundary of Berks County. Farmers' branch is located about

1.5 miles east of Boyertown just inside Montgomery County. The nearest offices 

of the merging banks are the main office of Farmers and the Birdsboro branch 

of applicant. They are 12 miles apart, not directly connected by highway, and 

intervened by offices of other banks. Existing competition between the merging 

banks, if any, is nominal and there appears to be no reasonable potential for 

significant competition between them.

Applicant competes directly with 13 offices of a Reading-based bank morethan twice applicant's size. This bank would hold 39.2 percent, or the greatest 

proportion of the deposit volume held by the banks operating within the resulting service area, and the resulting bank would hold 21.2 percent. Farmers’ 

principal competitor is a Boyertown-based bank whose deposit volume is double 

that of Farmers. Farmers also receives competition from three sizable PhiladelDigitized for FRASER 

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Federal Reserve Bank of St. Louis
70 FEDERAL DEPOSIT INSURANCE CORPORATION

phia area banks which operate nine offices in the Pottstown area, 6 miles 

south of Boyertown. Applicant's 2.4 percent gain in deposits would not significantly alter the competitive picture in the resulting service area. Wnile banking 

in that area is somewhat concentrated, 12 other banks operate 40 offices in the 

area. Several of these banks are large and formidable competitors. There is also 

substantial competition from nonbank institutions as well as some competition 

from out-of-area banks. The resulting bank would be the fifth largest serving the 

overall trade area and its presence in Boyertown should stimulate competition.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly, or in any other 

manner be in restraint of trade.

Financial and managerial resources and prospects. These factors are favorable with respect to applicant, as they will be with respect to the resulting bank. 

While the financial and managerial resources of the merging bank, Farmers, are 

satisfactory, its future prospects are clouded to some extent by its inability to 

meet the larger credit requirements of a growing community with consequent 

adverse effect on its demand deposit volume.

Convenience and needs of the community. The merger would have little impact on the convenience and needs of the area now served by applicant, but 

should significantly benefit the area served by Farmers by providing much 

greater credit to meet the needs of the area's larger business and industrial 

concerns. In addition, the applicant with its computer services and generally 

more complete banking and fiduciary services, would enhance the banking facilities in Boyertown.

For these reasons and on the basis of the above information and other 

information available to the Corporation, the Board of Directors has concluded 

that approval of the bank's application is warranted.

Resources

(in

thousands

of dollars)

Banking Offices

No. 25 In

operation

To be

operated

The Hartford Bank

Hartford, Kentucky

4,954 1 2

to merge with

The Farmers Bank

Centertown

1,085 1

Su m m ary report by Attorney G eneral, Ju n e 29, 1967

The proposed merger would combine two of the six commercial banks operating in Ohio County in West Central Kentucky. The proposed merger would eliminate some direct competition between the applicant banks and would reduce 

the number of commercial banking alternatives from six to five. The bank which 

would be eliminated by this merger is presently the county's smallest commercial bank. The acquiring bank holds 22 percent of the county’s IPC demand 

deposits and the acquired bank 6 percent.

B a sis for Corporation approval, O ctober 12, 1967

The Hartford Bank, Hartford, Kentucky (applicant), an insured State nonmember bank with total deposits of $4,539,000, has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance Act, for the 

Corporation's prior approval to merge with The Farmers Bank, Centertown, 

Kentucky (Farmers), an insured State nonmember bank which has total deposits 

of $1,012,500. The banks would merge under the charter and with the title of 

the applicant, and as an incident to the merger, the sole office of Farmers would 

become a branch of the applicant, increasing the number of its offices to two.

Competition. Applicant is located in Hartford (population 1,618), the seat of

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 71

Ohio County. Farmers’ office is located 6 miles southwest in Centertown (population 327). Applicant’s influence extends throughout the county and 

encompasses the service area of Farmers which consists of a small area around 

Centertown in the southwestern corner of the county. However, there is no significant competition between the merging banks. They have been commonly 

owned and managed for about 15 years and the possibility of competition developing between them in the future is limited not only by this but by the size 

and nature of the Centertown area. This area has been declining in population 

and appears too small in deposit potential to continue to support a viable unit 

bank.

Applicant’s principal competitor is a bank in Beaver Dam which is the largest 

bank in the county and located 4 miles southeast. Applicant would remain second in size in the county and would have $5.2 million IPC deposits following 

consummation of the proposal. The Beaver Dam bank has IPC deposits of $6.3 

million. The addition of $1 million to applicant's present IPC deposit size would 

cause little change in competition throughout the county since the merging 

banks have operated under the same ownership and management for many 

years.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly, or in any other 

manner be in restraint of trade.

Financial and Managerial Resources and Prospects. These factors are favorable with respect to the resulting bank as they have been with respect to the applicant. The financial and managerial resources with respect to Farmers are 

satisfactory, however, its future prospects as a unit bank are unsatisfactory 

because of its inadequate lending lim it of $12,000, deposit growth potential and 

the burden on its earnings which has been imposed by the recent increase in 

time deposit interest rates.

Convenience and Needs of the Community to be Served. There would be 

some benefit to the convenience and needs of the community now served by 

the applicant in that increased lending capacity would be available. The Centertown area would benefit by the availability of additional and improved deposit 

and loan services directly in the community.

For these reasons and on the basis of the above information and other information available to the Corporation, the Board of Directors has concluded that 

approval of the bank's application is warranted.

Resources

(in

thousands

of dollars)

Banking Offices

No. 26 In

operation

To be

operated

Banco Popular de Puerto Rico

San Juan, Puerto Rico

397,838 58 58

to acquire a portion of the assets

and assume a portion of the

deposit liabilities of

Chemical Bank New York Trust Company

New York, New York

5,149 2 1

Su m m ary report by A ttorney G eneral, October 13, 1967

This transaction will result in the purchase by Banco Popular of Chemical's 

lease on banking facilities located at 90 Delancey Street in Manhattan, together 

with the bulk of that branch office's assets and deposit liabilities. Banco will 

transfer its banking operation now conducted at 111 Essex Street (one block 

away) to the Delancey Street location. At the same time, Chemical’s banking 

operation in this now predominantly Spanish-speaking area will be closed. 

Because of the relative nearness of the two banks to each other, it is probable

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72 FEDERAL DEPOSIT INSURANCE CORPORATION

that direct competition exists between them, and this competition would be 

foreclosed by consummation of the instant transaction. However, we do not believe that the transaction would adversely affect over-all area competition, nor 

do we think that its consummation would result in a significant increase in area 

concentration.

B a sis for Corporation approval, October 13, 1967

Banco Popular de Puerto Rico, San Juan (Hato Rey), Puerto Rico (applicant), 

an insured nonmember bank with total deposits of about $345 million, has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit 

Insurance Act, for the Corporation’s prior approval to purchase a portion of the 

assets and assume the liability to pay a portion of the deposits made in the 90 

Delancey Street branch of Chemical Bank New York Trust Company, New York 

(Manhattan), New York (Chemical), which has total deposits of about $6.3 billion including $6.5 million in deposits at the branch. As an incident of the proposed transaction, the present office of applicant at 111 Essex Street would be 

closed. Its operations would be relocated to the 90 Delancey Street branch of 

Chemical and there would be no change in the existing number of applicant's 

offices.

Competition. Applicant’s Essex Street branch and Chemical’s Delancey Street 

office are 150 feet apart in the Lower East Side section of the Borough of Manhattan in New York City. The population of the service area was 50,473 in 

1960. Applicant operates two other branches in Manhattan, one in the Bronx, 

42 permanent branches in Puerto Rico and 6 mobile units serving 11 locations 

on the Island, for a total of 58 outlets, including the main office. Chemical operated a total of 139 offices on June 30, 1967. Its main office and 76 of its 

branches are located in Manhattan.

There are seven banking offices of six other commercial banks and two 

branches of a mutual savings bank located in the area served by the participating banks’ branches involved in the proposal. The neighborhood is predominantly Puerto Rican and applicant’s branch is eminently suited to compete for 

the business of this segment of the population. Chemical’s Delancey Street 

branch deposits have leveled off since 1962 and it apparantly is not competing 

effectively in this service area. Competition between the participating banks' 

branches involved in the proposal would not appear to be substantial. Moreover, relative to the total competition generated among the bank offices in the 

service area, the elimination of Chemical’s branch as a competitor would not 

substantially reduce overall competition.

Applicant’s Essex Street branch would assume about $5.1 million in IPC deposits held by Chemical’s Delancey Street branch and the resulting office would 

hold 11.8 percent of the aggregate IPC deposits held by the eight commercial 

banking offices remaining in the service area. Two large New York banks, with 

total deposits of $4 billion and $6 billion, each hold 29.1 percent of the IPC deposits through their three branches in the area. Applicant's branch would hold 

the fourth largest proportion of IPC deposits and the applicant would be the 

fifth largest commercial bank represented there. The remaining four largest 

commercial banks having branches in the area hold total deposits ranging between $1.0 billion and $11.0 billion.

The Board of Directors is of the opinion that the proposed transaction would 

not substantially lessen competition, tend to create a monopoly, or in any other 

manner be in restraint of trade.

Financial and Managerial Resources and Prospects. These factors are favorable with respect to the applicant as they will be with respect to the resulting 

bank. The future prospects of Chemical’s Delancey Street branch are clouded to 

some extent by its apparent lack of deposit growth.

Convenience and Needs of the Community to be Served. Discontinuance of 

bank operations at applicant’s Essex Street branch has been necessitated by 

condemnation proceedings of its property by the City of New York. Its relocation to a site only 150 feet distant should not cause significant inconvenience

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to its customers. The proposed branch and its Spanish-speaking staff will occupy 

a more prominent location from which to serve the predominantly Puerto Rican 

neighborhood. The number of bank offices in the area will be reduced by 

one, however, seven branches of six other commercial banks and two offices of 

a mutual savings bank will be located within the service area and within 2,000 

feet of the proposed branch office.

For these reasons and on the basis of the above information and other information available to the Corporation, the Board of Directors has concluded that 

approval of the bank’s application is warranted.

No. 27

Resources

(in

thousands

of dollars)

Banking Offices

In

operation

To be

operated

The Peoples Bank of South 9,182 2 3

Carolina, Inc.

Florence, South Carolina

to merge with

The Peoples Bank 924 1

Lynchburg

Su m m ary report by A ttorney G eneral, Ju ly 2 5, 1967

Peoples Bank of South Carolina ("Florence Bank") proposes to merge with 

Peoples Bank of Lynchburg (“ Lynchburg Bank").

Florence Bank’s operations are centered in the City of Florence (population 

24,722), which is the county seat of Florence County (population 84,438). The 

county is located in the northeastern portion of the State of South Carolina and 

is primarily an agricultural area, although industry is becoming increasingly important. The county has 10 banks with 22 banking offices; and Florence Bank 

has about 8.4 percent of the IPC demand deposits of such banks. Within the 

City of Florence itself, there are four banks with 11 offices: Florence Bank is the 

smallest of these in terms of total deposits— competing with four branches of 

The South Carolina National Bank of Charleston (total deposits, $378.3 million), 

two branches of The Citizens and Southern National Ban!' of South Carolina (total deposits, $203.5 million), and the head office and two branches of Guaranty 

Bank and Trust Company (total deposits, $22.1 million).

Lynchburg Bank is located in Lynchburg (population 544), which is located 

in adjacent Lee County (population 21,832), about 20 miles southwest of Florence. Lynchburg Bank is the only bank in Lynchburg and the surrounding 

agricultural areas. Lee County, an area of declining population, has three banking offices operated by three banks; and Lynchburg Bank accounts for about 15 

percent of the IPC demand deposits of these three banks.

The offices of the two merging institutions are about 20 miles apart in different counties. Since there is only one bank lying between the communities of 

Florence and Lynchburg, it may well be that the four Florence banks compete 

to some extent with Lynchburg Bank for business from the intervening area; 

nevertheless, the amount of direct competition between the merging banks 

would not appear to be substantial.

While South Carolina law permits statewide branch banking, there is no evidence that either of the merging banks (which appear to be the smallest 

institutions in their respective areas) is one of the most probable entrants into 

the market of the other by de novo branching.

Therefore, in view of the size of the merging banks and the distance between 

them, we believe that any adverse effect on competition would be slight.

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74 FEDERAL DEPOSIT INSURANCE CORPORATION

B a sis for Corporation approval, October 18, 1967

The Peoples Bank of South Carolina, Inc., Florence, South Carolina (applicant), an insured State nonmember bank, with total deposits of about $6.3 million, has applied, pursuant to Section 18(c) and other provisions of the Federal 

Deposit Insurance Act, for the Corporation's prior approval to merge with The 

Peoples Bank, Lynchburg, South Carolina (Lynchburg Bank), which has total deposits of about $900,000. The banks would merge under the charter and title of 

applicant and as an incident thereof the sole office of Lynchburg Bank would 

become a branch of applicant, increasing the number of its offices to three.

Competition. Applicant's main office and sole branch are located in Florence, 

South Carolina, population 24,700. Lynchburg Bank is located 20 miles southwest of Florence in the farming community of Lynchburg, population 540. The 

two banks operate in separate and distinct service areas without apparent over* 

lap. There are no other banking offices in Lynchburg but Lynchburg Bank competes against seven other banks with 11 banking offices, including a bank 

located almost midway between Lynchburg and Florence. Applicant competes 

against one other bank headquartered in Florence which has two in-town 

branches, as well as against three larger Charleston and Columbia based banks 

which operate a total of six branches in Florence and two in Darlington, 10 

miles northwest of Florence, but within the trade area served by applicant 

There is little competition existing between the two participating banks which 

would be eliminated by their merger. Applicant holds 9.8 percent of the aggregate deposits of its service area as compared with the 1.7 percent share held 

by Lynchburg Bank in its service area. Because of Lynchburg’s small size and 

history of decline, there appears to be no reasonable potential for significant 

competition between the two subject banks.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly, or in any other 

manner be in restraint of trade.

Financial and managerial resources and future prospects. These factors are 

all favorable with respect to applicant as they would be with respect to the resulting bank. Lynchburg Bank, on the other hand, is facing a management 

succession problem, inasmuch as the two dominant individuals in management 

are both over 70 years of age. Its future prospects, furthermore, are clouded by 

the rising cost of time deposits and the growing need to increase staff salaries 

to realistic levels.

Convenience and needs of the community. The proposed merger would bring 

a wider range of banking services to the Lynchburg area including an increase 

in the legal lending lim it from $16,500 to $170,600. Local customers would get 

the benefit of generally higher rates of interest paid on time deposits and of exchanging checks on a par basis.

Resources

(in

thousands

of dollars)

Banking Offices

No. 28 In

operation

To be

operated

Merchants State Bank 11,933 3 4

Humboldt, Tennessee

to merge with

The Bank of Gibson 970 1

Gibson

Su m m ary report by A ttorney G eneral, Ju n e 2 7, 1967

Merchants State Bank of Humboldt, Tennessee, proposes to merge with The 

Bank of Gibson, Gibson, Tennessee. Both banks are located within Gibson 

County, Tennessee (population 44,699), which has 14 banks with 20 banking 

offices.

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The head offices of the two banks are 5 miles apart, with no other banks in 

the intervening area. Gibson Bank clearly competes with Merchants, as well as 

with the other two banks in Humboldt, and the proposed merger would eliminate this competition with Merchants.

Gibson was created by Merchants in 1903, and for many years Merchants 

has owned about 40 percent of Gibson's stock. This affiliation may in fact reduce the degree of actual competition between them.

Concentration in commercial banking would be increased slightly by the proposal. Within Gibson County, Merchants now has 17 percent of total county IPC 

demand deposits; its merger with Gibson Bank would add another 2 percent to 

its market share.

B a sis for Corporation approval, O ctober 18, 1967

Merchants State Bank, Humboldt, Tennessee (State Bank), an insured State 

nonmember bank with total deposits of about $11 million, has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance 

Act, for the Corporation's prior approval to merge with The Bank of Gibson, Gibson, Tennessee (Merging Bank), also an insured State nonmember bank which 

has total deposits of about $900,000. The banks would merge under the charter 

and title of State Bank and as an incident thereof, the sole office of Merging 

Bank would become a branch of State Bank, increasing the number of its offices to four.

Competition. Humboldt, Tennessee, the location of the main office and one 

branch of State Bank (its only other branch is at Rutherford, well outside the 

service area relevant to this proposal) is in the extreme southern part of Gibson 

County and has a population in excess of 10,000. The Town of Gibson, the location of Merging Bank, is situated some 5 miles northeast of Humboldt, and is 

a small farming community with a population of about 300. The service areas 

of the participating banks overlap; however, competition between them is minimal. State Bank was instrumental in the founding of Merging Bank in 1903, and 

has since held in excess of 40 percent of that bank's outstanding stock. Merging Bank has been more of a satellite of State Bank than a competitor.

The present concentration of deposits and loans in the service area and in 

Gibson County would be relatively undisturbed by this merger. State Bank presently has 18.9 percent of the IPC deposits and 23.7 percent of the loans in the 

service area. The resulting bank would have 20.8 percent and 24.3 percent of 

the IPC deposits and of the loans, respectively. There would continue to be vigorous competition from nine other banking offices in the primary service area, 

three of which combined hold 49.0 percent of the IPC deposits and 44.2 percent of the loans. There is also considerable competition from nonbank institutions in the area.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly, or in any other 

manner be in restraint of trade.

Financial and Managerial Resources and Prospects. These factors are favorable with respect to State Bank, as they will be with respect to the resulting 

bank. When considering Merging Bank, the financial and managerial resources 

are satisfactory and its future prospects, although satisfactory also, are somewhat less favorable than State Bank, inasmuch as its size tends to circumscribe 

the services it is able to render.

Convenience and Needs of the Community. The merger would have little impact on the convenience and needs of the area now served by State Bank, but 

should benefit the community of Gibson through the resulting bank's ability to 

handle larger lines of credit and through the introduction of par banking and 

trust services on a local basis.

Based on the foregoing and other information available to the Corporation, 

the Board of Directors has concluded that approval of the bank's application is 

warranted.

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76 FEDERAL DEPOSIT INSURANCE CORPORATION

Resources

(m

thousands

of dollars)

Banking Offices

No. 29 In

operation

To be

operated

Banco Popular de Puerto Rico

San Juan, Puerto Rico

402,987 58 59

to acquire the assets and assume

the liabilities of

Banco de San German

San German

3,763 1

Approved under emergency provisions. No report requested from Attorney 

General.

B a sis for Corporation approval, Novem ber 7, 1967

Banco Popular de Puerto Rico, San Juan (Hato Rey), Puerto Rico, an insured 

nonmember bank with total deposits of about $350.4 million, has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance 

Act, for the Corporation’s prior approval to purchase the assets and assume the 

liability to pay deposits of Banco de San German, San German, Puerto Rico, an 

insured nonmember bank with total deposits of about $4.5 million. As an incident of the proposed transaction, the present sole office of the Banco de San 

German would become a branch of the resulting bank.

Substantial shortages have been discovered in the accounts of the Banco de 

San German, far exceeding capital and reserves and destroying liquidity. The 

Board of Directors has found that it must act immediately in approving the application to prevent the probable failure of the Banco de San German.

Resources

(in

thousands

of dollars)

Banking Offices

No. 30 In

operation

To be

operated

Continental Bank and Trust Company

Norristown, Pennsylvania 

to acquire the assets and

assume the liabilities of

443,476 39 40

Sonsitaly Bank and Trust Company

Philadelphia

5,705 1

Su m m ary report by A ttorney G eneral, Septem ber 2 6, 1967

The proposed transaction would combine the sixth largest commercial bank 

in the Philadelphia area, Continental, with one of the smallest commercial 

banks in that area, Sonsitaly.

In the entire Philadelphia Standard Metropolitan Area, a market probably too 

broad for analysis in this particular case, the proposed merger would increase 

Continental’s share of total deposits from 4.7 to 5.3 percent, and its effect on 

concentration in this area would not be substantial.

On the other hand, since the Tasker Street branch of Continental is directly 

adjacent to Sonsitaly’s sole office and is certainly the closest competitor, the 

proposed merger would eliminate considerable direct competition between these 

two banks for mortgage loans and certain deposit customers.

B a sis for Corporation approval, Novem ber 7, 1967

Continental Bank & Trust Company, Norristown, Pennsylvania (Continental), 

an insured State nonmember bank with total deposits of about $383 million, 

has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance Act, for the Corporation's prior approval to acquire the assets

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 77

and assume the liabilities of Sonsitaly Bank and Trust Company, Philadelphia, 

Pennsylvania (Sonsitaly), also an insured State nonmember bank, which has total deposits of about $5 million. The banks would effect this transaction under 

the charter and title of Continental and as an incident thereof the sole office of 

Sonsitaly would become a branch of Continental, increasing the number of its 

offices to 40. It also has one approved but unopened branch.

Competition. Continental’s service area is located in the southeastern corner 

of Pennsylvania and consists of all of Philadelphia and Montgomery Counties 

and portions of four other counties contiguous to Montgomery County. The 

population of the service area is estimated to be in excess of 2.3 million. 

Sonsitaly’s service area, a section of South Philadelphia, contains 11 offices of 

six other commercial banks, including a Continental branch, iy2 blocks from 

Sonsitaly. The resulting bank's share of the aggregate commercial bank deposits of this area would be fourth largest. Continental's nearest other office to 

Sonsitaly is i y 2 miles to the northeast and separated by a competing bank office. Competition between Continental's local branch and Sonsitaly is minimized 

by the limited range of services that Sonsitaly offers. Its three basic services 

are checking accounts, savings accounts, and residential mortgage loans and 

even these limited services are offered principally to the ethnic group related to 

the ownership interest. The bank’s growth has been virtually static and its future appears less than bright. Conversely, Continental is a large institution with 

broader experience and capacity in all banking functions. The aggressive management and policies of Continental would promote competition in all fields of 

operation. The present concentration of banking in the Philadalphia area would 

be largely unaffected by this transaction. In addition, mutual savings banks and 

nonbank institutions offer considerable competition.

The Board of Directors is of the opinion that the proposed transaction would 

not substantially lessen competition, tend to create a monopoly or, in any other 

manner, be in restraint of trade.

Financial and Managerial Resources and Prospects. Although Continental's record under these factors is favorable, Sonsitaly has experienced only nominal 

growth, has suffered a decline in the past three years in its adjusted capital 

and has demonstrated weak earnings. It lacks the management and facilities to 

compete as a full-service bank.

The resulting bank would be satisfactory under all these factors.

Convenience and Needs of the Community. The transaction would have virtually no effect on the services offered in the trade area of Continental. It 

would, however, result in a significant expansion of the services offered to Sonsitaly's customers at its present location. A small limited-service bank would be 

replaced by a branch of a large full-service bank.

Based on the foregoing and on other information available to the Corporation, the Board of Directors has concluded that approval of the bank's application is warranted.

Resources

(in

thousands

of dollars)

Banking Offices

No. 31 In

operation

To be

operated

Northwest Pennsylvania Bank &

Trust Co. 103,611 14 16

Oil City, Pennsylvania 

to merge with

The Grove City National Bank

Grove City

14,004 2

S u m m ary report by A ttorney G eneral, Ju ly 2 4, 1967

Northwest Pennsylvania Bank & Trust Company ("Northwest” ), a 14-office 

bank in northwestern Pennsylvania, proposes to acquire Grove City National

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78 FEDERAL DEPOSIT INSURANCE CORPORATION

Bank ("Grove City Bank") in Grove City, Pennsylvania. The latter bank operates 

its main office and a branch in Grove City, Mercer County, Pennsylvania.

Grove City (population, 8,368) has three banking offices: the two offices of 

Grove City Bank and a branch of First Seneca Bank & Trust Company. There 

are no other banks in the immediate area.

Mercer County as a whole (population, 127,591) has eight banks with 29 

banking offices. This total includes two Northwest branches in the town of Mercer, and a third in the town of Fredonia.

The proposed merger would eliminate at least some direct competition between Northwest and Grove City Bank. Of the six banking offices closest to 

Grove City, three are branches of Northwest— two located 10 miles to the 

northwest at Mercer (in Mercer County) and one located 13 miles to the east at 

Clintonville (in Venango County). Mercer and Grove City are connected by a 

main highway and there are no towns or banks in between. The three other 

banks are located 4, 7, and 10 miles away, respectively. It would thus appear 

that Northwest’s offices are close enough to compete with Grove City Bank and 

First Seneca Bank and Trust Co. for business in Grove City.

There has been a substantial bank merger trend in the four counties— Venango, Clarion, Crawford and Mercer— where Northwest’s 14 offices are located. 

The leading bank in this four-county area is Northwest (deposits of $92.5 million), with First Seneca Bank & Trust Company (deposits of approximately $90 

million) a close second. Both Northwest and First Seneca have engaged in extensive merger activity in recent years. Since 1953, Northwest has acquired 

eight banks, and First Seneca has acquired nine. Other banks have also participated in the area's merger trend— which has resulted in the elimination of 

more than 21 independent banks in the four-county area, and has contributed 

to the concentration of about 40 percent of the area's deposits in the hands of 

the area's two largest banks.

Within the four-county area in which Northwest operates, Northwest has 20.1 

percent of $425.4 million in IPC deposits (demand and time), and Grove City 

Bank has 2.8 percent. In Mercer County alone, Northwest’s three branches account for 9.8 percent of the county's $159.7 million in IPC deposits, and Grove 

City Bank has 7.8 percent.

Thus the proposed merger involves significant increase in concentration— 

particularly in Mercer County— in the context of a long-term trend toward increased concentration in banking resources resulting from mergers.

For the reasons stated above, we find the proposed merger between 

Northwest and Grove City Bank to be significantly anti-competitive.

B a sis for Corporation approval, Novem ber 7, 1967

Northwest Pennsylvania Bank & Trust Co., Oil City, Pennsylvania (applicant), 

an insured State nonmember bank with total deposits of $92,537,000, has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance Act, for the Corporation’s prior approval to merge with The Grove City 

National Bank, Grove City, Pennsylvania (Grove City Bank), which has total deposits of $12,517,000. The banks would merge under the charter and with the 

title of the applicant, and as an incident to the merger, the two offices of Grove 

City Bank would become branches of the applicant, increasing the number of 

its offices to 16.

Competition. Applicant is headquartered in Oil City (population 17,700), 

which is situated in the central section of Venango County. It operates 14 offices throughout Venango, Clarion, Mercer, and Crawford Counties. Grove City 

Bank's two offices are in the community of Grove City (population 8,400), 

which is situated in the southeastern corner of Mercer County. The merging 

banks' main offices are about 35 miles apart. Applicant's offices closest to 

Grove City are its branches in Mercer and Clintonville, 10 and 13 miles distant. 

Primary competition to Grove City Bank is furnished by First Seneca Bank and 

Trust Company which has IPC deposits of $87 million and two branches in

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 79

Grove City. First Seneca Bank is headquartered in Oil City and is applicant's 

principal competitor. Four miles from Grove City, in Harrisville, is a branch of 

the $2.3 billion IPC deposit bank, Mellon National Bank and Trust Company, 

Pittsburgh. The merging bank’s closest offices derive only a small portion of 

their business from each other's service areas.

Applicant is the fourth largest bank in absolute size in the resulting service 

area and the proposal would not significantly increase its share of the aggregate IPC deposits. Applicant presently holds the largest proportion, 19.4 percent, which exceeds by a narrow margin the 19.2 percent held by its principal 

competitor, First Seneca Bank and Trust Company. The resulting bank would 

have 22.2 percent. The largest bank in absolute size represented in the area is 

Mellon National Bank. The increase in applicant's size would not materially affect the existing competitive relationships in the communities it presently 

serves. The entry of applicant into Grove City would tend to stimulate competition in that community where the applicant's principal competitor is presently 

represented.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly or, in any other 

manner, be in restraint of trade.

Financial and Managerial Resources and Prospects. These factors are favorable with respect to the resulting bank as they have been with respect to the 

merging banks. The proposal would resolve a problem of management succession at the Grove City Bank and provide managerial resources of adequate 

depth and quality.

Convenience and Needs of the Community to be Served. Consummation of 

the merger will introduce an aggressive management with expanded and more 

competitive banking services which should benefit the Grove City community. Industry in the area is expanding and recent loan demands have been higher than 

Grove City Bank could independently accommodate. The applicant will provide 

more comprehensive and complete trust services than Grove City Bank now offers. The residents of the area will continue to have a good choice of banking 

facilities with two banking alternatives in Grove City and four others at four locations within 10 miles.

Based on the foregoing and other information available to the Corporation, 

the Board of Directors has concluded that approval of the bank's application is 

warranted.

No. 32

Resources

(in

thousands

of dollars)

Banking Offices

In

operation

To be

operated

Branch Banking & Trust Company 157,706 40 42

Wilson, North Carolina

to merge with

Bank of Davie 10,230 2

Mocksville

Su m m ary report by A ttorney G eneral, Septem ber 29, 1967

The Branch Banking and Trust Co. (“ BB&T") proposed to merge with the 

Bank of Davie (“ Davie” ). BB&T, the sixth largest bank in North Carolina, operates 40 banking offices primarily in Eastern North Carolina. Davie has two offices in Mocksville, which is in Davie County in the Piedmont region of the 

State.

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80 FEDERAL DEPOSIT INSURANCE CORPORATION

At present, the expanding banking market of Davie County is served by only 

two banks— Davie and a branch of Central Carolina Bank and Trust Co., a Durham-based bank with total deposits of $80.8 million. Davie is the dominant institution in the market, accounting for over 85 percent of both total deposits 

and IPC demand deposits in the county.

Since the nearest office of BB&T is approximately 120 miles from the nearest 

office of Davie, at the opposite end of the State, it is unlikely that there is direct substantial competition between the merging banks which would be 

foreclosed by the proposed merger.

The proposed merger would eliminate BB&T as a source of potential competition in Davie County, since North Carolina law permits statewide branch banking (N.C. Gen. Stat. §53-62). Since BB&T is the sixth largest bank in the State it 

would appear to be one of the most likely entrants into Davie County, an area 

of expanding economic growth.

The proposed merger is part of a continuing trend of acquisitions and mergers by North Carolina's largest commercial banks. This merger trend has 

already had an adverse effect on potential competition in the State by inhibiting 

the establishment of de novo branches by the largest banks, and thereby retarding the development of a more competitive banking structure in North Carolina.

B a sis for Corporation approval, Novem ber 2, 1967

Branch Banking & Trust Company, Wilson, North Carolina (applicant), an insured State nonmember bank, with total deposits of about $134.5 million, has 

applied, pursuant to Section 18(c) and other provisions of the Federal Deposit 

Insurance Act, for the Corporation's prior approval to merge Bank of Davie, 

Mocksville, North Carolina which has total deposits of about $8,9 million. The 

banks would merge under the charter and title of applicant and as an incident 

thereof the two offices of the Bank of Davie would become branches of applicant, increasing the number of its offices to 42.

Competition. Applicant’s main office is located in Wilson, North Carolina, 160 

miles east of Mocksville and its closest office to Mocksville is at Cary, 102 

miles to the east. Applicant is the State’s sixth largest bank, operating 40 offices in 18 separate service areas throughout eastern North Carolina in competition with the State’s four largest banks and numerous smaller institutions. Bank 

of Davie is the only bank in Mocksville, population 2,400. It competes with the 

only other bank in Davie County which has a branch in Cooleemee, 5 miles distant, and approval to establish a branch in Mocksville which is now nearing 

completion. There is no competition existing between applicant and Bank of 

Davie which would be eliminated by their merger. Because of several factors, 

including the long distance between Mocksville and applicant's nearest offices, 

any potential for competition between the two participating banks through de

novo branching in each other’s area is slight.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly or, in any other 

manner, be in restraint of trade.

Financial and Managerial Resources and Future Prospects. These factors are 

favorable for applicant and Bank of Davie as they would be with respect to the 

resulting bank.

Convenience and Needs of the Community. The effect of the proposed 

merger on the community would be to introduce the wider services of applicant into the Mocksville and Davie County area, including trust and other 

specialized banking and greatly expand legal lending limitations and capacity.

Based on the foregoing and other information available to the Corporation, 

the Board of Directors has concluded that approval of the bank's application is 

warranted.

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 81

Resources

On

thousands

of dollars)

Banking Offices

No. 33 In

operation

To be

operated

Bank of the West

Bellevue, Washington 

to merge with

7,925 1 2

Highlands National Bank of Renton

Renton

3,032 1

Su m m ary report by A ttorney G eneral, Septem ber 1, 1967

The proposed merger involves two small banks that opened for business in 

1965, located in King County, Washington (which also contains the City of Seattle).

There appears to be little present direct competition between the merging 

banks, located approximately 9 miles apart in two different suburbs of Seattle. 

There are several smaller communities, and a considerable number of banking 

alternatives, situated between Bellevue and Renton.

Within the Bellevue-Renton area (in King County), the bank resulting from 

the proposed merger would hold 4.5 percent of total IPC deposits individually; 

Highlands now holds 1.4 and West 3.1 percent of such deposits. If the merger 

were approved, there would continue to be eight banks with 25 offices in this 

area. Among them are banks with considerably larger market shares than the 

resulting bank, including Seattle-First National Bank, Washington Mutual Savings Bank, Peoples National Bank, and National Bank of Commerce, with about 

38, 20, 13, and 12 percent, respectively, of IPC deposits within the BellevueRenton area.

Within King County as a whole (which we believe overstates the market), the 

combined share of IPC demand deposits of the merging banks is only about 0.2 

percent.

We conclude that the proposed merger will have little, if any, effect upon 

competition within the Bellevue-Renton area, King County or the broader Seattle 

Metropolitan Area.

B a sis for Corporation approval, Novem ber 15, 1967

Bank of the West, Bellevue, Washington (applicant), an insured State nonmember bank with total deposits of $6.5 million has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance Act, for the 

Corporation's prior approval to merge with Highlands National Bank of Renton, 

Renton, Washington (National), which has total deposits of $2,451,000. The 

banks would merge under the charter and with the title of the applicant and, as 

an incident to the merger, the sole office of National would become a branch of 

the applicant, increasing the number of its offices to two.

Competition. Bellevue (population 22,000) is located 10 miles east from 

downtown Seattle. Renton (population 23,000) is located 11 miles south from 

Bellevue and 12 miles southeast from downtown Seattle. Both banks are new 

institutions opened in 1965; they primarily serve separate although contiguous 

areas. Several offices of other banks intervene their locations, and competition 

between them is minimal.

Several offices of some of the largest banks headquartered in the State are 

located in each merging bank's service area. Eight commercial banks presently 

operate 22 offices in the combined service area. These offices include 19 operated by five of the State's eight largest commercial banks. The largest bank has 

eight offices in the area which hold almost 47 percent of the aggregated deposits. Three other banks hold proportions ranging between 12 percent and 17 percent. The resulting bank’s two offices would hold but 5.7 percent. The resulting 

bank would be smallest in absolute size in the combined service area. The next 

larger bank has $12.5 million in deposits, and the remaining banks have total

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82 FEDERAL DEPOSIT INSURANCE CORPORATION

deposits ranging from $117 million to $1.4 billion. The proposed merger would 

have no adverse effect on competition in either merging bank's service area.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly or, in any other 

manner, be in restraint of trade.

Financial and Managerial Resources and Prospects. These factors have been 

favorable with respect to the merging banks and are so projected for the resulting bank. Future deposit growth prospects for National, as a branch of the applicant, would be enhanced under the latter's more aggressive management.

Convenience and Needs of the Community to be Served. The increased lending lim it would be of benefit to customers of both merging banks which are 

located in economically expanding areas. The resulting bank will offer, to a 

greater extent, complete mortgage loan services demanded by the heavy residential building activity in both service areas. It is anticipated that National's 

inadequate quarters will be replaced by a new and larger building which would 

better serve the needs of the community. It is planned to concurrently extend 

the daily hours of the proposed branch in Renton for the convenience of the 

commuter population.

On the basis of the above information and other information available to the 

Corporation, the Board of Directors has concluded that the approval of the 

bank’s application is warranted.

Resources

(in

thousands

of dollars)

Banking Offices

No. 34 In

operation

To be

operated

The Guaranty Bank

Phoenix, Arizona 

(change title to United Bank of 

Arizona) 

to merge with

68,333 6 12

Central Arizona Bank,

Casa Grande,

4,949 2

First Security Bank,

Mesa, and

19,592 3

The Saguaro Bank

Tempe

9,543 1

Su m m ary report by A ttorney G eneral, A ugust 2 8, 1967

There is no doubt that a certain amount of direct competition exists between 

Guaranty, First Security and Saguaro, since the distances between Phoenix, 

Tempe and Mesa are short and the number of commuters may be significant. 

On the other hand, there would appear to be very little direct competition between Central (in Casa Grande) and the other three banks in Metropolitan Phoenix, 38, 44, and 57 miles away, respectively.

Guaranty is presently the fifth largest bank in Arizona and the fourth largest 

in the Phoenix area. The other big Arizona banks (Valley National, Arizona 

Bank, First National Bank of Arizona, and Southern Arizona Bank, the latter two 

being under common ownership), also operate in the Phoenix area. Banking is 

already highly concentrated in the Phoenix metropolitan area, with the four largest banks (including Guaranty) holding 92.7 percent of total commercial bank 

deposits.

Guaranty alone holds 4.2 percent of IPC demand deposits within the Phoenix 

metropolitan area (which may overstate market area somewhat); its proposed 

acquisition of First Security and Saguaro would increase its market share to 5.8 

percent. (Expressed in terms of total deposits, the combined market share 

would be about the same, or 5.7 percent.)

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 83

Guaranty's proposed acquisition of these two relatively new banks in Mesa 

and Tempe does not give it individually a high market share, but it would reduce the number of banking alternatives in the Phoenix metropolitan area from 

11 to nine. Proposed transaction would also eliminate, at the same time, three 

of the newer banking entrants in a State with a highly concentrated banking 

structure and only 16 banks altogether; all of these banks being acquired now 

possess unusual strength and recent growth and an even greater competitive 

potential for the future.

B a sis for Corporation approval, Novem ber 15, 1967

The Guaranty Bank, Phoenix, Arizona (applicant), an insured State nonmember bank with total deposits of $57,467,000, has applied, pursuant to Section 

18(c) and other provisions of the Federal Deposit Insurance Act, for the Corporation’s prior consent to merge with Central Arizona Bank, Casa Grande, Arizona 

(Central), an insured State nonmember bank which has total deposits of 

$4,079,000, First Security Bank, Mesa, Arizona (First Security), an insured State 

nonmember bank which has total deposits of $17,151,000, and The Saguaro 

Bank, Tempe, Arizona (Saguaro), an insured State nonmember bank which has 

total deposits of $8,547,000. The banks would merge under the charter of the 

applicant and with the title “ United Bank of Arizona" and, as an incident to the 

merger, applicant and Saguaro would retire part of their common capital and 

the six offices of Central, First Security and Saguaro would become branches of 

the applicant, increasing the number of its offices to 12.

Competition. Applicant is headquartered in Phoenix (population 518,000), the 

seat of Maricopa County. It has four branches in Phoenix and one branch in 

Scottsdale, 12 miles east from the main office. The applicant primarily serves 

the Phoenix-Scottsdale area. Central's main office is in Casa Grande, 57 miles 

southeast from the applicant’s main office. Central's sole branch is located in 

Coolidge, 22 miles northeast from Casa Grande. The Casa Grande-Coolidge area 

has a combined population of 13,500 and is more than 30 miles from any offices of the other participating banks. First Security's three offices are located 

in Mesa (population 57,000). Mesa is 19 miles southeast of Phoenix. Saguaro’s 

sole office is located in Tempe (population 50,000), 6 miles west from Mesa. 

Saguaro's office is Ay2 miles from the nearest office of First Security and these 

are the closest of any of the participating banks' offices. The Phoenix-Scottsdale 

area is separated from the Tempe and Mesa areas by the Salt River bed and 

numerous bank offices intervene each of the merging banks' locations. This and 

other evidence indicates that there is little direct competition between Central 

and any of the other three banks involved in the proposal and that competition 

between applicant, First Security and Saguaro is not substantial.

Two or more of the State's four largest banks operate offices in each of the 

areas served by the merging banks. In each case, the offices of the large banks 

hold the majority of the aggregate deposits held by the bank offices in the respective service areas. In the combined service area 11 banks operate 127 

offices. The State's four largest banks operate 109 of these offices and in the 

aggregate hold almost 90 percent of the deposits. These banks range in absolute deposit size from $180 million to $1.0 billion. There is little potential for 

any significant competition between these large banks and the merging banks. 

But, in consequence of this merger the resulting bank would have 12 offices 

and $87.2 million in deposits, or 6.0 percent of the aggregate, and would be a 

stronger institution than any of its components. This should tend to enhance its 

competition with the State’s banking giants represented in each participating 

bank's service area.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly or, in any other 

manner, be in restraint of trade.

Financial and Managerial Resources and Prospects. These factors are found 

to be generally satisfactory with respect to the resulting bank as they have been

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84 FEDERAL DEPOSIT INSURANCE CORPORATION

with respect to the merging banks. The proposal would result in stronger overall 

management and would resolve First Security's undercapitalized position.

Convenience and Needs of the Community to be Served. Most of the State's 

growth has occurred in the resulting bank’s service area and economic prospects are highly favorable. The resulting bank, with resources of almost $100 

million, a lending limit in excess of $1.0 million, trust services, a computer department and loan specialists, will be better able to serve this expanding region 

than could the four banks independently.

Based on the above information and other information available to the 

Corporation, the Board of Directors has concluded that approval of the bank's 

application is warranted.

Resources

(in

thousands

of dollars)

Banking Offices

No. 35 In

operation

To be

operated

Commerce Bank and Trust Company

Worcester, Massachusetts

13,157 2 3

to merge with

Shrewsbury Bank and Trust Company

Shrewsbury

5,375 1

Su m m ary report by A ttorney G eneral, Ju ly 25, 1967

The Commerce Bank and Trust Company, Worcester, Massachusetts, proposes to merge with the Shrewsbury Bank and Trust Company, Shrewsbury, 

Massachusetts.

The Shrewsbury Bank probably competes with Commerce to some extent, although its principal competitor is the local Shrewsbury branch of Worcester 

County National. Within the entire Worcester Metropolitan Area (an area which 

probably overstates the market in this case) the merging banks together hold 

only about 3 percent of total IPC demand deposits. It should be noted that the 

merging banks are largely owned by one family who hold 95 percent of the 

stock of Commerce and 89 percent of that of Shrewsbury Bank.

B a sis for Corporation approval, Novem ber 15, 1967

Commerce Bank and Trust Company, Worcester, Massachusetts (Commerce), 

an insured State nonmember bank with total deposits of about $11.2 millon, 

has applied pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance Act, for the Corporation’s prior approval to merge with 

Shrewsbury Bank and Trust Company, Shrewsbury, Massachusetts (Merging 

Bank), also an insured State nonmember bank, which has total deposits of 

about $4.6 million. The banks would effect this transaction under the charter 

and title of Commerce and as an incident thereof the sole office of Shrewsbury 

would become a branch of Commerce, increasing the number of its offices to 

three.

Competition. The primary service area of Commerce is the City of Worcester 

but touches on parts of six towns, including Shrewsbury, the location of Merging Bank. The primary service area of Merging Bank is the Town of Shrewsbury 

and portions of adjacent Worcester. Because of this overlapping of service 

areas, some competition exists between the participating banks but it does not 

appear to be substantial. The banks, moreover, are 3 miles apart in a populous 

area and are separated by a number of offices of other much larger banks. In 

addition, Merging Bank’s principal competitor, only one-tenth mile away, is a 

branch of the largest bank in Worcester County.

Commerce is the second smallest and Merging Bank the smallest in their respective primary service areas. The resulting bank would continue to be one of 

the smallest in the entire area, with only 5.2 percent of the commercial bank 

deposits while the next largest commercial bank would be four times as large

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 85

with 20.9 percent. In addition, several large mutual savings banks offer competition in the area. This merger should enhance the resulting bank's capacity to 

compete with the larger banks in its service area.

The Board of Directors is of the opinion that the proposed transaction would 

not substantially lessen competition, tend to create a monopoly or, in any other 

manner, be in restraint of trade.

Financial and Managerial Resources and Prospects. The banking factors with 

respect to both participating banks are satisfactory, as they would be following 

the proposed merger.

Convenience and Needs of the Community. This merger would give the resulting banks a significantly higher lending limit. In addition, trust services may 

be introduced at a future date. The community's needs should be better served 

through combining the operations of these two relatively small banks.

Based on the foregoing and on other information available to the Corporation, the Board of Directors has concluded that approval of the bank’s application is warranted.

Resources

(in

thousands

of dollars)

Banking Offices

No. 36 In

operation

To be

operated

The Central Jersey Bank and

Trust Company

Freehold Township, New Jersey 

to merge with

148,233 16 18

The Sea Bright National Bank

Sea Bright

7,738 2

Su m m ary report by A ttorney G eneral, Septem ber 29, 1967

The Central Jersey Bank and Trust Company is the second largest of 12 

banks located in Monmouth County, New Jersey, where it operates 15 branch 

offices.

Three branches of Central Jersey— in the towns of Long Branch, Eatontown, 

and Fort Monmouth— are located from about 5 to 7 miles distant from Sea 

Bright National. This distance is sufficiently short that we believe the merging 

banks to be in direct competition with one another for at least certain classes 

of business. This competition would, of course, be eliminated by the proposed 

merger.

The proposed merger would also increase the market share of Monmouth 

County's second largest bank by about 1.2 percent of total IPC deposits to 22.1 

percent, and further increase concentration in this already concentrated banking 

market.

B a sis for Corporation approval, Novem ber 2 2, 1967

The Central Jersey Bank and Trust Company, Freehold Township (P.O. Freehold), New Jersey (applicant), an insured State nonmember bank with total 

deposits of $133,835,000, has applied, pursuant to Section 18(c) and other 

provisions of the Federal Deposit Insurance Act, for the Corporation’s prior approval to merge with The Sea Bright National Bank, Sea Bright, New Jersey 

(National) which has total deposits of $7,315,000. The banks would merge under the charter and with the title of the applicant and, as an incident to the 

merger, the two offices of National would become branches of the applicant, increasing the number of its offices to 19, including applicant's approved, but 

unopened, de novo branch.

Competition. Applicant is headquartered in Freehold Township (population 

6,500), which completely surrounds the Borough of Freehold (population 9,100), 

the seat of Monmouth County. Applicant's 16 offices are in Monmouth County 

and it has approval for an additional branch in Freehold Township. National's

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86 FEDERAL DEPOSIT INSURANCE CORPORATION

main office is in the coastal resort community of Sea Bright (year-round population 1,400) and its sole branch is located in Rumson (population 7,400). Monmouth County, the relevant service area, has an estimated population of 

420,800. The merging banks' nearest offices are 6 and 7 miles apart. Other operating or approved banking offices intervene these areas. National's 

conservative policies indicate that it is not a strong competitive force in the 

area it serves. This and other evidence indicates that existing competition and 

the potential for significant competition between the merging banks is minimal.

The increase of 1.2 percent in the applicant's share of the aggregate IPC deposits held by the banks in Monmouth County would not change its position as 

second largest bank. The resulting bank would have 22.1 percent of such deposits. The largest bank in the county holds 24.8 percent. National's nearest 

competitor, located 2 miles from its Rumson branch, is a branch of the county's third largest bank. The county's largest bank has approval to establish a 

branch 2 miles from National's main office. The increased resources of the applicant would not significantly affect competition in Monmouth County. Applicant’s entry into the communities of Sea Bright and Rumson should stimulate 

competition in those areas.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly or, in any other 

manner, be in restraint of trade.

Financial and Managerial Resources and Prospects. These factors are satisfactory with respect to the merging banks and are so projected for the resulting 

bank.

Convenience and Needs of the Community to be Served. The Sea Bright and 

Rumson areas are not being adequately served by the National Bank. There is a 

demand in these areas for many services not now provided by National, including a much larger lending lim it and types of loans other than those offered by 

National, which the resulting bank can provide. In addition, the resulting bank 

will offer computer and trust services.

On the basis of the above information, and other information available to the 

Corporation, the Board of Directors has concluded that approval of the bank's 

application is warranted.

Resources

(in

thousands

of dollars)

Banking Offices

No. 37 In

operation

To be

operated

Wakefield Trust Company

Wakefield, Massachusetts 

(change title to Melrose-Wakefield 

Trust Company) 

to consolidate with

16,077 2 5

Melrose Trust Company

Melrose

14,328 3

Su m m ary report by A ttorney G eneral, Novem ber 7, 1967

The proposed consolidation involves Wakefield Trust Company, Wakefield, 

Massachusetts, and the Melrose Trust Company, Melrose, Massachusetts.

The closest offices of the merging banks are about 2 l/ 2 miles apart in the adjacent communities of Wakefield and Melrose. In the Wakefield-Melrose area, 

Wakefield Trust is the fourth largest bank and Melrose Trust is the fifth largest. 

In view of the fact, however, that both banks have for many years been controlled by the same bank holding company, we conclude that the effect of the 

proposed merger on competition would not be substantial.

B a sis for Corporation approval, Novem ber 28, 1967

Wakefield Trust Company, Wakefield, Massachusetts (Charter Bank), an inDigitized for FRASER 

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 87

sured State nonmember bank with total deposits of about $14 million, has applied, pursuant to Section 18(c) and other provisions of the Federal Deposit Insurance Act, for the Corporation's prior approval to consolidate with Melrose 

Trust Company, Melrose, Massachusetts (Merging Bank), also an insured State 

nonmember bank, which has total deposits of about $12.5 million. The banks 

would consolidate under the charter of Wakefield Trust Company and with the 

title Melrose-Wakefield Trust Company, and as an incident thereof, the three offices of Merging Bank would become branches of the resulting bank, increasing 

the total number of offices to five.

Competition. Wakefield, the location of Charter Bank's main office and its single branch, is located 10 miles north of Boston. Wakefield's population was approximately 24,000 in 1960. Melrose, where Merging Bank's main office and 

two branches are situated, is 3 miles nearer to Boston, and its population at 

the 1960 census was approximately 30,000. Both of the service areas are located in the Boston metropolitan area. Competition between the participating institutions is nominal and is further minimized by the fact that both institutions 

have long been controlled by The Shawmut Association, Inc., a registered bank 

holding company. It owns 75.7 percent of the outstanding stock of Charter 

Bank and acquired control in 1947, and 76.6 percent of the outstanding stock 

of Merging Bank, which it has controlled since 1937. In view of this long-standing common ownership, the intense competition from two much larger mutual 

savings banks in the combined service area, and the fact that Wakefield and 

Melrose are satellite municipalities in a large urban complex centering about 

Boston, the proposed consolidation would not have a significant effect upon 

competition. Although the large Boston banks may not legally branch into Wakefield or Melrose, they actively solicit business from those areas and many Wakefield and Melrose residents commute to Boston.

The Board of Directors is of the opinion that the proposed consolidation 

would not substantially lessen competition, tend to create a monopoly or, in 

any other manner, be in restraint of trade.

Financial and Managerial Resources and Prospects. The banking factors with 

respect to each participating bank are satisfactory as they would be with respect to the resulting bank following the proposed consolidation.

Convenience and Needs of the Community. Present and potential customers 

in both communities should benefit from the increased lending power of the resulting bank and the generally expanded services it would be able to offer.

Based on the foregoing and on other information available to the Corporation, the Board of Directors has concluded that approval of the application is 

warranted.

Resources

(in

thousands

of dollars)

Banking Offices

No. 38 In

operation

To be

operated

Bank of Clarksdale

Clarksdale, Mississippi 

to merge with

34,087 4 6

The Bank of Lambert, Lambert

Mississippi

Lambert

4,692 2

Su m m ary report by A ttorney G eneral, Novem ber 13, 1967

The Bank of Clarksdale (“ Clarksdale Bank"), with $30.5 million in total deposits, proposes to merge Bank of Lambert (“ Lambert Bank"), which holds 

total deposits of $4.3 million.

Two of Clarksdale Bank's four offices are situated in Clarksdale, Mississippi 

(population 22,000), the county seat of Coahoma County (population 46,212). 

Its two new offices, if approved, will also be located in that county. Lambert

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88 FEDERAL DEPOSIT INSURANCE CORPORATION

Bank’s two offices are situated in adjacent Quitman County (population 

21,019). This two-county area is still predominantly agricultural, although there 

is a gradual trend toward industrial growth. Prospects for continued economic 

growth are favorable.

Within Coahoma County, Clarksdale Bank competes directly with the four offices of two other commercial banks and is the dominant bank. Lambert Bank 

competes directly with the two offices of one other commercial bank in Quitman 

County but is the smaller of the two, holding about 40 percent of total deposits 

in the county.

The closest offices of the merging banks are about 22 miles apart, and there 

does not appear to exist a substantial amount of actual competition between 

them which would be eliminated by the proposed merger.

Mississippi law would permit Clarksdale Bank to expand by de novo branching into any community in adjacent Quitman County with a population of 3,500 

or more. However, since the largest community in Quitman County appears to 

be Marks (1960 population 2,600), the proposed merger would apparently not 

at this time involve the loss of Clarksdale Bank as a potential entrant into this 

county where only two banks presently operate.

B a sis for Corporation approval, Novem ber 28, 1967

Bank of Clarksdale, Clarksdale, Mississippi (applicant), an insured State nonmember bank with total deposits of $30,513,000, has applied, pursuant to 

Section 18(c) and other provisions of the Federal Deposit Insurance Act, for the 

Corporation’s prior approval to merge with The Bank of Lambert, Lambert, Mississippi, Lambert, Mississippi (Bank of Lambert) which has total deposits of 

$4,292,000. The banks would merge under the charter and with the title of the 

applicant and, as an incident to the merger, the two offices of Bank of Lambert 

would become branches of the applicant, increasing the number of its offices to 

eight, including applicant’s two approved, but unopened de novo branches at 

Lula and Jonestown.

Competition. Applicant operates a main office and one branch in Clarksdale, 

population 21,100, the seat of Coahoma County, population 46,200, in the 

Delta region of northwestern Mississippi. Two other branches are presently in 

operation, at Friars Point and at Drew, 14 miles northwest and 32 miles south, 

respectively, of Clarksdale. Bank of Lambert operates only one branch, at 

Sledge, population 440, 17 miles north of Lambert, a small agricultural center 

with a population of 1,180. The nearest offices of the merging banks are their 

main offices which are separated by 22 miles, with Bank of Lambert’s primary 

competitor and the only other bank in Quitman County located 4 miles to the 

north of Lambert in the intervening area on the primary highway to Clarksdale. 

Because of the distance between the merging banks, the proximity of other 

banks and the small size of Bank of Lambert and the communities it serves, 

there is little competition between them that would be eliminated by this proposal. The evidence further indicates there is little potential for competition.

There are two other effectively competing banks in Clarksdale, and although 

applicant is the largest bank headquartered in the overall service area, numerous banking alternatives are readily accessible, including branches of a considerably larger bank, based elsewhere. The relatively small increase in applicant's 

resources would not adversely affect competition in the relevant area.

The Board of Directors is of the opinion that the proposed merger would not 

substantially lessen competition, tend to create a monopoly or, in any other 

manner, be in restraint of trade.

Financial and Managerial Resources and Prospects. These factors are satisfactory with respect to applicant as they would be for the resulting bank. Bank 

of Lambert recently lost, through death, illness, and resignation, its active management and three of its directors. Prospects for rebuilding management are 

poor.

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BANK ABSORPTIONS APPROVED BY THE CORPORATION 89

Convenience and Needs of the Community to be Served. The evidence indicates applicant is a well-established bank, able and anxious to expand the 

services it offers and to extend them into new areas. Bank of Lambert’s main 

office is sorely in need of replacement which applicant is prepared to provide, 

along with trust services, an increase in lending limitations from $45,000 to 

$386,000, safe deposit box service and exchange of checks on a full-par basis.

On the basis of the above information, and other information available to the 

Corporation, the Board of Directors has concluded that approval of the bank's 

application is warranted.

1 Resources acquired in transfer of Malvern Bank’s Paoli office.

2 Resources acquired with transfer of Chemical Bank’s Delancey Street office.

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Federal Reserve Bank of St. Louis
LEGISLATION 

AND REGULATIONS

PART THREE

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Federal Reserve Bank of St. Louis
93

FEDERAL BANKING LEGISLATION— 1967

Public Law 9 0 —4 4 

90th Congress, S . 714 

Ju ly 3, 1967

A n A c t

To amend section 22(g) of the Federal Reserve Act relating to loans to executive officers by member banks of the Federal Reserve System, and to amend

the Federal Credit Union Act to modify the loan provisions relating to directors, members of the supervisory committee, and members of the credit

committee of Federal credit unions.

Be it enacted by the Senate and House of Representatives of the United

States of America in Congress assembled,

Section 1. Section 22(g) of the Federal Reserve Act (12 U.S.C. 375a) is 

amended to read:

“ (g)(1) Except as authorized under this subsection, no member bank may 

extend credit in any manner to any of its own executive officers. No executive 

officer of any member bank may become indebted to that member bank except 

by means of an extension of credit which the bank is authorized to make under 

this subsection. Any extension of credit under this subsection shall be promptly 

reported to the board of directors of the bank, and may be made only if—

“ (A) the bank would be authorized to make it to borrowers other than its 

officers;

“ (B) it is on terms not more favorable than those afforded other borrowers;

“ (C) the officer has submitted a detailed current financial statement; and 

“ (D) it is on condition that it shall become due and payable on demand of 

the bank at any time when the officer is indebted to any other bank or banks 

on account of extensions of credit of any one of the three categories respectively referred to in paragraphs (2), (3), and (4) in an aggregate amount 

greater than the amount of credit of the same category that could be extended to him by the bank of which he is an officer.

“ (2) With the specific prior approval of its board of directors, a member 

bank may make a loan not exceeding $30,000 to any executive officer of the 

bank if, at the time the loan is made—

“ (A) it is secured by a first lien on a dwelling which is expected, after the 

making of the loan, to be owned by the officer and used by him as his residence, and

“ (B) no other loan by the bank to the officer under authority of this paragraph is outstanding.

“ (3) A member bank may make extensions of credit to any executive officer 

of the bank, not exceeding the aggregate amount of $10,000 outstanding at any 

one time, to finance the education of the children of the officer.

“ (4) A member bank may make extensions of credit not otherwise specifically authorized under this subsection to any executive officer of the bank, not 

exceeding the aggregate amount of $5,000 outstanding at any one time.

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Federal Reserve Bank of St. Louis
94 FEDERAL DEPOSIT INSURANCE CORPORATION

"(5) Except to the extent permitted under paragraph (4), a member bank 

may not extend credit to a partnership in which one or more of its executive officers are partners having either individually or together a majority interest. For 

the purposes of paragraph (4), the full amount of any credit so extended shall 

be considered to have been extended to each officer of the bank who is a member of the partnership.

“ (6) Whenever an executive officer of a member bank becomes indebted to 

any bank or banks (other than the one of which he is an officer) on account of 

extensions of credit of any one of the three categories respectively referred to 

in paragraphs (2), (3), and (4) in an aggregate amount greater than the aggregate amount of credit of the same category that could lawfully be extended to 

him by the bank, he shall make a written report to the board of directors of the 

bank, stating the date and amount of each such extension of credit, the security thereof, and the purposes for which the proceeds have been or are to be 

used.

“ (7) This subsection does not prohibit any executive officer of a member 

bank from endorsing or guaranteeing for the protection of the bank any loan or 

other asset previously acquired by the bank in good faith or from incurring any 

indebtedness to the bank for the purpose of protecting the bank against loss or 

giving financial assistance to it.

“ (8) Each day that any extension of credit in violation of this subsection exists is a continuation of the violation for the purposes of section 8 of the Federal Deposit Insurance Act.

“ (9) Each member bank shall include with (but not as part of) each report 

of condition and copy thereof filed under section 7(a)(3) of the Federal Deposit 

Insurance Act a report of all loans under authority of this subsection ijiade by 

the bank since its previous report of condition.

“ (10) The Board of Governors of the Federal Reserve System may prescribe 

such rules and regulations, including definitions of terms, as it deems necessary to effectuate the purposes and to prevent evasions of this subsection.”

Sec. 2. Section 8 of the Federal Credit Union Act (12 U.S.C. 1757) is 

amended—

(1) by changing, in paragraph (5) thereof, “ shall exceed the amount of his 

holdings in the Federal Credit Union as represented by shares thereof plus 

the total unencumbered and unpledged shareholdings in the Federal Credit 

Union of any member pledged as security for the obligation of such director 

or committee member” to read “ may be made except as authorized under 

paragraph (6) of this section” ;

(2) by redesignating paragraphs (6) through (13) of that section as paragraphs (7) through (14), respectively; and

(3) by inserting, immediately after paragraph (5), the following new paragraph:

“ (6) to make loans to its own directors and to members of its own supervisory or credit committee, but all such loans shall be reported to the 

Director at least annually, and such a loan may be made only if—

“ (A) the loan complies with all lawful requirements under this Act with 

respect to loans to other borrowers and is not on terms more favorable 

than those extended to other borrowers;

“ (B) upon the making of the loan, the aggregate amount of loans outstanding to the borrower will not exceed the total amount of shareholdings 

in the credit union, not otherwise encumbered or pledged, which are 

pledged as security for loans to the borrower, or $5,000, whichever is 

greater;

“ (C) upon the making of the loan, the aggregate amount of loans outstanding under authority of this paragraph will not exceed 20 per centum 

of the unimpaired capital and surplus of the credit union;

“ (D) the loan is approved by the credit committee and by the board of 

directors after the submission to them of a detailed current financial statement by the borrower; and

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Federal Reserve Bank of St. Louis
FEDERAL BANKING LEGISLATION— 1967 95

“ (E) the borrower takes no part in the consideration of his application 

and does not attend any committee or board meeting while his application 

is under consideration;".

Sec. 3. Paragraph (D) of section 8(8) of the Federal Credit Union Act is 

amended to read: “ (D) in shares or accounts of savings and loan associations 

or mutual savings banks, the accounts of which are insured by the Federal Savings and Loan Insurance Corporation or the Federal Deposit Insurance Corporation;".

Approved July 3, 1967.

Public Law 9 0 —62 

90th Congress, S . 1648 

A ugust 9, 1967

An Act

To extend the authority for exemptions from the antitrust laws to assist in

safeguarding the balance-of-payments position of the United States.

Be it enacted by the Senate and House of Representatives of the United

States of America in Congress assembled, That section 6 of the Act of September 9, 1965 (79 Stat. 674; 31 U.S.C., Supp. I, 936) is amended by striking out 

“ twenty months after it becomes law" and inserting in lieu thereof “ on June 

30, 1969".

Approved August 9, 1967.

Public Law 9 0 —87 

90th Congress, S . 1956 

Septem ber 2 1, 1967

An Act

To extend for one year the authority for more flexible regulation of maximum

rates of interest or dividends, higher reserve requirements, and open market

operations in agency issues.

Be it enacted by the Senate and House of Representatives of the United

States of America in Congress assembled, That section 7 of the Act of September 21, 1966 (80 Stat. 823), is hereby amended by striking “ one-year" and inserting in lieu thereof “ two-year".

Approved September 21, 1967.

P u b lic L aw 9 0 — 104 

9 0 th C ongress, S. 1 8 6 2 

O c to b e r 11, 19<67

An Act

To amend the authorizing legislation of the Small Business Administration, and

for other purposes.

Be it enacted by the Senate and House of Representatives of the United

States of America in Congress assembled,

$ $ « $ «

Sec. 204. Section 302(b) of the Small Business Investment Act of 1958 is 

amended by striking “ except that in no event shall any such bank hold shares

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Federal Reserve Bank of St. Louis
96 FEDERAL DEPOSIT INSURANCE CORPORATION

in small business investment companies in an amount aggregating more than 2 

percent of its capital and surplus.” and inserting "except that in no event may 

any such bank acquire shares in any small business investment company if, 

upon the making of that acquisition.

“ (1) the aggregate amount of shares in small business investment companies then held by the bank would exceed 5 percent of its capital and surplus, 

or

“ (2) the bank would hold 50 percent or more of any class of equity securities issued by that investment company and having actual or potential voting 

rights."

Approved October 11, 1967.

Public Law 9 0 —203 

90th Congress, H. R. 10595 

Decem ber 15, 1967

An Act

To prohibit certain banks and savings and loan associations from fostering or

participating in gambling activities.

Be it enacted by the Senate and House of Representatives of the United

States of America in Congress assembled,

Section 1. (a) Chapter 1 of title LXII of the Revised Statutes is amended by 

inserting, immediately after section 5136, the following new section:

“ Sec. 5136A. (a) A national bank may not—

“ (1) deal in lottery tickets;

“ (2) deal in bets used as a means or substitute for participation in a lottery;

“ (3) announce, advertise, or publicize the existence of any lottery;

“ (4) announce, advertise, or publicize the existence or identity of any participant or winner, as such, in a lottery.

“ (b) A national bank may not permit—

“ (1) the use of any part of any of its banking offices by any person for 

any purpose forbidden to the bank under subsection (a), or

“ (2) direct access by the public from any of its banking offices to any 

premises used by any person for any purpose forbidden to the bank under 

subsection (a).

“ (c) As used in this section—

“ (1) The term 'deal in' includes making, taking, buying, selling, redeeming, or collecting.

“ (2) The term ‘lottery’ includes any arrangement whereby three or more 

persons (the ‘participants’) advance money or credit to another in exchange 

for the possibility or expectation that one or more but not all of the participants (the ‘winners') will receive by reason of their advances more than the 

amounts they have advanced, the identity of the winners being determined 

by any means which includes—

“ (A) a random selection;

“ (B) a game, race, or contest; or

“ (C) any record or tabulation of the result of one or more events in 

which any participant has no interest except for its bearing upon the possibility that he may become a winner.

“ (3) The term ‘lottery ticket’ includes any right, privilege, or possibility 

(and any ticket, receipt, record, or other evidence of any such right, privilege, 

or possibility) of becoming a winner in a lottery.

“ (d) Nothing contained in this section prohibits a national bank from accepting deposits or cashing or otherwise handling checks or other negotiable

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FEDERAL BANKING LEGISLATION— 1967 97

instruments, or performing other lawful banking services for a State operating a 

lottery, or for an officer or employee of that State who is charged with the administration of the lottery.

“ (e) The Comptroller of the Currency shall issue such regulations as may be 

necessary to the strict enforcement of this section and the prevention of evasions thereof.”

(b) The table of sections at the beginning of that chapter is amended by inserting

“ 5136A. Participation in lotteries prohibited."

immediately above

“ 5137. Power to hold real property.”

Sec. 2. The Federal Reserve Act is amended by inserting immediately after 

section 9 the following new section:

“ SECTION 9A. PARTICIPATION IN LOTTERIES PROHIBITED

“ (a) A State member may not—

“ (1) deal in lottery tickets;

“ (2) deal in bets used as a means or substitute for participation in a lottery;

“ (3) announce, advertise, or publicize the existence of any lottery;

“ (4) announce, advertise, or publicize the existence or identity of any participant or winner, as such, in a lottery.

“ (b) A State member bank may not permit—

“ (1) the use of any part of any of its banking offices by any person for 

any purpose forbidden to the bank under subsection (a), or

“ (2) direct access by the public from any of its banking offices to any 

premises used by any person for any purpose forbidden to the bank under 

subsection (a).

“ (c) As used in this section—

“ (1) The term ‘deal in' includes making, taking, buying, selling, redeeming, or collecting.

“ (2) The term 'lottery' includes any arrangement whereby three or more 

persons (the ‘participants') advance money or credit to another in exchange 

for the possibility or expectation that one or more but not all of the participants (the ‘winners') will receive by reason of their advances more than the 

amounts they have advanced, the identity of the winners being determined 

by any means which includes—

“ (A) a random selection;

“ (B) a game, race, or contest; or

“ (C) any record or tabulation of the result of one or more events in 

which any participant has no interest except for its bearing upon the possibility that he may become a winner.

“ (3) The term ‘lottery ticket' includes any right, privilege, or possibility 

(and any ticket, receipt, record, or other evidence of any such right, privilege, 

or possibility) of becoming a winner in a lottery.

“ (d) Nothing contained in this section prohibits a State member bank from 

accepting deposits or cashing or otherwise handling checks or other negotiable 

instruments, or performing other lawful banking services for a State operating a 

lottery, or for an officer or employee of that State who is charged with the administration of the lottery.

“ (e) The Board of Governors of the Federal Reserve System shall issue such 

regulations as may be necessary to the strict enforcement of this section and 

the prevention of evasions thereof.”

Sec. 3. The Federal Deposit Insurance Act is amended by redesignating sections 20 and 21 as 21 and 22, respectively, and by inserting immediately after 

section 19 the following new section:

“ Sec. 20. (a) A State nonmember insured bank may not—

“ (1) deal in lottery tickets;

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98 FEDERAL DEPOSIT INSURANCE CORPORATION

“ (2) deal in bets used as a means or substitute for participation in a 

lottery;

"(3) announce, advertise, or publicize the existence of any lottery;

“ (4) announce, advertise, or publicize the existence or identity of any participant or winner, as such, in a lottery.

“ (b) A State nonmember insured bank may not permit—

“ (1) the use of any part of any of its banking offices by any person for 

any purpose forbidden to the bank under subsection (a), or

“ (2) direct access by the public from any of its banking offices to any 

premises used by any person for any purpose forbidden to the bank under 

subsection (a).

“ (c) As used in this section—

“ (1) The term 'deal in’ includes making, taking, buying, selling, redeeming, or collecting.

“ (2) The term ‘lottery’ includes any arrangement whereby three or more 

persons (the ‘participants’) advance money or credit to another in exchange 

for the possibility or expectation that one or more but not all of the participants (the ‘winners’) will receive by reason of their advances more than the 

amounts they have advanced, the identity of the winners being determined 

by any means which includes—

“ (A) a random selection;

“ (B) a game, race, or contest; or

“ (C) any record or tabulation of the result of one or more events in 

which any participant has no interest except for its bearing upon the possibility that he may become a winner.

“ (3) The term ‘lottery ticket’ includes any right, privilege, or possibility 

(and any ticket, receipt, record, or other evidence of any such right, privilege, 

or possibility) of becoming a winner in a lottery.

“ (d) Nothing contained in this section prohibits a State nonmember insured 

bank from accepting deposits or cashing or otherwise handling checks or other 

negotiable instruments, or performing other lawful banking services for a State 

operating a lottery, or for an officer or employee of that State who is charged 

with the administration of the lottery.

“ (e) The Board of Directors shall prescribe such regulations as may be necessary to the strict enforcement of this section and the prevention of evasions 

thereof."

Sec. 4. Title IV of the National Housing Act is amended by adding the following new section at the end:

“ Sec. 410. (a) An insured institution may not—

“ (1) deal in lottery tickets;

“ (2) deal in bets used as a means or substitute for participation in a lottery;

“ (3) announce, advertise, or publicize the existence of any lottery;

“ (4) announce, advertise, or publicize the existence or identity of any participant or winner, as such, in a lottery.

“ (b) An insured institution may not permit—

“ (1) the use of any part of any of its own offices by any person for any 

purpose forbidden to the institution under subsection (a), or

“ (2) direct access by the public from any of its own offices to any premises used by any person for any purpose forbidden to the institution under 

subsection (a).

“ (c) As used in this section—

“ (1) The term ‘deal in' includes making, taking, buying, selling, redeeming, or collecting.

“ (2) The term ‘lottery’ includes any arrangement whereby three or more 

persons (the ‘participants’) advance money or credit to another in exchange 

for the possibility or expectation that one or more but not all of the participants (the ‘winners’) will receive by reason of their advances more than the

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RULES AND REGULATIONS OF THE CORPORATION 99

amounts they have advanced, the identity of the winners being determined 

by any means which includes—

"(A) a random selection;

“ (B) a game, race, or contest; or

“ (C) any record or tabulation of the result of one or more events in 

which any participant has no interest except for its bearing upon the possibility that he may become a winner.

“ (3) The term ‘lottery ticket' includes any right, privilege, or possibility 

(and any ticket, receipt, record, or other evidence of any such right, privilege, 

or possibility) of becoming a winner in a lottery.

“ (d) Nothing contained in this section prohibits an insured institution from 

accepting funds from, or performing any lawful services for, a State operating a 

lottery, or an officer or employee of that State who is charged with the administration of the lottery.

“ (e) The Federal Home Loan Bank Board shall prescribe such regulations as 

may be necessary to the strict enforcement of this section and the prevention 

of evasions thereof.”

Sec. 5. (a) Chapter 61 of title 18 of the United States Code is amended by 

adding the following new section at the end:

“ §1306.. Participation by financial institutions

“ Whoever knowingly violates section 5136A of the Revised Statutes of the 

United States, section 9A of the Federal Reserve Act, section 20 of the Federal 

Deposit Insurance Act, or section 410 of the National Housing Act shall be 

fined not more than $1,000 or imprisoned not more than one year, or both."

(b) The table of sections at the beginning of that chapter is amended by 

adding the following at the end:

“ 1306. Participation by financial institutions."

Sec. 6. The amendments made by this Act shall take effect on April 1, 1968.

Approved December 15, 1967.

RULES AND REGULATIONS OF THE

CORPORATION— 1967

TITLE 12— BANKS AND BANKING

CHAPTER III— FEDERAL DEPOSIT INSURANCE CORPORATION

SUBCHAPTER B— REGULATIONS AND STATEMENTS OF GENERAL POLICY

PART 329— PAYMENT OF DEPOSITS AND INTEREST THEREON BY INSURED

NONMEMBER BANKS

Mutual Savings Banks in Alaska

Effective July 1, 1967, paragraph (e) of §329.7 of the rules and regulations 

of the Federal Deposit Insurance Corporation (12 CFR 329.7) is amended to 

read as follows:

§329.7 Maximum rates of interest or dividends payable on deposits by insured

nonmember mutual savings banks.

(e) Banks in Alaska. Notwithstanding paragraph (b) of this section, any insured nonmember mutual savings bank located in the State of Alaska may pay 

for any time on or after October 1, 1966, and prior to July 1, 1967, a rate of 

interest or dividends not in excess of 5% percent per annum on any deposit, 

and for any time on or after October 1, 1966, may continue to pay a higher 

rate of interest or dividends in accordance with any time certificate of deposit, 

savings certificate, or similar certificate issued by the bank prior to September

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22, 1966, requiring maintenance of the deposit for a stated period or making 

the rate of interest or dividends dependent thereon, and on any renewals or extensions of such certificates on the same terms and conditions. For the 

purposes of paragraphs (c) and (d) of this section, the applicable maximum 

rate for any time prior to July 1, 1967, for any such bank located in the State 

of Alaska is that prescribed by this paragraph.

[F.R. Doc. 67-6717; Filed, June 14, 1967; 8:47 a.m.]

TITLE 12— BANKS AND BANKING 

CHAPTER III— FEDERAL DEPOSIT INSURANCE CORPORATION 

RECORDS AND INFORMATION 

Miscellaneous Amendments

Effective July 4, 1967, §§301.1, 303.10, 305.1, 307.3, 334.4, and Part 309 of 

the rules and regulations of the Federal Deposit Insurance Corporation are 

amended as follows:

PART 301— INTRODUCTORY

1. Section 301.1 is amended to read as follows:

§301.1 Scope.

The rules contained in this subchapter are promulgated pursuant to the provisions of the Administrative Procedure Act (5 U.S.C. 551-559), the Federal Deposit Insurance Act (12 U.S.C. 1811-1831), and other applicable laws. In 

accordance with the provisions of section 3(a) of the Administrative Procedure 

Act they state (1) the established places at which, the officers from whom, and 

the methods whereby, the public may secure information, make submittals or 

requests, or obtain decisions, (2) the general course and method by which the 

Corporation's functions are channeled and determined, including the nature and 

requirements of all formal and informal procedures available, and (3) rules of 

procedure, descriptions of forms available, or the places at which forms may be 

obtained, and instructions as to the scope and contents of all papers, reports, 

or examinations, except to the extent exempted by law. This subchapter also includes appropriate provisions with respect to rule making, adjudications, and 

hearings, as prescribed by law. A current description of the Corporation’s central and field organization is separately published in the FEDERAL REGISTER. 

Proceedings by the Corporation within the meaning of this subchapter include:

(a) The formulation and promulgation of rules and regulations, including 

amendments thereto or the repeal thereof;

(b) The disposition of applications, requests, and submittals;

(c) Formal and informal hearings and adjudications.

PART 303— APPLICATIONS, REQUESTS, AND SUBMITTALS

2. Add to 303.10 after the words "Board of Review" the words "with respect 

to matters referred to it" and the following three paragraphs:

§303.10 Procedure on applications.

(c) The Chief of the Division of Examination and the Supervising Examiner of 

the District in which the bank is located have been authorized to take final action with respect to the approval of certain applications, such as applications by 

a State nonmember insured bank to move its main office or branch or to obtain 

an extension of a time limitation imposed in connection with a previous application. This delegated authority is subject to certain limitations set forth in the

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delegations of authority which are available at the office of each Supervising Examiner. The Chief of the Division of Examination is also authorized to act upon 

applications by State nonmember insured banks for extensions of time of 90 

days or less within which to register securities pursuant to the provisions of 

section 12(g) of the Securities Exchange Act of 1934, as amended.

(d) For the purpose of assuring the performance and continuity in the management functions and activities of the Corporation, the Board of Directors has 

delegated, to the extent deemed necessary, authority with respect to the management of the Corporation’s affairs to certain designated officers, such authority to be exercised only in the event of an emergency, involving an enemy 

attack on the continental United States or other warlike occurrence, which 

renders the Board of Directors unable to perform the management functions 

and activities normally performed by it.

(e) With respect to any application, the Board of Directors will afford the applicant or other properly interested persons, including Government agencies, an 

opportunity to present views orally before the Board of Directors or its designated representative or representatives, either at informal conference discussions or at informal presentation of evidence.

PART 305— PAYMENT OF INSURED DEPOSITS 

§305.1 [Amended]

3. Amend the seventh sentence of §305.1 to read as follows: "It is the policy 

of the Corporation to make such payment by issuing its check for the amount 

of the insured deposit."

PART 307— VOLUNTARY TERMINATION OF INSURED STATUS 

§307.3 [Amended]

4. At the beginning of paragraph (c) of §307.3 substitute the words " It is the 

policy of the Corporation to " for the words "The Corporation w ill".

PART 334— BANK SERVICE ARRANGEMENTS 

§334.4 [Amended]

5. In the first sentence of §334.4 substitute the words " It is the policy of the 

Corporation that assurances" for the word "Assurances".

6. Amend Part 309 as follows:

PART 309— PUBLISHED AND UNPUBLISHED RECORDS AND INFORMATION

§309.1 Published and unpublished information.

(a) Information published or made available to the public— (1) Federal Register publication. To the extent required by sections 3 and 4 of the Administrative 

Procedure Act, as amended (5 U.S.C. 552, 553), and subject to the exemptions 

set forth in subsection (e) of section 3 of said Act the Corporation publishes in 

the FEDERAL REGISTER for the guidance of the public (i) descriptions of its 

central and field organization and the established places at which, the officers 

from whom, and the methods whereby, the public may secure information, 

make submittals or requests, or obtain decisions; (ii) statements of the general 

course and method by which its functions are channeled and determined, 

including the nature and requirements of all formal and informal procedures 

available; (iii) rules of procedure, descriptions of forms available or the places 

at which forms may be obtained, and instructions as to the scope and contents 

of all such papers and reports or examinations; (iv) substantive rule of general 

applicability adopted as authorized by law, and statements of general policy

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or interpretations of general applicability formulated and adopted by the Corporation; (v) every amendment, revision or repeal of the foregoing; and (vi) 

general notices of proposed rule making, unless the persons subject thereto 

are named and either personally served or otherwise have actual notice thereof 

in accordance with law.

(2) Other published information— annual reports, (i) The Corporation publishes an annual report of its operations to Congress pursuant to the requirements of section 17(a) of the Federal Deposit Insurance Act (12 U.S.C. 

1827(a)). The Corporation also publishes an annual report to insured banks 

as of June 30 of each year which presents the current financial statements 

of the Corporation and its activities during the preceding 6 months, and an 

annual report on operating banking offices insured by the Corporation as of 

January 1 of each year which lists the names and locations of all insured 

banking offices, grouped by city and State.

(ii) Other information: The Corporation also issues the following publications:

Assets, Liabilities, and Capital Accounts, Commercial and Mutual Savings

Banks (semiannually). Presents detailed data from condition statements, by 

State.

Federal Deposit Insurance Act and Rules and Regulations (of the FDIC). Updates the laws relating to the Federal Deposit Insurance Corporation and rules 

and regulations made by the Board of Directors.

Your Insured Deposit. Questions and answers on applicability of insurance to 

particular circumstances.

How to Get Your Money. Questions and answers on how to obtain an insured 

deposit when a bank fails.

A Career in Bank Supervision. Describes employment opportunities for bank 

examiners in the Federal Deposit Insurance Corporation.

Symbol of Confidence. Popular perspective on the background, function, and 

operations of the Federal Deposit Insurance Corporation.

Survey of Deposits of Commercial and Mutual Savings Bank (June 30, 1966).

A set of booklets consisting of:

Insurance Coverage of Bank Deposits; National Summary of Accounts and 

Deposits in all Commercial Banks.

Summary of Accounts and Deposits in All Commercial Banks, FDIC Districts 

1-12 (1 booklet for each District).

Summary of Accounts and Deposits in All Mutual Savings Banks.

Assets and Liabilities of all Insured Banks. A semiannual release summarizing 

for the United States the assets and liabilities of all insured banks. Data for 

June published the following fall; data for December published following spring.

Income of Insured Commercial Banks. Released once a year in April (data on 

the previous year) giving leading items of income for all insured commercial 

banks.

Weekly Press Release. Lists actions taken by the Board of Directors with respect to applications by insured State nonmember banks.

(3) Information made available to the public. Except to the extent that the 

matters set forth in this paragraph relate to or contain information which is exempted from the public disclosure provisions of section 3 of the Administrative 

Procedure Act, as amended (5 U.S.C. 552), or other law, the Corporation makes 

available for public inspection and copying, upon request to the Secretary of 

the Corporation in its office in Washington, D.C., during normal business hours,

(i) all final opinions (including concurring and dissenting opinions) and all 

orders made in the adjudication of cases, (ii) those statements of policy and 

interpretations which have been adopted by the Corporation and are not published in the FEDERAL REGISTER, and (iii) Manual of Examination Policies and 

Instructions to Liquidators. To the extent required to prevent a clearly unwarranted invasion of personal privacy, the Corporation may delete identifying 

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terpretation, or staff manual or instruction. In each case the justification for the 

deletion will be fully explained in writing. The Corporation also maintains and 

makes available for public inspection and copying a current index providing 

information for the public as to any matter which is issued, adopted, or 

promulgated after July 4, 1967, and which is required by the Administrative 

Procedure Act to be made available or published. The Corporation makes 

available at its Washington office and at each of the 12 Federal Reserve banks 

for public inspection and copying reports from insured State nonmember banks 

required under the provisions of section 12 of the Securities Exchange Act of 

1934, as amended (15 U.S.C. 78). All requests for copies of records enumerated in subdivisions (i), (ii), and (iii) of this subparagraph must be accompanied by a deposit with the Corporation of the estimated costs of copying 

such records at the rate of 10 cents per page. Such requests must provide a 

reasonably specific description of the record sought which will enable the 

Corporation to locate the record or records without undue difficulty.

Except to the extent that the records relate to or contain information which 

is exempted from the public disclosure provisions of section 3 of the Administrative Procedure Act, as amended (5 U.S.C. 552) or other law, the Corporation 

upon request for identifiable records of the Corporation to the Secretary of the 

Corporation in its office in Washington, D.C., during normal business hours, will 

make such records available to any person who agrees to pay the costs of 

searching, preparing and copying such records at the rate of $5 per hour for 

searching and preparing and 10 cents per page for copying and has paid in advance to the Corporation the estimated costs thereof. Such requests must 

provide a reasonably specific description of the record sought which will enable 

the Corporation to locate the record without undue difficulty. Any denial by an 

officer or employee of the Corporation of a request for any information or record made under this part by any member of the public may be appealed by a 

written request to the Board of Directors of the Corporation from the person 

whose request is denied.

(b) Unpublished information; confidential and privileged information. All files, 

documents, reports, books, accounts, and records (collectively referred to as 

“ records" in this section) pertaining to any bank, or the internal operations and 

affairs of the Corporation, in the possession or control of the Corporation or 

any officer, employee, or agent thereof, which are (1) exempt from disclosure 

by statute or executive order; (2) contained in or related to examination, operating, or condition reports prepared by or on behalf of, or for the use of the 

Corporation or any agency responsible for the supervision of financial 

institutions; (3) related solely to the internal personnel rules and practices of 

the Corporation; (4) privileged or relate to the business, personal, or financial 

affairs of any person and are furnished in confidence; (5) proceedings for 

cease and desist and suspension or removal orders or for the termination of 

the insured status of any bank; (6) interagency or intraagency memorandums 

or letters which would not be available by law to a private party in litigation 

with the Corporation; (7) investigatory records compiled for enforcement of the 

Federal Deposit Insurance Act and other statutes, except to the extent available 

by law to a private party; (8) personnel files and similar files (including financial files) the disclosure of which would constitute a clearly unwarranted 

invasion of personal privacy; and (9) records of deliberations and discussions 

at meetings of the Board of Directors and any committee established by the 

Board of Directors and exhibits filed therewith, and all facts or information 

relating to such exempt matters acquired by the officers, employees or agents 

of the Corporation in the performance of their official duties (collectively 

referred to as “ information" in this section) are confidential and privileged and 

the disclosure thereof is prohibited except in the manner and to the extent 

provided for in this section.

(c) Disclosure prohibited. (1) Officers, employees, and agents of the Corporation are prohibited from allowing any person to inspect, examine, or copy any

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of said confidential or privileged records, or furnishing copies thereof, or disclosing any confidential and privileged information except as herein provided:

(i) The Chief of any Division having custody thereof, in his discretion, may 

release or furnish any records or information, other than the records enumerated in paragraph (b) of this section, and information acquired in reference 

thereto, to any governmental agency, State or Federal, in the exercise of its official duties and to any other person: Provided, however, That when such records or information are requested by any person other than a governmental 

agency, the Division Chief shall find that the release or disclosure is not exempted from public disclosure by law or detrimental or prejudicial to the bank 

or banks or person or persons from whom the records or information were obtained or received.

(ii) The Chief of the Division of Examination may furnish to any bank copies 

of any reports of examination or investigation of such bank (except the section 

of the report designated “ confidential") and other information pertaining to its 

affairs: Provided, That copies of such reports of examination and other information so furnished to any bank shall remain the property of the Corporation and 

under no circumstances shall the bank or any of its directors, officials, or employees disclose or otherwise make public in any manner such reports or any 

portion thereof or other information so furnished.

(iii) The Chief of the Division of Examination may furnish to the Comptroller 

of the Currency, to any Federal Reserve bank, and to any commission, board, or 

authority having supervision of a State nonmember bank, copies of reports of 

examination made on behalf of the Corporation and other information pertaining to insured nonmember banks for use in the exercise of their official duties: 

Provided, That such reports of examination and other information so furnished 

to such officials or agency shall remain the property of the Corporation and under no circumstances shall any such official or agency disclose or make public 

in any manner such reports or any portion thereof or other information so furnished.

(iv) The Chief of the Division of Examination may furnish to any official of 

the Department of Justice or to any State prosecuting authority any information 

regarding defalcations, burglaries, or robberies affecting insured banks.

(v) The Chief of the Division of Research may furnish to the Comptroller of 

the Currency, to any Federal Reserve bank, and to any commission, board, or 

authority having supervision of a State nonmember bank, copies of reports of 

condition made by insured banks to the Corporation including statements of assets, liabilities, and capital accounts, and of earnings, expenses and distribution 

of profits for use in the exercise of their official duties: Provided, That under no 

circumstances shall such Federal or State officials make public the contents of 

such reports or any portion thereof, except in the publication of general statistical reports.

(vi) The General Counsel of the Corporation may disclose to the proper 

Federal or State prosecuting authorities any and all records and information relating to irregularities discovered in open and closed insured banks believed to 

constitute violations of any Federal or State statute.

(vii) (a) The General Counsel may authorize the production of any record, 

the disclosure of any information, and the giving of any testimony with respect 

thereto, by any officer, employee, or agent of the Corporation, upon any proceeding, hearing, or trial, civil or criminal, in any Federal or State court or before any administrative board, commission, or committee, on behalf of or at the 

request of the Corporation or the United States where either is a party to or 

has an interest in the proceeding, hearing or trial, or any State prosecuting 

official, or the bank or person from whom such confidential and privileged records and information were received or obtained.

(b) The authorization hereunder may be given only in response to a subpoena or other legal process duly issued and served upon the Corporation at its

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principal office, which service may be by registered mail addressed to the Corporation at Washington, D.C., specifying the record requested, the nature and 

scope of the testimony to be elicited, the name of the witness and the place 

and time of appearance: Provided, That the General Counsel, in his discretion, 

may waive the requirement of service of subpoena or process when he believes 

it to be in the interest of justice to do so. Without such prior authorization, any 

officer, employee or agent of the Corporation required to respond to a subpoena 

or other legal process shall attend at the time and place therein mentioned and 

respectfully decline to produce any record or disclose any information or give 

any testimony with respect thereto, basing his refusal upon this rule.

(d) Service of process on officer, employee, or agent. Any officer, employee, 

or agent of the Corporation served with a subpoena, order, or other process requiring his personal attendance as a witness or the production of records or information upon any proceeding mentioned in paragraph (c) (1) (vii) of this 

section shall promptly advise (1) the court or tribunal which issued the process, 

and the attorney for the party at whose instance the process was issued, if 

known, of the substance of this rule, and (2) the General Counsel of the Corporation at Washington, D.C., of such service and of the records and information 

requested and of any facts which may be of assistance to the General Counsel 

in determining whether such records and information should be made available.

(e) Authority of Chairman of Board of Directors. Notwithstanding any of the 

foregoing provisions, the Chairman of the Board of Directors, in his discretion 

and pursuant to law, may authorize the production, examination, or inspection 

of any records, or the furnishing of copies thereof, or the disclosure of any information, or the Chairman, in his discretion, may direct the General Counsel or 

the Chief of any Division to refuse to permit the production, examination, or inspection of any records, or the furnishing of copies thereof, or the disclosure of 

any information, if he shall find such action to be in the best interests of the 

Corporation and consistent with the public interest and applicable law.

(f) Publication of data. The Board of Directors or the Chairman may from 

time to time authorize and direct the publication and public distribution of information and data compiled from the records of the Corporation.

[F.R. Doc. 67-7535; Filed, July 3, 1967; 8:45 a.m.]

TITLE 12— BANKS AND BANKING 

CHAPTER III— FEDERAL DEPOSIT INSURANCE CORPORATION 

SUBCHAPTER A— PROCEDURE AND RULES OF PRACTICE 

PART 303— APPLICATIONS, REQUESTS, AND SUBMITTALS

Effective July 19, 1967, Part 303 of the rules and regulations of the Federal 

Deposit Insurance Corporation (12 CFR Part 303) is revised to read as follows:

Sec.

303.1 Application by nonmember bank for deposit insurance.

303.2 Application by insured State nonmember bank to establish a branch.

303.3 Application by insured State nonmember bank to move main office or

branch.

303.4 Application by insured State nonmember bank to reduce or retire capital.

303.5 Application for conversion, merger, consolidation, assumption, and

sale of asset transactions.

303.6 Application by insured State nonmember bank to extend its corporate

or charter powers.

303.7 Application to continue or resume insured status.

303.8 Application for exemption from or exception to advertising requirements.

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303.9 Other applications.

303.10 Procedure on applications.

303.11 Notice of disposition of application.

§303.1 Application by nonmember bank 1 for deposit insurance.

Application for deposit insurance by an existing or proposed State 

nonmember bank should be filed with the Supervising Examiner of the Federal 

Deposit Insurance Corporation District in which the bank or proposed bank is or 

will be located. Any such application by an existing bank must be accompanied 

by separate applications for the consent of the Corporation to the continued operation of each branch which it proposes to continue to operate. Any such application by a proposed bank must be accompanied by a separate application 

for the consent of the Corporation to establish and operate each proposed 

branch. The appropriate forms of application and instructions for completing 

the same may be obtained upon request from the Supervising Examiner of the 

District in which the application originates. (See Part 304 of this title for list of 

forms and instructions.)

§303.2 Application by insured State nonmember bank to establish a branch.2

Application by an insured State nonmember bank (except a District bank) to 

establish and operate a new branch should be filed with the Supervising Examiner of the Federal Deposit Insurance Corporation District in which the bank is 

located. The appropriate form of application and instructions for completing the 

same may be obtained upon request from the Supervising Examiner of the District in which the application originates. (See Part 304 of this title for list of 

forms and instructions.)

§303.3 Application by insured State nonmember bank to move main office or

branch.

Application for the consent of the Corporation to move the main office or 

branch of an insured State nonmember bank (except a District bank) should be 

filed with the Supervising Examiner of the Federal Deposit Insurance Corporation District in which the bank is located. The appropriate form of application 

and instructions for completing the same may be obtained upon request from 

the Supervising Examiner of the District in which the application originates. 

(See Part 304 of this title for list of forms and instructions.)

§303.4 Application by insured State nonmember bank to reduce or retire capital.

Application for the consent of the Corporation to the reduction in the 

amount, or retirement of any part, of the common or preferred capital stock, or 

retirement of any of the capital notes or debentures, of an insured State nonmember bank (except a District bank) should be filed with the Supervising Examiner of the Federal Deposit Insurance Corporation District in which the bank 

is located. The appropriate form of application and instructions for completing 

the same may be obtained upon request from the Supervising Examiner 

of the District in which the application originates. (See Part 304 of this title 

for list of forms and instructions.)

§303.5 Application for conversion, merger, consolidation, assumption and

sale of asset transactions.

(a) With noninsured bank or institution. Application by an insured bank for 

the consent of the Corporation to merge or consolidate with a noninsured bank 

or institution, or to convert into a noninsured institution, or to assume liability

1 A nonmember bank is a bank which is not a member of the Federal Reserve System.

- "The term 'branch' includes any branch bank, branch office, branch agency, additional

office, or any branch place of business located in any State of the United States or in any

Territory of the United States, Puerto Rico, Guam, or the Virgin Islands at which deposits

are received or checks paid or money lent.” (Sec. 3(o) of the Federal Deposit Insurance

Act, as amended (12 U.S.C. 1813(o)).)

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to pay any deposits made in, or similar liabilities of, any noninsured bank or institution, or to transfer assets to any noninsured bank or institution in 

consideration of the assumption of liability for any portion of the deposits made 

in such insured bank, together with copies of all agreements or proposed agreements relating thereto, should be filed with the Supervising Examiner of the 

Federal Deposit Insurance Corporation District in which the insured bank is located. The appropriate form of application and instructions for completing the 

form, as well as instructions concerning notice to depositors, may be obtained 

upon request from the office of said Supervising Examiner.

(b) Conversion with diminution of capital or surplus. Application for the consent of the Corporation to convert into an insured State nonmember bank 

(except a D'istrict bank)— when the conversion will result in the converted 

bank's having less capital stock or surplus than the converted bank at the time 

of the shareholders' meeting approving such conversion— together with copies 

of the charter and/or articles of association of the converted bank, should be 

filed with the Supervising Examiner of the Federal Deposit Insurance Corporation District in which the insured bank is located. The appropriate form of application and instructions for completing the form may be obtained upon request 

from the office of said Supervising Examiner.

(c) Merger, consolidation, asset acquisition or assumption transaction between insured banks. Application by an insured bank for the consent of the 

Corporation to merge or consolidate with, acquire the assets of, or assume the 

liability to pay any deposits made in, another insured bank— when the resulting 

or assuming bank is to be an insured State nonmember bank (except a District 

bank)— together with copies of all agreements or proposed agreements relating 

thereto, including the charter or articles of incorporation of the resulting or assuming bank, should be filed with the Supervising Examiner of the Federal Deposit Insurance Corporation District in which the resulting or assuming bank is 

located. The appropriate form of application and instructions for completing the 

same may be obtained upon request from the office of said Supervising Examiner.

§303.6 Application by insured State nonmember bank to extend its corporate

or charter powers.

Application for the consent of the Corporation to the extension of the corporate or charter powers of an insured State nonmember bank (except a District 

bank) should be filed with the Supervising Examiner of the Federal Deposit Insurance Corporation District in which the bank is located. The appropriate form 

of application and instructions for completing the same may be obtained upon 

request from the Supervising Examiner of the District in which the application 

originates. (See Part 304 of this title for list of forms and instructions.)

§303.7 / Application to continue or resume insured status.

Application under § 327.3(c) of this title by a bank whose insured status has 

been terminated for permission to continue or to resume its status as an insured bank should be filed with the Supervising Examiner of the Federal 

Deposit Insurance Corporation District in which the bank is located. Such application should (a) be in writing, (b) be signed by the president, or cashier, or 

other managing officer of the bank, (c) be accompanied by a certified copy of 

the resolution of its board of directors authorizing the submission of such application, (d) contain a statement that the bank's insured status has been terminated (including the date thereof and the basis therefor), that the insurance of 

its deposits has not ceased, and that it applies for permission to continue or resume its status as an insured bank, and (e) state the reasons why the continuance or resumption of such status should be permitted by the Corporation.

§303.8 Application for exemption from or exception to advertising requirements.

Any application made by an insured bank under any of the provisions of Part

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328 of this title should be filed with the Division of Examination of the 

Corporation at its principal office. Such application should (a) be in writing, (b) 

be signed by the president, or cashier, or other managing officer of the bank, 

and (c) state, in conformity with the particular provision in respect of which the 

application is made, the reason for the request in detail and the reason why the 

application should be granted.

§303.9 Other applications.

Except as otherwise provided by rule or regulation, all applications, requests, 

and submittals for which no form of application has been prescribed by the 

Corporation should (a) be in writing, (b) be signed by the applicant or his duly 

authorized agent, (c) contain a statement of the applicant's interest therein, a 

complete and concise statement of the action requested and the reasons and 

facts relied upon as the basis for such requested action, and (d) be addressed 

to the Secretary at the principal office of the Corporation. The applicant shall 

furnish such other pertinent information as may be required by the Corporation. 

Whenever applicable, the forms specified in Part 304 of this title should be 

used, the instructions issued with respect thereto should be followed, and submission should be made as therein provided.

§303.10 Procedure on applications.

(a) With respect to applications for deposit insurance under §303.1, the Division of Examination of the Corporation will cause an investigation to be conducted and an examination to be made of the bank or proposed bank. 

Thereafter, the Board of Directors, in accordance with applicable provisions of 

law, will act upon such application after considering the report of such investigation and examination, the recommendations thereon of the examiner and Supervising Examiner of the District in which the bank is or will be located, the recommendations of the Division of Examination, the recommendations of the 

Board of Review with respect to matters referred to it, and the legal opinion of 

counsel for the Corporation. The applicant bank will be duly advised of the 

Board's decision upon such application.

(b) With respect to all other applications, requests, or submittals, the Board 

of Directors will cause such an investigation or examination, or both, to be 

made by the proper Divisions of the Corporation as the Board shall deem appropriate, and upon the report of such investigation and examination, and the 

recommendations thereon, will take such action as it shall deem necessary or 

appropriate in the premises.

(c) The Chief of the Division of Examination and the Supervising Examiner of 

the District in which the bank is located have been authorized to take final action with respect to the approval of certain applications, such as applications by 

an insured State nonmember bank to move its main office or branch or to obtain an extension of time limitation imposed in connection with a previous 

application. This delegated authority is subject to certain limitations set forth in 

the delegations of authority which are available at the office of each Supervising 

Examiner. The Chief of the Division of Examination is also authorized to act 

upon applications by insured State nonmember banks for extensions of time of 

90 days or less within which to register securities pursuant to the provisions of 

section 12(g) of the Securities Exchange Act of 1934, as amended.

(d) For the purpose of assuring the performance and continuity in the management functions and activities of the Corporation, the Board of Directors has 

delegated, to the extent deemed necessary, authority with respect to the management of the Corporation’s affairs to certain designated officers, such authority to be exercised only in the event of an emergency, involving an enemy 

attack on the continental United States or other warlike occurrence, which 

renders the Board of Directors unable to perform the management functions 

and activities normally performed by it.

(e) With respect to any application, the Board of Directors will afford the applicant or other properly interested persons, including Government agencies, an

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opportunity to present views orally before the Board of Directors or its designated representative or representatives, either at informal conference discussions or at informal presentation of evidence.

§303.11 Notice of disposition of application.

Prompt notice will be given of the grant or denial, in whole or in part, of any 

written application, petition, or other request of any interested person made in 

connection with any agency proceeding. In the case of a denial, except in affirming a prior denial, or where the same is self-explanatory, such notice will be 

accompanied by a simple statement of procedural or other grounds.

[F.R. Doc. 67-8315; Filed, July 18, 1967; 8:48 a.m.]

PART 304— FORMS, INSTRUCTIONS, AND REPORTS

Effective July 19, 1967, Part 304 of the rules and regulations of the Federal 

Deposit Insurance Corporation (12 C.F.R. 304) is revised to read as follows:

Sec.

304.1 Certified statements.

304.2 Reports of condition, etc.

304.3 Forms and instructions.

§304.1 Certified statements.

The certified statements required to be filed by insured banks in accordance 

with the provisions of section 7 of the Federal Deposit Insurance Act, as 

amended (12 U.S.C. 1817), shall be filed with the Fiscal Agent of the Corporation upon the forms, and in the manner, prescribed by the Board of Directors. 

The assessments required to be certified must be paid to the Corporation at the 

time such statements are required to be filed. The form of certified statement 

will be furnished to all insured banks by, or may be obtained upon request 

from, the Fiscal Agent.

§304.2 Reports of condition, etc.

Whenever required, insured State nonmember banks (except District banks) 

shall file reports of condition, reports of income and dividends, and summaries 

of deposits with the Division of Research upon the forms, in the manner, and 

pursuant to the instructions prescribed by the Board of Directors from time to 

time. The form of such reports and instructions for completing the same will be 

furnished to all such banks by, or may be obtained upon request from, the Division of Research. Each insured national bank and each insured District bank at 

the time of making reports of condition to the Comptroller of the Currency and 

each insured State member bank at the time of making reports of condition to 

the Federal Reserve bank, required under the Federal Deposit Insurance Act, 

shall furnish an executed and attested copy thereof to the Corporation.

§304.3 Forms and instructions.

The following forms and instructions have been prepared by the Corporation 

for the use of banks and may be obtained by any person properly and directly 

concerned therewith upon request at the office designated in this chapter:

(a) Form 82: Application of proposed bank (other than mutual savings) for

Federal deposit insurance. The proposed incorporators are required to make 

statements and representations and to submit information with respect to the 

several factors enumerated in section 6 of the Federal Deposit Insurance Act 

(12 U.S.C. 1816). The application on Form 82 must be executed in quadruplicate. Three applications signed by the proposed incorporators must be 

forwarded to the Supervising Examiner and the other application may be retained by the prospective incorporators. Applications filed on Form 82 must be 

accompanied by a certified copy of the proposed articles of incorporation or association and the requisite number of properly executed Forms 83. If the proDigitized for FRASER 

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posed bank contemplates the establishment of a branch or branches, its 

application on Form 82 must be accompanied by a properly executed Form 85 

for each branch. After incorporation is duly effected, the bank must submit a 

properly executed Form 82a.

(b) Form 82-M: Application of proposed mutual savings bank for Federal deposit insurance. Form 82-M, which is substantially the same as Form 82, should 

be used when the proposed bank is to be a mutual savings bank and should be 

prepared and submitted in the same manner as Form 82. If the proposed bank 

contemplates the establishment of a branch or branches, its application on 

Form 82-M must be accompanied by a properly executed Form 85-M for each 

branch.

(c) Form 82a and Form 82a-M: Certificate of adoption of resolution. Form 

82a is a copy of the resolution of the board of directors (or trustees) of the 

bank approving the action of the prospective incorporators in preparing and presenting its application for Federal deposit insurance on Form 82 or 82-M, certified to be a true and correct copy by the president or vice president and cashier 

or secretary. After incorporation has been duly effected and the bank is 

chartered to do business by the proper State authority, four properly executed 

Forms 82a must be transmitted to the Supervising Examiner. If not previously 

submitted, Form 82a must be accompanied by a copy of the bank's articles of 

incorporation or association and a copy of the bank's license or authorization to 

engage in the business of receiving deposits.

(d) Form 84: Application for Federal deposit insurance by an existing noninsured State bank (other than mutual savings). The applicant bank is required to 

submit statements, representations, and information with respect to the several 

factors enumerated in section 6 of the Federal Deposit Insurance Act (12 U.S.C. 

1816) and a copy of the resolution of its board of directors authorizing the 

bank's president or vice president and cashier or secretary to make the application. The application must be executed in quadruplicate, signed by such 

officers, and the bank's corporate seal affixed thereto. Three signed applications 

must be forwarded to the Supervising Examiner and the other application may 

be retained by the bank. Applications filed on Form 84 must be accompanied 

by the requisite number of properly executed Forms 83 and a certified copy of 

the articles of incorporation or association, including any amendments thereto. 

If the bank has a branch or branches, its application on Form 84 must be accompanied by a properly executed Form 85 for each branch.

(e) Form 84-M: Application for Federal deposit insurance by an existing noninsured mutual savings bank. Form 84-M, which is substantially the same as 

Form 84, should be used by mutual savings banks and should be prepared and 

submitted in the same manner as Form 84. If the bank has a branch or 

branches, its application on Form 84-M must be accompanied by a properly 

executed Form 85-M for each branch.

(f) Form 83 and Form 83-M; Financial statement. Form 83 must be executed 

in triplicate and certified to be true and correct by each individual director (or 

trustee) and officer of the bank or proposed bank (who is solely responsible for 

its contents) for the benefit of the Board of Directors of the Corporation in determining, with respect to the applicant bank, the general character of its management in accordance with section 6 of the Federal Deposit Insurance Act (12 

U.S.C. 1816). The requisite number of properly executed and signed Forms 83 

must accompany each application on Form 82, Form 82-M, Form 84, or Form

84-M.

(g) Form 85, Form 85a, and Form 85b: Application of insured State nonmember bank (except District bank and mutual savings bank) to establish or

move its main office or branch. (1) Form 85 is an application to establish a 

branch. The applicant bank is required to submit statements, representations, 

and information with respect to the several factors enumerated in section 6 of 

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tion of its board of directors authorizing the bank's president or vice president 

and cashier or secretary to make the application. The application must be executed in quadruplicate, signed by the president or vice president, have the 

corporate seal of the bank affixed thereto, and be attested by the cashier or 

secretary. Three signed applications must be forwarded to the Supervising Examiner and the other application may be retained by the bank. The application 

must be accompanied by a certified copy of the bank's articles of incorporation 

or association, including any amendments thereto unless previously submitted 

to the Corporation and not subsequently amended.

(2) Form 85a is an application to move main office or branch. It is similar to 

Form 85 and should be prepared and submitted in the same manner as Form 

85.

(3) Form 85b is an application to establish a branch pursuant to designation 

as depositary and financial agent of the United States Government. It is similar 

to Form 85 and should be prepared and submitted in the same manner as 

Form 85.

(h) Form 85-M and Form 85a-M: Application by insured nonmember mutual

savings bank to establish a branch or move its main office or branch. (1) Form

85-M is substantially the same as Form 85 and should be prepared and submitted in the same manner as Form 85.

(2) Form 85a-M is substantially the same as Form 85a and should be prepared and submitted in the same manner as Form 85.

(i) Form 86: Application for merger, consolidation, asset acquisition, or assumption. The bank applying for prior written consent to merge with, 

consolidate with, acquire the assets of, or assume liability to pay deposits made 

in, another bank or institution, pursuant to section 18(c) of the Federal Deposit 

Insurance Act, as amended (12 U.S.C. 1828(c)), and for the establishment of 

branches incident thereto pursuant to section i8 (d ) of the Act is required to 

submit statements, representations, and information with respect to the several 

factors enumerated in said section 18(c). Twelve copies of the application and 

all documents, schedules, and exhibits, including the agreement between the 

participating banks and the charter or articles of incorporation of the resulting 

or assuming bank, are to be executed by an authorized officer with the bank’s 

corporate seal affixed and forwarded to the Supervising Examiner. The Corporation will furnish the applicant bank with a form of the notice (Form 116) for 

publication provided for in said section 18(c).

(j) Form 100: Application for consent to retirement of common or preferred

stock, capital notes, or debentures. The applicant bank is required to submit 

statements with respect to the nature of the proposal, source of funds to effect 

the proposal, and other steps involved in the retirement. The application contains a statement of assets and liabilities and the disposition of certain assets 

adversely classified in the preceding report of examination made of the bank by 

examiners of the Corporation. Three applications certified to be true and correct 

and signed by the president or cashier of the bank must be forwarded to the 

Supervising Examiner.

(k) Form 102: Application. Form 102 should be used by all banks applying 

for the consent of the Corporation with respect to any application requiring 

such consent and for which no specific form is prescribed by this section or 

otherwise. The form contains a copy of the resolution of the bank's board of directors describing the proposal and authorizing the application, a statement of 

the action taken upon the proposal by the proper State banking authority where 

such action is required, and must be signed by the president or vice president 

and attested by the cashier or secretary. The application must be accompanied 

by a copy of the bank's articles of incorporation or association including any 

amendments thereto unless previously submitted to the Corporation and not 

subsequently amended. The application must be executed in quadruplicate. 

Three signed applications must be submitted to the Supervising Examiner of

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the District wherein the bank is located and one copy may be retained by the 

bank.

(I) Form 64: Report of condition (from banks other than mutual savings).

Form 64 is a report in the form of a standard statement of the assets and liabilities of the reporting bank together with additional detailed breakdown of selected items and information for assessment purposes. When special 

circumstances so require, additional detail with respect to specific asset or liability items may be required. Reports of condition must be prepared in accordance with the instructions contained in the booklet entitled “ Instructions for the 

preparation of Report of Condition on Form 64", copies of which are furnished 

by the Corporation to all insured State nonmember banks (except District 

banks) and which may be obtained on request from the Division of Research.

(m) Form 64 (Savings): Report of condition (from mutual savings banks).

Form 64 (Savings) is substantially the same as Form 64 and should be used by 

mutual savings banks.

(n) Form 73: Report of income and dividends (from banks other than mutual

savings). Report of income and dividends, Form 73, is a report in the form of a 

standard profit and loss statement and a reconciliation of changes in total capital accounts during the year. When special circumstances so require, additional 

detail with respect to specific income or expense items, charge-offs or recoveries, profits on assets sold, or changes in total capital account may be 

required. Reports of income and dividends must be prepared in accordance 

with the instructions contained in the booklet entitled “ Instructions for the 

preparation of Report of Income and Dividends on Form 73", which is furnished by the Corporation to all insured State nonmember banks (except 

District banks) and which may be obtained on request from the Division of 

Research.

(o) Form 73 (Savings): Report of income and dividends (from mutual savings banks). Form 73 (Savings) is substantially the same as Form 73 and 

should be used by mutual savings banks.

(p) Form 89: Summary of deposits. Report of summary of deposits is a report of the number of deposit accounts and the amount of deposits in such accounts grouped by size of account and type of deposit. Summary of deposit 

reports must be prepared in accordance with instructions contained in the pamphlet entitled ‘Instructions for preparation of Form 89", which is furnished by 

the Corporation to all insured banks and which may be obtained on request 

from the Division of Research.

(q) Form 545: Certified statement (for banks other than mutual savings). A 

Form 545 must be submitted on or before January 31 and July 31 of each year 

by every insured bank, except any newly insured banks which must submit their 

first certified statement on Form 645, and any mutual savings banks which 

must use Form 545 (Savings). Form 545 shows the deposit liabilities, less authorized deductions, reported in two reports of condition in each semiannual assessment period. The form will show the computation of the assessment base 

and the amount of the assessment due the Corporation. It must be prepared in 

duplicate, certified by the president of the bank or any other officer designated 

by its board of directors, and an original must be forwarded to the Fiscal Agent. 

The duplicate copy should be retained in the bank’s file.1 The forms are mailed 

to all insured banks each six months in ample time to permit compliance with 

the law, but if not received on or before January 1 or July 1, they should be 

obtained from the Fiscal Agent. Any questions in respect to such forms should

1 Section 7(b)(6) of the Federal Deposit Insurance Act, which relates to assessment base

deductions, provides, in part, as follows: “ Each insured bank, as a condition to the right

to make any such deduction in determ ining its assessment base, shall maintain such

records as will readily perm it verification of the correctness of its assessment base. No

insured bank shall be required to retain such records for such purpose for a period in

excess of five years from the date of the filing of any certified statement, except that

when there is a dispute between the insured bank and the Corporation over the amount

of any assessment the bank shall retain such records until final determ ination of the

issue."

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be directed to the Fiscal Agent.

(r) Form 545 (Savings): Certified statement (for mutual savings banks). This 

form is substantially the same as Form 545 and should be used by mutual savings banks.

(s) Form 645: First certified statement (for banks other than mutual savings). The first certified statement, Form 645, must be submitted on or before 

July 31 or January 31 following the semiannual period in which the bank began 

operation as an insured bank. The form shows the deposit liabilities, less authorized deductions, as provided by law, on the last date within such period for 

which it was required to submit a report of condition or, if such bank became 

an insured bank after the last date in such period for which a report of condition was required, such bank shall make a report of condition as of the last day 

of such semiannual period, and shall file with the Corporation a certified statement showing, as its assessment base for such period, its assessment base 

for the date of such special report. The form will show the computation of the 

assessment base and the amount of the assessment due the Corporation. It 

must be prepared in duplicate, certified by the president of the bank or any 

other officer designated by its board of directors, and the original must be 

forwarded to the Fiscal Agent. The duplicate copy shall be retained in the 

bank's file.1 The forms will be mailed by the Fiscal Agent to newly insured 

banks with appropriate instructions for their preparation.

(t) Form 645 (Savings): First certified statement (for mutual savings banks).

This form is substantially the same as Form 645 and should be used by mutual 

savings banks.

(u) Form 845: Final certified statement— for use by an insured bank (except

mutual savings banks) whose deposits are assumed by another insured bank.

This statement, Form 845, shows the deposit liabilities, less authorized deductions, of the bank in the report or reports of condition prior to the assumption 

date. Form 845, accompanied by appropriate letter of explanation and instructions, will be mailed by the Fiscal Agent to each insured bank whose deposit liabilities are assumed by another insured bank. The form must be prepared in 

duplicate, certified by the president of the bank or any other officer designated 

by its board of directors, and the original must be forwarded to the Fiscal 

Agent. The duplicate copy should be retained in the bank's files.1 If the deposits 

of the liquidating bank are assumed by a newly insured bank, the liquidating 

bank is not required to file Form 845 or to pay any assessments upon the deposits so assumed after the semiannual period in which the assumption takes 

effect.

(v) Form 845 (Savings): Final certified statement (for mutual savings banks).

This form is substantially the same as Form 845 and should be used by mutual 

savings banks.

(w) Form 845A: Final certified statement— for use of an insured bank (other

than mutual savings banks) whose deposit liabilities are assumed by another insured operating bank. (To be used when the assuming bank executes the 

certified statement for the bank whose deposits were assumed.) Form 845A 

may be substituted for Form 845 described in paragraph (u) of this section if 

the assuming bank is executing the certified statement for the bank whose deposit liabilities were assumed. Form 845A is prepared in the same manner as 

Form 845 except the certification is executed by an official of the assuming 

bank.

(x) Form 845A (Savings): Final certified statement— for use of an insured

mutual savings bank whose deposit liabilities are assumed by another insured

operating bank. (To be used when the assuming bank executes the certified 

statement for the bank whose deposits were assumed.) Form 845A (Savings) 

may be substituted for Form 845 (Savings) described in paragraph (v) of this 

section if the assuming bank is executing the certified statement for the bank 

whose deposit liabilities were assumed. Form 845A (Savings) is prepared in the

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same manner as Form 845 (Savings) except the certification is executed by an 

official of the assuming bank.

(y) Amended and corrected certified statements. Forms for use in amending 

or correcting previously submitted certified statements are identical in number 

and form with Forms 545, 645, 845, 845A (for other than mutual savings 

banks), 545 (Savings), 645 (Savings), 845 (Savings), and 845A (Savings) described above, except the title of the forms contains the additional word 

“ Amended” or “ Corrected". These forms may be obtained on request from the 

Fiscal Agent.

[F.R. Doc. 67-8318; Filed, July 18, 1967; 8:49 a.m.]

PART 306— RECEIVERSHIPS AND LIQUIDATIONS

National Bank Receiverships

Effective July 19, 1967, the fifth and sixth sentences and footnote 1 of 

§306.2 National bank receiverships of the rules and regulations of the Federal 

Deposit Insurance Corporation (12 CFR 306.2) are amended by substituting the 

figure “ $15,000" for the figure “ $10,000".

[F.R. Doc. 67-8319; Filed, July 18, 1967; 8:49 a.m.]

PART 307— VOLUNTARY TERMINATION OF INSURED STATUS 

Miscellaneous Amendments

Effective July 19, 1967, Part 307 of the rules and regulations of the Federal 

Deposit Insurance Corporation (12 CFR Part 307) is amended as follows:

1. Footnote 2 is amended by striking out the words “ and to the Reconstruction Finance Corporation if it owns or holds as pledgee any preferred stock, 

capital notes, or debentures of such bank,".

2. Footnote 8 is amended by substituting the words “ Section 8(o)" for the 

words “ Section 8(b)".

3. Paragraph (a) of §307.3 is amended by substituting the words “ section 8 

(q)" for the words “ section 8(d)" in the form for notice to depositors.

4. Footnote 9 is amended by substituting the words “ Section 8(q)" for the 

words “ Section 8(d)".

[F.R. Doc. 67-8320; Filed, July 18, 1967; 8:49 a.m.]

SUBCHAPTER B— REGULATIONS AND STATEMENTS OF GENERAL POLICY 

PART 325— INTRODUCTORY 

Scope

Effective July 19, 1967, §325.0 Scope of the rules and regulations of the Federal Deposit Insurance Corporation (12 CFR 325.0) is amended by substituting 

the words “ subchapter II of chapter 5 of title 5, United States Code" for the 

words “ the Administrative Procedure Act (60 Stat. 237)" and by substituting 

the words “ section 552(a)(1)(D) of title 5, United States Code" for the words 

“ section 3(a)(3) of the Administrative Procedure Act".

[F.R. Doc. 67-8321; Filed, July 18, 1967; 8:49 a.m.]

PART 327— ASSESSMENTS

Payment of Assessments by Banks Whose Insured Status Has Terminated

Effective July 19, 1967, the first sentence of paragraph (c) of §327.3 Payment of assessments by banks whose insured status has terminated of the

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rules and regulations of the Federal Deposit Insurance Corporation is amended 

by substituting the words “ section 8(a) or (o)” for the words “ section 8(a) or 

(b)”

[F.R. Doc. 67-8322; Filed, July 18, 1967; 8:49 a.m.]

PART 331— INSURANCE OF TRUST FUNDS

Claim by Fiduciary Bank for Insured Deposits of Trust Estates

Effective July 19, 1967, §331.1(d) of the rules and regulations of the Federal 

Deposit Insurance Corporation (12 CFR 331.1(d)) is amended to read as follows:

§331.1 Claim by fiduciary bank for insured deposits of trust estates.

* * $ * $

(d) Insured deposit of a trust estate. In arriving at the total insured deposit 

of a fiduciary bank or trust company with respect to any trust estate, the deposit of such estate as determined in accordance with any paragraph of this 

section shall be combined with that determined under any other paragraph of 

this section and the insured deposit shall be the total less any amount thereof 

in excess of $15,000.

[F.R. Doc. 67-8323; Filed, July 18, 1967; 8:49 a.m.]

TITLE 12— BANKS AND BANKING 

CHAPTER III— FEDERAL DEPOSIT INSURANCE CORPORATION 

SUBCHAPTER A— PROCEDURE AND RULES OF PRACTICE 

PART 308— RULES OF PRACTICE AND PROCEDURES 

Effective August 1, 1967, Part 308 of the rules and regulations is amended 

as follows:

SUBPART A— RULES OF PRACTICE APPLICABLE TO ALL HEARINGS

Sec.

308.1 Scope.

308.2 Appearance and practice before the Corporation.

308.3 Notice of hearing.

308.4 Answer.

308.5 Conduct of hearings.

308.6 Subpenas.

308.7 Rules of evidence.

308.8 Motions.

308.9 Proposed findings and conclusions and recommended decision.

308.10 Exceptions.

308.11 Briefs.

308.12 Oral argument before the Board of Directors.

308.13 Notice of submission to the Board of Directors.

308.14 Decision of Board of Directors.

308.15 Filing papers.

308.16 Service.

308.17 Copies.

308.18 Computing time.

308.19 Documents in proceedings confidential.

308.20 Formal requirements as to papers filed.

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SUBPART B— RULES AND PROCEDURES APPLICABLE TO PROCEEDINGS FOR 

THE INVOLUNTARY TERMINATION OF INSURED STATUS

308.21 Scope.

308.22 Grounds for termination of insurance.

308.23 Notice of intention to terminate insured status.

308.24 Order terminating insured status.

308.25 Consent to termination of insured status.

308.26 Notice of termination of insured status.

308.27 Termination of insured status of banking institution not engaged in

the business of receiving deposits other than trust funds.

SUBPART C— RULES AND PROCEDURES APPLICABLE TO PROCEEDINGS RELATING TO CEASE-AND-DESIST ORDERS

308.28 Scope.

308.29 Grounds for cease-and-desist orders.

308.30 Notice of charges and hearing.

308.31 Issuance of order.

308.32 Effective date.

308.33 Temporary cease-and-desist orders.

308.34 Effective date of temporary order.

SUBPART D— RULES AND PROCEDURES APPLICABLE TO PROCEEDINGS RELATING TO REMOVAL AND SUSPENSION ORDERS

308.35 Scope.

308.36 Grounds for removal order.

308.37 Grounds for suspension order.

308.38 Effective date of suspension order.

308.39 Notice of intention to remove and hearing.

308.40 Issuance of removal order and effective date.

308.41 Suspension and removal where felony charged.

SUBPART A— RULES OF PRACTICE APPLICABLE TO ALL HEARINGS 

§308.1 Scope.

(a) This subpart prescribes rules of practice and procedure followed by the 

Federal Deposit Insurance Corporation in hearings held pursuant to the provisions of section 8 of the Federal Deposit Insurance Act pertaining to (1) involuntary termination of the insured status of any bank, (2) the issuance of 

cease-and-desist orders against any insured State nonmember bank, and (3) the 

issuance of orders removing or suspending from office and/or prohibiting from 

further participation in the conduct of the bank's affairs, any director or officer 

of an insured State nonmember bank or any other person participating in the 

conduct of the affairs of such a bank.

(b) In connection with any proceeding under Subpart C or D of this part, the 

Corporation will provide the appropriate State supervisory authority with timely 

notice of its intent to institute such a proceeding and the grounds therefor. Unless within such time as the Corporation deems appropriate in the light of the 

circumstances of the case (which time will be specified in the notice) satisfactory corrective action is effectuated by action of the State supervisory authority, the Corporation will proceed as provided in Subparts C and D of this part.

§308.2 Appearance and practice before the Corporation.

(a) Power of attorney and notice of appearance. Any person who is a member in good standing of the bar of the highest court of any State, possession, 

territory, Commonwealth, or the District of Columbia, may represent others before the Corporation upon filing with the Secretary a written declaration that he 

is currently qualified as provided by this paragraph, and is authorized to represent the particular party on whose behalf he acts. Any other person desiring to 

appear before or transact business with the Corporation in a representative capacity may be required to file with the Secretary of the Corporation a power of

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attorney showing his authority to act in such capacity, and he may be required 

to show to the satisfaction of the Board of Directors that he has the requisite 

qualifications. Attorneys and representatives of parties to proceedings shall file 

a written notice of appearance with the Secretary or with the trial examiner.

(b) Summary suspension. Contemptuous conduct at an argument before the 

Board of Directors or at a hearing before a trial examiner shall be ground for 

exclusion therefrom and suspension for the duration of the argument or hearing.

§308.3 Notice of hearing.

Whenever a hearing is ordered by the Board of Directors in any proceeding 

pursuant to section 8 of the Federal Deposit Insurance Act, a notice of hearing 

shall be given by the Secretary or other designated officer acting for the Board 

of Directors to the party afforded the hearing and to the appropriate supervisory 

authority. Such notice shall state the time, place, and nature of the hearing, the 

trial examiner, and the legal authority and jurisdiction under which the hearing 

is to be held, and shall contain a statement of the matters of fact or law constituting the grounds for the hearing, and shall be delivered by personal service, 

by registered or certified mail to the last known address, or other appropriate 

means, sufficiently in advance of the date set for hearing to comply with the 

provisions of the Federal Deposit Insurance Act. The term “ party"-means a person or agency named or admitted as a party, or any person or agency who has 

filed a written request and is entitled as of right to be admitted as a party; but 

a person or agency may be admitted for a limited purpose.

§308.4 Answer.

(a) When required. In any notice of hearing issued by the Board of Directors, 

the Board of Directors may direct the party or parties afforded the hearing to 

file an answer to the allegations contained in the notice, and any party to any 

proceeding may file an answer. Except where a different period of not less than 

10 days after service of a notice of hearing is specified by the Board of 

Directors, a party directed to file an answer, or a party who elects to file an 

answer, shall file the same with the Secretary within 20 days after service upon 

him of the notice of hearing.

(b) Requirements of answer; effect of failure to deny. An answer filed under 

this section shall specifically admit, deny, or state that the party does not have 

sufficient information to admit or deny each allegation in the notice of hearing. 

A statement of lack of information shall have the effect of a denial. Any allegation not denied shall be deemed to be admitted. When a party intends to deny 

only a part or a qualification of an allegation, he shall specify so much of it as 

is true and shall deny only the remainder.

(c) Admitted allegations. If a party filing an answer under this section elects 

not to contest any of the allegations of fact set forth in the notice of hearing, 

his answer shall consist of a statement that he admits all of the allegations to 

be true. Such an answer shall constitute a waiver of hearing as to the facts alleged in the notice, and together with the notice will provide a record basis on 

which the trial examiner shall file with the Secretary his recommended decision 

containing his findings of fact, conclusions of law and proposed order. Any such 

party may, however, upon service of the recommended decision, findings, conclusions and proposed order of the trail examiner, file exceptions thereto within 

the time provided in §308.10(a).

(d) Effect of failure to answer. Failure of a party to file an answer required 

by this section within the time provided shall be deemed to constitute a waiver 

of his right to appear and contest the allegations of the notice of hearing and 

to authorize the trial examiner, without further notice to the party, to find the 

facts to be as alleged in the notice and to file with the Secretary a recommended decision containing such findings and appropriate conclusions. The 

Board of Directors or the trial examiner may, for cause shown, permit the filing 

of a delayed answer after the time for filing the answer has expired.

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(e) Opportunity for informal settlement. Any interested party may at any 

time submit to the Secretary, for consideration by the Board of Directors, w ritten offers or proposals for settlement of a proceeding, without prejudice to the 

rights of the parties. No such offer or proposal, or counteroffer or proposal, 

shall be admissible in evidence over the objection of any party in any hearing in 

connection with such proceeding. The foregoing provisions of this section shall 

not preclude settlement of any proceeding through the regular adjudicatory 

process by filing of an answer as provided in this section, or by submission of 

the case to the trial examiner on a stipulation of facts and an agreed order.

§308.5 Conduct of hearings.

(a) Selection of trial examiner. Any hearing shall be held before a trial examiner selected by the Civil Service Commission and designated by the Board of 

Directors and, unless otherwise provided in the notice of hearing, shall be conducted as hereinafter provided.

(b) Authority of trial examiner. All hearings governed by this part shall be 

conducted in accordance with the provisions of chapter 5 of title 5 of the 

United States Code. The trial examiner designated by the Board of Directors to 

preside at any such hearing shall have complete charge of the hearing, and he 

shall have the duty to conduct it in a fair and impartial manner and to take all 

necessary action to avoid delay in the disposition of proceedings. Such examiner 

shall have all powers necessary to that end, including the following:

(1) To administer oaths and affirmations;

(2) To issue subpenas and subpenas duces tecum, as authorized by law, and 

to revoke, quash, or modify any such subpena;

(3) To receive relevant evidence and to rule upon the admission of evidence 

and offers of proof;

(4) To take or cause depositions to be taken;

(5) To regulate the course of the hearing and the conduct of the parties and 

their counsel;

(6) To hold conferences for the settlement or simplification of issues or for 

any other proper purpose; and

(7) To consider and rule upon, as justice may require, all procedural and 

other motions appropriate in an adversary proceeding, except that a trial examiner shall not have power to decide any motion to dismiss the proceedings or 

other motion which results in final determination of the merits of the proceedings.

Without limitation on the foregoing provisions of this paragraph, the trial examiner shall, subject to the provisions of this part, have all the authority of section 

556(c) of title 5 of the United States Code.

(c) Prehearing conference. The trial examiner may, on his own initiative or at 

the request of any party, direct counsel for all parties to meet with him at a 

specified time and place prior to the hearing, or to submit suggestions to him 

in writing, for the purpose of considering any or all of the following:

(1) Simplification and clarification of the issues;

(2) Stipulations, admissions of fact and of the contents and authenticity of 

documents;

(3) Matters of which official notice will be taken; and

(4) Such other matters as may aid in the orderly disposition of the proceeding, including disclosure of the names of witnesses and of documents or other 

physical exhibits which will be introduced in evidence in the course of the proceeding.

Such conferences shall, at the request of any party, be recorded and at the conclusion thereof the trial examiner shall enter in the record an order which recites the results of the conference. Such order shall include the examiner's 

rulings upon matters considered at the conference, together with appropriate directions to the parties, if any; and such order shall control the subsequent 

course of the proceedings, unless modified at the hearing to prevent manifest

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injustice. Except as authorized by law, the trial examiner shall not consult any 

person or party on any fact in issue unless upon notice and opportunity for all 

parties to participate, nor be responsible to or subject to the supervision or direction of any officer, employee, or agent engaged in the performance of investigative or prosecuting functions. No officer, employee, or agent engaged in the 

performance of investigative or prosecuting functions in any case shall, in that 

case or a factually related case, participate or advise in the decision of the trial 

examiner except as a witness or counsel in the proceedings.

(d) Attendance at hearings. A hearing shall ordinarily be private and shall be 

attended only by the parties, their representatives or counsel, witnesses while 

testifying, and other persons having an official interest in the proceedings: Provided, however, That on written request by a party or representatives of the 

Board of Directors, or on the Board's own motion, the Board, in its discretion 

and to the extent permitted by law, may permit other persons to attend or may 

order the hearing to be public.

(e) Transcript of testimony. Hearings shall be recorded and transcripts will 

be made available to any party upon payment of the cost thereof and, in the 

event the hearing is public, shall be furnished on similar payment to other interested persons. A copy of the transcript of the testimony taken at any 

hearing, duly certified by the reporter, together with all exhibits, all papers and 

requests filed in the proceeding, and any briefs or memoranda of law theretofore filed in the proceeding, shall be filed with the Secretary of the Corporation, 

who shall transmit the same to the trial examiner. The Secretary shall promptly 

serve notice upon each of the parties of such filing and transmittal. The trial 

examiner shall have authority to rule upon motions to correct the record.

(f) Order of procedure. The counsel for the Corporation shall open and close.

(g) Continuances and changes or extensions of time and changes of place of

hearing. Except as otherwise expressly provided by law, the Board of Directors 

may by the notice of hearing or subsequent order provide time limits different 

from those specified in this part, and the Board of Directors may, on its own 

initiative or for good cause shown, change or extend any time limit prescribed 

by these rules or the notice of hearing, or change the time and place for beginning any hearing hereunder. The trial examiner may continue or adjourn a 

hearing from time to time and, as permitted by law or agreed to by the parties, 

from place to place. Extensions of time for making any filing or performing any 

act required or allowed to be done within a specified time in the course of a 

proceeding may be granted by the trial examiner for good cause shown.

(h) Call for further evidence, oral argument, briefs, reopening of hearing.

The trial examiner may call for the production of further evidence upon any issue, may permit oral argument and submission of briefs at the hearing and, 

upon appropriate notice, may reopen any hearing at any time prior to the certification of his recommended decision to the Secretary. The Board of Directors 

shall render its decision within 90 days after the Secretary has notified the parties, pursuant to §308.13, that the case has been submitted to the Board of Directors for final decision, unless within such 90-day period the Board of Directors shall order that such notice be set aside and the case reopened for further 

proceedings.

%308.6 Subpenas.

(a) Issuance. The trial examiner, or in the event he is unavailable, the 

Board of Directors, shall issue subpenas at the request of any party, requiring 

the attendance of witnesses or the production of documentary evidence at any 

designated place of hearing; except that where it appears to the trial examiner 

or the Board of Directors that the subpena may be unreasonable, oppressive, 

excessive in scope, or unduly burdensome, the party seeking the subpena may 

be required, as a condition precedent to the issuance of the subpena, to show 

the general relevance and reasonable scope of the testimony or other evidence 

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ation of all the circumstances, determines that the subpena or any of its terms 

are unreasonable, oppressive, excessive in scope, or unduly burdensome, he or 

it may refuse to issue the subpena, or issue it only upon such conditions as 

fairness requires.

(b) Motion to quash. Any person to whom a subpena is directed may, prior 

to the time specified therein for compliance but in no event more than five days 

after the date of service of such subpena, with notice to the party requesting 

the subpena, apply to the trial examiner, or, if he is unavailable, to the Board 

of Directors, to revoke, quash, or modify such subpena, accompanying such application with a statement of the reasons therefor.

(c) Service of subpena. Service of a subpena upon a person named therein 

shall be made by delivering a copy of the subpena to such person and by tendering the fees for 1 day's attendance and the mileage as specified in 

paragraph (d) of this section, except that when a subpena is issued at the instance of the Board of Directors fees and mileage need not be tendered at the 

time of service of the subpena. If service is made by a U.S. marshal, or his 

deputy, or an employee of the Corporation, such service shall be evidenced by 

his return thereon. If made by any other person, such person shall make affidavit thereto, describing the manner in which service is made, and return such affidavit on or with the original subpena. In case of failure to make service, 

reasons for the failure shall be stated on the original subpena. The original 

subpena, bearing or accompanied by the required return, affidavit or statement, 

shall be returned without delay to the trial examiner.

(d) Attendance of witnesses. The attendance of witnesses and the production 

of documents pursuant to a subpena, issued in connection with a hearing provided for in Subpart Bf C, or D of this part, may be required from any place in 

any State or in any territory at any designated place where the hearing is being 

conducted. Witnesses subpenaed in any proceeding under this part shall be 

paid the same fees and mileage that are paid witnesses in the district courts of 

the United States.

(e) Depositions. The Board of Directors or trial examiner, by subpena or 

subpena duces tecum, may order evidence to be taken by deposition in any proceeding at any stage thereof. Such depositions may be taken by the trial examiner or before any person designated by the Board of Directors or trial examiner 

and having power to administer oaths. Unless notice is waived, no deposition 

shall be taken except after at least 5 days' notice to the parties to the proceeding.

(f) Application and order to take oral deposition. Any party desiring to take 

the oral deposition of a witness, in connection with any hearing provided for in 

this part, shall make application in writing to the trial examiner or, in the event 

he is unavailable, to the Board of Directors, setting forth the reasons why such 

deposition should be taken, the name and post office address of the witness, 

the matters concerning which the witness is expected to testify, its relevance, 

and the time when, the place where, and the name and post office address of 

the person before whom it is desired the deposition be taken. A copy of such 

application shall be served upon every other party to the proceeding by the 

party making such application. Upon a showing that (1) the proposed witness 

will be unable to attend or may be prevented from attending the hearing 

because of age, sickness or infirmity, or will otherwise be unavailable at the 

hearing, (2) his testimony will be material, and (3) the taking of the deposition 

will not result in any undue burden to any other party or in undue delay of the 

proceeding, the trial examiner or the Board of Directors may, in his or its discretion, by such subpena or subpena duces tecum, order the oral deposition to 

be taken. Such subpena will name the witness whose deposition is to be taken 

and specify the time when, the place where, and the person before whom the 

witness is to testify, but such time and place, and the person before whom the 

deposition is ordered to be taken, may or may not be the same as those named 

in the application. Notice of the issuance of such subpena shall be served upon

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each of the parties a reasonable time, and in no event less than five days, in 

advance of the time fixed for the taking of the deposition.

(g) Procedure on deposition; objections. Each witness testifying upon oral 

deposition shall be duly sworn, and the adverse party shall have the right to 

cross-examine. Objections to questions or evidence shall be in short form, stating the grounds of objection relied upon; but the person taking the deposition 

shall not have power to rule upon questions of competency or materiality or relevance of evidence. Failure to object to questions or evidence shall not be 

deemed a waiver except where the ground of the objection is one which might 

have been obviated or removed if presented at that time. The questions propounded and the answers thereto, together with all objections made (but not including argument or debate) shall be recorded by the person taking the deposition, or under his direction. The deposition shall be subscribed by the witness, 

unless the parties by stipulation waived the signing or the witness is ill or cannot be found or refused to sign, and certified as a true and complete transcript 

thereof by the person taking the deposition. If the deposition is not subscribed 

to by the witness, such person shall state on the record this fact and the reason therefor. Such person shall promptly send the original and two copies of 

such deposition, together with the original and two copies of all exhibits, by registered mail to the Secretary of the Corporation unless otherwise directed in 

the order authorizing the taking of the deposition. Interested parties shall make 

their own arrangements with the person taking the deposition for copies of the 

testimony and the exhibits.

(h) Introduction as evidence. Subject to appropriate rulings on such objections to questions of evidence as were noted at the time the deposition was 

taken or as would be valid were the witness personally present and testifying 

(except objections waived under the third sentence of paragraph (g) of this section), the deposition or any part thereof may be read in evidence by any party 

to the proceeding. Only such part or the whole of a deposition as is received in 

evidence at a hearing shall constitute a part of the record in such proceeding 

upon which a decision may be based.

(i) Payment of fees. Witnesses whose oral depositions are taken shall be entitled to the same fees as are paid for like services in the courts of the United 

States. Fees of persons taking such depositions and the fees of the reporter 

shall be paid by the person upon whose application the deposition was taken.

§308.7 Rules of evidence.

(a) Evidence. Every party shall have the right to present his case or defense 

by oral and documentary evidence, to submit rebuttal evidence and to conduct 

such cross-examination as may be required for a full and true disclosure of the 

facts. Irrelevant, immaterial, or unduly repetitious evidence shall be excluded.

(b) Objections. Objections to the admission or exclusion of evidence shall be 

in short form, stating the grounds of objections relied upon, and the transcript 

shall not include argument thereon except as ordered, allowed, or requested by 

the trial examiner. Rulings on such objections and on any other matters shall 

be a part of the transcript. Failure to object to admission or exclusion of evidence or to any ruling shall be considered a waiver of such objection.

(c) Official notice. All matters officially noticed by the trial examiner shall appear on the record.

§308.8 Motions.

(a) In writing. An application or request for an order or ruling not otherwise 

specifically provided for in this part shall be made by motion. After a trial examiner has been designated to preside at a hearing and before the filing with 

the Secretary of his recommended decision, pursuant to §308.9, such applications or requests shall be addressed to and filed with him. At all other times 

motions shall be addressed to the Board of Directors and filed with the Secretary. Motions shall be in writing, except that a motion made at a session of a

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hearing may be made orally upon the record unless the trial examiner directs 

that it be reduced to writing. All written motions shall state with particularity 

the order or relief sought and the grounds therefor.

(b) Objections. Within 5 days after service of any written motion, or within 

such other period of time as may be fixed by the trial examiner or the Board of 

Directors, any party may file a written answer or objection to such motion. The 

moving party shall have no right to reply, except as permitted by the trial examiner or the Board of Directors. As a matter of discretion, the trial examiner or 

the Board of Directors may waive the requirements of this section as to motions for extensions of time, and may rule upon such motions ex parte.

(c) Oral argument. No oral argument will be heard on motions except as 

otherwise directed by the trial examiner or the Board of Directors. Written 

memoranda or briefs may be filed with motions or answers or objections 

thereto, stating the points and authorities relied upon in support of the position 

taken.

(d) Rulings on motions. Except as otherwise provided in this part, the trial 

examiner shall rule upon all motions properly addressed to him and upon such 

other motions as the Board of Directors may direct, except that if the trial examiner finds that a prompt decision by the Board of Directors on a motion is 

essential to the proper conduct of the proceeding, he may refer such motion to 

the Board of Directors for decision. The Board of Directors shall rule upon all 

motions properly submitted to it for decision.

(e) Appeal from rulings on motions. All motions and answers or objections 

thereto and rulings thereon shall become part of the record. Rulings of a trial 

examiner on any motion may not be appealed to the Board of Directors prior to 

its consideration of the trial examiner’s recommended decision, findings and 

conclusions except by special permission of the Board of Directors; but they 

shall be considered by the Board of Directors in reviewing the record. Requests 

to the Board of Directors for special permission to appeal from such rulings of 

the trial examiner shall be filed promptly, in writing, and shall briefly state the 

grounds relied on. The moving party shall immediately serve a copy thereof on 

every other party to the proceeding.

(f) Continuation of hearing. Unless otherwise ordered by the trial examiner 

or the Board of Directors, the hearing shall continue pending the determination 

of any motion by the Board of Directors.

§308.9 Proposed findings and conclusions and recommended decision.

(a) Proposed findings and conclusions by parties. Each party to a hearing 

shall have a period of 15 days after service of the Secretary's notice of the filing and transmittal of the record, as provided in paragraph (e) of §308.5, or 

such further time as the trial examiner for good cause shall determine, to file 

with the trial examiner proposed findings of fact, conclusions of law and order, 

which may be accompanied by a brief or memorandum in support thereof. Such 

proposals shall be supported by citation of such statutes, decisions and other 

authorities, and by page references to such portions of the record, as may be 

relevant. All such proposals, briefs and memoranda shall become a part of the 

record.

(b) Recommended decision and filing of record. The trial examiner shall, 

within 30 days after the expiration of the time allowed for the filing of proposed 

findings, conclusions, and order, or within such further time as the Board of Directors for good cause shall determine, file with the Secretary and certify to the 

Board of Directors for decision the entire record of the hearing, which shall 

include his recommended decision, findings of fact, conclusions of law, and proposed order, the transcript, exhibits (including on request of any of the parties 

any exhibits excluded from evidence or tenders of proof), exceptions, rulings, 

and all briefs and memoranda filed in connection with the hearing. Promptly 

upon such filing the Secretary shall serve upon each party to the proceeding a 

copy of the trial examiner's recommended decision, findings, conclusions, and

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proposed order. The provisions of this paragraph and §308.10 shall not apply, 

however, in any case where the hearing was held before the Board of Directors.

§308.10 Exceptions.

(a) Filing. Within 15 days after service of the recommended decision, findings, conclusions, and proposed order of the trial examiner, or such further 

time as the Board of Directors for good cause shall determine, any party (other 

than a party who has not filed an answer in accordance with paragraphs (a) 

and (d) of §308.4, unless no answer was required of such party by the Board of 

Directors) may file with the Secretary exceptions thereto or any part thereof, or 

to the failure of the trial examiner to make any recommendation, finding, or 

conclusion, or to the admission or exclusion of evidence, or other ruling of the 

trial examiner, supported by such brief as may appear advisable.

(b) Waiver. Failure of a party to file exceptions to the recommended decision, findings, conclusions, and proposed order of the trial examiner or any 

portion thereof, or to his failure to adopt a proposed finding or conclusion, or 

to the admission or exclusion of evidence or other ruling of the trial examiner, 

within the time prescribed in paragraph (a) of this section, shall be deemed to 

be a waiver of objection thereto.

§308.11 Briefs.

(a) Contents. All briefs shall be confined to the particular matters in issue. 

Each exception or proposed finding or conclusion which is briefed shall be supported by a concise argument or by citation of such statutes, decisions or other 

authorities and by page reference to such portions of the record or recommended decision of the trial examiner as may be relevant. If the exception relates to 

the admission or exclusion of evidence, the substance of the evidence admitted 

or excluded shall be set forth in the brief with appropriate references to the 

transcript.

(b) Reply briefs. Reply briefs may be filed with the Secretary of the Corporation within 10 days after service of briefs and shall be confined to matters in 

original briefs of opposing parties. Further briefs may be filed only with the permission of the Board of Directors.

(c) Delays. Briefs not filed on or before the time fixed in this subpart will be 

received only upon special permission of the Board of Directors.

§308.12 Oral argument before the Board of Directors.

Upon its own initiative, or upon the written request of any party made within 

the time prescribed for the filing of exceptions, a brief in support thereof, or a 

reply brief, if any, for oral argument on the findings, conclusions, and recommended decision of the trial examiner, the Board of Directors, if it considers 

justice will best be served, may order the matter to be set down for oral argument before the Board of Directors or one or more members thereof. Oral 

argument before the Board of Directors shall be recorded unless otherwise ordered by the Board of Directors.

§308.13 Notice of submission to the Board of Directors.

Upon the filing of the record with the Secretary of the Corporation, and upon 

the expiration of the time for the filing of exceptions and all briefs, including reply briefs or any further briefs permitted by the Board of Directors and upon 

the hearing of oral argument by the Board of Directors, if ordered by the Board 

of Directors, the Secretary shall notify the parties that the case has been submitted to the Board of Directors for final decision.

§308.14 Decision of Board of Directors.

Appropriate members of the staff, who are not engaged in the performance 

of investigative or prosecuting functions in the case, or in a factually related 

case, may advise and assist the Board of Directors in the consideration of the 

case and in the preparation of appropriate documents for its disposition. Copies 

of the decision and order of the Board of Directors shall be furnished by the

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Secretary of the Corporation to the parties to the proceedings, the bank involved and to the appropriate State supervisory authority, in the case of a State 

bank. Where the proceedings involve the involuntary termination of the insured 

status of a bank, copies of the decision and order shall also be furnished to the 

Board of Governors of the Federal Reserve System in the case of a State member bank, or to the Comptroller of the Currency in the case of a national bank 

or a District bank.

§308.15 Filing papers.

Recommended decisions, exceptions, briefs and other papers required to be 

filed with the Board of Directors or Secretary in any proceedings shall be filed 

with the Secretary, Federal Deposit Insurance Corporation, Washington, D.C. 

20429. Any such papers may be sent to the Secretary by mail or express but 

must be received in the office of the Corporation in Washington, D.C., or postmarked by a post office, within the time limit for such filing.

§308.16 Service.

(a) By the Board of Directors. All documents or papers required to be served 

by the Board of Directors upon any party afforded a hearing shall be served by 

the Secretary of the Corporation unless some other person shall be designated 

for such purpose by the Board of Directors. Such service, except for service on 

counsel for the Board of Directors, shall be made by personal service or by registered mail, addressed to the last known address as shown on the records of 

the Board of Directors, on the attorney or representative of record of such 

party, provided that if there is no attorney or representative of record, such 

service shall be made upon such party at the last known address as shown on 

the records of the Board of Directors. Such service may also be made in such 

other manner reasonably calculated to give actual notice as the Board of 

Directors may by regulation or otherwise provide.

(b) By the parties. Except as otherwise expressly provided in this part, all 

documents or papers filed in a proceeding under this part shall be served by 

the party filing the same upon the attorneys or representatives of record of all 

other parties to the proceeding, or, if any party is not so represented, then 

upon such party. Such service may be made by personal service or by registered, certified, or regular first-class mail addressed to the last known address 

of such parties, or their attorneys or representatives of record. All such documents or papers shall, when tendered to the Board of Directors or the trial examiner for filing, show that such service has been made.

§308.17 Copies.

Unless otherwise specifically provided in the notice of hearing, an original 

and seven copies of all documents and papers required or permitted to be filed 

or served upon the Secretary of the Corporation under this part, except the 

transcript of testimony and exhibits, shall be furnished to the Secretary of the 

Corporation.

§308.18 Computing time.

(a) General rule. In computing any period of time prescribed or allowed by 

this part, the date of the act, event or default from which the designated period 

of time begins to run is not to be included. The last day so computed shall be 

included, unless it is a Saturday, Sunday, or legal holiday in the District of Columbia, in which event the period shall run until the end of the next day which 

is neither a Saturday, Sunday, nor such legal holiday. Intermediate Saturdays, 

Sundays, and legal holidays shall be included in the computation unless the 

time within which the act is to be performed is 10 days or less in which event 

Saturdays, Sundays, and legal holidays shall not be included.

(b) Service by mail. Whenever any party has the right or is required to do 

some act or take some proceeding, within a period of time prescribed in this 

part, after the service upon him of any document or other paper of any kind, 

and such service is made by mail, 3 days shall be added to the prescribed

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period from the date when the matter served is deposited in the United States 

mail.

§308.19 Documents in proceedings confidential.

Unless and until otherwise ordered by the Board of Directors, the notice of 

hearing, the transcript, the recommended decision of the trial examiner, exceptions thereto, proposed findings or conclusions, the findings and conclusions of 

the Board of Directors and other papers which are filed in connection with any 

hearing shall not be made public, and shall be for the confidential use only of 

the Board of Directors, the trial examiner, the parties and appropriate supervising authorities.

§308.20 Formal requirements as to papers filed.

(a) Form. All papers filed under this subpart shall be printed, typewritten, or 

otherwise reproduced. All copies shall be clear and legible.

(b) Signature. The original of all papers filed by a bank shall be signed by an 

officer thereof, and if filed by another party shall be signed by said party, or by 

the duly authorized agent or attorney of the bank or other party, and in all such 

cases shall show the signer's address. Counsel for the Corporation shall sign 

the original of all papers filed by him.

(c) Caption. All papers filed must include at the head thereof, or on a title 

page, the name of the Corporation, the name of the party, and the subject of 

the particular paper.

SUBPART B— RULES AND PROCEDURES APPLICABLE TO PROCEEDINGS FOR

THE INVOLUNTARY TERMINATION OF INSURED STATUS

§308.21 Scope.

Under the authority of section 8 of the Federal Deposit Insurance Act, the 

Board of Directors of the Corporation may terminate the insured status of an 

insured bank upon the grounds set forth therein and enumerated in §§308.22 

and 308.27. The procedure for terminating the insured status of a bank as 

therein prescribed will be followed and hearings required thereunder will be conducted in accordance with the rules and procedures set forth in this subpart 

and Subpart A of this part.

§308.22 Grounds for termination of insurance.

Whenever the Board of Directors finds that an insured bank or its directors 

or trustees have engaged or are engaging in unsafe or unsound practices in 

conducting the business of such bank, or that such bank is in an unsafe or unsound condition to continue operations as an insured bank, or that such bank 

or its directors or trustees have violated an applicable law, rule, regulation or 

order, or any condition imposed in writing by the Corporation in connection with 

the granting of any application or other request by the bank, or any written 

agreement entered into with the Corporation, the Board of Directors will first 

give to the Comptroller of the Currency in the case of a national bank or a District bank, to the authority having supervision of the bank in the case of a State 

bank, and to the Board of Governors of the Federal Reserve System in the case 

of a State member bank, a statement with respect to such practices or violations for the purpose of securing the correction thereof and will forward a copy 

thereof to the bank.

§308.23 Notice of intention to terminate insured status.

Unless correction of the practices, condition or violations set forth in the 

statement prescribed in §308.22 is made within 120 days, or such shorter 

period not less than 20 days fixed by the Corporation in any case where the 

Board of Directors in its discretion has determined that the insurance risk of 

the Corporation is unduly jeopardized, or fixed by the Comptroller of the 

Currency in the case of a national bank, or the State authority in the case of 

a State bank, or Board of Governors of the Federal Reserve System in the case

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of a State member bank, as the case may be, the Board of Directors, if it 

determines to proceed further, will give to the bank not less than 30 days' 

written notice of its intention to terminate the status of the bank as an insured 

bank, and will fix a time and place for a hearing before the Board of Directors 

or before a person designated by it to conduct such hearing, at which evidence 

may be produced, and upon such evidence the Board of Directors will make 

written findings which shall be conclusive.

§308.24 Order terminating insured status.

If the Board of Directors finds that any unsafe or unsound practice or condition or violation specified in such statement has been established and has not 

been corrected within the time prescribed under §308.23, in which to make 

such corrections, the Board of Directors may order that the insured status of 

the bank be terminated on a date subsequent to such finding and to the expiration of the time specified in the notice of intention issued under §308.23.

§308.25 Consent to termination of insured status.

Unless the bank appears at the hearing designated in the notice of hearing 

by a duly authorized representative, it shall be deemed to have consented to 

the termination of its status as an insured bank. In the event the bank fails to 

appear at such hearing, the trial examiner shall forthwith report the matter to 

the Board of Directors and the Board may thereupon issue an order terminating 

the bank's insured status.

§308.26 Notice of termination of insured status.

Prior to the effective date of the termination of the insured status of a bank 

under section 8(a) of the Federal Deposit Insurance Act and at such time as 

the Board of Directors shall specify, the bank shall mail to each depositor at his 

last address of record on the books of the bank and publish in not less than 

two issues of a local newspaper of general circulation and shall furnish the Corporation with proof of publication of notice of such termination of insured status. The notice shall be as follows:

NOTICE

(Date)

1. The status of the ............................................, ................................................... ,

as an insured bank under the provisions of the Federal Deposit Insurance Act, 

will terminate as of the close of business on the .... day of ..................... , 19....;

2. Any deposits made by you after that date, either new deposits or additions to existing deposits, will not be insured by the Federal Deposit Insurance 

Corporation;

3. Deposits in the bank on the .... day of ..................... , 19...., up to a maximum of $15,000 for each depositor, will continue to be insured, as provided by 

the Federal Deposit Insurance Act, for 2 years after the close of business on 

the .... day of ..................... , 19....; Provided, however, That any withdrawals after the close of business on the . .. day of ..................... , 19...., will reduce the

insurance coverage by the amount of such withdrawals.

(Name of banking institution)

(Address)

There may be included in such notice any additional information or advice the 

banking institution may deem desirable.

§308.27 Termination of insured status of banking institution not engaged in

the business of receiving deposits other than trust funds.

Whenever the Board of Directors shall have evidence indicating that an insured banking institution is not engaged in the business of receiving deposits,

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other than trust funds, it will give notice in writing to the banking institution of 

such fact, and will direct the banking institution to show cause why the insured 

status of the banking institution should not be terminated under the provisions 

of section 8(p) of the Federal Deposit Insurance Act. The banking institution 

shall have 30 days, or such greater period of time as the Board of Directors 

shall prescribe, after receipt of such notice to submit affidavits or other written 

proof that it is engaged in the business of receiving deposits, other than trust 

funds. The Board of Directors may, in its discretion, upon written request of the 

banking institution, authorize a hearing before it or any person designated by it. 

If upon consideration of the evidence, the Board of Directors finds that the 

banking institution is not engaged in the business of receiving deposits, other 

than trust funds, such finding shall be conclusive and the Corporation will notify the banking institution that its insured status will terminate at the expiration 

of the first full semiannual assessment period following such notice. Prior to 

the date of the termination of the insured status of a banking institution under 

section 8(c) of the Federal Deposit Insurance Act, and within the time specified 

by the Board of Directors, the banking institution shall mail to each depositor 

at his last address of record on its books and publish in not less than two issues of a local newspaper of general circulation, a notice of such termination in 

form substantially as follows:

NOTICE

(Date)

The status of the ............................................, ...............................................,

(Name of banking institution) (City or town)

..................................... , as an insured bank, under the Federal Deposit Insurance

(State)

Act, will terminate on the. .. day of ..................... , 19...., and its deposits will

thereupon cease to be insured.

(Name of banking institution)

(Address)

There may be included in such notice any additional information or advice the 

banking institution may deem desirable.

SUBPART C— RULES AND PROCEDURES APPLICABLE TO PROCEEDINGS RELATING TO CEASE-AND-DESIST ORDERS

§308.28 Scope.

The rules and procedures set forth in this subpart are applicable to proceedings by the Board of Directors with a view to ordering an insured State nonmember bank (other than a District bank) to cease and desist from practices 

and violations described in section 8 of the Federal Deposit Insurance Act and 

enumerated in §308.29. The procedures for issuing such orders prescribed in 

section 8 of said Act will be followed and hearings required thereunder will be 

conducted in accordance with the rules and procedures set forth in this subpart 

and Subpart A of this part.

§308.29 Grounds for cease-and-desist orders.

If, in the opinion of the Board of Directors, any insured State nonmember 

bank (other than a District bank) or bank which has insured deposits is engaging or has engaged, or the Board of Directors has reasonable cause to believe 

that the bank is about to engage, in an unsafe or unsound practice in conducting the business of such bank, or is violating or has violated, or the Board of 

Directors has reasonable cause to believe that the bank is about to violate, a 

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rectors in connection with the granting of an application or other request by the 

bank, or any written agreement entered into with the Corporation, the Board of 

Directors may issue and serve upon the bank a notice of charges in respect 

thereof.

§308.30 Notice of charges and hearing.

The notice referred to in §308.29 will contain a statement of the facts constituting the alleged violation or violations or the unsafe or unsound practice or 

practices, and fix a time and place at which a hearing will be held to determine 

whether an order to cease and desist therefrom should issue against the bank. 

The hearing will be fixed for a date not earlier than 30 days nor later than 60 

days after service of such notice unless an earlier or a later date is set by the 

Board of Directors at the request of the bank. Unless the bank appears at the 

hearing by a duly authorized representative, it will be deemed to have consented to the issuance of the cease-and-desist order.

§308.31 Issuance of order.

In the event of such consent, or if upon the record made at any such hearing, the Board of Directors finds that any violation or unsafe or unsound 

practice specified in the notice of charges has been established, the Board of 

Directors may issue and serve upon the bank an order to cease and desist from 

any such violation or practice. Such order may, by provisions which may be 

mandatory or otherwise, require the bank and its directors, officers, employees, 

and agents to cease and desist from the same and, further, to take affirmative 

action to correct the conditions resulting from any such violation or practice.

§308.32 Effective date.

A cease-and-desist order will become effective at the expiration of 30 days 

after the service of such order upon the bank concerned (except in the case of a 

cease-and-desist order issued upon consent, which will become effective at the 

time specified therein), and will remain effective and enforceable as provided 

therein, except to such extent as it is stayed, modified, terminated, or set aside 

by action of the Board of Directors or a reviewing court.

§308.33 Temporary cease-and-desist orders.

Whenever the Board of Directors determines that the violation or threatened 

violation or the unsafe or unsound practice or practices, specified in the notice 

of charges referred to in §308.28, or the continuation thereof, is likely to cause 

insolvency or substantial dissipation of assets or earnings of the bank, or is 

likely to otherwise seriously prejudice the interests of its depositors, the Board 

of Directors may issue a temporary order requiring the bank to cease and desist 

from any such violation or practice.

§308.34 Effective date of temporary order.

Such order will become effective upon service upon the bank and, unless set 

aside, limited, or suspended by a court in proceedings authorized under the 

Federal Deposit Insurance Act will remain effective and enforceable pending the 

completion of the administrative proceedings held pursuant to such notice and 

until such time as the Board of Directors dismisses the charges specified in 

such notice, or if a cease-and-desist order is issued against the bank pursuant 

to §308.29, until the effective date of any such order.

SUBPART D— RULES AND PROCEDURES APPLICABLE TO PROCEEDINGS RELATING TO REMOVAL AND SUSPENSION ORDERS

§308.35 Scope.

The rules and procedures set forth in this subpart are applicable to proceedings by the Board of Directors to remove or suspend directors or officers of an 

insured State nonmember bank (other than a District bank) or any other person 

participating in the conduct of the affairs of such a bank, and/or prohibit such 

director, officer or other person from further participation in the conduct of the

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affairs of such a bank, upon the grounds set forth in section 8 of the Federal 

Deposit Insurance Act and enumerated in this subpart. The procedures for issuing such orders prescribed in section 8 of said Act will be followed and hearings required thereunder will be conducted in accordance with the rules and 

procedures set forth in this subpart and Subpart A of this part.

§308.36 Grounds for removal order.

(a) Whenever, in the opinion of the Board of Directors, any director or officer 

of an insured State nonmember bank (other than a District bank) has committed any violation of law, rule, or regulation, or of a cease-and-desist order which 

has become final, or has engaged or participated in any unsafe or unsound 

practice in connection with the bank, or has committed or engaged in any act, 

omission, or practice which constitutes a breach of his fiduciary duty as such 

director or officer, and the Board of Directors determines that the bank has suffered or will probably suffer substantial financial loss or other damage or that 

the interests of its depositors could be seriously prejudiced by reason of such 

violation or practice or breach of fiduciary duty, and that such violation or practice or breach of fiduciary duty is one involving personal dishonesty on the part 

of such director or officer, the Board of Directors may serve upon such director 

or officer a written notice of its intention to remove him from office.

(b) Whenever, in the opinion of the Board of Directors, any director or officer 

of an insured State nonmember bank (other than a District bank), by conduct 

or practice with respect to another insured bank or other business institution 

which resulted in substantial financial loss or other damage, has evidenced his 

personal dishonesty and unfitness to continue as a director or officer and, 

whenever, in the opinion of the Board of Directors, any other person participating in the conduct of the affairs of an insured State nonmember bank (other 

than a District bank), by conduct or practice with respect to such bank or other 

insured bank or other business institution which resulted in substantial financial 

loss or other damage, has evidenced his personal dishonesty and unfitness to 

participate in the conduct of the affairs of such insured bank, the Board of Directors may serve upon such director, officer, or other person a written notice 

of its intention to remove him from office and/or to prohibit his further participation in any manner in the conduct of the affairs of the bank.

§308.37 Grounds for suspension order.

In respect to any director or officer of an insured State nonmember bank 

(other than a District bank) or any other person referred to in paragraph (a) or

(b) of §308.36 the Board of Directors may, if it deems it necessary for the protection of the bank or the interests of its depositors, by written notice to such 

effect served upon such director, officer, or other person, suspend him from 

office and/or prohibit him from further participation in any manner in the conduct of the affairs of the bank.

§308.38 Effective date of suspension order.

Any suspension and/or prohibition which is subject to the notice prescribed 

in §308.37, shall become effective upon service of such notice and, unless 

stayed by a court in proceedings authorized by the Federal Deposit Insurance 

Act, shall remain in effect pending the completion of the administrative proceedings held pursuant to the notice served under paragraph (a) or (b) of 

§308.36 and until such time as the Board of Directors shall dismiss the charges 

specified in such notice, or if an order of removal and/or prohibition is issued 

against the director or officer or other person, until the effective date of any 

such order. Copies of any such notice will also be served upon the bank of 

which he is a director or officer or in the conduct of whose affairs he has participated.

§308.39 Notice of intention to remove and hearing.

A notice of intention to remove a director, officer, or other person frorn office 

and/or to prohibit his participation in the conduct of the affairs of an insured

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bank, will contain a statement of the facts constituting grounds therefor and 

will fix a time and place at which a hearing will be held thereon. Such hearing 

will be fixed for a date not earlier than 30 days nor later than 60 days after the 

date of service of such notice, unless an earlier or a later date is set by the 

Board of Directors at the request of (a) such director or officer or other person, 

and for good cause shown, or (b) the Attorney General of the United States. 

Unless such director, officer, or other person appears at the hearing in person 

or by a duly authorized representative, he shall be deemed to have consented 

to the issuance of an order of such removal and/or prohibition.

§308.40 Issuance of removal order and effective date.

In the event of such consent, or if upon the record made at any such hearing 

the Board of Directors finds that any of the grounds specified in such notice 

has been established, the Board of Directors may issue such orders of suspension or removal from office, and/or prohibition from participation in the conduct of the affairs of the bank, as it may deem appropriate. Any such order 

shall become effective at the expiration of 30 days after service upon such bank 

and the director, officer, or other person concerned (except in the case of an 

order issued upon consent, which shall become effective at the time specified 

therein). Such order shall remain effective and enforceable except to such extent as it is stayed, modified, terminated, or set aside by action of the Board of 

Directors or a reviewing court.

§308.41 Suspension and removal where felony charged.

(a) Whenever any director or officer of an insured State nonmember bank 

(other than a District bank), or other person participating in the conduct of the 

affairs of such bank, is charged in any information, indictment, or complaint authorized by a U.S. attorney, with the commission of or participation in a felony 

involving dishonesty or breach of trust, the Board of Directors may, by written 

notice served upon such director, officer, or other person suspend him from office and/or prohibit him from further participation in any manner in the 

conduct of the affairs of the bank. A copy of such notice will also be served 

upon the bank. Such suspension and/or prohibition shall remain in effect until 

such information, indictment, or complaint is finally disposed of or until term inated by the Board of Directors.

(b) In the event that a judgment of conviction with respect to such offense is 

entered against such director, officer, or other person, and at such time as such 

judgment is not subject to further appellate review, the Board of Directors may 

issue and serve upon such director, officer, or other person an order removing 

him from office and/or prohibiting him from further participation in any manner 

in the conduct of the affairs of the bank except with the consent of the Board 

of Directors. A copy of such order will also be served upon such bank, whereupon such director or officer shall cease to be a director or officer of such bank. A 

finding of not guilty or other disposition of the charge will not preclude the 

Board of Directors from thereafter instituting proceedings to remove such director, officer, or other person from office and/or to prohibit further participation 

in bank affairs, pursuant to the provisions of this subpart.

[F.R. Doc. 67-8385; Filed, July 31, 1967; 8:45 a.m.]

TITLE 12— BANKS AND BANKING 

CHAPTER III— FEDERAL DEPOSIT INSURANCE CORPORATION 

SUBCHAPTER B— REGULATIONS AND STATEMENTS OF GENERAL POLICY 

PART 328— ADVERTISEMENT OF MEMBERSHIP

Effective August l r 1967, Part 328 of the rules and regulations of the Federal 

Deposit Insurance Corporation (12 CFR Part 328) is amended to read as follows:

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Sec.

328.0 Scope.

328.1 Mandatory requirements with regard to the official sign and its display.

328.2 Mandatory requirements with regard to the official advertising statement and manner of use.

%328.0 Scope.

The regulation contained in this part prescribes the requirements with regard 

to the official sign insured banks must display and the requirements with regard 

to the official advertising statement insured banks must include in their advertisements. It also prescribes an approved short title which insured banks may 

use at their option. It imposes no limitations on other proper advertising of insurance of deposits by insured banks and does not apply to advertisements 

published in foreign countries by insured banks which maintain offices in such 

foreign countries in which offices the deposits are not insured.

§328.1 Mandatory requirements with regard to the official sign and its display

(a) Insured banks to display official sign. Each insured bank shall continuously display an official sign as hereinafter prescribed at each station or 

window where insured deposits are usually and normally received in its principal 

place of business and in all its branches: Provided, That no bank becoming an 

insured bank shall be required to display such official sign until twenty-one (21) 

days after its first day of operation as an insured bank. The official sign may be 

displayed by any insured bank prior to the date display is required. Additional 

signs in other sizes, colors, or materials, incorporating the basic design of 

the official sign, may be displayed in other locations within an insured bank.

(b) Official sign. The official sign referred to in paragraph (a) of this section 

shall be of the following design:

E ach de p o sito r in s u re d to $15,000

FEDERAL DEPOSIT INSURANCE CORPORATION

The “ symbol" of the Corporation shall be that portion of the official sign represented by the letters and the Corporation seal contained upon the sign.

(1) Any insured bank may procure official signs from the Corporation. Variations in size, color, and materials in the official sign, as described in the 

“ Official Catalog of Insured Bank Signs"— No. EDI, may be procured at no 

charge from the Corporation by insured banks for official use. The Corporation 

shall furnish to banks an order blank for use in procuring the official signs. Any 

bank which promptly, after receipt of the order blank, fills it in, executes it, and 

properly directs and forwards it to the Federal Deposit Insurance Corporation, 

Washington, D.C. 20429, shall not be deemed to have violated this regulation 

on account of not displaying an official sign, or signs, unless the bank shall 

omit to display such official sign or signs after receipt thereof.

(2) Official signs reflecting variations in color and materials and additional

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signs reflecting variations in size, color, and materials may be procured by insured banks from commercial suppliers.

(c) Receipt of deposits at same teller's station or window as noninsured

bank or institution. An insured bank is forbidden to receive deposits at any teller’s station or window where any noninsured bank or institution receives deposits or similar liabilities.

(d) Required changes in official sign. The Corporation may require any insured bank, upon at least 30 days' written notice, to change the wording of its 

official signs in a manner deemed necessary for the protection of depositors or 

others.

§328.2 Mandatory requirements with regard to the official advertising statement and manner of use.

(a) Insured banks to include official advertising statement in all advertisements except as provided in paragraph (c) of this section. Each insured bank 

shall include the official advertising statement, prescribed in paragraph (b) of 

this section, in all of its advertisements except as provided in paragraph (c) of 

this section.

(1) An insured bank is not required to include the official advertising statement in its advertisements until thirty (30) days after its first day of operation 

as an insured bank.

(2) In cases where the Board of Directors of the Federal Deposit Insurance 

Corporation shall find the application to be meritorious, that there has been no 

neglect or willful violation in the observance of this section and that undue 

hardship will result by reason of its requirements, the Board of Directors may 

grant a temporary exemption from its provision to a particular bank upon its 

written application setting forth the facts. For the procedure to be followed in 

making such application see §303.8 of this chapter.

(3) In cases where advertising copy not including the official advertising 

statement is on hand on the date the requirements of this section become operative, the insured bank may cause the official advertising statement to be included by use of a rubber stamp or otherwise.

(b) Official advertising statement. The official advertising statement shall be 

in substance as follows: “ Member of the Federal Deposit Insurance Corporation". The word “ the" or the words “ of the" may be omitted. The words “ This 

bank is a" or the words “ This institution is a" or the name of the insured bank 

followed by the words “ is a" may be added before the word “ member". The 

short title “ Member of FDIC" or “ Member FDIC" or a reproduction of the 

“ symbol" may be used by insured banks at their option as the official advertising statement. The official advertising statement shall be of such size and print 

to be clearly legible. Where it is desired to use the “ symbol" of the Corporation 

as the official advertising statement, and the “ symbol" must be reduced to 

such proportions that the small lines of type and the Corporation seal therein 

are indistinct and illegible, the Corporation seal in the letter C and the two lines 

of small type may be blocked out or dropped.

(c) Types of advertisements which do not require the official advertising

statement. The following is an enumeration of the types of advertisements 

which need not include the official advertising statement:

(1) Statements of condition and reports of condition of an insured bank 

which are required to be published by State or Federal law;

(2) Bank supplies such as stationery (except when used for circular letters), 

envelopes, deposit slips, checks, drafts, signature cards, deposit passbooks, certificates of deposit, etc.;

(3) Signs or plates in the banking office or attached to the building or buildings in which the banking offices are located;

(4) Listings in directories;

(5) Advertisements not setting forth the name of the insured bank;

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(6) Display advertisements in bank directory, provided the name of the bank 

is listed on any page in the directory with a symbol or other descriptive matter 

indicating it is a member of the Federal Deposit Insurance Corporation;

(7) Joint or group advertisements of banking services where the names of insured banks and noninsured banks or institutions are listed and form a part of 

such advertisements;

(8) Advertisements by radio which do not exceed thirty (30) seconds in time;

(9) Advertisements by television, other than display advertisements, which 

do not exceed thirty (30) seconds in time;

(10) Advertisements which are of the type or character making it impractical 

to include thereon the official advertising statement including, but not limited to 

promotional items such as calendars, matchbooks, pens, pencils, and key 

chains;

(11) Advertisements which contain a statement to the effect that the bank is 

a member of the Federal Deposit Insurance Corporation, or that the bank is insured by the Federal Deposit Insurance Corporation, or that its deposits or depositors are insured by the Federal Deposit Insurance Corporation to the 

maximum of $15,000 for each depositor;

(12) Advertisements relating to the making of loans by the bank or loan 

services;

(13) Advertisements relating to safekeeping box business or services;

(14) Advertisements relating to trust business or trust department services;

(15) Advertisements relating to real estate business or services;

(16) Advertisements relating to armored car services;

(17) Advertisements relating to service charges or analysis charges;

(18) Advertisements relating to securities business or securities department 

services;

(19) Advertisements relating to travel department business, including traveler's checks on which the bank issuing or causing to be issued the advertisement is not primarily liable;

(20) Advertisements relating to savings bank life insurance.

(d) Outstanding billboard advertisements. Where an insured bank has billboard advertisements outstanding which are required to include the official 

advertising statement and has direct control of such advertisements either by 

possession or under the terms of a contract, it shall, as soon as it can consistent with its contractual obligations, cause the official advertising statement to 

be included therein.

(e) Official advertising statement in non-English language. The non-English 

equivalent of the official advertising statement may be used in any advertisement: Provided, That the translation has had the prior written approval of the 

Corporation.

[F.R. Doc. 67-7385; Filed, July 10, 1967; 8:45 a.m.]

TITLE 12— BANKS AND BANKING

CHAPTER III— FEDERAL DEPOSIT INSURANCE CORPORATION

SUBCHAPTER B— REGULATIONS AND STATEMENTS OF GENERAL POLICY

PART 330— CLARIFICATION AND DEFINITION OF DEPOSIT INSURANCE COVERAGE

Effective September 1, 1967, Part 330 of the rules and regulations of the 

Federal Deposit Insurance Corporation (12 C.F.R. 330) is revised to read as follows:

Sec.

330.1 General principles applicable in determining insurance of deposit accounts.

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330.2 Single ownership accounts.

330.3 Testamentary accounts.

330.4 Accounts held by executors or administrators.

330.5 Accounts held by a corporation or partnership.

330.6 Accounts held by an unincorporated association.

330.7 Independent activity.

330.8 Public unit accounts.

330.9 Joint accounts.

330.10 Trust accounts.

330.11 Deposits evidenced by negotiable instruments.

330.12 Deposit obligations for payment of items forwarded for collection by 

bank acting as agent.

330.13 Continuation of prior coverage.

330.14 Notification.

§330.1 General principles applicable in determining insurance of deposit accounts.

(a) General. This Part 330 provides for determination by the Corporation of 

the insured depositors of an insured bank and the amount of their insured deposit accounts. The rules for determining the insurance coverage of deposit accounts maintained by depositors in the same or different rights and capacities 

in the same insured bank are set forth in the following provisions of this part. 

Insofar as rules of local law enter into such determinations, the law of the jurisdiction in which the insured bank's principal office is located shall govern.

(b) Records. (1) The deposit account records of the insured bank shall be 

conclusive as to the existence of any relationship pursuant to which the funds 

in the account are deposited and on which a claim for insurance coverage is 

founded. Examples would be trustee, agent, custodian or executor. No claim for 

insurance based on such a relationship will be recognized in the absence of 

such disclosure.

(2) If the deposit account records of an insured bank disclose the existence 

of a relationship which may provide a basis for additional insurance, the details 

of the relationship and the interests of other parties in the account must be ascertainable either from the records of the bank or the records of the depositor 

maintained in good faith and in the regular course of business.

(3) The deposit account records of an insured bank in connection with a 

trust account shall disclose the name of both the settlor (grantor) and the trustee of the trust and shall contain an account signature card executed by the 

trustee.

(4) The interests of the co-owners of a joint deposit account shall be 

deemed equal, unless otherwise stated on the insured bank's records in the 

case of a tenancy in common.

(c) Valuation of trust interests. (1) Trust interests in the same trust deposited in the same account will be separately insured if the value of the trust interest is capable of determination, without evaluation of contingencies, except for 

those covered by the present worth tables and rules of calculation for their use 

set forth in §20.2031-7 of the Federal Estate Tax Regulations (26 CFR 

20.2031-7).

(2) In connection with any trust in which certain trust interests are not capable of evaluation in accordance with the foregoing rule, payment by the 

Corporation to the trustee with respect to all such trust interests shall not exceed the basic insured amount of $15,000.

(3) Each trust interest in any trust established by two or more settlors shall 

be deemed to be derived from each settlor pro rata to his contribution to the 

trust.

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ocable express trust, whether created by trust instrument or statute, but does 

not include any interest retained by the settlor.

(5) With respect to trust funds held by an insured bank in a fiduciary capacity pursuant to section 7(i) of the Act, the term ‘‘trust interest" shall mean the 

same as the term “ trust funds" as used in section 3(p) of the Act.

§330.2 Single ownership accounts.

Funds owned by an individual and deposited in the manner set forth below 

shall be added together and insured up to $15,000 in the aggregate.

(a) Individual accounts. Funds owned by an individual (or by the community 

between husband and wife of which the individual is a member) and deposited 

in one or more deposit accounts in his own name shall be insured up to 

$15,000 in the aggregate.

(b) Accounts held by agents or nominees. Funds owned by a principal and 

deposited in one or more deposit accounts in the name or names of agents or 

nominees shall be added to any individual deposit accounts of the principal and 

insured up to $15,000 in the aggregate.

(c) Accounts held by guardians, custodians, or conservators. Funds held by a 

guardian, custodian, or conservator for the benefit of his ward or for the benefit 

of a minor under a Uniform Gifts to Minors Act and deposited in one or more 

deposit accounts in the name of the guardian, custodian, or conservator shall 

be added to any individual deposit accounts of the ward or minor and insured 

up to $15,000 in the aggregate.

§330.3 Testamentary accounts.

(a) Funds owned by an individual and deposited in a revocable trust account, tentative or “ Totten" trust account, “ payable-on-death" account or sim ilar account evidencing an intention that on his death the funds shall belong to 

his spouse, child or grandchild shall be insured up to $15,000 in the aggregate 

as to each such named beneficiary, separately from any other accounts of the 

owner.

(b) If the named beneficiary of such an account is other than the owner’s 

spouse, child or grandchild, the funds in such account shall be added to any individual accounts of such owner and insured up to $15,000 in the aggregate.

§330.4 Accounts held by executors or administrators.

Funds of a decedent held in the name of the decedent or in the name of the 

executor or administrator of his estate and deposited in one or more deposit 

accounts shall be insured up to $15,000 in the aggregate, separately from the 

individual deposit accounts of the beneficiaries of the estate or of the executor 

or administrator.

§330.5 Accounts held by a corporation or partnership.

Deposit accounts of a corporation or partnership engaged in any independent 

activity shall be insured up to $15,000 in the aggregate. A deposit account of a 

corporation or partnership not engaged in an independent activity shall be 

deemed to be owned by the person or persons owning such corporation or comprising such partnership and, for deposit insurance purposes, the interest of 

each person in such a deposit account shall be added to any other deposit accounts individually owned by such person and insured up to $15,000 in the 

aggregate.

§330.6 Accounts held by an unincorporated association.

Deposit accounts of an unincorporated association engaged in any independent activity shall be insured up to $15,000 in the aggregate. A deposit account 

of an unincorporated association not engaged in an independent activity shall 

be deemed to be owned by the persons comprising such association and, for 

deposit insurance purposes, the interest of each owner in such a deposit account shall be added to any other deposit accounts individually owned by such 

person and insured up to $15,000 in the aggregate.

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136 FEDERAL DEPOSIT INSURANCE CORPORATION

§330.7 Independent activity.

The term "independent activity” means any activity other than one directed 

solely at increasing insurance coverage.

§330.8 Public unit accounts.

(a) General. Where different officers, agents or employees of the same public 

unit, having by law the official custody of public funds of the unit, deposit the 

same in an insured bank, each such officer, agent or employee shall be separately insured up to $15,000 in such custodial capacity. An officer, employee, 

or agent of a public unit shall be deemed to be insured only up to $15,000 

with respect to all public funds of the same unit held by him, regardless of how 

many offices he holds in such unit or the purposes for which such funds are 

held or designated. If the same person is an officer, employee, or agent of more 

than one public unit, he shall be separately insured up to $15,000 with respect 

to the public funds held by him of each such unit.

(b) Public bond issues. Where an officer, agent or employee of a public unit 

has custody of certain funds which by law or under the bond indenture are required to be paid to the holders of bonds issued by the public unit, any deposit 

of such funds in an insured bank shall be deemed to be a deposit by a trustee 

of trust funds of which the bondholders are pro rata beneficiaries, and each 

such beneficial interest shall be separately insured up to $15,000.

§330.9 Joint accounts.

(a) Separate insurance coverage. Deposits owned jointly, whether as joint 

tenants with right of survivorship, as tenants by the entireties, as tenants in 

common, or by husband and wife as community property, shall be insured separately from deposit accounts individually owned by the co-owners.

(b) Qualifying joint accounts. A joint deposit account shall be deemed to exist, for purposes of insurance of accounts, only if each co-owner has personally 

executed a deposit account signature card and possesses withdrawal rights. The 

restrictions of this subsection shall not apply to holders in due course of a deposit obligation of a bank evidenced by a negotiable instrument which had, in 

fact, been negotiated prior to the closing of the bank.

(c) Failure to qualify. A deposit account owned jointly which does not qualify as a joint account for purposes of insurance of accounts shall be treated as 

owned by the named persons as individuals and the actual ownership interest 

of each such person in such account shall be added to any other accounts individually owned by such person and insured up to $15,000 in the aggregate.

(d) Same combination of individuals. All joint deposit accounts owned by the 

same combination of individuals shall first be added together and insured up to 

$15,000 in the aggregate.

(e) Interest of each co-owner. The interests of each co-owner in all joint deposit accounts owned by different combinations of individuals shall then be 

added together and insured up to $15,000 in the aggregate.

§330.10 Trust accounts.

All trust interests for the same beneficiary deposited in deposit accounts established pursuant to valid trust agreements created by the same settlor (grantor) shall be added together and insured up to $15,000 in the aggregate, separately from other deposit accounts of the trustee of such trust funds or the 

settlor or beneficiary of such trust arrangements.

§330.11 Deposits evidenced by negotiable instruments.

If any insured deposit obligation of a bank be evidenced by a negotiable certificate of deposit, negotiable draft, negotiable cashier's or officer’s check, negotiable certified check, or negotiable traveler's check or letter of credit, the owner of such deposit obligation will be recognized for all purposes of claim for 

insured deposits to the same extent as if his name and interest were#disclosed 

on the records of the bank provided the instrument was in fact negotiated to

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such owner prior to the date of the closing of the bank. Affirmative proof of 

such negotiation must be offered in all cases to substantiate the claim.

§330.12 Deposit obligations for payment of items forwarded for collection by

bank acting as agent.

Where a closed bank has become obligated for the payment of items forwarded for collection by a bank acting solely as agent, the owner of such items 

will be recognized for all purposes of claim for insured deposits to the same 

extent as if his name and interest were disclosed on the records of the bank 

when such claim for insured deposits, if otherwise payable, has been established by the execution and delivery of prescribed forms. Such bank forwarding 

such items for the owners thereof will be recognized as agent for such owners 

for the purpose of making an assignment of the rights of such owners against 

the closed insured bank to the Federal Deposit Insurance Corporation and for 

the purpose of receiving payment on behalf of such owners.

§330.13 Continuation of prior coverage.

All deposit accounts insured under the rules and interpretations heretofore in 

effect shall continue to be insured, anything in this part to the contrary notwithstanding, until April 15, 1968.

§330.14 Notification of depositors.

Each insured bank is required to provide notice of these revisions to the 

Rules and Regulations for Clarification and Definition of Insurance Coverage of 

Deposit Accounts, Part 330, prior to February 1, 1968, to the depositors of 

each deposit account which had a balance in excess of $5,000 on any date selected by the bank between September 1, 1967, and February 1, 1968. Such notice shall consist of mailing to such depositors at their last known address as 

shown on the records of the insured bank, a question and answer brochure on 

insurance of deposit accounts prepared by the Federal Deposit Insurance Corporation. Such brochure shall also be made available to the public at each teller's 

station or window where deposits are normally received and at new account stations of an insured bank. Additional explanatory materials may also be sent to 

depositors at the option of the insured bank.

INTERPRETATION

§330.101 Recognition of deposit ownership in custodial accounts.

(a) The opinion of the Board of Directors has been requested as to whether 

a fractional or percentage computation of the interests of owners of commingled funds on deposit in custodial accounts in banks insured by the Federal Deposit Insurance Corporation meets the requirements of §330.1.

(b) Section 330.1 provides that if the name and interest of an owner of any 

portion of a specifically designated custodial deposit is disclosed on the records 

of the person in whose name the deposit is maintained and such records are 

maintained in good faith and in the regular course of business, such owner will 

be recognized for all purposes of claim for insured deposits to the same extent 

as if his name and interest were disclosed on the records of the bank.

(c) The Board of Directors has concluded that, if the records of the depositor, maintained in good faith and in the regular course of business, reflect, at 

all times, the name and ascertainable interest of each owner in a specifically 

designated custodial deposit, such interest may be determined on a fractional 

or percentage basis. This may be accomplished in any manner which indicates 

that where the funds of an owner are commingled with other funds held in custody and a portion thereof is placed on deposit in one or more insured banks, 

his interest in a custodial deposit in any one insured bank would represent at 

any given time the same fractional share as his share of the total commingled 

funds.

[F.R. Doc. 67-8195; Filed, July 13, 1967; 8:50 a.m.]

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TITLE 12— BANKS AND BANKING 

CHAPTER III— FEDERAL DEPOSIT INSURANCE CORPORATION 

SUBCHAPTER B— REGULATIONS AND STATEMENTS OF GENERAL POLICY 

PART 335— SECURITIES OF INSURED STATE NONMEMBER BANKS 

Effective December 31, 1967, Part 335 is amended as follows:

1. Amend §335.2 by adding §335.2(ff) immediately following §335.2(ee) to 

read as follows:

§335.2 Definitions.

# # * * *

(ff) The terms "beneficial ownership," "beneficially owned," and the like, 

when used with respect to the reporting of ownership of the bank's equity securities in any statement or report required by this regulation, shall include, in 

addition to direct and indirect beneficial ownership by the reporting person, 

ownership of such securities (1) by the spouse (except where legally separated) 

and minor children of such reporting person, and (2) by any other relative of 

the reporting person who has the same home as such person.

2. Amend §335.5(d)(1) and (3) and add a new paragraph (k) to read as follows:

§335.5 Proxies, proxy statements, and statements where management does not

solicit proxies.

* * * * *

(d) Requirements as to proxy. (1) The form of proxy (i) shall indicate in 

boldface type whether or not the proxy is solicited on behalf of the management of the bank, (ii) shall provide a specifically designed blank space for 

dating proxy, and (iii) shall identify clearly and impartially each matter or group 

of related matters intended to be acted upon, whether proposed by the management or by security holders. No reference need be made, however, to 

matters as to which discretionary authority is conferred pursuant to subparagraph (3) of this paragraph.

* * * *

(3) A proxy may confer discretionary authority with respect to other matters 

that may come before the meeting, if (i) the persons on whose behalf the solicitation is made are not aware a reasonable time prior to the time the solicitation is made that any such other matters are to be presented for action of the 

meeting and (ii) a specific statement to that effect, except with respect to proposals omitted pursuant to paragraph (k) of this section for which discretionary 

authority may also be conferred, is made in the proxy statement or in the form 

of proxy.

* # * * *

(k) Proposals of security holders. (1) If any security holder entitled to vote 

at a meeting of security holders of the bank shall submit to the management of 

the bank, within the time hereinafter specified, a proposal which is accompanied by notice of his intention to present the proposal for action at the meeting, the management shall set forth the proposal in its proxy statement and 

shall identify it in its form of proxy and provide means by which security holders can approve or disapprove the proposal. The management of the bank shall 

not be required by this section to include the proposal in its proxy statement 

for an annual meeting unless the proposal is submitted to management not 

less than 60 days in advance of a day corresponding to the first date on which 

the management's statement was released to security holders in connection 

with the preceding annual meeting of security holders. A proposal to be preDigitized for FRASER 

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sented at any other meeting shall be submitted to the management of the bank 

a reasonable time before the solicitation is made. This paragraph (k) shall not 

apply, however, to elections to office.

(2) If the management opposes the proposal, it shall also, at the written request of the security holder, include in the proxy statement (i) the name and 

address of the security holder, or a statement that such name and address will 

be furnished upon request, and (ii) a statement of the security holder, which 

shall not include such name and address, of not more than 100 words in support of the proposal. The statement and request of the security holder shall be 

furnished to the management at the same time that the proposal is furnished. 

Neither the management nor the bank shall be responsible for such statement.

(3) Notwithstanding subparagraphs (1) and (2) of this paragraph, the management may omit a proposal and any statement in support thereof from 

its proxy statement and form of proxy under any of the following circumstances:

(i) If the proposal is impossible to accomplish or, under applicable law, is 

not a proper subject for action by security holders; or

(ii) If the proposal consists of a recommendation or request that the management take action with respect to a matter relating to the conduct of the 

ordinary business operations of the bank; or

(iii) If it appears that the proposal is submitted by the security holder principally for the purpose of enforcing a personal claim or redressing a personal 

grievance against the bank or its management, or principally for the purpose of 

promoting general economic, political, racial, religious, social, or similar causes; 

or

(iv) If the management has at the security holder’s request included a proposal in its proxy statement and form of proxy relating to either of the two 

preceding annual meetings of security holders or any special meeting held subsequent to the earlier of such two annual meetings, and such security holder 

has failed without good cause to present the proposal, in person or by proxy, 

for action at the meeting; or

(v) If substantially the same proposal has previously been submitted to security holders in the management's proxy statement and form of proxy relating to 

any meeting of security holders held within the preceding 5 calendar years, it 

may be omitted from the proxy statement relating to any meeting of security 

holders held within the 3 calendar years after the latest such previous submission: Provided, That (a) if the proposal was submitted at only one meeting during such preceding period, it received less than 5 percent of the total number 

of votes cast in regard thereto, or (b) if the proposal was submitted at only two 

meetings during such preceding period, it received at the time of its second 

submission less than 10 percent of the total number of votes cast in regard 

thereto, or (c) if the proposal was submitted at three or more meetings during 

such period, it received at the time of its latest submission less than 20 percent of the total number of votes cast in regard thereto; or

(vi) If, prior to the receipt of such proposal, substantially the same proposal 

has been received by the management from another security holder and is to 

be included in the bank's proxy soliciting material.

(4) Whenever the management asserts that a proposal and any statement in 

support thereof may properly be omitted from the proxy statement and form 

of proxy, it shall file with the Corporation, not later than 20 days prior to the 

date the preliminary copies of the proxy statement and form of proxy are filed 

pursuant to paragraph (f)(1) of this section or such shorter period prior to 

such date as the Corporation may permit, a copy of the proposal and any statement in support thereof as received from the security holder, together with a 

statement of the reasons why the management deems such omission to be 

proper in the particular case, and, where such reasons are based on matters of 

law, a supporting opinion of counsel. The management shall at the same time,

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if it has not already done so, notify the security holder submitting the proposal 

of its intention to omit the proposal from its proxy statement and shall forward 

to him a copy of the statement of the reasons why the management deems the 

omission of the proposal to be proper and a copy of such supporting opinion of 

counsel.

[F.R. Doc. 67-14057; Filed, Dec. 5, 1967; 8:45 a.m.]

TITLE 12— BANKS AND BANKING 

CHAPTER III— FEDERAL DEPOSIT INSURANCE CORPORATION 

PART 336— EMPLOYEE RESPONSIBILITIES AND CONDUCT 

Miscellaneous Amendments

Effective October 7, 1967, Part 336 is amended as follows:

Section 336.735-11(c) is deleted and the provisions thereof transferred to 

§336.735-10; §336.735-11(d) is amended to indicate the circumstances under 

which a gift to an official superior may be allowed; the heading of §336.735-12 

is amended for clarity and paragraph (f)(1) of that section is deleted and the 

provisions thereof transferred to §336.735-11(f) and amended to show that the 

exception does not allow non-Corporation reimbursement for travel on official 

business under Corporation orders; §§336.735-11(d) and (e) and 336.735-19 are 

amended to correct statutory references made obsolete by the codification of 

Title 5, United States Code; paragraph (r) is added to §336.735-19 to include 

reference to 18 U.S.C. 219; §§336.735-13(a)(l), 336.735-31, and 336.735-32 

are amended, and §336.735-31a is added, to restrict the requirements relative 

to reporting employment and financial interests to those employees in positions 

in which the possibility of conflicts-of-interest involvement is clear and to evidence the availability of the Corporation’s grievance procedure for settling 

questions concerning the applicability of the reporting requirement. Section 

336.735-34 is amended to eliminate quarterly supplementary statements; 

§336.735-38 is amended to insure the confidentiality of statements submitted; 

and §336.735-40 (a)(2) is amended to clarify the Corporation’s discretionary 

authority relative to which financial interests are to be reported by a special 

Corporation employee. These amendments were approved by the Civil Service 

Commission on September 20, 1967. Effective upon publication in the Federal

Register, Part 336 is amended as set out below.

§336.735-10 Proscribed actions.

An employee shall avoid any action, whether or not specifically prohibited by 

this subpart which might result in, or create the appearance of:

(a) Using public office for private gain;

(b) Giving preferential treatment to any person;

(c) Impeding Corporation efficiency or economy;

(d) Losing complete independence or impartiality;

(e) Making a Corporation decision outside official channels; or

(f) Affecting adversely the confidence of the public in the integrity of the 

Corporation.

§336.735-11 Gifts, entertainment, and favors.

(a) Except as provided in paragraphs (b) and (f) of this section, an employee shall not solicit or accept, directly or indirectly, any gift, gratuity, favor, 

entertainment, loan, or any other thing of monetary value, from a person who:

* * * * $

(c) [Deleted]

(d) An employee shall not solicit a contribution from another employee for a

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gift to an official superior, make a donation as a gift to an official superior, or 

accept a gift from an employee receiving less pay than himself (5 U.S.C. 7351). 

However, this paragraph does not prohibit a voluntary gift of nominal value or 

donation in a nominal amount made on a special occasion such as marriage, illness, or retirement.

(e) An employee shall not accept a gift, present, decoration, or other thing 

from a foreign government unless authorized by Congress as provided by the 

Constitution and in Public Law 89-673, 80 Stat. 952.

(f) Neither this section nor §336.735-12 precludes an employee from receipt 

of bona fide reimbursement, unless prohibited by law, for expenses of travel 

and such other necessary subsistence as is compatible with this part for which 

no Corporation payment or reimbursement is made. However, this paragraph 

does not allow an employee to be reimbursed, or payment to be made on his 

behalf, for excessive personal living expenses, gifts, entertainment, or other personal benefits, nor does it allow an employee to be reimbursed by a person for 

travel on official business under Corporation orders when reimbursement is 

prescribed by the Corporation.

§336.735-12 Outside employment and other activity.

sfc sjs *

(f) • * •

(1) [Deleted]

jjs v

§336.735-19 Miscellaneous statutory provisions.

❖ * * sjs

(d) The prohibitions against disloyalty and striking (5 U.S.C. 7311, 18 U.S.C. 

1918).

(g) The provision relating to the habitual use of intoxicants to excess (5 

U.S.C. 7352).

(h) The prohibition against the misuse of a Government vehicle (31 U.S.C. 

638a (c)).

(j) The prohibition against the use of deceit in an examination or personnel 

action in connection with Government employment (18 U.S.C. 1917).

* * * * *

(p) The prohibitions against political activities in subchapter III of chapter 73 

of title 5, United States Code and 18 U.S.C. 602, 603, 607, and 608.

* * * * *

(r) The prohibition against an employee acting as the agent of a foreign principal registered under the Foreign Agents Registration Act (18 U.S.C. 219).

§336.735-13 Financial interests.

(a) * * *

(1) Own, directly or indirectly, or control the ownership of stock in an insured bank, without full disclosure in writing to, and with the approval of, the 

Board of Directors of the Corporation.

§336.735-31 Employees required to submit statements.

Except as provided in §336.735-32, statements of employment and financial 

interests will be filed by the following employees:

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(a) Those paid at a level of the Executive Schedule in subchapter II of chapter 53 of title 5, United States Code.

(b) Those receiving compensation equivalent to that prescribed under section 

5332 of title 5, United States Code for grade GS-13 or above whose positions 

are specifically identified in appendix A to this part which are included by reason of meeting the following criteria:

(1) Positions the incumbents of which are responsible for making a Corporation decision or taking a Corporation action in regard to:

(1) Contracting or procurement;

(ii) Administering or monitoring grants or subsidies;

(iii) Regulating or auditing private or other non-Federal enterprise; or

(iv) Other activities where the decision or action has an economic impact on 

the interests of any non-Federal enterprise.

(2) Positions which the Corporation determines require the incumbent to report employment and financial interests in order to carry out the purpose of 

law, Executive order, this part, and the Corporation’s regulations.

(c) Alterations to, deletions from and other amendments of the list of positions in appendix A to this part may be made under the criteria in paragraph

(b) of this section and are effective upon approval by the Chairman of the 

Board and actual notification to the incumbents. Amendments to the list in appendix A to this part shall be submitted annually for publication in the Federal

Register.

§336.735-31a Employee's complaint on filing requirement

An employee may complain to the Counselor designated in the regulations in 

this part that his position has been improperly included in the regulations in 

this part as one requiring the submission of a statement of employment and 

financial interests. When a complaint cannot be resolved or explained satisfactorily to the employee he shall be granted a review of the matter through the Corporation’s grievance procedure.

§336.735-32 Employees not required to submit statements.

Employees subject to separate reporting requirements under section 401 of 

the Executive order.

§336.735-34 Supplementary statements.

Changes in, or additions to, the information contained in an employee’s 

statement of employment and financial interests shall be reported in a supplementary statement as of June 30 each year. If no changes or additions occur, a 

negative report is required. Notwithstanding the filing of the annual report required by this section, each employee shall at all times avoid acquiring a financial interest that could result, or taking an action that would result, in a 

violation of the conflicts-of-interest provisions of section 208 of title 18, United 

States Code, or Subpart B of this part.

§336.735-38 Confidentiality of employees' statements.

The Corporation shall hold statements of employment and financial interest, 

and each supplementary statement, in confidence. All statements shall be received, reviewed, and retained in the office of the assistant to the Chairman of 

the Board of Directors who is responsible for maintaining the statements in 

confidence and shall not allow access to, or allow information to be disclosed 

from, a statement except to carry out the purpose of this part. The Corporation 

may not disclose information from a statement except as the Chairman of the 

Corporation or the Civil Service Commission may determine for good cause 

shown.

§336.735-40 Specific provisions of regulations for special Corporation employees.

(a) * * *

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(2) The financial interests of the special Corporation employee which the 

Corporation determines are relevant in the light of the duties he is to perform.

APPENDIX A— EMPLOYEES WHO MUST FILE STATEMENTS 

SPECIFIC POSITIONS

A Head, Associate Head or Assistant Head of a Division or Office of the Corporation (regardless of his specific title).

An Adviser or Assistant to the Board of Directors.

A Supervising Examiner.

An Assistant Supervising Examiner.

[F.R. Doc. 67-11859; Filed, Oct. 6, 1967; 8:47 a.m.]

S T A T E B A N K I N G L E G I S L A T I O N - 1 9 6 7

In 1967, the legislatures of 47 States held regular sessions. Some of the 

more important State banking legislation enacted during 1967 is listed below 

on a State-by-State basis.

A L A B A M A

Uniform Gifts to Minors Act amendments ............................ HB 14

Establishment and operation of branch offices ................. HB 728

HB 260

HB 919

SB 333

SB 579

SB 442

SB 43-X

Fiduciaries— voting of corporation stock .................... SB 197

SB 200

State banks— examination fees ................................................ SB 256

Equalization of State and national banks .............................. HB 156-X

Common trust funds .................................................................. SB 201

A L A S K A

Uniform Gifts to Minors Act ..................................................... HB 30

Veterans' loans ........................................................................... SB 113

A R IZ O N A

Enactment of Uniform Commercial Code ..................... SB 23

Banking law amendments regarding disclosure of

information, branch offices, fees, etc.......................... SB 109

A R K A N S A S

Enactment of the Uniform Gifts to Minors Act ..................... HB 87

Cease and desist orders ......................................................... HB 144

Bank service corporations— computer services ..................... HB 295

Destruction of bank records after six years ........................ HB 237

Maximum interest rates ............................................................ HB 543

Uniform Commercial Code amendments .............................. SB 307

Capital notes ................................................................................ SB 272

Banking law study ....................................................................... SB 161

Title to bank property— subsidiaries ....................................... SB 140

State banks given same privileges as national banks .......... SB 358

Pension funds— investment in bank certificates of deposit .. SB 104

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Contracts by minors ............................................ SB 138

Guardianship deposits— bond unnecessary

if deposited in an insured bank ................... HB 320

HB 528

C A L IF O R N IA

Bank service corporations ......................................................... SB 1494

School district security deposits .............................................. AB 1076

Government deposits .................................................................. AB 1075

Insured loans ................................................................................ AB 1381

Trust investments ....................................................................... AB 1585

AB 1806

Credit cards ........................................................................ AB 1714

SB 1055

Claims on bank accounts ......................................................... AB 1822

Safe deposit boxes ..................................................................... AB 1851

AB 1852

Taxation ................................................................................ AB 2257

AB 1994

SB 192

SB 339

SB 556

SB 519

Savings bank investments ......................................................... SB 116

Transmission of money abroad ................................................ SB 901

Loans to bank officers ................................................................ SB 694

Stock holdings .............................................................................. SB 1040

Bank investments in foreign banks ....................................... SB 1183

SB 1264

Commercial bank reserves ......................................................... SB 568

Loans— fraud ................................................................................ SB 538

Corporate Securities Law— exemptions ................................... SB 865

C O LO R A D O 

Banking law amendments relating to loans and

interest on savings and time deposits ................................. HB 1015

Enactment of the Uniform Gifts to Minors Act ..................... SB 62

Bank liquidation funds— transfer ............................................ SB 283

Bank employees— stock option and purchase plans ............ SB 250

Investment of bank funds in Inter-American

Development Bank ................................................................ HB 1255

Colorado Trust Company Act ..................................................... SB 50

SB 153

Insufficient funds ...................................................................... HB 1210

SB 354

C O N N E C T IC U T

Savings banks— student loans ................................... SB 641

HB 3887

HB 5410

Uniform Gifts to Minors Act amendments .............................. HB 5091

Bank loans and investments ..................................................... SB 403

SB 737

Banking commissioner— expenses .......................................... SB 404

Banking law amendments ......................................................... SB 406

Limited power branch banks ..................................................... SB 427

Capital stock ................................................................................ SB 470

Powers of State banks and trust companies .............. ....... SB 471

Deposit segregation ..................................................................... SB 473

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Federal Reserve Bank of St. Louis
Credit cards .................................................................................. SB 524

Savings bank deposits ................................................................ SB 591

Secured loans ................................................................................ SB 644

SB 643

Real estate investments— savings banks .............................. SB 642

State bank investments .............................................................. SB 743

Bank directors .............................................................................. SB 1005

Savings banks— time deposits ................................................ SB 1008

Reserve funds .............................................................................. SB 1170

Finance charges— disclosure ..................................................... HB 2628

Joint tenants ................................................................................ HB 5384

D E LA W A R E

Branches .... ........................................ HB 184

F LO R ID A

Trust fund investments .............................................................. SB 316

Unclaimed property ..................................................................... HB 40

Examination fees of State banks & trust companies ............ HB 750

Bank employee stock option plans ......................................... SB 1406

Legal investments ....................................................................... HB 1283

SB 682

SB 742

Non-par banking ......................................................................... SB 1183

Credit cards .................................................................................. SB 1002

FDIC as liquidator ....................................................................... HB 769

Industrial savings banks ............................................................ HB 749

Audit of State banks .................................................................. SB 375

Public fund depositories .............................................................. HB 1373

Stockholders' meetings .............................................................. SB 61

Payment of item by payor bank .............................................. SB 59

State financial law study ........................................................... HB 2459

Uniform Sale of Securities Act ............................................... SB 683

SB 1061

Banks insured by FDIC authorized depositories for

Florida scholarship program ........................................ SB 1292

G EO R G IA

Uniform Commercial Code amendments .............................. HB 48

Bank reserves ............................................................................. HB 634

Place of business ....................................................................... HB 585

Branch banks ................................................................................ SB 170

H AW A II

Uniform Gifts to Minors Act ............................................. HB 237

Uniform Commercial Code amendments .............................. HB 356

HB 297

Banking law amendments ......................................................... HB 829

Uniform Sale of Securities Act ................................................ HB 1005

Bank shareholders— votes ......................................................... SB 468

Unclaimed property .................................................................... SB 997

Branch banks ................................................................................ SB 1002

Foreign banks ............................................................................. SB 35

Investment of common trust funds ....................................... SB 1022

ID A H O

Deposit of trust funds ........................................ ..................... HB 130

Uniform Gifts to Minors Act ..................................................... HB 136

Abandoned property .................................................................. HB 145

STATE BANKING LEGISLATION— 1967 145

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146 FEDERAL DEPOSIT INSURANCE CORPORATION

Branch banking— investigation fee ......................................... HB 205

Independent audit ....................................................................... HB 208

Bank fees— authority to do business ................................... HB 207

Maximum interest rates ............................................................ SB 62

HB 370

Uniform Commercial Code enacted .. SB 2

SB 8

Legal investments ............................. HB 36

IL L IN O IS

Illinois Gifts to Minors Act amendments ......... HB 1563

HB 363

Uniform Commercial Code amendments .............................. HB 1254

Credit cards ...................................................................... SB 190

HB 2282

Installment loans— interest rates ... SB 30

HB 2071

Negotiable instruments— bank holidays .............................. SB 980

Safety deposit boxes .................................................................. HB 830

Disposition of unclaimed property ......................................... SB 344

IN D IA N A

Disposition of unclaimed property ............................................ HB 1682

Branch banks .............................................................................. HB 1461

Mutual savings banks— organization ..................................... SB 95

SB 97

Financial Institutions Act amendments .... SB 100

SB 462

Certificates of deposit— interest .............................................. SB 320

Student loans .............................................................................. SB 241

Purchase of stock ....................................................................... SB 319

Shareholders’ meetings .............................................................. SB 284

IOW A

Disposition of unclaimed property ............................................ HB 101

Bank parking lot offices .............................................................. HB 474

Installment loans ......................................................................... SB 184

Interest— savings and time deposits ....................................... SB 298

Uniform Commercial Code amendments .............................. SB 561

SB 560

Power of State banks to own and lease certain personal

property .................................................................................... SB 729

Banking law study ....................................................................... SCR 41

Capital notes and debentures ................................................... SB 436

Debt management ....................................................................... HB 284

K A N S A S

Auxiliary teller facilities ..................................................... HB 1474

Banking law amendments— equalization of powers

of State and national banks ................................................ HB 1461

Credit cards— fraudulent use ................................................... HB 1229

Taxation of banking associations ............................................ HB 1628

Bank investments ....................................................................... SB 57

Money orders— transmission of money ................................. SB 145

Deposit of public monies ......................................................... SB 356

Uniform Commercial Code amendments ................................. SB 427

Trust companies ......................................................................... SB 146

L O U IS IA N A

Student loans .... .......................................... SB 35

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STATE BANKING LEGISLATION— 1967 147 

M A IN E

Uniform Gifts to Minors Act amendments ............................ HB 320

Savings banks— power to act as trustee .............................. SB 614

Use of name "industrial bank" prohibited .......................... HB 467

Uniform Commercial Code amendments .............................. HB 582

Loans— disclosure of interest charges ................................... HB 964

SB 373

HB 345

Joint accounts .................................................. ......................... HB 1001

Consolidation of banks and savings and loan associations .. HB 1002

Insurance of industrial loans .................................................. HB 1035

HB 1246-X

Sale of checks and money orders ............................................ SB 77

Authorization of out-of-state banks as fiduciaries ............... SB 105

Savings banks— participation loans ....................................... SB 325

Guaranteed loans— savings banks .......................................... SB 390

Disclosure of interest and finance charges .......................... HB 1215

M A R Y L A N D

Dormant accounts ....................................................................... SB 179

False pretenses— bad checks ................................................... HB 313

HB 312

HB 154

Credit cards .................................................................................. HB 434

Property leases ........................................................................... SB 387

Secondary mortgage loan law ................................................... SB 566

Demand deposits ......................................................................... SB 388

Currency exchanges .................................................................. SB 389

Joint deposits .............................................................................. HB 459

Disposition of unclaimed property ......................................... SB 68

Student loans .............................................................................. SB 146

M A S S A C H U S E T T S

Cooperative banks— safe deposit vaults .............................. HB 713

Cooperative bank investments ................................................ HB 715

HB 4694

Savings banks— dividends ......................................................... HB 1329

HB 1330

Banks prohibited from engaging in travel agency business .. SB 1144

Study on impairment of bank capital or deposits ............... HB 4703

Investments— savings banks .................................................. HB 4594

HB 4691

HB 4662

HB 4694

Study on bank mortgages in depressed areas ................. SB 1459

HB 4672

Cooperative bank branches ....................................................... SB 213

Check stop payment .................................................................. SB 1278

Group Insurance Fund investments in bank s to c k ................. HB 62

M IC H IG A N

Loans— participation with other financial institutions ........ HB 2791

Credit cards— wrongful use ..................................................... HB 2319

Foreign operations ....................................................................... HB 2656

M IN N E S O T A

Reserves ......................................................................................... HB 645

Pledging of bank assets ............................................................ SB 47-X

Investment of trust funds in certificates of deposit ............ HB 1395

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148 FEDERAL DEPOSIT INSURANCE CORPORATION

Loan limitations ........................................................................... SB 433

Worthless checks— issuance ..................................................... HB 966

Banking act amendments ......................................................... HB 646

Non-par banking ......................................................................... HB 645

Trust investments ....................................................................... HB 1383

Student loans ................................................................................ HB 820

Corporate existence ..................................................................... SB 325

M ISS O U R I

Revision of banking laws ......................................................... SB 1

Uniform Gifts to Minors Act amendments .............................. SB 100

Credit cards— fraud ..................................................................... SB 156

Taxation ......................................................................................... SB 3

M O N T A N A

Capital notes or debentures— issuance ................................... HB 46

Joint deposits— right of survivorship ....................................... HB 44

Equalization of State and national banks ............................ HB 52

Uniform Disposition of Unclaimed Property Act ................. HB 396

Reserve requirements ................................................................ HB 45

Uniform Gifts to Minors Act amendments ............................ HB 393

Bank stock tax ........................................................................... HB 205

N E B R A S K A

Interest rates ................................................................................ LB 13

Uniform Commercial Code amendments .............................. LB 17

Computer center stock— legal investments for banks ........ LB 124

Banking law amendments ......................................................... LB 197

Charter applications .................................................................. LB 788

Banking fees— safekeeping of securities .............................. LB 749

Bank officers' tenure .................................................................. LB 882

Credit cards— unlawful use ....................................................... LB 409

Corporate name requirements ................................................ LB 787

N E V A D A

Uniform Gifts to Minors Act amendments .............................. AB 10

Commercial instruments recording fees ................................. SB 101

AB 32

Certificates of deposit as security bonds .............................. AB 85

Bank stock tax— valuation of shares ....................................... AB 419

Credit cards .................................................................................. AB 527

Stockholders’ meetings .............................................................. SB 275

Branch banking ........................................................................... SB 130

Installment loans ......................................................................... SB 402

Bank examination fees ................................................................ SB 472

Non-resident bank may not act as sole executor ................. AB 225

Depreciation rates on bank property ....................................... SB 131

Corporate fiduciaries .................................................................. SB 414

N EW H A M P S H IR E

Savings bank charters ................................................................ HB 34

Savings deposits accounts— verification ................................ HB 35

Bank examinations ..................................................................... HB 37

Reserves of State banks ............................................................ HB 78

Uniform Commercial Code amendments ................................ HB 227

Uniform Gifts to Minors Act ..................................................... HB 284

Savings bank investments ......................................................... HB 282

HB 298

HB 712

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Federal Reserve Bank of St. Louis
HB 369

HB 356

HB 295

Bank notes— signatures ........................................................... SB 114

Abandoned property ........................................................ HB 477

NEW JE R S E Y

Uniform Commercial Code amendments .............................. AB 756

Mergers and consolidations ....................................................... SB 456

SB 402

Unclaimed property ................................................................ SB 419

SB 442

Loans and investments of savings banks ............. AB 136

NEW M E X IC O

Interest rates on bank installment loans .............................. HB 124

Uniform Commercial Code amendments .............................. SB 115

HB 253

Disposition of abandoned property ....................................... SB 158

Credit cards .................................................................................. SB 211

Uniform Gifts to Minors Act amendments ............................ SB 266

Student loans ............................................................................. SB 201

NEW Y O R K

Savings bank investments ....................................... SB 1466

SB 121

SB 122

AB 486

AB 487

AB 488

Common trust funds .................................................................. AB 779

Safe deposit boxes .................................................................... AB 1962

Uniform Commercial Code amendments ................................ AB 3643

Publication of reports of condition ......................................... AB 4605

Savings banks— student loans ................................................ AB 4622

Credit cards— liability for lost or stolen cards ..................... AB 4772

Savings banks— computation of tax ....................................... AB 4853

Foreign banking corporations— protection of depositors .... AB 5303

Banking law study ....................................................................... AR 175

Bank holding companies— consolidated returns ................... SB 3930

SB 246-A

Nondiscriminatory treatment of State and national banks . SB 681

Safe deposit boxes— access by fiduciaries ............................ SB 916

AB 1962

Reports of superintendent of banks ....................................... SB 3302-A

Trust law amendments .............................................................. SB 3808

AB 779

Payment of moneys held in bank at infant’s maturity ........ AB 1517

Savings banks— insurance ....................................................... AB 3004

N O R T H C A R O L IN A

Worthless checks ......................................................................... HB 31

Uniform Commercial Code amendments .............................. HB 251

Interest on loans ......................................................................... HB 465

Credit cards— illegal use ........................................................... HB 1076

HB 1144

Joint tenancy ownership ............................................................ HB 959

Banking law amendments ......................................................... SB 210

State banks— securities .............................................................. SB 535

STATE BANKING LEGISLATION— 1967 149

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150 FEDERAL DEPOSIT INSURANCE CORPORATION

N O R T H D A K O T A

Uniform Commercial Code amendments ................................ HB 705

Taxation of banks ....................................................................... HB 729

Use of bank assets ..................................................................... HB 811

Investment of fiduciary funds .................................................. SB 67

Uniform Gifts to Minors Act amendments ............................ SB 98

Bank examination fees .............................................................. SB 231

Powers ........................................................................................... SB 322

Farm loans by Bank of North Dakota ..................................... HB 863

Retention of decedent’s assets ................................................ SB 99

O H IO

Revised banking code enacted ................................................ SB 97

Educational loans ....................................................................... SB 245

Veterans’ loans ........................................................................... HB 909

Unclaimed funds ......................................................................... SB 411

Taxable deposits— listing date ................................................ HB 470

O K L A H O M A

Uniform Disposition of Unclaimed Property Act ........ HB 532

Reports by bank commissioner .............................................. HB 603

SB 96

Reserve banks .............................................................................. HB 717

Uniform Gifts to Minors Act amendments ............................ HB 823

SB 23

SCR 33

Issuance of bad checks ........................................................... SB 123

Student loans .............................................................................. SB 62

Conflict of interest by employees of Oklahoma Banking

Department ................................................................................ SB 122

Rental of bank premises ............................................................ SB 209

Limitation of loans on real estate ............................................ SB 219

Banking code amendments ....................................................... SB 428

O REG O N

Security deposits ......................................................................... SB 227

Mutual savings banks— investments ....................................... SB 232

Stockholders' meetings .............................................................. SB 295

Uniform Gifts to Minors Act amendments .............................. SB 401

Foreign banks .............................................................................. SB 465

Unclaimed property ..................................................................... SB 400

HB 1300

Loans— prepayment privilege .................................................. HB 1146

Sale of Securities Act .................................................................. HB 1299

Election offenses ......................................................................... HB 1663

P E N N S Y L V A N IA

State depositories ................................................................ HB 1525

Banks authorized to act as deposit administrator for

county retirement funds ......................................................... SB 533

Investment powers of fiduciaries ............................................ SB 821

SB 819

Capital stock— taxation ..................................................... HB 1278

R H O D E IS LA N D

Interest ........................................................................................... HB 1798

Uncollectible checks .................................................................. SB 600

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S O U T H C A R O L IN A 

Foreign banking corporations prohibited from

acting as trustees ............................................... HB 1611

HB 1609

Worthless checks ......................................................................... SB 542

Uniform Commercial Code amendments .............................. SB 198

SB 200

Loans . ................................................... HB 1602

S O U T H D A K O T A

Uniform Commercial Code amendments .............................. HB 529

Installment loans ......................................................................... SB 82

HB 761

State banks as depositories of public moneys ..................... SB 108

Fraudulent checks ....................................................................... SB 215

Uniform Trust Law amendments ............................................ SB 230

T E N N E S S E E

Common stock increases ......................................................... HB 519

Power of banks to acquire and lease personal property ..... HB 520

Investment powers .................................................................. HB 430

Banking law study ....................................................................... HJR 61

Fraudulent checks, drafts and credit cards .......................... HR 644

TE X A S

Interest— consumer protection ........................ HB 452

HB 758

State banks— cash reserves ..................................................... HB 697

Stock option plans .................................................................... SB 41

Trust companies ......................................................................... SB 133

Business Corporation Act amendments ................................ SB 132

Uniform Commercial Code amendments .............................. SB 459

State depositories of public funds ............................................ SB 550

Business and Commerce Code enacted ................................ HB 293

U T A H

Bank credit— exchange of information ................................... HB 7

Branch banking study ................................................................ HJR 30

Uniform Gifts to Minors Act amendments .............................. SB 3

Bank reserves ............................................................................. SB 17

Banking law amendments .................................................. .... SB 18

SB 21

SB 172

Banking law study .................................................. HJR 31

V E R M O N T

Banking corporations— taxes ................................. HB 402

W A S H IN G T O N

Investment of funds by fiduciaries ......................................... HB 12

Uniform Commercial Code amendments .............................. SB 42

Banking law amendments ......................................................... SB 622

SB 65

Mutual savings banks ............................................................... SB 178

Uniform Gifts to Minors Act enacted ..................................... SB 338

Bad Checks— usurious contracts .............................................. HB 224

W E ST V IR G IN IA

Computer services ....................................................... HB 706

STATE BANKING LEGISLATION— 1967 151

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152 FEDERAL DEPOSIT INSURANCE CORPORATION

Fiduciary investments SB 35

SB 36

WISCONSIN

Branch banks— change of location ................................................. AB 283

AB 123

Uniform Gifts to Minors Act amendments .............................. ........SB 131

Credit card fraud ......................................................................... ........SB 190

Loans to veterans ...............................................................................AB 223

WYOMING

Fiduciary investments ................................................................ ........SB 2

Uniform Gifts to Minors Act ............................................................. HB 109

Maximum indebtedness of State banks ................................ ........ HB 146

Uniform Commercial Code amendments .............................. ........HB 49

Taxation .................................................................................................HB 357

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Federal Reserve Bank of St. Louis
STATISTICS OF BANKS 

AND DEPOSIT INSURANCE

PART FOUR

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Federal Reserve Bank of St. Louis
NUMBER OF BANKS AND BRANCHES

Table 101. Changes in number and classification of banks and branches in the United 

States (States and other areas) during 1967 

Table 102. Changes in number of commercial banks and branches during 1967, by State 

Table 103. Number of banking offices in the United States (States and other areas), 

December 30, 1967

Grouped according to insurance status and class of bank, and by State or

area and type of office

Table 104. Number and deposits of all commercial and mutual savings banks (States 

and other areas), December 30, 1967 

Grouped by class and by deposit size

Tabulations for all banks are prepared in accordance with an 

agreement among the Federal bank supervisory agencies. Provision 

of deposit facilities for the general public is the chief criterion for 

distinguishing between banks and other types of financial institutions. However, trust companies engaged in general fiduciary business though not in deposit banking are included; and credit unions 

and savings and loan associations are excluded except in the case 

of a few which accept deposits under the terms of special charters.

Branches include all offices of a bank other than its head office, 

at which deposits are received, checks paid, or money lent. Banking facilities separate from a banking house, banking facilities at 

government establishments, offices, agencies, paying or receiving 

stations, drive-in facilities and other facilities operated for limited 

purposes are defined as branches under the Federal Deposit Insurance Act, Section 3(o), regardless of the fact that in certain States, 

including several which prohibit the operation of branches, such 

limited facilities are not considered branches within the meaning 

of State law.

154 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Commercial banks include the following categories of banking 

institutions:

National banks;

Incorporated State banks, trust companies, and bank and trust 

companies, regularly engaged in the business of receiving deposits, 

whether demand or time, except mutual savings banks;

Stock savings banks, including guaranty savings banks in New 

Hampshire;

Industrial and Morris Plan banks which operate under general 

banking codes, or are specifically authorized by law to accept 

deposits and in practice do so, or the obligations of which are 

regarded as deposits for deposit insurance;

Special types of banks of deposit: cash depositories in South 

Carolina; regulated certificated banks, and a savings and loan company operating under Superior Court charter, in Georgia; government operated banks in American Samoa, North Dakota, and Puerto 

Rico; a cooperative bank, usually classified as a credit union, operating under a special charter in New Hampshire; a savings institution, known as a “ trust company," operating under special charter 

in Texas; an employee's mutual banking association in Pennsylvania; 

the Savings Banks Trust Company in New York; and branches of 

foreign banks engaged in a general deposit business in New York, 

Oregon, Washington, Puerto Rico, and Virgin Islands.

Private banks under State supervision, and such other private 

banks as are reported by reliable unofficial sources to be engaged 

in deposit banking.

Nondeposit trust companies include institutions operating under 

trust company charters which are not regularly engaged in deposit 

banking but are engaged in fiduciary business other than that incidental to real estate title or investment activities.

Mutual savings banks include all banks operating under State 

banking codes applying to mutual savings banks.

Institutions excluded. Institutions in the following categories are 

excluded, though such institutions may perform many of the same 

functions as commercial and savings banks:

Banks which have suspended operations or have ceased to 

accept new deposits and are proceeding to liquidate their assets 

and pay off existing deposits;

Building and loan associations, savings and loan associations, 

credit unions, personal loan companies, and similar institutions, 

chartered under laws applying to such institutions or under general 

incorporation laws, regardless of whether such institutions are 

authorized to accept deposits from the public or from their members 

and regardless of whether such institutions are called “ banks" (a 

few institutions accepting deposits under powers granted in special 

charters are included);

Morris Plan companies, industrial banks, loan and investment 

companies, and similar institutions except those mentioned in the 

description of institutions included;

Branches of foreign banks, and private banks, which confine their 

business to foreign exchange dealings and do not receive “ deposits" as that term is commonly understood;

Institutions chartered under banking or trust company laws, but 

operating as investment or title insurance companies and not engaged in deposit banking or fiduciary activities;

Federal Reserve Banks and other banks, such as the Federal 

Home Loan Banks and the Savings and Loan Bank of the State of 

New York, which operate as rediscount banks and do not accept 

deposits except from financial institutions.

NUMBER OF BANKS AND BRANCHES 155

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Table 101. CHANGES IN NUMBER AND CLASSIFICATION OF BANKS AND BRANCHES IN THE UNITED STATES

(STATES AND OTHER AREAS) DURING 1967

Type of change

ALL BANKING OFFICES

Number of offices, December 30, 1967 2.

Number of offices, Decem ber 31, 1966 2.

Net change during year.

Offices opened.

B a n ks ..............

B ran ches........

Offices clo sed .

B a n ks............

B ranches. . . .

Change in classification

A m ong b a n k s .................

A m ong b ra n ch e s...........

BANKS

Number of banks, Decem ber 30, 1967 .

Number of banks, December 31, 1966 .

Net change during year

Banks beginning operation.

New b a n k s ............................

Banks added to cou nt. . ..

Banks ceasing operation......................................

A bsorptions, consolidations, and mergers.

C losed-financial d iffic u ltie s .............................

O ther liq u id a tio n s ..................................i............

Discontinued deposit o p e ra tio n s ...................

Banks deleted from c o u n t...............................

Noninsured banks becoming insured

All banks

Total

33,194

32,136

+1,058

1,335

109

1,226

277

156

121

14,244

14,291

109

107

2

156

137

4

7

4

4

Insured

32,574

31,491

+1,083

1,300

94

1,206

240

140

100

+23

+ 2 3

13,850

13,873

-23

94

94

140

132

4

4

+23

Noninsured

620

645

35

15

20

37

16 

21

- 2 3

- 2 3

394

418

Comm ercial banks and nondeposit tru st com panies

Total

31,860

30,872

+988

1,261

109

1,152

273

153

120

13,741

13,785

-44

109

107

2

153

134

4

7

4

4

Insured

Total

31,570

30,544

+1,026

1,243

94

1,149

238

139

99

+21

+21

13,517

13,541

-24

139

131

4

4

+21

M em bers F. R.

System

National

14,974

14,436

+538

602

18

584

129

65

64

+65

+6

+59

4,758

4,799

-41

18

18

State

4,983

4,867

+116

224

3

221

42

17

25

-66

- 2 4

- 4 2

1,312

1,350

-38

Not

m em ­

bers

F. R.

System

11,613

11,241

+372

417

73

344

67

57

10

+22

+ 3 9

- 1 7

7,447

7,392

+55

73

73

+21

N oninsured

Banks

of

deposit

235

251

-16

18

15

3

13

13

177

196

-19

15

13

2

13

3

Nondeposit

tru st

com ­

panies

M utual savings banks

Total

1,334

1,264

+70

74

" 7 4

503

506

-3

In ­

sured

1,004

947

+57

57

+2

+2

333

332

+1

+2

Noninsured

330

317

+13

17

-2

-2

170

174

156 FEDERAL DEPOSIT INSURANCE CORPORATION

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Other changes in classificatio n..............................

National succeeding State b a n k .........................

State succeeding national b a n k .........................

Adm ission o f insured bank to F. R. S yste m ..

W ithdrawal from F. R. System with continued

insurance................................................................

Changes not involving number in any class. . . .

Change in title ...........................................................

Change in lo c a tio n ...................................................

Change in title and lo ca tio n ..................................

Change in nam e of lo ca tio n ..................................

Change in corporate powers:

Granted tru s t pow ers..........................................

BRANCHES

Number of branches, December 30, 1967 2.

Number of branches, December 31, 1966 2.

Net change during year.

Branches opened for b u sin ess...............................

Facilities designated by T re a su ry.......................

Absorbed banks converted to branche s...........

Branches replacing head offices re lo ca te d ....

New branche s............................................................

Branches and facilities added to c o u n t3...........

Branches discontinued...............................................

Facilities designated by T re a su ry.......................

B ran ches.....................................................................

Branches and facilities deleted from c o u n t....

Other changes in classificatio n..............................

Branches changing class as result of conversion ............................................................................

Branches o f insured banks w ithdraw ing from

F. R. S yste m ...........................................................

Branches tra nsferred throug h absorption,

consolidation or m e rg e r.....................................

Changes not involving num ber in any class

Changes in operating powers of b ra n ch e s....

Branches tra nsferred through absorption,

consolidation or con version............................

Changes in title , location, or nam e of location.

+ 6

+11

- 5

-2 4 +18

— 7- 4

+ 5

+ 1 - 1

-2 1 +21

191 184 7 185 178 77 15 86 7 6 6

18 18 18 18 9 4 5

9 9 9 9 6 3

3 3 3 3 3

53 53 53 53 53

18,950 18,724 226 18,119 18,053 10,216 3,671 4,166 58 8 831 671 160

17,845 17,618 227 17,087 17,003 9,637 3,517 3,849 55 29 758 615 143

+1,105 +1,106 - 1 +1,032 +1,050 +579 +154 +317 + 3 - 2 1 + 73 +56 +17

1,226 1,206 20 1,152 1,149 584 221 344 3 74 57 17

7 7 7 7 4 3

116 114 2 113 113 73 14 26 3 i 2

21 21 21 21 8 1 12

1,067 1,051 16 997 996 496 205 295 1 70 55 15

15 13 2 14 12 3 1 8 2 1 1

121 100 21 120 99 64 25 10 21 1 1

14 14 14 14 11 2 1

76 76 75 75 50 18 7 1 1

31 10 21 31 10 3 5 2 21

+59 - 4 2 -1 7

+ 8 - 7 - 1

- 1 6 +16

+51 -1 9 -3 2

9 9 9 9 4 5

65 64 1 62 62 59 1 2 3 2 1

411 409 2 399 399 241 83 75 12 10 2

1 Includes one trust company member of the Federal Reserve System.

2 Includes facilities established at request of the Treasury or Commanding Officer of Government installations, and also a few seasonal branches that were not in operation as of December 31.

3 Branches opened prior to 1967 but not included in count as of December 31, 1966.

NUMBER OF BANKS AND BRANCHES 157

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 102. CHANGES IN NUMBER OF COMMERCIAL BANKS AND BRANCHES DURING 1967, BY STATE

In operation Net change

during 1967

B eginning operation in 1967 Ceasing operation in 1967

State Dec. 30, 1967 Dec. 31, 1966

Banks

Banks Branches Banks

Branches

Banks Branches Banks Branches

Bra nches

New Other New Other Absorptions Other

Total U nited S ta te s........ 13,741

13,721

20

18,119

17,931

188

13,785

13,766

19

17,087

16,907

180

-44 1,032

1,024

8

107 2 1,009

1,001

8

143 134 19 120

50 S tates and D.C.............. -45 105 2 142 133 119

O ther A re a s ....................... 1 2 1 1 1

State

A la bam a............................. 266 211 267 186 - 1 25 24 1 1

A la ska................................. 12 54 12 55 NA — 1 1

A rizona................................ 17 265 18 282 - 1 -17 6 1 23

A rkan sas............................ 248 130 246 119 2 11 3 12 1 1 2

C a lifornia............................ 178 2,692 193 2,537 -15 155 156 17 15 18

C olorado............................. 256 7 252 9 4 - 2 4 2 1 1 2

C o n n e cticu t....................... 67 357 67 336 21 1 21 1 1 1

D elaw are............................. 19 74 20 71 - 1 3 3 1 1 1

D istrict o f C olum b ia........ 14 96 14 94 NA 2 2

Florida................................. 450 21 447 19 3 2 5 2 1 1

Georgia .............................. 426 227 426 211 16 8 17 1 2 6 2

H aw aii.................................. 11 123 11 120 NA 3 3

Id a h o .. ............. 26 141 25 140 1 1 1 2 ........ 1

Illinois ......... 1,067 18 1,061

419

5 6 13 7 12 1 1

In d ia n a ................................ 417 542 507 - 2 35 1 34 3 3 2

Iowa ......... 674 260 674 250 10 1 9 1 1

Kansas ....................... 601 58 601 53 5 5 6 1 4 1

K e n tu cky ............................ 346 268 348 243 - 2 25 25 3 2

Lo uisian a............................ 226 305 220 286 6 19 6 19 2 2

M aine. ............... 44 194 44 183 NA 11 11

M aryland ......... 122 442 122 415 27 1 26 2 1 1

M assachusetts ......... 159 647 162 614 - 3 33 36 3 3 6

M ic h ig a n ............................. 341 1,049 347 988 - 6 61 63 7 6 9

M innesota . . . 723 9 723 9 NA ..............NA

M ississippi. ............... 188 281 190 259 - 2 22 21 3 2 2

M is s o u r i............................ 664 78 661 71 3 7 4 9 1 2

M ontana . . 133 5 132 3 1 2 2 1 1 1

Nebraska ............... 439 33 439 29 4 1 6 1 2

Nevada . . . 9 75 9 70 NA 5 5

New H a m p sh ire................ 76 37 75 33 1 4 1 3 1

158 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
New Jersey.......

New M e x ic o ...

New Y o rk...........

North C arolina.

North D akota..

O hio....................

O klahom a.........

O regon..............

P enn sylva nia ..

Rhode Is la n d ..

South C arolina.

South D akota..

Tennessee.

T e xas..................

U ta h ...................

V e rm o n t........

V irginia...........

W ashing ton..

W est V irginia.

W isconsin

W yom ing........

Other Areas

Pacific Isla n d s...........

Panama Canal Zone.

Puerto R ico................

Virgin Isla n d s............

228

64

327

128

169

531

422

50

522

14

125

166

299

1,149

55

46

250

95

194

599

69

12

7

757

109

2,136

859

64

1,069

46

285

1,421

149

328

87

404

59

112

67

656

452

" i7 1

1

13

2

160

13

232

64

336

137

167

537

420

52

546

11

128

167

298

1,147

55

48

251

95

190

591

69

12

6

712

101

2,060

790

61

1,009

42

273

1,338

128

302

83

378

53 111

59

612

424

“ 173 

1

13

2

154

11

- 4 

NA

- 9

- 9

2

- 6

2

- 2 

- 2 4 

3

- 3

- 1 

1 

2

NA

- 2

- 1

" ' 4 

8 

NA

NA

NA

1

N.A.— No activity.

45 4 38 9 8 2

8 9 1

13

5

76 6 79 10 13 2

69 2 62 12 11

3 2 3 1 1

60 2 54 7 8 1

4 2 4

12 1 9 3 3

83 63 24 24 4

21 23 2

26 1 24 4 3 1 2

4 3 1 1

26 26 4 1 4

6 7 3 4 4 1 1

1 1

8 6 2 2

44 37 7 7

28 4 23 5 4

NA 4

- 2 2

NA

NA

NA

6 1 6 1 1 1

2 1 2

NUMBER OF BANKS AND BRANCHES 159

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 103. NUMBER OF BANKING OFFICES IN THE UNITED STATES (STATES AND OTHER AREAS), DECEMBER 30, 1967

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK, AND BY STATE OR AREA AND TYPE OF OFFICE

State and type of bank

or office

All banks

Total

In ­

sured

Noninsured

Commercial banks and

nondeposit tru st com panies

Total

Insured

Total

M embers F. R

System

National State

Not

m em ­

bers

F. R.

System

Noninsured

Banks

of deposit 2

Nondeposit

tru st

com ­

panies 3

M utual savings banks

Total

In ­

sured

Noninsured

Percentage insured 1

All

banks

of

deposit

Com

mercial

banks

of

deposit

M utual

savings

banks

United States—all o ffice s...

B an k s ..................................... Unit banks..........................................

Banks operating branches............

B ranches...............................

50 States and D.C.—all offices

B a n k s ..................................... Unit banks..........................................

Banks operating branches............

Branches...............................

Other areas—all offices. . .

B an k s...................................... Unit banks..........................................

Banks operating branches............

Branches...............................

State

Alabam a—all offices.............

B a n k s...................................... U nit banks..........................................

Banks operating branches............

B ranches...............................

Alaska—all offices.................

B a n k s...................................... U nit banks..........................................

Banks operating branches............

Branches................................

Arizona—all offices...............

B a n k s...................................... U nit b anks..........................................

Banks operating branches............

B ranches...............................

Arkansas—all offices............

B a n k s..................................... U nit banks..........................................

Banks operating branches............

Branches...............................

33,194

14,244

10,412

3,832

18,950

32,983

14,222

10,401

3,821

18,761

211

22

11

11

189

477

266

199

67

211

14

54

282

17

7

10

265

378

248

18068

130

32,574

13,850

10,123

3,727

18,724

32,394

13,840

10,121

3,719

18,554

180

10

2

8

170

477

266

199

67

211

66

12

4

8

54

282

17

7

10

265

375

245

177

68

130

620

394

289

105

226

589

382

280

102

207

31

12

9

3

19

31,860

13,741

10,181

3,560

18,119

31,652

13,721

10,171

3,550

17,931

208

20

10

10

188

477

266

199

67

211

54

282

17

7

10

265

378

248

180

68

130

31,570

13,517

9,982

3,535

18,053

31,393

13,509

9,981

3,528

17,884

177

8

1

7

169

477

266

199

67

211

6410

282

17

7

10

265

375

245

177

68

130

14,974

4,758

3.229

1,529

10,216

14,940

4,757

3.229

1,528

10,183

34

1

244

88

51

37

156

51

5

5

46

194

4

1

3

190

138

67

36

31

71

4.983

1.312

854 458

3.671

4.983

1.312

854 458

3.671

11,613

7,447

5,899

1,548

4,166

11,470

7,440

5,898

1,542

4,030

143

7

1

6

136

200

156

131

70

12

6

6

58

201

162

133

29

39

235

177

157

205

166

17

39

3011

8

3

19

1,334

503

231

272

831

1,331

501

230

271

830

3

2

1

1

1

1,004

333

141 192

671

1,001

331

140

191

670

3

2

1

1

1

330

170

160

330

170

160

98.3

97.6

97.6

97.4

98.8

98.4

97.6

97.7

97.5

98.9

85.7

47.6

20.0

72.7

89.9

100.0 100.0

100.0

100.0 100.0

97.1

85.7

66.7

100.0

100.0

100.0

100.0

100.0

100.0 100.0

99.5

99.2

98.9

100.0 100.0

99.3

98.7

98.5

99.4

99.7

99.4

98.8

98.5

99.5

99.8

85.5

42.1

11.1

70.0

89.9

100.0

100.0

100.0

100.0

100.0

97.0

83.3

50.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.5

99.2

98.9

1 0 0 .0

100.0

75.3

66.2

61.0

70.6

80.7

75.2

66.1

60.9

70.5

80.7

100.0 100.0

100.0

100.0

100.0

100.0

100.0

100.0

160 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
California—all offices............

Ban k s........................................ U nit b anks...............................................

Banks operating branches.................

B ranches.................................

Colorado—all offices..............

B an k s........................................ Unit banks...............................................

Banks operating branches.................

Branches.................................

Connecticut—all offices........

B an k s........................................ U nit banks...............................................

Banks operating branches.................

B ranches.................................

Delaware—all offices..............

B an ks........................................ Unit banks...............................................

Banks operating branches.................

Branches.................................

Dist. of Columbia—all offices

B a n k s........................................ U nit banks...............................................

Banks operating branches.................

B ranches.................................

Florida—all offices..................

B a n k s....................................... Unit banks...............................................

Banks operating branches.................

Branches...................................

Georgia—all offices..................

B a n k s.........................................

Unit banks...............................................

Banks operating branches.................

Branches...................................

Hawaii—all offices.....................

B a n k s......................................... Unit banks.................................................

Banks operating branches....................

Branches...................................

2,870

178

2,692

263

256

250

609

137

50

87

472

104

21

10

11

83

110

141

15

96

471

450

430

20

21

653

426

3S9

87

227

134

1138

123

2,859

172

45 127

2,687

224

217

21161

606

134

4787

472

104

21 .

10 ,

11 .

83 .

110

14 . 1 .

13 .

96 .

468

447

427

20

21

635

408

321

87

227

1297

'' • "7

122

116

39

39

39

18

18

18

2,870

178

49 129

2,692

263

256

250

424

67

21

46

357

93

19

109

74

110

141

13

96

471

450

430

20

21

653

426

339

87

111

1341138

123

509

121

11

497

18

17

1611

1056

’ ’ 6

99

332

'' '2

31

353

32

333 11 100.0, 100.0

80

6 100.0 100.0

100.0

100.0

18

4 100.0 62 100.0

253 5 100.0 100.0

85.2

84.8

84.4

84 39 85.2

82 39 84.8 80 39 84.4 2 100.0 100 0 2 100.0 100.0

97 2

1 185 185 99.7 99.5 100.0

28 2

1 70 70 98.5 97.0 100.0 10 2 1 29

41

29 95.9 90.0 100.0

100.0

100.0

100.0

100.0

18 41

115

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

69 115

51 11 11 100.0

100.0

100.0

100.0

100.0

100.0

12 2 2 75 2 2 100.0

39 9 9 100.0 82 100.0 100.0

100.0

100.0

100.0

100.0

2 100.0 6 100.0

247

2

1 99.6 99.6

239 2 1 99.6 99.6 231 2 1 99.5 99.5 8 100.0 100.0 8 100.0 100.0

390 18 97.2 97.2

335 18 95.8 95.8 285 18 94.7

100.0

94.7 50 100.0

55 100.0 100.0

84

5 100.0 100.0

5

4 100.0 100.0 3

5

1 100.0 100.0

79

1 100.0 100.0

NUMBER OF BANKS AND BRANCHES 161

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 103. NUMBER OF BANKING OFFICES IN THE UNITED STATES (STATES AND OTHER AREAS),

DECEMBER 30, 1967— CONTINUED

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK, AND BY STATE OR AREA AND TYPE OF OFFICE

State and type of bank

or office

All banks

Total

In ­

sured

Noninsured

Commercial banks and

nondeposit tru st com panies

Total

Insured

Total

M embers F. R,

System

National State

Not

m em ­

bers

F. R.

System

Noninsured

Banks

of de

posit

Non

deposit

tru st

com ­

panies

M utual savings banks

Total

InsuredN oninsured

Percentage insured 1

All

banks

of

deposit

Com ­

mercial

banks

of

deposit

Mutual

savings

banks

Idaho—all offices........

B a n k s .......................... Unit banks...........................

Banks operating branches

B ranches....................

Illinois—all offices. . .

B an k s .......................... U nit b anks...........................

Banks operating branches

B ranches....................

Indiana—all o ffice s.. .

B a n k s .......................... Unit banks...........................

Banks operating branches

B ran ches....................

Iowa—all offices...........

B an k s.......................... Unit banks...........................

Banks operating branches

B ranches....................

Kansas—all o ffice s...

B a n k s ...................... U nit banks...........................

Banks operating branches

Branches....................

Kentucky—all offices.

B a n k s.......................... Unit banks...........................

Banks operating branches

Branches.....................

167

26

12

n

141

1,085

1,067

1,050

17

18

963

421

241 180

542

934

674

473

201

260

659

601

545

56

58

614

346

228

118

268

167

26

12

U

141

1,080

1,062

1,04517

18

959

417

237

180

542

921

661

460

201

260

658

600

54456

58

340

118

268

167

26

12

u

141

1,085

1,067

1,050

17

18

959

417

237

180

542

934

674

473

201

260

659

601

545

56

58

614

346

228

118

268

167

26

12

U

141

1,080

1,062

1,045

17

, 18

955

413

233

180

542

921

661

460

201

260

658

600

54456

.58

608

340

222

118

268,

112

9

3

6

103

435

422

410

12

13

411

123

54

69

288

145

102

64

38

43

198

171

146

25

27

203

41

123

31

7

4

3

24

101

98

95

3

3

146

79

51

28

67

76

57

43

U

19

48

40

32

43

2410

5

5

14

544

542

540

2

2

398

211

128

83

187

700

502

353

149

198

412

389

366

23

23

348

246

177

69

102

100.0 100.0

100.0

100.0

100.0

99.8

99.8

99.8

100.0

100.0

99.7

99.3

98.8

100.0

100.0

98.7

98.2

97.5

100.0

100.0

99.8

99.8

99.8

100.0

100.0

99.0

98.3

97.4 100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.8

99.8

99.8

100.0

100.0

99.7

99.3

98.7

100.0

100.0

98.7

98.2

97.5

100.0

100.0

99.8

99.8

99.8

100.0 100.0

99.0

98.3

97.4

100.0

100.0

100.0

100.0

100.0

162 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Louisiana— all o ffic e s .............. 531 530 1 531 530 195 43

B a n ks........................................ 226 225 1 226 225 47 10 Unit banks................................................. 120 119 1 120 119 15 1

106 106 106 106 32 9

B ranches.................................. 305 305 305 305 148 33

M aine— all o ffic e s ..................... 287 279 8 238 I X f 100 61

B a n ks........................................ 76 71 5 44 41 21 6

U nit ba?iks................................................. 33 29 4 11 9 6 2 Banks operating branches.................... 43 42 1 33 32 15 4

B ran ches.................................. 211 208 3 194 191 79 55

M a ryland— all o ffic e s ............... 611 603 8 564 556 261 63

B a n ks........................................ 128 127 1 122 121 48 7 55 55 55 55 17 1

Banks operating branches.................... 73 72 1 67 66 31 6

B ranches.................................. 483 476 1 442 435 213 56

M assachusetts— all o ffic e s ... 1,171 835 336 806 79? 462 158

B a n ks......................................... 335 162 173 159 154 89 16

128 37 91 38 35 21

Banks operating branches.................... 207 125 82 121 119 68 16

Branches *................................ 836 673 163 647 644 373 142

M ichigan— a ll o ffic e s ............... 1,390 1,386 4 1,390 1,386 590 486

B a n ks........................................ 341 339 341 339 98 111 U nit b anks................................................. 151 150 1 151 150 30 52 Banks operating branches.................... 190 189 1 190 189 68 59

B ranches.................................. 1,049 1,047 2 1,049 W 7 492 375

M innesota— all o ffic e s ............. 733 729 4 732 728 201 28

B a n ks........................................ 724 720 4 723 719 195 28 U nit b anks................................................. 719 715 4 718 711+ 193 28 Banks operating branches.................... 5 5 5 5 2

B ranches. . . . ........ 9 9 9 J L 6

M ississippi— all o ffic e s ............ 469 469 469 469 147 18

B a n ks........................................ 188 188 188 188 36 6

U nit b anks................................................. 87 87 87 87 7 1

Banks operating branches.................... 101 101 101 101 29 5

B ranches.................................. 281 281 281 281 111 12

M issou ri— all o ffic e s ................ 742 734 8 742 734 119 97

B a n ks........................................ 664 656 8 664 656 98 79 U nit banks................................................. 586 578 8 586 578 77 61 Banks operating branches.................... 78 78 78 78 21 18

B ranches.................................. 78 78 78 78 21 18

M ontana— all o ffic e s ................ 138 137 1 138 137 51 44

B a n ks........................................ 133 132 1 133 132 48 42 Unit banks................................................. 128 127 1 128 127 45 40 Banks operating branches.................... 5 5 5 5 3 2

B ranches.................................. 5 5 5 5 3 2

292 1

168 1

103 1

65

124

71 6 49 47 2

14 3 32 30 2

1 2 22 20 13 1 10 10

57 3 17 17

232 8 47 47

66 1 6 6

37

29 1 6 6

166 7 41 41

178

49

1435

129

6

4

3

2

1

365

176

90

37

8

2

328

168

88

1

2

1

1

86

189

6

29

80

160

310 3 1

130 1 1

68 1

62 1

180 2

499 4 1 1

496 4 1 1

493

3

4 1 1

3

304

146

79

67

158

518 5 3

479 5 3

44039

5 5

39

42 1

42 1

42 1

99.8

99.6

99.2

100.0

100.0

97.2

93.4

87.9

97.7

98.6

98.7

99.2

100.0

98.6

98.6

71.4

48.5

28.9

60.7

80.6

99.8

99.7

100.0

99.5

99.8

99.5

99.4

9 9 4

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.3

99.2

99.1

100.0 100.0

100.0

100.0

100.0

100.0

100.0

99.8

99.6

99.2

100.0 100.0

97.5

93.2

81.8

97.0

98.5

98.6

99.2

100.0

98.5

98.4

99.3

97.5

92.1

99.2

99.7

99.8

99.7

100.0

99.5

99.8

99.5

99.4

9 9 4

100.0 100.0

100.0

100.0

100.0

100.0

100.0

99.3

99.2

99.1

100.0

100.0

100.0

100.0

100.0

100.0 100.0

95.9

93.8

90.9

100.0 100.0

100.0

100.0

100.0

100.0

10.1

4.5

2.2

7.0

15.3

100.0

100.0

100.0

NUMBER OF BANKS AND BRANCHES 163

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 103. NUMBER OF BANKING OFFICES IN THE UNITED STATES (STATES AND OTHER AREAS),

DECEMBER 30, 1967— CONTINUED

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK, AND BY STATE OR AREA AND TYPE OF OFFICE

All banks

Commercial banks and

nondeposit tru s t com panies M utual savings banks Percentage insured 1

Insured Noninsured

State and type o f bank

or office

Total

In ­

sured

Noninsured Total

Total

Members F. R.

System

Not

m em ­

bers

Banks

of d e ­

Nondeposit

tru s t

Total

In ­

sured

Noninsured

All

banks

of

deCommercial

banks

of

M utual

savings

banks

National State

F. R.

System

posit 2 com ­

panies 3

posit deposit

472 466 6 472 466 145 13 308 1 5 99.8 99.8

B a n k s ... ................. 439 433 6 439 433 127 12 294 1 5 99.8 99.8

U nit banks ...................... 407

32

401

32

6 407

32

401

32

109 111281 1 5 99.8 99.8

Banks operating branches.................... 18 13 100.0 100.0

Branches 33 33 33 33 18 1 14 100.0 100.0

Nevada—‘all offices ......... 84 84 84 84 41 31 12 100.0 100.0

Banks 9 9 9 9 3 3 3 100.0 100.0

U nit banks ...................... 2 2 2 2 1 1 100.0 100.0

Banks operating branches ................. 7 7 7 7 2 3 2 100.0 100.0

Branches 75 75 75 75 38 28 9 100.0 100.0

New H am pshire—all o ffice s..

Banks ...

155 152 3 113 110 82 2 26 3 42 42 98.1 97.3 100.0

108 105 3 76 73 52 1 20 3 32 32 97.2 96.1 100.0

Unit banks . ...................... 71 68 3 4729 44 29 15 3 24 248

95.8 93.6 100.0

Banks operating branches.................... 37 37 29 23 1 5 8 100.0 100.0 100.0

Branches. ............... 47 47 37 37 30 1 6 10 10 100.0 100.0 100.0

New Jersey—all offices . .. 1,036

249

1,033

246

3 985 982 645 206 131 3 51 51 100.0 100.0 100.0

B anks ........... 3 228 225 144 40 41 3 21 21 100.0 100.0 100.0

U nit banks................................................. 72 69 3 62 59 37 8 H

27

3 10 10 100.0 100.0 100.0

Banks operating branches.................... 17 7 177 166 166 107 32 11 11 100.0 100.0 100.0

Branches 787 787 757 J 57

173

501 166 90 30 30 100.0 100.0 100.0

New Mexico—all offices 173 173 173 94 14 65 100.0 100.0

B a n ks.. . . . . 64 64 64 64 34 7 23 100.0 100.0

U nit ban k s................................................. 22 22 22 22 1420

3 5 100.0 100.0

Banks operating branches 42 42 42 42 4 18 100.0 100.0

Branches. ............... 109 109 109 109 60 7 42 100.0 100.0

New York—all offices .. 2,862

452

2,829 33 2,463

327

2,430

303

1,267

184

1,027

80

136 27 6 399 399 99.1 98.9 100.0

B a n k s ... ............... 428 24 39 19 5 125 125 95.7 94.1 100.0

U nit banks ................. 182 166 16 144 128 83 26 19 12 4 38 38 93.3 91.4 96.2

100.0

Banks operating branches. . . 270 262 8 183 175 101 54

947

20 7 1 87 87 97.4

99.7

100.0

Branches 4................................ 2,410 2,401 9 2,136 2,127 _ 1,083 97 8 1 274 274 99.6 100.0

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
North Carolina—all offices.

B anks..................................... Unit b anks............................................

Banks operating branches...............

B ranches..............................

North Dakota—all offices.

B a n ks................................. Unit b anks.....................................

Banks operating branches. . . .

B ranches...........................

Ohio—all offices...........

B a n ks ........................... Unit banks..............................

Banks operating branches.

B ranches.....................

Oklahoma—all offices.

B a n ks ........................... Unit ban k s..............................

Banks operating branches.

B ranches.....................

Oregon— all o ffice s....

B a n ks ........................... Unit b an k s..............................

Banks operating branches.

Branches *..................

Pennsylvania—all offices.

B a n ks................................. Unit ban ks.....................................

Banks operating branches. . . .

Branches 4........................

Rhode Island—all offices.

B a n ks................................. Unit ban ks.......................................

Banks aperating branches..........

B ranches...........................

South Carolina—all offices.

B anks.................................... Unit banks............................................

Banks operating branches...............

B ranches..............................

South Dakota—all offices.

B a n ks................................. Unit banks.....................................

Banks operating branches. . . .

B ranches...........................

987

128

51

77

859

233

169

122

47

64

1,601

532

279

253

1,069

468

422

378

44

46

337

51

24

27

286

2,020

529

1,491

218

21

197

453

125

57

68

328

253

166

127

39

87

981

127

51

76

854

228

166

62

1,600

531

278

253

1.069

467

421

377

44

46

334

48

21

27

286

2,008

519

277

242

1,489

209

19

19

190

450

122

54

68

328

252

165

126

39

87

987

128

51

77

859

233

169

122

47

64

1,600

531

278

253

1,069

468

422

378

44

46

335

50

285

1,943

522

1,421

163

14

14

149

453

125

57

68

328

253

166

127

39

87

981

127

51

76

J354s

228

166.

120

4662

1,599

530

277

253

1,069

«W- -

467

421

377

44

46

"332

47

285

1,931

512

276

236

1,419

154

12

12

142

450

122

54

68

328

252

165

126

39

87

326

257

11841

537

98

43

55

61

18

3

1

301 114 439

5

53 6 169 5

42 4 120

3

32 3 85 2

10

1 351

11 2 49 2

831 438 330 1 1 1

223 125 182 1 1 1

89 74 114 1 1 1

134 51 68

608 313 148

256 27 184 1

220 24 177 1

186 21 170 1

34

3

7

36

3

1

233 14 85 2 1 2

2

12

2 33 2 1

1

1

7

1 13 21

5 1 20 1 1

221 12 52 1 1

1,226 261 444 9 3 77 77

336 36 140 7

3 7 7

182 18 76 6 3 1 1 154 18 64 1 6 6

890 225 304 2 70 70

61 29 64 9 55 55 4 1 7 2 7 7 4 1 7 2 7 7

57 28 571 48 48

239 11 200

3

26 6 90 3

5 3 46

3

21

3 44

213 5 110

83 28 1411

35 24 106

1

25 21 80

1

10 3 26

48 4 35

99.4 99.4

99.2 99.2

100.0 100.0

98.7 98.7

99.4 99.4

97.9 97.9

98.2 98.2

98.4 98.4 97.9 97.9

96.9 96.9

99.9 99.9

99.8 99.8

99.6 99.6

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

9 9.4 99.4

96.0 95.9

91.3 91.3

100.0 100.0

100.0 100.0

99.6 99.5

98.7 98.7

97.9 97.9

99.6 99.6

99.9 99.9

95.9 94.5

90.5 85.7

90.5 85.7

96.4 95.3

99.3 99.3

97.6 97.6

94.7 94.7

100.0 100.0

100.0 100.0

99.6 99.6

99.4 99.4

99.2 99.2

100.0 100.0

100.0 100.0

100.0

100.0

100.0

100.0 100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0 100.0

100.0

100.0

NUMBER OF BANKS AND BRANCHES 165

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 103. NUMBER OF BANKING OFFICES IN THE UNITED STATES (STATES AND OTHER AREAS),

DECEMBER 30, 1967— CONTINUED

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK, AND BY STATE OR AREA AND TYPE OF OFFICE

State and type of bank

or office

All banks

Total

In ­

sured

Noninsured

Commercial banks and

nondeposit tru s t com panies

Total

Insured

Total

Members F. R.

System

National State

Not

m em ­

bers

F. R.

System

Noninsured

Banks

of deposit 2

Nondeposit

tru st

com ­

panies 3

M utual savings banks

Total

In ­

sured

Non

insured

Percentage insured 1

All

banks

of

d eposit

Com ­

mercial

banks

of

deposit

M utual

savings

banks

Tennessee—all offices.

B a n k s.............................. U nit ban ks................................

Banks operating b/anches..

B ranches........................

Texas—all offices...........

B an k s .............................. Unit banks................................

Banks operating branches. .

B ranches.......................

Utah—all offices.............

B a n k s.............................. U nit banks................................

Banks operating branches..

B ranches........................

Vermont—all o ffic e s...

B a n k s.............................. U nit banks................................ Banks operating branches..

Branches.......................

Virginia—all offices. . ..

B a n k s.............................. Unit banks................................ Banks operating branches..

Branches.......................

Washington—all offices

B a n k s.............................. U nit b anks................................ Banks operating branches..

Branches A.....................

703

299

174 125

404

1,208

1,149

1,093

56

59

167

55

3421

112

121

52

69

906

250

105

145

656

576

100

51

49

476

698

295

171

124

403

1,198

1,139

1,083

56

59

167

55

34

21

112

120

51

25

26

69

906

250

105

145

656

575

99

50

49

476

703

299

174 125

404

1,208

1,149

1,093

56

59

167

55

34

21

112

113

46

67

906

250

105

145

656

547

95

50

45

452

698

295

171

124

403

1,198

1,139

1,083

56

. 59

167

55

34

21

112

11245

21

24

M

906

250

105

145

656

546

94

4945

452

322

77

20

57

245

564

542

522

2022

71

12

8

4

59

65

27

13

14

38

522

113

37

76

409

402

27

12

15

375

159

48

111

42

9

4

5

33

337

208

146

62

129

561

529

498

31

32

59

33 

21

12

26

47

18

8

10

29

225

89

43

46

136

102

58

33

25

44

99.4

99.0

99.8

99.2

99.1

99.1

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0 100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.8

99.0

98.0

100.0

100.0

99.4

99.0

98.8

99.2

99.8

99.2

99.1

99.1

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0 100.0

100.0

100.0

100.0

99.8

98.9

98.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0 100.0

166 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
West Virginia—all offices.

B a n ks................................. U nit banks.....................................

Banks operating branches....

B ranches...........................

W isconsin—all offices.

B a n ks ........................... U nit banks..............................

Banks operating branches.

B ranches.....................

W I—all offices.

U nit banks..............................

Banks operating branches.

B ran ches.....................

Other Areas

Pacific Islands—all offices 5.

B a n ks....................................... U nit banks 6............................................

Banks operating branches.................

Branches 7..............................

194

194

194

773

602

106

171

70

69

1411

194

194

194

770

599

493

106

171

70

69

6811

194

194

194

770

599

493

106

171

70

696811

1411

194

194

194

767

596

106

171

70

69

80

80

80

140

116

104

12

24

41

40

3911

13

34

34

34

66

52

13

13

13

80

561

428

133

16

16

16

111

22

333

9118

100.0

100.0

100.0

100.0

100.0

100.0

333

99.9

99.8

99.8

100.0

100.0

100.0

100.0

100.0

100.0

100.0

35.7

99.9

99.8

99.8

100.0

100.0

100.0

100.0

100.0

100.0

100.0

35.7

100.0

100.0

100.0

38.5 38.5

NUMBER OF BANKS AND BRANCHES 167

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 103. NUMBER OF BANKING OFFICES IN THE UNITED STATES (STATES AND OTHER AREAS),

DECEMBER 30, 1967— CONTINUED

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK, AND BY STATE OR AREA AND TYPE OF OFFICE

A ll b a n k s

C o m m e rc ia l b a n k s a n d 

n o n d e p o s it t r u s t c o m p a n ie s M u tu a l s a v in g s b a n k s P e rc e n ta g e in s u re d 1

In s u re d N o n in s u re d

S ta te a n d ty p e o f b a n k 

o r o ffic e

T o ta l

I n ­

s u re d

N o n ­

in s u re d T o ta l

T o ta l

M e m b e rs F. R. 

S y s te m

N o t

m e m ­

b e rs

B a n k s 

o f d e ­

N o n ­

d e p o s it

t r u s t

T o ta l

I n ­

s u re d

N o n ­

in s u re d

A ll

b a n k s

o f

d e ­

C o m ­

m e rc ia l

b a n k s

o f

M u tu a l

s a v in g s

b a n k s

N a ­

tio n a l S ta te

F. R.

S y s ­

te m

p o s it 2 c o m ­

p a n ie s 3

p o s it d e p o s it

Panama Canal Zone—

all offices................................... 2 2 2 2

B a n k s ................................................. Unit banks.................................................

Banks operating branches....................

B ra n c h e s 8...................................... 2 2 2 2

Puerto Rico—all offices........... 173 159 14 172 158 16 142 14 1 1 91.9 91.9 100.0

B a n k s ................................................. 13 8 5 12 7 7 5 1 1 61.5 58.3 100.0 U nit b anks................................................. 4 3 1 1 2 1 1 50.0

66.7

33.3 100.0 Banks operating branches.................... 9 6 3 9 6 6 3 66.7

B ra n c h e s 9....................................... 160 151 9 160 151 16 135 9 94.4 94.4

Virgin Islands—all offices. ... 22 16 6 20 14 14 5 1 2 2 76.2 73.7 100.0

B a n k s ................................................. 8 2 6 7 1 1 5 1 1 1 28.6 16.7 100.0 Unit banks................................................. 6 6 6 5 1

Banks operating branches.................... 2 2 1 1 ..........1 1 1

1

100.0 100.0 100.0 j

B ra n c h e s 10..................................... 14 14 13 13 13 1 100.0 100.0 100.0

1 Nondeposit trust companies are excluded in computing these percentages.

2 Includes 10 noninsured branches of insured banks; 8 branches in the Pacific Islands and

2 in the Panama Canal Zone.

3 Includes one trust company in Massachusetts, member of the F. R. System, operating one

branch.

4 Massachusetts: 1 branch operated by a noninsured bank in New York.

New York: 7 branches operated by two insured banks in Puerto Rico (not members of 

F. R. System).

Oregon: 1 branch operated by a national bank in California.

Pennsylvania : 2 branches— 1 operated by a noninsured bank in New York and 1 operated 

by a national bank in New Jersey.

Washington: 2 branches operated by a national bank in California.

5 United States possessions (American Samoa, Guam, Midway Islands, and Wake Island);

Trust Territories (Kwajalein, Palau Islands, Ponape Island, Saipan and Truk Atoll).

6 American Samoa.

7 Pacific Islands: 13 branches.

Caroline Islands on Truk Atoll (Moen Island); 1 noninsured branch— operated by a national

bank in California.

Mariana Islands: 5 branches — (4 insured on Guam and 1 noninsured on Saipan)— operated by a national bank in California.

Guam: 1 insured branch— operated by an insured bank in Hawaii (not member of F. R. 

System).

Caroline Islands: 2 noninsured branches (1 each on Palau Islands (Koror) and Ponape 

Island (Kolonia)— operated by a bank in Hawaii (not member of.F. R. System).

Marshall Islands: Kwajalein Atoll— 2 noninsured branches operated by a bank in Hawaii 

(not member of F. R. System).

Midway Islands on Sand Island: 1 noninsured branch operated by a bank in Hawaii (not 

member of F. R. System).

Wake Island: 1 noninsured branch operated by an insured bank in Hawaii (not member of 

F. R. System).

8 Panama Canal Zone: 2 noninsured branches operated by 2 national banks in New York.

9 Puerto Rico: 16 insured branches operated by 2 natmnal banks in New York.

10 Virgin Islands: 10 insured branches operated by 2 national banks in New York.

Back figures: See the Annual Report for 1966, pp. 128-139 and earlier reports.

168 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 104. NUMBER AND DEPOSITS OF ALL COMMERCIAL AND MUTUAL SAVINGS BANKS, 

(STATES AND OTHER AREAS), DECEMBER 30, 1967 

BANKS GROUPED BY CLASS AND BY DEPOSIT SIZE

D e p o s it s iz e

A ll

b a n k s

In s u re d c o m m e rc ia l b a n k s N o n ­

in s u re d 

b a n k s 

a n d t r u s t 

c o m p a n ie s

M u tu a l s a v in g s b a n k s

T o ta l

M e m b e rs F .R . S y s te m N o t 

m e m b e rs 

F .R . S y s te m

In s u re d

N o n ­

in s u re d

N a tio n a l S ta te

Number of Banks

Less Than $1,000,000....................................................................... 475 354 32 12 310 121

$1,000,000 To $2,000,000................................................................ 1,494 1,462 194 66 1,202 29 2 1

$2,000,000 To $5,000,000................................................................ 3,922 3,888 1,000 320 2,568 19 12 3

$5,000,000 To $10,000,000............................................................... 3,473 3,418 1,280 331 1,807 18 18 19

$10,000,000 To $25,000,000............................................................ 2,800 2,663 1,254 292 1,117 12 80 45

$25,000 000 To $50,000,000............................................................ 998 871 472 112 287 13 58 56

$50,000,000 To $100,000,000.......................................................... 497 404 230 66 108 5 56 32

$100,000,000 To $500,000,000........................................................ 454 355 226 83 46 7 79 13

$500,000,000 Or More...................................................................... 131 102 70 30 2 28 1

T o ta l............................................................................................... 14,244 13,517 4,758 1,312 7,447 224 333 170

(In Thousands)

Am ount of Deposits

Less Than $1,000,000....................................................................... 298,016 261 603 25 603 9 229 226 771 36 413

$1,000,000 To $2,000,000................................................................ 2,269,067 2,220,737 301,961 100,628 1,818,148 43,948 3,128 1,254

$2,000,000 To $5,000,000................................................................ 13,270,666 13,153,095 3,528,022 1,113,340 8,511,733 60,864 45,448 11,259

$5,000,000 To $10,000,000.............................................................. 24,822,667 24 423 680 9 319,988 2,381,418 12,722,274 119,698 141,013 138,276

$10,000,000 To $25,000,000............................................................ 43,625,085 41,316,705 19,696,675 4,648,017 16,972,013 208,613 1,355,321 744,446

$25,000,000 To $50,000,000............................................................. 34,428,988 29,847,719 16,290,831 3,814,873 9,742,015 541,581 2,076,905 1,962,783

$50,000,000 To $100,000,000.......................................................... 33,983,105 27,601,511 15,721,593 4,593,839 7,286,079 310,605 3,875,775 2,195,214

$100,000,000 To $500,000,000........................................................ 95,452,494 73,855,396 46,713,301 17,673,666 9,468,429 1,086,806 18,528,056 1,982,236

$500,000,000 Or More...................................................................... 210,551,031 182,115,477 120,485,419 61,302,148 1,327,910 26,887,316 548,238

T o ta l.............................................................................................. 453,701,119 395,795,923 232,083,393 95,637,158 68,075,372 2,408,528 52,912,962 7,583,706

NUMBER OF BANKS AND BRANCHES 169

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
ASSETS AND LIABILITIES OF BANKS

Table

Table

Table

Table

Table

Table

Table

105. Assets and liabilities of all banks in the United States (States and other 

areas), June 30, 1967

Banks grouped according to insurance status and type of bank

106. Assets and liabilities of all banks in the United States (States and other 

areas), December 30, 1967

Banks grouped according to insurance status and type of bank

107. Assets and liabilities of insured commercial and insured mutual savings 

banks in the United States (States and other areas), December call dates, 

1963 through 1967

108. Assets and liabilities of insured commercial banks in the United States (States 

and other areas), December 30, 1967

Banks grouped by class of bank

109. Assets and liabilities of insured commercial banks operating throughout 1967 

in the United States (States and other areas), December 30, 1967

Banks grouped according to amount of deposits

110. Percentages of assets and liabilities of insured commercial banks operating 

throughout 1967 in the United States (States and other areas), December 

30, 1967

Banks grouped according to amount of deposits

111. Distribution of insured commercial banks in the United States (States and 

other areas), December 30, 1967

Banks grouped according to amount of deposits and by ratios of selected

items to assets or deposits

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Statements of assets and liabilities are submitted by insured 

commercial banks upon either a cash or an accrual basis, depending upon the bank’s method of bookkeeping. Assets reported represent aggregate book value, on the date of call, less valuation and 

premium reserves.

Assets and liabilities held in or administered by a savings, bond, 

insurance, real estate, foreign, or any other department of a bank, 

except a trust department, are consolidated with the respective 

assets and liabilities of the commercial department. “ Deposits of 

individuals, partnerships, and corporations” include trust funds 

deposited by a trust department in a commercial or savings department. Other assets held in trust are not included in statements 

of assets and liabilities.

In the case of banks with one or more domestic branches, the 

assets and liabilities reported are consolidations of figures for the 

head office and all domestic branches. In the case of a bank with 

foreign branches, net amounts due from its own foreign branches 

are included in “ Other assets,” and net amounts due to its own 

foreign branches are included in “ Other liabilities.” Branches outside the 50 States of insured banks in the United States are treated 

as separate entities but as in the case of other branches are not 

included in the count of banks. Data for such branches are not 

included in the figures for the States in which the parent banks are 

located.

Demand balances with and demand deposits due to banks in the 

United States, except private banks and American branches of foreign banks, exclude reciprocal interbank deposits. Reciprocal interbank deposits arise when two banks maintain deposit accounts 

with each other.

Individual loan items are reported gross instead of net of valuation reserves. Accordingly, reserves for losses on loans are shown 

separately.

Instalment loans are ordinarily reported net if the instalment payments are applied directly to the reduction of the loan. Such loans 

are reported gross if, under contract, the payments do not immediately reduce the unpaid balances of the loan but are assigned or 

pledged to assure repayment at maturity.

Asset and liability data for noninsured banks are tabulated from 

reports pertaining to the individual banks. In a few cases these 

reports are not as detailed as those submitted by insured banks, 

and some of the items reported have been allocated to more detailed categories according to the distribution of asset and liability 

data for insured State banks not members of the Federal Reserve 

System or for other noninsured banks.

Additional data on assets and liabilities of all banks as of June 

30, 1967, and December 30, 1967, are shown in the Corporation’s 

semiannual publication, “ Assets, Liabilities, and Capital Accounts, 

Commercial and Mutual Savings Banks,” Report of Call No. 80, and 

Report of Call No. 82. Data from Call No. 79, April 25, 1967, and 

Call No. 81, October 4, 1967, were not tabulated for all insured 

banks. Comparable tabulations for State and national banks were 

not feasible because of a change in the form used for national 

institutions.

Sources of data

National banks and State banks in the District of Columbia not 

members of the Federal Reserve System: Office of the Comptroller 

of the Currency.

State banks members of the Federal Reserve System: Board of 

Governors of the Federal Reserve System.

Other insured banks: Federal Deposit Insurance Corporation.

Noninsured banks: State banking authorities; and reports from 

individual banks.

ASSETS AND LIABILITIES OF BANKS 171

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Federal Reserve Bank of St. Louis
Table 105. ASSETS AND LIABILITIES OF ALL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS), JUNE 30, 1967

B A N K S G R O U P E D A C C O R D IN G T O IN S U R A N C E S T A T U S A N D T Y P E OF B A N K 

( A m o u n ts in th o u s a n d s o f d o lla rs )

A s s e t, lia b ility , o r c a p ita l a c c o u n t ite m

A ll b a n k s

T o ta l In s u re d N o n ­

in s u re d

C o m m e rc ia l b a n k s a n d n o n d e p o s it 

t r u s t c o m p a n ie s

T o ta l In s u re d

N o n in s u re d

B a n k s

o f

d e p o s it1

N o n ­

d e p o s it

t r u s t

c o m ­

p a n ie s

M u tu a l s a v in g s b a n k s

T o ta l In s u re d N o n ­

in s u re d

Total a sse ts.....................................................................................

Cash, balances w ith oth er banks, and cash collection

item s— to ta l.........................................................................

C urrency and c o in .................................................................

Reserve with F. R. Banks (m em ber banks). . ...............

Demand balances with banks in U . S..............................

Other balances with banks in U . S...................................

Balances with banks in foreign co u n trie s......................

Cash item s in process of colle ctio n.................................

S ecurities— to ta l........................................................................

U . S. Gov’t, obligations (including g u a ran tee d).........

O bligations of States and su b d ivisio n s...........................

Securities of Federal agencies and corpora tions.......

Other se cu ritie s......................................................................

Loans and discounts, net— to ta l..........................................

Valuation reserves.....................................................................

Loans and discounts, gross— to ta l......................................

Real estate loans— to ta l....................................................... Secured by farm la n d.................................................................................................

Secured by residential properties: Insured by F H A ....................................................................................................

Guaranteed by V A .................................................................................................

Not insured or guaranteed by FH A or V A ................................................

Secured by other properties......................................................................................

Loans to com m ercial and foreign b a n ks........................

Loans to other financial in s titu tio n s ................................

Federal fun ds sold (loaned)3..............................................

Loans to brokers and dealers in se cu ritie s....................

Other loans for carrying se cu ritie s ...................................

Loans to farm ers (excluding real e s ta te ).......................

Com m ercial and industrial lo a n s ......................................

Other loans to in d ivid u a ls ...................................................

All other loans (including o ve rd ra fts)..............................

O ther assets— to ta l...................................................................

Bank prem ises, fu rn itu re and fixtures, and real estate

All other m iscellaneous a sse ts............................................

479,589,828 467,727,015 11,862,813 415,436,529 411,916,531 3,219,846 300,152 64,153,299 55,810,484 8,342,815

66,396,810

5,032,3o9

18,999,192

14,520,b97

1,004,065

280,547

26,559,940

65,693,765

4,98b,036 

18,999,192 

14,028,234 

934,952 

245,024 

26,500,327

703,045

46,333

492,463

69,113

35,523

59,613

65,244,375

4,879,041 

18,999,192 

13,98b,090 

b29,715 

280,547 

26,4b9,790

64,677,419

4,860,227

18,999,192

13,573,566

576,354

245,024

26,423,056

501,753

18,283

65,203

531

1,152,435

153,328

1,016,346

125,809

136,089

27,519

384,236

17,242

35,515

46,477

28,288

36,119

8

257

534,607

374,350

454,668

358,598

79,939

15,752

90,150 77,271 12,879

123,093,968

58,b90,9o3

47,236,439

8,827,428

8,339,138

119,858,555

57,010,401

46,909,341

8,572,005

7,366,808

3,235,413

1,680,562

327,098

255,423

972,330

111,214,261

54,387,116

46,993,979

7,5o4,130

2,2b9,036

110,220,353

53,976,042

46,679,334

7,415,557

2,149,420

824,842

343,525

256,871

138,307

86,139

169,066

67,549

57,774

10,266

33,477

11,879,707

4,303,847

242,460

1,263,298

6,070,102

9,638,202

3,034,359

230,007

1,150,448

5,217,388

2,241,505

l,2b9,488 

12,453 

10b,850 

852,714

276,536,096

4,558,892

281,094,988

104,b24,393

3,325,260

22,343,789

14,262,407

42,406,690

22,286,247

1,808,486 

12,305,242 

3,949,900 

4,674,789 

3,338,174 

9,346,155 

85,295,727 

50,624,776 

5,127,346

268,941,012

4,539,570

273,480,582

98,715,605

3,297,671

21,293,212

13,209,280

39,499,247

21,416,195

1,724,905 

12,185,711 

3,87b,314 

4,459,3b9 

3,279,757 

9,325,325 

84,bl3,519 

50,241,417 

5,058,660

7,595,084

19,322

7,614,406

5,908,788

27,589

1,050,577

1,053,127

2,907,443 870,052

83,581

119,531

73,586

215,420

58,417

20,830

682,208

383,359

68,686

226,515,813

4,413,495

230,929,308

55,730,974

3,274,391

7,396,481

2,494,609

25,595,709

16,969,784

1,784,801

12,277,319

3,949,900

4,598,708

3,330,732

9,344,333

85,043,292

49,771,001

5,098,248

224,791,795

4,403,172

229,194,967

55,497,309

3,251,309

7,324,088

2,463,566

25,524,909

16,933,437

1,701,220

12,157,889

3,876,314

4,383,465

3,275,358

9,323,503

84,370,555

49,572,047

5,037,307

1,687,708

10,209

1,697,917

223,415

22,378

71,812

30,967

64,117

34,141

83,314

118,814

72,950

208,151

49,773

20,674

665,604

196,149

59,073

36,310

114

36,424

10,250

704

581

76

6,683

2,206

267

616

636

7,092

5,601

156

7,133

2,805 1,868

50,020,283

145,397

50,165,680

48,893,419

50,869

14,947,308

11,767,798

16,810,981

5,316,463

23,685

27,923

44,149,217

136,398

44,285,615

43,218,296

13,969,124

10,745,714 13,974,338

4,482,758

23,685 

27,822

5,871,066

8,999

5,880,065

5,675,123

4,507

978,184

1,022,084

2,836,643

833,705

101

76,081

7,442

1,822

252,435

853,775

29,098

75,904

4,399

1,822

242,964

669,370

21,353

177

3,043

9,471

184,405

7,745

13,562,954

6,479,268

7,083,686

13,233,683

6,378,774

6,854,909

329,271

100,494

228,777

12,462,080

5,979,384

6,482,696

12,226,964

5,939,766

6,287,198

205,543

24,629

180,914

29,573

14,989

14,584

1,100,874

499,884

600,990

1,006,719

439,008

567,711

94,155

60,876

33,279

172 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Total liabilities and capital accounts.

Business and personal deposits— total............................

In d iv id u a ls , p a r tn e r s h ip s , a n d c o r p o r a tio n s — d e m a n d Deposits of savings and loan associations........................................................

Other deposits of individuals, partnerships, and corporations.................

In d iv id u a ls , p a r tn e r s h ip s , a n d c o r p o r a tio n s — t im e . . . Savings deposits...........................................................................................................

Deposits accumulated for payment of personal loan s..................................

Deposits of savings and loan associations........................................................

Other deposits of individuals, partnerships, and corporations.................

C e rtifie d a n d o f fic e r s ’ c h e c k s , le tte rs o f c re d it, 

t r a v e le r s ’ c h e c k s , e t c ...................................................................

Governm ent deposits— total.....................

U n ite d S ta te s G o v e r n m e n t— d e m a n d .

U n ite d S ta te s G o v e r n m e n t— t i m e ..........

S ta te s a n d s u b d iv is io n s — d e m a n d 

S ta te s a n d s u b d iv is io n s — t i m e ................

Domestic interbank deposits— total...................

C o m m e rc ia l b a n k s in th e U . S .— d e m a n d . . . .

C o m m e rc ia l b a n k s in th e U . S .— t i m e ................

M u tu a l s a v in g s b a n k s in th e U . S .— d e m a n d . 

M u tu a l s a v in g s b a n k s in th e U . S .— t i m e .........

Foreign governm ent and bank deposits— total..............

F o re ig n g o v e rn m e n ts , c e n tr a l b a n k s , e tc .— d e m a n d .

F o re ig n g o v e rn m e n ts , c e n tr a l b a n k s , e tc .— t i m e .........

B a n k s in fo re ig n c o u n tr ie s — d e m a n d ...................................

B a n k s in fo re ig n c o u n tr ie s — t i m e ............................................

Total deposits. D em and..................

Time........................

Other liabilities— to ta l...............................

F e d e ra l fu n d s p u r c h a s e d ( b o r ro w e d ) 4 

O th e r lia b ilitie s fo r b o rro w e d m o n e y . . 

A ll o th e r m is c e lla n e o u s lia b ilitie s . . . .

Total liabilities (excluding capital accounts).

Capital accounts— total.................

C a p ita l n o te s a n d d e b e n tu r e s . .

P re fe rre d s t o c k ...................................

C o m m o n s t o c k ....................................

S u r p lu s .....................................................

U n d iv id e d p r o fits a n d re s e rv e s .

N u m b e r o f b a n k s 5......................................

479,589,828 467,727,015 11,862,813 415,436,529 411,916,531 3,219,846

358,684,658

138,406,287

2,255,300

136,150,m

212,713,146

149,435,764

1,276,296

822,227

61,178,859

7,565,225

36,558,843

5,183,633

290,459

15,319,338

15,765,413

17,604,562

15,439,249

709,272

929,361

526,680

7,899,561

823,278

5,114,136

1,692,231

269,916

420,747,624

185,358,602

235,389,022

20,491,027

4,417,635

831,983

15,241,409

441,238,651

38,351,177

1,991,174

65,197

9,259,094

17,973,416

9,062,296

14,267

349,683,052

137,522,507

2,253,264

135,269,243

204,705,522

141,808,959

1,272,411

822,065

60,802,087

7,455,023

36,344,186

5,156,186

286,847

15,204,948

15,696,205

17,399,383

15,405,734

708,747

807,393

477,509

7,662,665

770,569

5,049,945

1,594,003

248,148

411,089,286

183,916,363

227,172,923

19,515,473

4,416,135

687,279

14,412,059

430,604,759

37,122,256

1,943,352

61,723

9,123,981

17,381,027

8,612,173

13,867

9,001,606

883,780

2,036

881,744

8,007,624

7,626,805

3,885

162

376,772

110,202

214,657

27.447

3,612

114,390

69,208

205,179

33,515

525

121,968

49,171

236,896

52,709

64,191

98,228

21,768

9,658,338

1,442,239

8,216,099

975,554

1,500

144,704

829,350

10,633,892

1,228,921

47,822

3,474

135,113

592,389

450,123

400

300,467,414

137,942,098

2,255,300

135,686,798

154,973,753

91,769,473

1,276,052

822,227

61,106,001

7,551,563

36,515,231

5,176,614

290,044

15,316,304

15,732,269

17,603,332

15,439,089

708,202

929,361

526,680

7,899,561

823,278

5,114,136

1,692,231

269,916

362.485.538

184.870.538

177,615,000

19,532,462

4,417,635

790,368

14,324,459

382,018,000

33,418,529

1,988,062

65,197

9,259,094

14,548,615

7,557,561

13,762

298,846,581

137,094,184

2,253,264

134,840,920

154,311,036

91,461,550

1,272,374

822,065

60,755,047

7,441,361

36,302,339

5,149,778

286,546

15,201,915

15,664,100

17,398,153

15,405,574

707,677

807,393

477,509

7,662,665

770,569

5,049,945

1,594,003

248,148

360,209,738

183,464,777

176,744,961

18,775,668

4,416,135

645,673

13,713,860

378,985,406

32,931,125

1,940,240

61,723

9,123,981

14,371,528

7,433,653

13,533

1,500,344

769,326

2,036

767,290

620,839

282,736

3,678

162

334,263

110,179

212,076

26,020

3,498

114,389

68,169

204,752

33,088

525

121,968

49,171

236,675

52,489

64,191

98,227

21,768

2,153,847

1,325,686

828,161

733,672

1,500

142,448

589,724

2,887,519

332,327

47,672

3,324

84,534

109,711

87,086

182

300,152

120,489

78,588

78,588

41,878

25,187

16,691

23

816

816

427

427

221

220

121,953

80,075

41,878

23,122

2,247

20,875

145,075

155,077

150

150

50,579

67,376

36,822

47

64,153,299

58,217,244

464,189

464,189

57,739,393

57,666,291

244

72,858

13,662

43,612

7,019

415

3,034

33,144

1,230

160

1,070

58,262,086

488,064

57,774,022

958,565

41,615

916,950

59,220,651

4,932,648

3,112

3,424,801

1,504,735

505

55,810,484

50,836,471

428,323

428,323

50,394,486

50,347,409

37

47,040

13,662

41,847

6,408

301

3,033

32,105

1,230

160

1,070

50,879,548

451,586

50,427,962

739,805

41,606

698,199

51,619,353

4,191,131

3,112

3,009,499

1,178,520

334

8,342,815

7,380,773

35,866

35,866

7,344,907

7,318,882

207

25,818

1,765

611

114

1

1,039

7,382,538

36,478

7,346,060

218,760

9

218,751

7,601,298

741,517

415,302

326,215

171

1 Includes asset and liability figures for 13 branches of foreign banks (tabulated as banks) licensed to do a deposit business in the State of New York. Capital is not allocated to these branches by 

the parent banks.

2 Amounts shown as deposits are special accounts and uninvested trust funds with the latter classified as demand deposits of individuals, partnerships and corporations.

3 Also includes securities purchased under agreements to resell.

4 Also includes securities sold under agreements to repurchase. .

5 Includes 3 noninsured banks of deposit for which asset and liability data are not available.

Back figures: See the Annual Report for 1966, pp. 142-143, and earlier reports.

ASSETS AND LIABILITIES OF BANKS 173

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Federal Reserve Bank of St. Louis
Table 106. ASSETS AND LIABILITIES OF ALL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS), DECEMBER 30, 1967

BANKS GROUPED ACCORDING TO INSURANCE STATUS AND TYPE OF BANK

(Am ounts in thousands of dollars)

A s s e t, lia b ility , o r c a p ita l a c c o u n t ite m

A ll b a n k s

C o m m e rc ia l b a n k s a n d n o n d e p o s it 

t r u s t c o m p a n ie s M u tu a l s a v in g s b a n k s

T o ta l In s u re d N o n ­

in s u re d

T o ta l In s u re d

N o n in

B a n k s

o f

d e p o s it1

s u re d

N o n ­

d e p o s it

t r u s t

c o m ­

p a n ie s 2

T o ta l In s u re d N o n ­

in s u re d

Total assets.......................................................................................

Cash, balances with other banks, and cash collection 

items— total...........................................................................

C u rre n c y a n d c o in .................................................................................

520,968,446 508,579,786 12,388,660 454,602,683 450,712,578 3,578,548 311,557 66,365,763 57,867,208 8,498,555

79,151,117

6,155,069

20,275,051

17,506,073

816,045

329,092

34,069,787

78,414,188

6,106,794

20,275,051

16,981,438

746,983

280,249

34,023,673

736,929

48,275

78,154,481

5,973,319

20,275,051

16,969,749

610,669

329,092

33,996,601

77,532,592

5,953,155

20,275,051

16,520,060

544,658

280,249

33,959,419

555,370

19,768

66,519

396

996,636

181,750

881,596

153,639

115,040

28,111

D e m a n d b a la n c e s w ith b a n k s in U . S ......................................

O th e r b a la n c e s w ith b a n k s in U . S ............................................

B a la n c e s w ith b a n k s in fo re ig n c o u n tr ie s ............................

C a s h ite m s in p ro c e s s o f c o lle c tio n ..........................................

Securities— total..........................................................................

U . S. G o v 't, o b lig a tio n s ( in c lu d in g g u a r a n te e d ).............

O b lig a tio n s o f S ta te s a n d s u b d iv is io n s ..................................

S e c u ritie s o f F e d e ra l a g e n c ie s a n d c o r p o r a tio n s ...........

O th e r s e c u r it ie s ......................................................................................

Loans and discounts, net— total............................................

V a lu a tio n r e s e r v e s .....................................................................................

Loans and discounts, gross— total........................................

R e al e s ta te lo a n s — t o t a l.................................................................... Secured by farm la n d...................................................................................................

Secured by residential properties:

Insured by F H A .....................................................................................

Guaranteed by V A .................................................................................. Not insured or guaranteed by FH A or V A ..........................................

Secured by other properties.........................................................................

L o a n s to c o m m e rc ia l a n d fo re ig n b a n k s ...............................

L o a n s to o th e r fin a n c ia l in s t it u t io n s .........................................

F e d e ra l fu n d s s o ld (lo a n e d ) 3..........................................................

L o a n s to b r o k e rs a n d d e a le rs in s e c u r it ie s ..........................

O th e r lo a n s fo r c a r ry in g s e c u r it ie s .............................................

L o a n s to fa rm e r s ( e x c lu d in g re a l e s t a te )..............................

C o m m e rc ia l a n d in d u s tr ia l lo a n s ................................................

O th e r lo a n s to in d iv id u a ls ................................................................

A ll o th e r lo a n s ( in c lu d in g o v e r d r a f ts ) .......................................

Other assets— total..................................................................................

B a n k p re m is e s , fu r n itu r e a n d f ix tu r e s , a n d re a l e s ta te . 

A ll o th e r m is c e lla n e o u s a s s e t s ....................................................

524,635

69,062

48,843

46,114

420,467

29,373

48,834

36,928

29,222

36,638

9

254

536,324

205,376

73,186

461,378

202,325

64,254

74,946

3,051

8,932

136,974,174

66,956,584

50,340,975

10,208,523

9,468,092

133,710,653

65,339,997

50,026,296

9,951,128

8,393,232

3,263,521

1,616,587

314,679

257,395

1,074,860

124,332,114

62,676,745

50,124,099

9,051,177

2,480,093

123,263,625

62,229,348

49,820,973

8,901,164

2,312,140

897,414

379,148

245,595

140,410

132,261

171,075

68,249

57,531

9,603

35,692

12,642,060

4,279,839

216,876

1,157,346

6,987,999

10,447,028

3,110,649

205,323

1,049,964

6,081,092

2,195,032

1,169,190

11,553

107,382

906,907

290,252,700

4,881,656

295,134,356

109,508,874

3,562,552

22,782,632

14,491.033

45,008,417

23,664,240

1,913,871

12,603,290

4,061,542

6,296,390

3,792,673

9,283,160

89,151,015

52,764,372

5,759,169

282,202,282

4,859,395

287,061,677

103,273 821

3,530,031

21,660,636

13,369,846

41,982,199

22,731,109

1,859,339

12,456,909

3,924,357

6,098,580

3,728,633

9,261,903

88,416,016

52,363,056

5,679,063

8,050,418

22,261

8,072,679

6,235,053

32,521

1,121,996

1,121,187

3,026,218

933,131

54,532

146,381

137,185

197,810

64,040

21,257

734,999

401,316

80,106

238,660,065

4,744,763

243,404,828

59,018,966

3,445,704

7,709,085

2,696,358

27,236,623

17,931,196

1,902,215

12,593,389

4,061,542

6,214,828

3,786,373

9,281,477

88,979,351

51,845,017

5,721,670

236,709,837

4,732,606

241,442,443

58,678,014

3,419,336

7,603,100

2,613,060

27,157,632

17,884,886

1,847,683

12,447,077

3,924,357

6,017,418

3,724,055

9,260,220

88,257,588

51,628,083

5,657,948

1,907,278

11,761

1,919,039

330,662

25,635

105,394 83,293

72,395

43,945

54,514

146,127

136,805

189,865

53,941

21,110

710,926

214,135

60,954

42,950

396

43,346

10,290

733

591

5

6,596

2,365

18

185

380

7,545

8,377

147

10,837

2,799

2,768

51,592,635

136,893

51,729,528

50,489,908

116,848

15,073,547

11,794,675

17,771,794

5,733,044

11,656

9,901

81,562

6,300

1,683

171,664

919,355

37,499

45,492,445

126,789

45,619,234

44,595,807

110,695

14,057,536

10,756,786

14,824,567

4,846,223

11,656

9,832

81,162

4,578

1,683

158,428

734,973

21,115

6,100,190

10,104

6,110,294

5,894,101

6,153

1,016,011

1,037,889

2,947,227

886,821

69

400

1,722

13,236

184,382

16,384

14,590,455

6,853,280

7,737,175

14,252,663

6,749,270

7,503,393

337,792

104,010

233,782

13,456,023

6,329,664

7,126,359

13,206,524

6,289,874

6,916,650

218,486

24,797

193,689

31,013

14,993

16,020

1,134,432

523,616

610,816

1,046,139

459,396

586,743

88,293

64,220

24,073

174 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Total lia b ilitie s and ca p ita l a cco u n ts ....................................

B usiness and personal deposits— to ta l............................

Individuals, partnerships, and corporations— demand Deposits of savings and loan associations........................................................

Other deposits of individuals, partnerships, and corporations.................

Individuals, partnerships, and corporations— tim e ... Savings deposits...........................................................................................................

Deposits accumulated for payment of personal loan s..................................

Deposits of savings and loan associations........................................................

Other deposits of individuals, partnerships, and corporations.................

C ertified and office rs’ checks, letters of credit,

travelers' checks, e tc ........................................................

G overnm ent de posits— to ta l.................................................

U nited States G overnm ent— d e m a n d .............................

U nited States Governm ent— tim e ....................................

States and subdivisions— d e m a n d ..................................

States and subdivisions— tim e ..........................................

Dom estic in te rb a n k deposits— to ta l...................................

Comm ercial banks in the U. S.— d e m a n d.....................

Com m ercial banks in the U. S.— tim e ............................

M utual savings banks in the U. S.— d e m a n d...............

M utual savings banks in the U. S.— tim e ......................

Foreign g o vernm ent and bank de posits— to ta l..............

Foreign governm ents, central banks, etc.— dem and.

Foreign governm ents, central banks, etc.— tim e .......

Banks in foreign countries— d e m a n d .............................

Banks in foreign countries— tim e .....................................

Total d e p o s its ..................................................................... D em an d.....................................................................................................................

T im e...........................................................................................................................

O ther lia b ilitie s — to ta l............................................................

Federal fun ds purchased (borrow ed) 4............................

Other liabilities for borrowed m o n e y...............................

All other m iscellaneous lia b ilitie s .....................................

Total lia b ilitie s (e xclu din g cap ita l acco unts).........

C apital accounts— to ta l...........................................................

Capital notes and d e b e n tu re s...........................................

Preferred s to c k .......................................................................

Comm on s to c k .......................................................................

S urp lu s......................................................................................

Undivided profits and reserves.........................................

N um ber of banks5.........................................................................

520,968,446 508,579,786 12,388,660 454,602,683 450,712,578 3,578,548 311,557 66,365,763 57,867,208 8,498,555

392,033,205

159,865,777

2,669,681

157,196,096

223,438,231

154,729,669

1,288,380

553,893

66,866,289

8,729,197

382,730,034

158,903,429

2,666,882

156,236,547

215,171,503

146,842,397

1,283,997

553,739

66,491,370

8,655,102

9,303,171

962,348

2 7QQ

959,549

8,266,728 

7,887,272

4,383

154

374,919

74,095

331,581,370

159,433,672

2,669,681

156,763,991

163,432,828

94,783,181

1,288,286

553,893

66,807,468

8,714,870

329,860,033

158,491,340

2,666,882

155,824,458

162,727,918

94,451,458

1,283,923

553,739

66,438,798

8,640,775

1,593,180

857,563

2,799

854,764

661,549

306,570

4,363

154

350,462

74,068

128,157

84,769

60,451,835

432,105

52,870,001

412,089

7,581,834

20,016

84,769

43,361

25,153

432,105

60,005,403

59,946,488

94

412,089

52,443,585

52,390,939

74

20,016

7,561,818

7,555,549

20

18,208

27

58,821

14,327

52,572

14,327

6,249

37,242,368

5,272,983

289,215

15,688,935

15,991,235

37,031,822

5,244,746

285,856

15,580,596

15,920,624

210,546

28,237 

3,359 

108 339 

70,611

37,198,797

5,266,446 

288,853 

15 686,280 

15,957,218

36,990,123

5,238,918

285,533

15,577,942

15,887,730

208,029

26,883

3,320

108,338

69,488

645

645

43,571

6,537

362

2,655

34,017

41,699

5,828

323

2,654

32,894

1,872

709

39

1

1,123

20,869,345

18,828,832

729,814

1,062,408

248,291

20,661,349

18,788,543

728,139

935,212

209,455

207,996

40,289

1,675

127,196

38,836

20,868,083

18,828,695

728,689

1,062,408

248,291

20,660,087

18,788,406

727,014

935,212

209,455

207,523

39,816

1,675

127,196

38,836

473

473

1,262

137

1,125

1,262

137

1,125

8,556,201

906,371

5,267,265

2,030,106

352,459

8,285,680

874,451

5,166,228

1,909,911

335,090

270,521

31,920

101,037

120,195

17,369

8,556,201

906,371

5,267,265

2,030,106

352,459

8,285,680

874,451

5,166,228

1,909,911

335,090

269,358

31,862

100,037

120,090

17,369

1,163

58

1,000

105

458,701,119

212,384,609

246,316,510

448,708,885

210,891,990

237,816,895

9,992,234

1,492,619

8,499,615

398,204,451

211,928,848

186,275,603

395,795,923

210,456,955

185,338,968

2,278,090

1,385,816

892,274

130,438

86,077

44,361

60,496,668

455,761

60,040,907

52,912,962

435,035

52,477,927

7,583,706

20,726

7,562,980

22,752,361

4,991,456

916,787

16,844,118

21,627,346

4,980,322

636,953

16,010,071

1,125,015

11,134

279,834

834,047

21,870,225

4,991,456

847,541

16,031,228

20,910,731

4,980,322

568,797

15,361,612

935,364

11,134

276,732

647,498

24,130 882,136 716,615 165,521

2,012

22,118

69,246

812,890

68,156

648,459

1,090

164,431

481,453,480 470,336,231 11,117,249 420,074,676 416,706,654 3,213,454 154,568 61,378,804 53,629,577 7,749,227

39,514,966

2,035,275

92,050

9,401,080

18,650,245

9,336,316

38,243,555

1,987,454

87,076

9,253,642

18,055,718

8,859,665

1,271,411

47,821

4,974

147,438

594,527

476,651

34,528,007

2,032,211

92,050

9,401,080

15,172,077

7,830,589

34,005,924

1,984,390

87,076

9,253,642

14,983,375

7,697,441

365,094

47,671

3,324

94,683

123,851

95,565

156,989

150

1,650

52,755

64,851

37,583

4,986,959

3,054

4,237,631

3,064

749,328

3,478,168

1,505,727

3,072,343

1,162,224

405,825

343,503

14,244 13,850 394 13,741 13,517 177 47 503 333 170

1 Includes asset and liability figures for 13 branches of foreign banks (tabulated as banks) licensed to do a deposit business in the State of New York. Capital is not allocated to those branches by the 

parent banks.

2 Amounts shown as deposits are special accounts and uninvested trust funds with the latter classified as demand deposits of individuals, partnerships, and corporations.

3 Also includes securities purchased under agreements to resell.

4 Also includes securities sold under agreements to repurchase.

5 Includes 3 uninsured banks for which asset and liability data are not available.

Back figures, 1934-1966: See preceding tab le and the Annual Report for 1966, pp. 144-145, and earlier reports.

ASSETS AND LIABILITIES OF BANKS 175

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Federal Reserve Bank of St. Louis
Table 107. ASSETS AND LIABILITIES OF INSURED COMMERCIAL AND INSURED MUTUAL SAVINGS BANKS IN THE UNITED

(STATES AND OTHER AREAS), DECEMBER CALL DATES, 1963 THROUGH 1967 

(Am ounts in thousands of dollars)

STATES

Assets

Insured com mercial banks Insured m utual savings banks

Dec. 20,

1963

Dec. 31,

1964

Dec. 31,

1965

Dec. 31,

1966

Dec. 30,

1967

Dec. 20,

1963

Dec. 31,

1964

Dec. 31,

1965

Dec. 31,

1966

Dec. 30,

1967

311,790,848 345,130,205 375,394,111 402,946,336 450,712,578 43,018,983 47,044,184 50,499,716 53,049,468 57,867,208

50,445,462

4,053,057

60,032,916

4,551,889

60,436,719

4,865,803

68,651,850

5,457,281

77,532,592

5,953,155

721,513

104,083

893,139

138,843

904,000

142,598

847,825

145,587

881,596

153,639

17,149 613 17,580,743 17,992,395 19,068,820 20,275,051

11,644,517 14,090,586 14,354,186 15,136,611 16,520,060 441,946 476,644 493,600 474,276 461,378

367,817

298,992

558,335

300,841

484,817

255,865

257,066

250,872

544,658

280,249

141,043 224,274 212,193 166,743 202,325

16,931,466 22,950,522 22,483,653 28,481,200 33,959,419 34,441 53,378 55,609 61 219 64,254

62,811,737 62,588,052 59,209,832 55,903,996 62,229,348 4,324,018 4,110,452 3,759,961 3,323,662 3,110,649

12,650,993 13,301,211’ 227,842 232,494 309,700 306,712 365,205

7,062,518 9,001,237 231,424 139,679 178,142 132,570 179,084

29,334,529

12,244,036

1,137,045

277,927

104,689

26,638,335

12,481,688

778,067

247.362

140,152]

0 0 C1) 891,708

1,423,462

1,296,853

115,721

137,008

1,130 798

1,107,233

1,241,155

92,527

166,566

941,780

975,170

1,177,097

67,037

111,035

1,012,437

680,603

998,066

61,857

131,417

1 087,857

384,276

896,128

36,129

161,970

34,660,292

29,611,314

38,371,648

33,343,807

44,440,876

38,480,349

48,381,827

40,831,664

61,034,277

49,820,973

5,040,575

410,862

5,014,656

367‘846

5,010,410

300,273

5,352,088

236,697

7,336,379

205,323

3,503,243

784,083

491,175\

3,446,144

762,790]

818,907 ^

4,513,114

21,447,413

5,959,194

n , 590,969

8,901,164

2,312,140

712,425

3,003,773

749,219

2 904,732

842,356

2,731,805

1,009,066

2,932,706

1,049,964

4,703,008

270,477/ I 913,515 992,859 1,135,976 1,173,619 1,378,084

97,472,029 100,959,700 103,650,708 104,285,823 123,263,625 9,364,593 9,125,108 8,770,371 8,675,750 10,447,028

T o ta l a s s e t s ....................................................................................

C a s h , b a la n c e s w ith o t h e r b a n k s , a n d c a s h 

c o lle c tio n it e m s — t o t a l ..............................................

C u rre n c y a n d c o in .............................................................

R e s e rv e w ith F e d e ra l R e s e rv e B a n k s ( m e m ­

b e r b a n k s ) ..........................................................................

D e m a n d b a la n c e s w ith b a n k s in t h e U n ite d 

S ta te s ( e x c e p t p r iv a te b a n k s a n d A m e r ic a n b r a n c h e s o f fo re ig n b a n k s ) .........................

O th e r b a la n c e s w ith b a n k s in t h e U n ite d

S t a t e s ..................................................................................

B a la n c e s w ith b a n k s in fo re ig n c o u n t r ie s . . . 

C a s h ite m s in p ro c e s s o f c o lle c tio n ....................

O b lig a tio n s o f th e U . S. G o v e r n m e n t, d ir e c t 

a n d g u a r a n te e d — t o t a l ............................................

D ire c t:

T r e a s u r y b ills a n d c e r tific a te s o f in d e b te d ­

n e s s ...................................................................................

T r e a s u r y n o te s a n d o th e r b o n d s m a tu r in g

in 1 y e a r o r le s s .......................................................

T re a s u ry n o te s a n d o th e r b o n d s m a tu r in g

in 1 to 5 y e a r s ............................................................

O th e r b o n d s m a tu r in g in 5 to 10 y e a r s .........

O th e r b o n d s m a tu r in g a f te r 10 y e a r s .............

U n ite d S ta te s n o n -m a r k e ta b le b o n d s ..........

G u a ra n te e d o b lig a tio n s ...............................................

O th e r s e c u r it ie s — t o t a l ......................................................

O b lig a tio n s o f S ta te s a n d s u b d iv is io n s ............

S e c u ritie s o f F e d e ra l a g e n c ie s a n d c o r p o r a ­

t io n s .....................................................................................

O th e r b o n d s , n o te s , a n d d e b e n tu r e s ................

F e d e ra l R e s e rv e B a n k s t o c k ....................................

O th e r c o r p o r a te s t o c k s ................................................

T o ta l s e c u r it ie s .......................................................

176 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Loans and discou nts, net— to ta l..............................

Valuation reserves........................................................

Loans and discounts, gross— to ta l.........................

Real estate loans— to ta l.......................................... Secured by farm la n d..............................................................................

Secured by residential properties: Insured by F H A ...................................................................................

Guaranteed by V A ..............................................................................

Not insured or guaranteed by FH A or V A .............................

Secured by other properties.....................................................................

Loans to do m estic com m ercial and foreign

b a n k s ..........................................................................

Loans to other financial in s titu tio n s ...................

Federal funds sold (loaned)3................................

Loans to brokers and dealers in se cu ritie s...

Other loans for purchasing se cu ritie s ...............

Loans to farm ers directly guaranteed by the

C om m odity C redit C orp ora tio n.........................

Other loans to farm ers (excluding loans on real

e s ta te ).......................................................................

Com m ercial and industrial loans (including

open m arket p a p e r)..............................................

Other loans to individuals— to ta l.......................... Passenger automobile instalment lo a n s...........................................

Retail (charge account) credit card p la n s.......................................

Check credit and revolving credit p la n s........................................... Other retail consumer instalment loan s...........................................

Residential repair and modernization instalment loans...........

Other instalment loans for personal expenditures.......................

Single-payment loans for personal expenditures........................

All oth er loans (including o ve rd ra fts).................

Total loans and securities.

Bank prem ises, furniture and fixtures, and 

other real estate— total......................................

B a n k p re m is e s , a n d f u r n itu r e a n d fix tu r e s , a n d 

o th e r a s s e ts in d ir e c tly r e p r e s e n tin g b a n k

p r e m is e s o r o th e r re a l e s t a t e ....................................

R e a l e s ta te o w n e d o th e r th a n b a n k p r e m is e s . .

Miscellaneous assets— total.....................................

C u s to m e r s ’ lia b ility o n a c c e p ta n c e s o u t ­

s t a n d in g ...................................................................................

O th e r a s s e t s ..............................................................................

PERCENTAGES

To total assets:

C a s h a n d b a la n c e s w ith o th e r b a n k s ..................

U .S . G o v e r n m e n t o b lig a tio n s , d ir e c t a n d g u a ra n te e d .....................................................................................

O th e r s e c u r it ie s .....................................................................

L o a n s a n d d is c o u n ts ...........................................................

O th e r a s s e t s ............................................................................

T o ta l c a p ita l a c c o u n ts ........................................................

To total assets other than cash and U. S. Governm ent obligations:

T o ta l c a p ita l a c c o u n ts ......................................................

155,933,367

2,994,811

158,928,178

39,088,205

2,303,251

7,047,238

2,817,152

16,380,889

10,539,675

3,594,633

9,441,479

(4)

5,325,642

2,476,760

816,838

6,644,575

52,984,200

34,531,746

3,200,612

2,909,590

5,718,920

10,265,352

4,024,100

253,405,396

4,394,800

4,305,466

89,334

3,545,190

1,591,458

1,953,732

16.2%

20.1 11.1

50.0

2.6 8.1

12.8

175,096,194

3,552,676

178,648,870

43,733,086

2,616,604

7,243,497

2,684,468

18,810,798

12.377.719

3,420,989

10,849,646

(4)

5,355,550

2,794,217

513,580

6,982,643

60,040,383

39,814,778

14.661.720

3,748,783

3,012,861

6,441,204

11,950,210

5,143,998

276,055,894

4,753,588

(7)

4,287,807

1,697,120

2,590,687

17.4%

18.2 11.1

50.7

2.6

8.0

12.4

201,114,143

4,011,273

205,125,416

49,393,933

7,592,405

2,637,439

21,929,584

14,346,493

2,095,012

13,186,038

2,064,215

5,087,694

3,175,076

533,948

7,669,065

71,235,183

45,497,461

17,139,214

4,176,950

3,126,804

7,388,640

13,665,853

5,187,791

304,764,851

65,144,222

(7)

5,048,319

1,862,571

3,185,748

16.1%

15.8 11.8 

53.6

2.7

8.0

11.7

218,455,698

4,336,933

222,792,631

54,099,590

3,112,422

7,441,201

2,556,527

24,659,845

16,329,595

2,132,957

13,186,453

2,460,941

5,643,112

3,149,552

(5)

8,549,399

80,408,482

47,992,068

18,290,164

4,692,533

3,216,162

8,091,439

13,701,770

5,170,077

322,741,521

65,619,987

(7)

5,932,978

2,178,017

3,754,961

17.0%

13.9

12.0

54.2

2.9

7.9

11.4

236,709,837

4,732,606

241,442,443

58,678,014

3,419,336

7,603,100

2,613,060

27,157,632

17,884,886

1,847,683

12,447,077

3,924,357

6,017,418

3,724,055

(5)

9,260,220

88,257,588

51,628,083

18,890,458

828,313

521,909

4,781,232

3,351,554

8,361,180

14,893,437

5,657,948

359,973,462

66,289,874

6,007,170

282,704

6,916,650

2,314,772

4,601,878

17.2%

13.8

13.5

52.5 

2.9 

7.5

10.9

32,299,615

218,740

32,518,355

31,892,036

9,969,510

9,500,673

15,617

7,016

24,278

11,579

2,499

160,682

388,211

13,978

923

66,450

, ! ! $

16,437

41,664,208

312,897

290,072

22,825

320,365

' 320,365

1.79

10.0

11.7

75.1

1.5

8.3

9.4

36,233,052

209,774

36.442.826

35,823,288

48,629

11.527.827

10,129,274 10,739,893

3,377,665

16,228

9,322

25,759

4,807

2,152

156,977

391,145

24,370

1,016

75,397

126,027

164,335

13,148

45,358,160

342,898

316,189

26,709

449,987

' 449,987

1.9%

8.7 

10.7 

77.0

1.7 

7.9

8.9

39,964,343

209,331

40,173,674

39,435,679

46,819

12,911,024

10,427,383

12,245,612

3,804,841

12,505

14,342

21,585

4,812

1,913

144,698

515,673

35,555

2,039

88,646

199,220

190,213

22,467

48,734,714

381,225

353,930

27,295

479,777

’ 479,777

1.8%

7.5

9.9

79.1

1.7

7.8

8.6

42,593,177

140,483

42,733,660

41,808,403

47,719

13,563,472

10,473,930

13,490,913

4,232,369

33,368

10,905

42,245

4,329

1,809

191,599

617,747

42,879

3,769

105,998

244,976

220,125

23,255

51,268,927

415,193

387,395

27,798

517.523

517.523

1.6%

6.3 10.1

80.3

1.7

7.8

45,492,445

126,789

45,619,234

44,595,807

110,695

14,057,536

10,756,786

14,824,567

11,656

9,832

81,162

4,578

1,683

158,428

734,973

53,790

6,378

119,569

297,131

258,105

21,115

55,939,473

459,396

428,779

30,617

586,743

' 586,743 ‘

1.5%

5.4

12.7

78.6 1.8

7.3

7.9

ASSETS AND LIABILITIES OF BANKS 177

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 107. ASSETS AND LIABILITIES OF INSURED COMMERCIAL AND INSURED MUTUAL SAVINGS BANKS IN THE UNITED STATES 

(STATES AND OTHER AREAS), DECEMBER CALL DATES, 1963 THROUGH 1967— CONTINUED

( A m o u n ts in th o u s a n d s o f d o lla rs )

In s u re d c o m m e rc ia l b a n k s In s u r e d m u tu a l s a v in g s b a n k s

L ia b ilitie s a n d c a p ita l

D e c . 20, D e c . 31, D e c. 31, D e c . 31, D e c . 30, D e c . 20, D e c . 31, D e c . 31, D e c . 31, D e c . 30,

1963 1964 1965 1966 1967 1963 1964 1965 1966 1967

Total liabilities and capital accounts.................... 311,790,848 345,130,205 375,394,111 402,946,336 450,712,578 43,018,983 47,044,184 50,499,716 53,049,468 57,867,208

B usiness and personal deposits—total............ 228,042,312 252,983,403 275,205,357 293,565,757 329,860,033 38,627,061 42,714,295 45,848,773 48,212,477 52,870,001

I n d iv id u a ls , p a r tn e r s h ip s , a n d c o r p o r a tio n s

— d e m a n d ......................................................................... 123,561,302 134,300,734 139,077,920 144,323,672 158,491,340 281,375 312,703 345,204 366,110 412,089

[ 2,294,862 2,298,371 2,666,882

Other deposits of individuals, partnerships, and corpora­1 (7) (7) tions ...................................................................................................... (136,783,058 142,025,301 155,824,458 281,375 312,703 345,204 366,110 412,089

In d iv id u a ls , p a r tn e r s h ip s , a n d c o r p o r a tio n s

— t i m e .................................................................................. 100,033,046 112,804,696 130,195,436 142,261,089 162,727,918 38,337,379 42,389,690 45,491,617 47,834,854 52,443,585

Savings deposits.................................................................................... 76,413,701 82,966,971 92,554,897 90,076,746 94,451,458 38,324,849 42,374,371 45,477,204 47,812,107 52,390,939

Deposits accumulated for payment of personal lo a n s.......... 836,450 956,410 1,078,207 1,223,553 1,283,923 631 f 800 28 38 74 Deposits of savings and loan associations ) f 922,485 620,601 553,739

Other deposits of individuals, partnerships, and corpora­ \ 22,782,895 28,881,315

tions ....................................................................................................... J ( 35,639,847 50,340,189 66,438,798 11,899 14,519 14,385 22,709 52,572

C e rtifie d a n d o f fic e r s ’ c h e c k s , le tte r s o f

c r e d it, tr a v e le r s ’ c h e c k s , e t c ................................ 4,447,964 5,877,973 5,932,001 6,980,996 8,640,775 8,307 11,902 11,952 11,513 14,327

Government deposits—total.................................. 27,142,510 30,068,312 32,216,843 33,768,382 36,990,123 28,767 34,844 37,131 41,829 41,699

U n ite d S ta te s G o v e r n m e n t— d e m a n d ............... 6,729,214 6,500,876 5,523,816 4,990,164 5,238,918 5,025 6,574 6,795 6,148 5,828

U n ite d S ta te s G o v e r n m e n t— t i m e ........................ 268,203 270,832 281,330 257,599 285,533 97 152 407 297 323

S ta te s a n d s u b d iv is io n s — d e m a n d ...................... 12,261,389 13,497,662 14,241,724 15,059,104 15,577,942 2,046 1,584 2,079 3,265 2,654

S ta te s a n d s u b d iv is io n s — t i m e ............................... 7,883,704 9,798,942 12,169,973 13,461,515 15,887,730 21,599 26,534 27,850 32,119 32,894

Domestic interbank and postal savings deposits— total.......................................................... 14,268,764 16,754,488 17,311,718 18,355,321 20,660,087 1,236 1,960 1,387 1,330 1,262

C o m m e rc ia l b a n k s in th e U . S .— d e m a n d . .. 13,323,080 15,492,798 15,779,062 16,947,228 18,788,406 32 88 122 126 137

C o m m e rc ia l b a n k s in th e U . S .— t i m e .............. 268,710 382,943 510,159 476,896 727,014 1,204 1,872 1,265 1,204 1,125

M u tu a l s a v in g s b a n k s in t h e U . S .— d e m a n d . 610,294 740,382 860 378 782,525 935,212

M u tu a l s a v in g s b a n k s in t h e U . S .— t i m e . . . 49252 118 835 162119 148672 209 455

P o s ta l s a v in g s 17,428 19,530 (7)' (7)' (7)

Foreign government and bank deposits—

total ............................. 5,193,043 6,424,074 6,778,763 7,150,699 8,285,680 55

F o re ig n g o v e rn m e n ts , c e n tr a l b a n k s , e tc .—

d e m a n d 841,590 826,137 892,867 869,268 874,451 22

F o re ig n g o v e rn m e n ts , c e n tr a l b a n k s , e tc .—

tim e ...................... 3,045,415 3,893,693 4,086,126 4,212,084 5,166,228 33

B a n k s in fo re ig n c o u n tr ie s — d e m a n d 1 177 311 1 454 685 1 529 097 1 784 407 1 909 911

B a n k s in fo re ig n c o u n tr ie s — t im e 128727 249^559 270^673 '284,940 335,090

Total depo sits...................................................... 274,646,629 306,230,277 331,512,681 352,840,159 395,795,923 38,657,119 42,751,099 45,887,291 48,255,636 52,912,962

D em and............................................................................................... 162,952,144 178,691,247 183,836,865 191,737,364 210,456,955 296,807 332,851 366,152 387,162 435,035

T im e.................................................................................................... 111,694,485 127,539,030 147,675,816 161,102,795 185,338,968 38,360,312 42,418,248 45,521,139 47,868,474 52,477,927

178 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Other liabilities—total...............................................

F e d e ra l fu n d s p u rc h a s e d ( b o r ro w e d ) 8................

11,821,823

} 3,576,530

1,620,293

6,625,000

11,461,821

2,591,133

1,737,101

7,133,587

13,976,496

(2,438,413 

11,898,290 

1,897,569 

7,742,224

18,413,009

2,824,088

1,904,513

2,234,455

11,449,953

20,910,731

4,980,322

568,797

2,382,072

12,979,540

790,247 562,242 655,013 653,735 716,615

O th e r lia b ilitie s fo r b o rro w e d m o n e y ..................

A c c e p ta n c e s o u t s t a n d in g ............................................

37,647 20,402 90,800 68,876 68,156

O th e r lia b ilit ie s ....................................................................

Total liabilities (excluding capital accounts)..................................................................

Capital accounts—total.............................................

C a p ita l s to c k , n o te s , a n d d e b e n tu r e s ................

S u r p lu s ......................................................................................

U n d iv id e d p r o f it s ...............................................................

R e s e rv e s ..................................................................................

MEMORANDA

Capital stock, notes, and debentures:

Par or face value—total.........................................

C o m m o n s t o c k ................................................................

752,600 541,840 564,213 584,859 648,459

286,468,452 317,692,098 345,489,177 371,253,168 46,706,654 39,447,366 43,313,341 46,542,304 48,909,371 53,629,577

25,322,396

7,450133 

12,163,471 

5,113,403 

594,989

27,438,107

8,738,836

12,893,189

5,113,007

693,075

29,904,934

10,200,361

13,464,797

5,437,575

802,201

31,693,168

10,648,322

13,998,697

6,166,477

879,672

34,005,924

11,325,108

14,983,375

6,610,743

1,086,698

3,571,617

533

2,473,815

828,115

269,154

3,730,843

674

2,658,871

759,920

311,378

3,957.412

2,759

2,798,625

822,112

333,916

4,140,097

3,112

2,923,692

821,662

391,631

4,237,631

3,064

3,072,343

774,284

387,940

7,450,833

7,282,980

130,014

37,839

45.0%

36.4

9.9 

5.2

1.9 

1.6

8,738,836

7,886,432 

810 657 

41,747

43.9%

36.8

9.8 

5.5 

2.1

1.9

10,200,361

8,507,770

1,652,701

39,890

42.0%

39.3

9.7 

5.2 

2.0

1.8

10,648,322

8,856,837

1,729,902

61,513

40.9%

40.3

9.6

5.2

2.0

2.0

11,325,108

9,253,642

1,984,390

87,076

40.0%

41.1

9.4

5.2 

2.1

2.2

533 674 2,759 3,112 3,064

C a p ita l n o te s a n d d e b e n tu r e s .............................

P re fe rre d s t o c k ...............................................................

533 674 2,759 3,112 3,064

PERCEN TA GES

To total deposits:

1 PC d e m a n d ..........................................................................

IP C tim e a n d s a v in g s .....................................................

G o v e r n m e n t d e p o s its .....................................................

D o m e s tic in te r b a n k & p o s ta l s a v in g s .................

0-7%

99.2

0.1

0.7%

99.2

0.1

0.8%,

99.1

0.1

0.8%

99.1

0.1

0.8%

99.1

0.1

F o re ig n g o v e rn m e n ts a n d b a n k s ............................

O th e r d e p o s its .....................................................................

N u m b e r o f b a n k s ....................................................................... 13,291 13,493 13,547 13,541 13,517 330 327 329 332 333

1 Available only on a par value basis.

? Excludes corporate stocks, other than Federal Reserve Bank stock, of national banks; reported with "Other assets."

3 As of December 30, 1967 also includes securities purchased under agreements to resell.

4 Prior to December 31, 1965, “ Federal funds sold (loaned)” not reported separately; most were included with loans to banks.

6 Included with “ Securities of Federal agencies and corporations.”

6 Net of mortgages and other liens; previously included with “ Other liabilities.”

7 Not available.

8 As of December 30, 1967 also includes securities sold under agreements to repurchase.

Back fiqures, 1934-1962: See the Annual Report for 1962, pp. 130-133, and earlier reports.

ASSETS AND LIABILITIES OF BANKS 179

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 108. ASSETS AND LIABILITIES OF INSURED COMMERCIAL BANKS IN THE UNITED STATES 

(STATES AND OTHER AREAS), DECEMBER 30, 1967 

BANKS GROUPED BY CLASS OF BANK

(A m ounts in thousands of dollars)

Asset or liability item Total

M em bers F. R. System

National State

Not

mem bers

F. R. System

Total a ss e ts .......................................................................................................

Cash and due from b a n k s ........................................................................

O bligations of the U . S. G o ve rnm ent....................................................

O bligations of States and su b d ivisio n s ................................................

Other s e cu ritie s............................................................................................

Loans and discounts, net— to ta l.............................................................

Real e s ta te .................................................................................................

To banks and other financial in s titu tio n s ........................................

Federal fu n d s sold (loaned) 1...............................................................

To purchase or carry se c u ritie s ...........................................................

To fa rm e rs ..................................................................................................

Com m ercial and in d u s tria l..........................................

Consum er in s ta lm e n t...................................................

Single paym ent to in d iv id u a ls ...................................

O ther lo a n s .......................................................................

Less: Valuation reserves..............................................

Other a ss e ts ........................................................................

Total lia b ilitie s and ca p ita l a cc o u n ts .............................

Deposits— to ta l................................................................... ...........

Individuals, partnerships, and corporations— de m a n d ...............

Individuals, partnerships, and corporations— savings and tim e

U . S. G ove rnm ent....................................................................................

States and su b d ivisio n s.........................................................................

Dom estic in te rb a n k .................................................................................

Foreign governm ent and b a n k ............................................................

Other d e p o s its..........................................................................................

Federal fun ds purchased (borrow ed) 2.................................................

Other liabilities for borrowed m o ney.....................................................

Other lia b ilitie s ..............................................................................................

Capital stock, notes, and d e b e n tu re s...................................................

Other capital a cco u n ts...............................................................................

Num ber of b a n k s ............................................................................................

450,712,578

77 532,592 

62,229,348 

49,820,973 

11,213,304

236,709,837

58,678,014

14,294,760

3,924,357

9,741,473

9,260,220

88,257,588

36,734,646

14,893,437

5,657,948

4,732,606

13,206,524

450,712,578

395,795,923

158,491,340

162,727,918

5,524,451

31,465,672

20,615,754

6,040,679

8,640,775

4,980,322 

568,797 

15.,361,612 

11,325,108 

22,680,816

13,517

264,098,743 111,175,202

46,675,689

34,307,948

29,002,600

6,345,823

22,311,693

12,639,952

12,514,782

1,448,707

139,811,402

33,148,218

8,593,499

2,561,629

4,703,721

4,594,173

55,323,678

21,160,002

8,873,776

3,693,420

2,840,714

58,512,721

12,583,501

4,767,410

876,693

4,219,242

1,110,878

24,181,754

6,894,261

3,586,678

1,541,432

1,249,128

7,955,281 3,747,347

264,098,743 111,175,202

232,083,393

92,392,694

95,414,825

3,309,417

18,552,526

13,427,880

3,515,162

4,339,315

95,637,158

39,102,513

35,227,179

1,569,246

6,202,325

6,381,640

2,475,765

3,609,440

3,181,502

296,821

8,807,411

6,601,287

13,128,329

1,700,344

191,165

5,289,781

2,829,550

5,527,204

4,758 1,312

75,438,633

8,545,210

15,281,448

8,303,591

3,418,774

38,385,714

12,946,295

933,851

486,035

818,510

3,555,169

8,752,156

8,680,383

2,432,983

423,096

642,764

1,503,896

75,438,633

68,075,372

26,996,133

32,085,914

645,788

6,710,821

806,234

49,752

692,020

98,476

80,811

1,264,420

1,894,271

4,025,283

7,447

1 Also includes securities purchased under agreements to resell.

2 Also includes securities sold under agreements to repurchase.

180 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 109. ASSETS AND LIABILITIES OF INSURED COMMERCIAL BANKS OPERATING THROUGHOUT 1967 IN THE UNITED STATES

(STATES AND OTHER AREAS), DECEMBER 30, 1967

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS

( A m o u n ts in th o u s a n d s o f d o lla rs )

A s s e t o r lia b ility ite m

A ll

b a n k s 1

B a n k s w ith d e p o s its o f—

Less

than

$1,000,000

$1,000,000

to

$2,000,000

$2,000,000

to

$5,000,000

$5,000,000

to

$10,000,000

$10,000,000

to

$25,000,000

$25,000,000

to

$50,000,000

$50,000,000

to

$100,000,000

$100,000,000

to

$500,000,000

$500,000,000

or

more

Total a sse ts......................................................................

C a s h a n d d u e fro m b a n k s ...............................................

O b lig a tio n s o f th e U . S. G o v e r n m e n t.......................

O b lig a tio n s o f S ta te s a n d s u b d iv is io n s ..................

O th e r s e c u r it ie s .......................................................................

L o a n s a n d d is c o u n ts , n e t— t o t a l.................................

R e a l e s t a t e .............................................................................

T o b a n k s a n d o th e r fin a n c ia l in s t itu tio n s . . . .

F e d e ra l fu n d s s o ld ( lo a n e d ) ? ....................................

T o p u r c h a s e o r c a rry s e c u r it ie s ...............................

T o f a r m e r s ..............................................................................

C o m m e rc ia l a n d in d u s t r ia l..........................................

C o n s u m e r in s t a lm e n t .....................................................

S in g le p a y m e n t to in d iv id u a ls ..................................

O th e r lo a n s ............................................................................

L e s s : V a lu a tio n r e s e r v e s .............................................

O th e r a s s e t s . . . . ...........

449,364,224 283,838 2,449,021 14,582,295 26,926,333 45,592,268 33,013,140 30,484,477 82,271,363 213,761,489

77,242,956

62,000,152

49,703,133

11,159,427

52,583

82,806

7,198

22,236

350,091

711,014

82,207

187,956

1,912,192

3,725,814

1,025,549

871,066

3,408,943

5,890,109

2,789,784

1,328,473

5,612,055

8,932,291

5,532,869

1,853,886

4,114,667

5,785,895

4,127,542

1,213,107

4,043,957

5,087,162

3,859,175

993,068

13,484,121

11,314,282

9,867,407

1,778,224

44,264,347

20,470,779

22,411,402

2,911,411

236,097,510

58,547,547

14,278,490

3,905,657

9,733,096

9,251,362

88,045,204

35,605,311

14,820,228

5,633,552

4,722,937

116,551

23,543

1,340

380

1,245

50,201

13,363

19,402

6,177

1,787

887

1,091,890

275,584

10,056

2,278

7,153

419,677

127,405

184,872

61,993

13,780

10,908

6,837,916

2,110,180

63,285

47,522

60,946

1,873,370

984,124

1,293,540

413,323

81,394

89,768

13,036,766

4,298,102

161,888

152,494

172,661

2,153,391

2,42-8,329

2,838,321

874,561

156,446

199,427

22,764,401

7,690,619

353,108

397,765

367,809

1,784,223

5,057,399

5,563,140

1,633,365

308,001

391,028

17,051,567

5,775,470

396,096

465,057

325,112

556,987

4,332,177

3,990,294

1,309,194

217,805

316,625

15,769,853

5,125,596

517,333

327,453

400,628

362,709

4,616,340

3,364,956

1,091,125

272,743

309,030

43,738,544

12,237,145

2,285,857

771,047

1,495,821

752,388

14,198,400

8,239,979

3,464,140

1,183,816

890,049

115,690,022

21,011,308

10,489,527

1,741,661

6,901,721

1,298,416

56,287,667

11,110,807

5,966,350

3,397,780

2,515,215

13,161,046 2,464 25,863 209,758 472,258 896,766 720,362 731,262 2,088,785 8,013,528

ASSETS AND LIABILITIES OF BANKS 181

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Federal Reserve Bank of St. Louis
Table 109. ASSETS AND LIABILITIES OF INSURED COMMERCIAL BANKS OPERATING THROUGHOUT 1967 IN THE UNITED STATES

(STATES AND OTHER AREAS), DECEMBER 30, 1967— CONTINUED 

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS

(A m ounts in thousands of dollars)

A s s e t o r lia b ility ite m

A ll

b a n k s 1

B a n k s w ith d e p o s its o f—

Less

than

$1,000,000

$1,000,000

to

$2,000,000

$2,000,000

to

$5,000,000

$5,000,000

to

$10,000,000

$10,000,000

to

$25,000,000

$25,000,000

to

$50,000,000

$50,000,000

to

$100,000,000

$100,000,000

to

$500,000,000

$500,000,000

or

more

Total liabilities and capital accou n ts.......................

D e p o s its — t o t a l ......................................................................... Demand dep osits....................................................................................

Tim e and savings deposits..................................................................

In d iv id u a ls , p a r tn e r s h ip s , a n d

c o r p o r a tio n s — d e m a n d ..............................................

In d iv id u a ls , p a r tn e r s h ip s , a n d

c o r p o r a tio n s — t im e a n d s a v in g s ..........................

U . S. G o v e r n m e n t..............................................................

S ta te s a n d s u b d iv is io n s ................................................

D o m e s tic in t e r b a n k ..........................................................

F o re ig n g o v e r n m e n t a n d b a n k .................................

O th e r d e p o s its .....................................................................

F e d e ra l f u n d s p u rc h a s e d ( b o r ro w e d ) 3......................

O th e r lia b ilitie s fo r b o rro w e d m o n e y .........................

O th e r lia b ilitie s ..........................................................................

C a p ita l s to c k , n o te s , a n d d e b e n tu r e s ......................

O th e r c a p ita l a c c o u n ts ........................................................

N u m b e r o f b a n k s ........................................................................

449,364,224

394,615,206

&09,781,109

184,834,097

158,016,249

162,291,785

5,511,113

31,323,338

22,800,570

6,039,169

8,632,982

283,838 2,449,021 14,582,295 26,926,333 45,592,268 33,013,140 30,484,477 82,271,363 213,761,489

245,369

170,165

75,204

146,302

66,495

814

29,530

1,321

907

2,169,755

1,257,093

912,662

1,070,480

834,164

8,578

237,415

7,102

12,016

13,090,121

6,731,797

6,358,324

5,642,431

5,877,569

75,475

1,351,665

51,489

525

90,967

24,385,979

11,952,763

12,433,216

9,913,935

11,528,790

188,165

2,428,240

120,811

100

205,937

41,306,621

19,563,936

21,742,685

16,153,438

20,161,350

422,829

3,785,051

376,342

2,740

404,871

29,847,719

14,324,265

15,523,454

11,726,652

14,301,261

328,707

2,618,880

539,945

4,879

327,395

27,536,767

13,360,688

14,176,079

10,633,516

12,792,455

335,026

2,599,983

839,733

32,819

303,235

73,538,184

39,455,150

34,083,034

29,804,081

30,785,164

1,133,458

6,207,729

4,641,617

89,190

876,945

182,494,691

102,965,252

79,529,439

72,925,413

65,944,537

3,018,061

12,064,845

16,222,210

5,908,916

6,410,709

4,979,897

568,774

15,331,054

11,265,351

22,603,942

100

1,285

10,602

26,482

150

1,544

11,920

67,797

197,855

5,687

10,710

112,256

363,997

999,524

14,251

19,384

302,011

631,684

1,573,024

42,546

22,225

752,790

1,039,981

2,428,105

32,123

31,350

716,737

763,567

1,621,644

72,326

13,963

699,988

728,703

1,432,730

585,739

122,684

2,022,624

1,989,560

4,012,572

4,227,075

346,814

10,711,443

5,669,460

10,312,006

13,419 327 1,424 3,866 3,412 2,662 871 403 353 101

1 This group of banks is the same as the group shown in Table 115 under the heading “ Operating throughout the year.”

2Also includes securities purchased under agreements to resell.

3 Also includes securities sold under agreements to repurchase.

Note: For income and expense data by size of bank, see Tables 116 and 117, pp. 194-197.

Back figures, 1941-1966: See the Annual Report for 1966, p. 151, and earlier reports.

182 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Table 110. PERCENTAGES OF ASSETS AND LIABILITIES OF INSURED COMMERCIAL BANKS OPERATING THROUGHOUT 1967 IN THE

UNITED STATES (STATES AND OTHER AREAS), DECEMBER 30, 1967

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS

Asset or lia bility item

All

banks’

Banks with deposits of—

Less

than

$1,000,000

$1,000,000

to

$2,000,000

$2,000,000

to

$5,000,000

$5,000,000

to

$10,000,000

$10,000,000

to

$25,000,000

$25,000,000

to

$50,000,000

$50,000,000

to

$100,000,000

$100,000,000

to

$500,000,000

$500,000.00C

or

more

Total a sse ts........................................................................ 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

Cash and due from b a n k s ....................................... 17.2 18.5 14.3 13.1 12.7 12.3 12.5 13.3 16.4 20.7

O bligations of th e U. S. G ove rnm ent................... 13.8 29.2 29.0 25.6 21.9 19.6 17.5 16.7 13.8 9.6

O bligations of States and su b d ivisio n s............... 11.1 2.5 3.4 7.0 10.4 12.1 12.5 12.7 12.0 10.5

Other se cu ritie s........................................................... 2.5 7.8 7.7 6.0 4.9 4.1 3.7 3.3 2.2 1.4

Loans and discounts, net— to ta l............................ 52.5 41.1 44.6 46.9 48.4 49.9 51.7 51.7 53.2 54.1

Real e s ta te ................................................................ 13.0 8.3 11.3 14.5 16.0 16.9 17.5 16.8 14.9 9.8

To banks and other financial institu tio n s. ... 3.2 .5 .4 .4 .6 .8 1.2 1.7 2.8 4.9

Federal fun ds sold (loaned) 2............................... .9 .1 .1 .3 .6 .9 1.4 1.1 .9 .8

To purchase or carry se cu ritie s.......................... 2.2 .4 .3 .4 .6 .8 1.0 1.3 1.8 3.2

To fa rm e rs................................................................. 2.1 17.7 17.1 12.8 8.0 3.9 1.7 1.2 .9 .6

Comm ercial and in d u s tria l................................... 19.6 4.7 5.2 6.7 9.0 11.1 13.1 15.1 17.3 26.3

Consum er in s ta lm e n t............................................ 8.1 6.8 7.5 8.9 10.5 12.2 12.1 11.0 10.0 5.2

Single paym ent to individ u a ls ............................ 3.3 2.2 2.5 2.8 3.2 3.6 4.0 3.6 4.2 2.8

Other lo a n s ............................................................... 1.3 .6 .6 .6 .6 .7 .7 .9 1.4 1.6

Less: Valuation reserves...................................... 1.1 .3 .4 .6 .7 .9 1.0 1.0 1.1 1.2

Other a sse ts................................................................. 2.9 .9 1.1 1.4 1.8 2.0 2.2 2.4 2.5 3.7

Total liabilities and capital accounts...................... 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

Deposits— to ta l............................................................ 87.8 86.4 88.6 89.8 90.6 90.6 90.4 90.3 89.4 85.4 Demand deposits.................................................................................... 46.7 60.0 51.3 46.2 44-4 42.9 43.4 43.8 48.0 48.2 Time and savings deposits................................................................. 41.1 26.5 37.3 43.6 46.2 47.7 47.0 46.5 41.4 37.2

Individuals, partnerships, and

corporations— d e m a n d ...................................... 35.2 51.5 43.7 38.7 36.8 35.4 35.5 34.9 36.2 34.1

Individuals, partnerships, and

corporations— tim e and savings..................... 36.1 23.4 34.1 40.3 42.8 44.2 43.3 42.0 37.4 30.8

U. S. G overnm ent................................................... 1.2 .3 .4 .5 .7 .9 1.0 1.1 1.4 1.4

States and sub divisions ....................................... 7.0 10.4 9.7 9.3 9.0 8.3 7.9 8.5 7.5 5.6

Dom estic in te rb a n k ................................................ 5.1 .5 .3 .4 .4 .8 1.6 2.8 5.6 7.6

Foreign go vernm ent and b a n k ........................... 1.3 .0 .0 .0 .0 .0 .0 .1 .1 2.8

Other d e p o s its ......................................................... 1.9 .3 .5 .6 .8 .9 1.0 1.0 1.1 3.0

Federal funds purchased (borrow ed) 3................. 1.1 .0 .0 .0 .1 .1 .1 .2 .7 2.0

Other liabilities for borrowed m o n e y .................... .1 .0 .1 .1 .1 .0 .1 .0 .1 .2

Other lia b ilitie s ............................................................. 3.4 .5 .5 .8 1.1 1.7 2.2 2.3 2.5 5.0

Capital stock, notes, and d e b e n tu re s ................. 2.5 3.7 2.8 2.5 2.3 2.3 2.3 2.4 2.4 2.7

Other capital a c c o u n ts .............................................. 5.0 9.3 8.1 6.9 5.8 5.3 4.9 4.7 4.9 4.8

Footnotes to this table: See Table 109.

ASSETS AND LIABILITIES OF BANKS 183

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Federal Reserve Bank of St. Louis
Table 111. DISTRIBUTION OF INSURED COMMERCIAL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS),

DECEMBER 30, 1967

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS AND BY RATIOS OF SELECTED ITEMS TO ASSETS OR DEPOSITS

A ll

b a n k s

N u m b e r o f b a n k s w ith d e p o s its o fR a tio s Less

than

$1,000,000

$1,000,000

to

$2,000,000

$2,000,000

to

$5,000,000

$5,000,000

to

$10,000,000

$10,000,000

to

$25,000,000

$25,000,000

to

$50,000,000

$50,000,000

to

$100,000,000

$100,000,000

to

$500,000,000

$500,000,000

or

more

Ratios of obligations of States and subdivisions to total assets

Z e r o ...................................................................................... 1,311

820

158 372 473 214 80 7 6 1

M o re t h a n z e ro — le s s th a n 1 p e r c e n t .......... 53 275 359 92 29 10 1 1

1.0 to 2.49 p e r c e n t ....................................................... 964 39 281 432 145 45 14 4 3 1

2.5 to 4.99 p e r c e n t ...................................................... 1,442 44 202 659 287 169 47 20 12 2

5.0 to 9.99 p e r c e n t ...................................................... 3,360 38 205 992 1,003 680 212 88 102 40

10.0 to 14.99 p e r c e n t ................................................. 3,079 15 70 552 962 850 310 159 129 32

15.0 to 19.99 p e r c e n t ................................................... 1,728 4 36 263 459 577 192 90 84 23

20.0 p e r c e n t o r m o r e ................................................. 813 3 21 158 256 233 79 36 24 3

Ratios of U. S. Government obligations to

total assets

L e s s th a n 5 p e r c e n t .................................................. 251 13 23 66 66 55 16 3 6 3

5 to 9.99 p e r c e n t .......................................................... 1,083 21 57 218 252 255 101 64 73 42

10 to 19.99 p e r c e n t ..................................................... 4,716 66 302 1,005 1,207 1,151 477 223 231 54

20 to 29.99 p e r c e n t ...................................................... 4,292 89 446 1,293 1,239 874 221 90 38 2

30 to 39.99 p e r c e n t ...................................................... 2,101

470

604

75 341 864 486 261 47 20 7

40 to 49.99 p e r c e n t ......................................................

50 p e r c e n t o r m o r e ....................................................

39

51

97

196

203

239

92

76

30

37

6

3

2

2

1

Ratios of loans to total assets

L e s s th a n 20 p e r c e n t ................................................ 183 38 49 58 24 10 2 2

20 to 29.99 p e r c e n t . . .............................. 700 60 156 257 151 60 8 5 3

30 to 39.99 p e r c e n t ..................................................... 2,086 75 304 724 540 339 64 28 10 2

40 to 49.99 p e r c e n t ...................................................... 4,478 91 462 1,262 1,192 942 285 127 98 19

50 to 59.99 p e r c e n t ...................................................... 4,312 61 345 1,105 1,064 916 368 184 198 71

60 to 69.99 p e r c e n t ...................................................... 1,557 22 128 407 392 362 138 54 45 9

70 p e r c e n t o r m o r e .................................................... 201 7 18 75 55 34 6 4 1 1

Ratios of cash and due from banks to total

assets

L e s s th a n 5 p e r c e n t .................................................. 192 5 29 49 41 48 16 1 3

5.0 to 7.49 p e r c e n t . . . . .............................. 1,386

2,794

10 140 433 376 286 88 37 16

7.5 to 9.99 p e r c e n t ...................................................... 33 248 800 775 621 184 85 45 3

10.0 to 14.99 p e r c e n t .................................................. 5,079 87 484 1,424 1,326 1,091 372 151 125 19

15.0 to 19.99 p e r c e n t .................................................. 2,480 76 301 727 609 422 145 87 79 34

20.0 to 24.99 p e r c e n t .................................................. 1,004 57 136 310 194 140 54 34 55 24

25.0 p e r c e n t o r m o r e ................................................. 582 86 124 145 97 55 12 9 32 22

184 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Ratios of total demand deposits to total

deposits

Less than 25 p e rce n t.........................................

25 to 29.99 p e rce n t..............................................

30 to 39.99 p e rce n t..............................................

40 to 49.99 p e rce n t..............................................

50 to 59.99 p e rce n t..............................................

60 to 69.99 p e rce n t..............................................

70 to 79.99 p e rc e n t..............................................

80 percent or m o re.............................................

Ratios of total capital accounts to total

assets other than cash and due from

banks, U. S. Government obligations,

and FHA and VA real estate loans

Less than 7.5 p e rc e n t........................................

7.5 to 9.99 p e rce n t...............................................

10.0 to 12.49 p e rc e n t...........................................

12.5 to 14.99 p e rce n t...........................................

15.0 to 19.99 p e rce n t...........................................

20.0 to 24.99 p e rce n t...........................................

25.0 to 34.99 p e rce n t...........................................

35.0 percent or m o re..........................................

Ratios of total capital accounts to total

assets

Less than 5 p e rce n t...........................................

5 to 5.99 p e rc e n t..................................................

6 to 6.99 p e rce n t..................................................

7 to 7.99 p e rce n t..................................................

8 to 8.99 p e rce n t..................................................

9 to 9.99 p e rce n t..................................................

10 to 11.99 p e rce n t..............................................

12 to 14.99 p e rce n t..............................................

15 percent or m o re ............................................

N um ber of b a n k s ...................................................

281 6 15

548 2 35

2,391 16 178

3,671 32 280

3,272 58 338

1,922 69 266

711 52 147

721 119 203

360

2,364 2 46

3,618 13 147

2,597 25 224

2,584 75 402

1,003 68 262

649 75 231

342 96 150

303 2

1,048 1 11

2,248 4 80

2,766 19 170

2,296 28 204

1,657 26 213

1,778 86 333

934 86 282

487 104 167

13,517 354 1,462

Back figures, 1958-1966: See Annual Report for 1966, pp. 154-155, and earlier reports.

80 88 69 14 7 2

167 155 125 38 17 6 3

676 639 552 178 90 53 9

986 1,003 849 286 120 97 18

1,010 815 636 208 96 88 23

496 480 338 111 53 73 36

219 146 64 26 17 27 13

254 92 30 10 4 9

16 67 144 79 31 20 3

275 660 773 315 148 125 20

784 1,101 938 288 162 135 50

886 776 456 128 36 43 23

1,150 583 272 49 20 27 6

442 166 48 9 4 4

255 58 23 3 3 1

80 7 9

27 64 113 54 28 12 3

111 288 352 161 65 52 7

405 672 633 222 110 95 27

655 805 673 192 114 105 33

774 625 421 126 50 49 19

620 440 236 68 19 25 10

782 358 156 34 13 13 3

365 125 56 11 5 4

149 41 23 3

3,888 3,418 2,663 871 404 355 102

ASSETS AND LIABILITIES OF BANKS 185

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Table

Table

Table

Table

Table

Table

Table

Table

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Table

INCOME OF INSURED BANKS

112. Income of insured commercial banks in the United States (States and other 

areas), 1959-1967

113. Ratios of income of insured commercial banks in the United States (States 

and other areas), 1959-1967

114. Sources and disposition of total income, insured commercial banks in the 

United States (States and other areas), 1959-1967

115. Income of insured commercial banks in the United States (States and other 

areas), 1967

Banks grouped by class of bank

116. Income of insured commercial banks operating throughout 1967 in the United 

States (States and other areas)

Banks grouped according to amount of deposits

117. Ratios of income of insured commercial banks operating throughout 1967 

in the United States (States and other areas)

Banks grouped according to amount of deposits

118. Income of insured commercial banks in the United States (States and other 

areas), by State, 1967

119. Income of insured mutual savings banks, 1959-1967

120. Ratios of income of insured mutual savings banks, 1959-1967

121. Sources and disposition of total income, insured mutual savings banks, 

1959-1967

122. Income of insured mutual savings banks in the United States (States and other 

areas), by State, 1967

186 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
The income data received and published by the Corporation 

relate to commercial and mutual savings banks insured by the 

Corporation.

Commercial Banks

Reports of income and dividends are submitted to the Federal 

supervisory agencies on either a cash or an accrual basis.

Income data are included for all insured banks operating at the 

end of the respective years, unless indicated otherwise. In addition, 

appropriate adjustments have been made for banks in operation 

during part of the year but not at the end of the year. Data for 5 

insured branches in Guam of 2 insured banks in California and 

Hawaii, for 7 insured branches in New York of 2 insured banks in 

Puerto Rico, for 16 insured branches in Puerto Rico and for 7 

insured branches in the Virgin Islands of insured banks in New 

York are not available.

The uniform Report of Income and Dividends (formerly called 

Report of Earnings and Dividends) was revised extensively in 1961. 

New items were added, combining components previously included 

in other items; and some items were subsumed into new categories. Thus certain items, even carrying the same designation 

(e.g. other current operating expenses), are not comparable with 

data reported for prior years.

The revised form breaks out the following items not previously 

available separately: (1) benefits to officers and other employees; 

(2) net occupancy expense of bank premises, with a supporting 

schedule; (3) furniture and equipment expense (including costs 

related to the purchase or rental of automated data processing 

systems); and (4) losses on securities sold.

Two expense items previously reported separately have been 

combined with other items: (1) taxes other than on net income;

and (2) recurring depreciation on banking house, furniture and 

fixtures. Taxes on bank premises, social security taxes paid in behalf of building employees, and recurring depreciation on banking 

house are now included under occupancy expense of bank premises. Other social security taxes are included with officer and employee benefits. Recurring depreciation on furniture and fixtures is 

now included with furniture and equipment expense.

Revenue and expenses incident to “ Federal funds" transactions 

have been classified as “ Interest and discount on loans" ^nd “ Interest and discount on borrowed money," respectively.

In addition to other minor changes in classification, new designations have been given to certain items. For example, the term 

“ net income" is the new equivalent of the former term “ net 

profits." A further change entailed the division of officers and other 

employees into two groups: those engaged in banking operations, 

and those concerned with building operations.

Mutual savings banks

The present report of income and dividends for mutual savings 

banks was first used by the Corporation for the calendar year 1951. 

For a discussion of the history and principles of this report see pp. 

50-52 in Part Two of the 1951 Annual Report.

Sources of data

National banks and State banks in the District of Columbia not 

members of the Federal Reserve System: Office of the Comptroller 

of the Currency.

State banks members of the Federal Reserve System: Board of 

Governors of the Federal Reserve System.

Other insured banks: Federal Deposit Insurance Corporation.

INCOME OF INSURED BANKS 187

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Federal Reserve Bank of St. Louis
Table 112. INCOME OF INSURED COMMERCIAL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS), 1959-1967

(A m ounts in thousands o f dollars)

Incom e item 1959 1960 1961 1962 1963 1964 1965 1966 1967 1

Current operating revenue—total................................................ 9,669,352 10,723,545 11,069,604 12,218,959 13,509,713 15,024,487 16,817,187 19,508,414 21,781,611

Interest on U. S. G overnm ent o b lig a tio n s ............................ 1,732,174 1,790,341 1,901,732 2,093,207 2,176,454 2,240,389 2,224,711 2,317,794 2,601,900

Interest and dividends on other se cu ritie s........................... 546,253 578,783 629,134 759,030 921,060 1,085,334 1,285,287 1,531,517 1,904,886

Interest and discount on lo a n s ................................................. 5,856,688 6,698,655 6,891,442 7,578,200 8,516,837 9,612,079 10,999,867 13,042,757 14,351,421

Service charges and fees on lo a n s .......................................... 111,991 108,655 117,259 139,645 155,478 173,159 204,996 243,643 295,216

Service charges on deposit a c c o u n ts ..................................... 531,916 589,954 630,458 681,243 728,857 781,405 842,775 915,049 987,187

O ther charges, com m issions, fees, e tc .................................... 205,935 218,566 223,283 237,446 248,362 280,289 304,276 354,036 411,021

T rust d e p a rtm e n t.......................................................................... 426,016 460,251 502,871 543,916 573,252 629,694 689,628 756,130 820,269

Other current operating re ve n u e .............................................. 258,381 278,340 2173,425 2186,272 2189,413 2 222,138 2 265,647 2347,488 2409,711

Current operating expenses—total............................................. 6,264,207 6,932,820 7,440,492 8,589,177 9,714,980 10,897,460 12,486,120 14,561,852 16,553,642

Salaries— o ffic e rs ........................................................................... 892,657 966,643 31,028,869 31,098,146 31,183,264 31,284,140 31,392,765 31,526,300 31,674,955

Salaries and wages— other e m ployees................................... 1,684,159 1,831,323 31,869,961 31,975,406 32,101,111 32,234,922 32,369,259 32,569,442 32,862,941

O fficer and em ployee b e n e fits ................................................. (4) (4) 377,494 419,098 457,033 490,732 525,692 598,768 667,345

Fees paid to directors and c o m m itte e s ................................. 51,866 56,292 59,794 63,236 67,469 72,176 77,093 83,791 92,074

Interest on tim e and savings d e p o s its ................................... 1,580,250 1,785,086 2,106,645 2,845,283 3,464,308 4,088,061 5,070,781 6,259,472 7,379,863

Interest on borrowed m o n e y..................................................... 78,350 87,385 37,997 64,325 106,517 127,277 189,519 301,768 266,476

Taxes other than on net in co m e..............................................

Recurring depreciation on banking house, furniture and

252,763 285,801 (5) (5) (5) (5) (5) (5) (5)

fix tu re s .......................................................................................... 191,424 212,493 (6) (6) (6) (6) (6) (6) (6)

Occupancy expense o f bank prem ises— n e t....................... (7) (7) 510,691 555,670 608,462 670,243 731,573 802,060 873,541

Furniture and e q u ip m e n t........................................................... (8) (8) 224,852 267,885 311,518 362,301 411,889 458,695 533,846

Other current operating expenses........................................... 1,532,739 1,707,797 91,224,189 91,300,128 •1,415,298 91,567,608 ®1,717,549 91,961,556 92,202,601

Net current operating earn ing s.................................................... 3,405,145 3,790,725 3,629,112 3,629,782 3,794,733 4,127,027 4,331,067 4,946,562 5,227,969

Recoveries, transfers from valuation reserves, and profits—

total...................................................................................................

On securities:

328,889 574,826 708,171 467,061 468,450 322,104 390,368 341,711 417,624

Profits on securities sold or re d e e m e d.............................. 47,277 329,322 453,730 256,987 167,445 74,723 84,619 62,464 150,238

R ecoveries................................................................................... 27,946 12,927 9,934 6,241 4,046 6,633 7,114 5,077 3,986

Transfers from valuation reserves.......................................

On loans:

111,447 55,568 86,574 56,761 60,516 57,284 97,435 100,950 62,089

R ecoveries.................................................................................... 20,551 25,684 16,825 16,902 17,913 17,383 17,962 15,585 14,307

Transfers from valuation reserves....................................... 57,607 70,211 51,817 56,610 131,235 62,313 84,001 55,762 44,439

All o th e r............................................................................................ 64,062 81,114 89,291 73,560 87,295 103,768 99,237 101,873 142,565

Losses, charge-offs, and transfers to valuation reserves—

total..................................................................................................

On securities:

Losses on securities s o ld ........................................................

1,361,515

745,081

978,422

219,767

935,461

/44.290

836,665

58,939

883,637

49,887

1,017,299

88,397

1,177,540

85,045

1,574,027

454,911

1,326,581

154,550

Charge-offs prior to s a le .......................................................... \21,354 12,603 12,827 11,256 9,224 10,198 8,403

Transfers to valuation reserves............................................

On loans:

168,003 156,232 224,678 95,039 63,530 72,213 63,370 78,932 74,572

Losses and cha rge-offs........................................................... 25,459 35,760 31,194 30,107 29,588 32,385 36,188 31,251 28,341

Transfers to valuation reserves............................................ 318,965 451,667 481,200 528,710 609,059 666,040 846,877 775,792 885,885

All o th e r............................................................................................ 104,006 114,996 132,745 111,267 118,746 147,008 136,836 222,943 174,830

Net income before related taxes................................................. 2,372,519 3,387,129 3,401,822 3,260,178 3,379,546 3,431,832 3,543,895 3,714,246 4,319,012

188 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Taxes on net income—total............................................................

Federal.............................................................................................

S ta te ..................................................................................................

Net income after related ta xe s....................................................

Dividends and interest on capital—total..................................

Cash dividends declared on com m on sto ck ........................

D ividends declared on preferred stock and interest on

capital notes and d e b e n tu re s...............................................

Net additions to capital from incom e........................................

884,458

832,797

51,661

1,384,397

1,300,940

83,457

1,406,102

1,317,292

88,810

1,256,382

1,159,725

96,657

1,226,783

1,130,629

96,154

1,148,203

1,050,624

97,579

1,029,162

927,423

101,739

1,029,906

911,585

118,321

1,177,154

1,020,988

156,166

1,488,061 2,002,732 1,995,720 2,003,796 2,152,763 2,283,629 2,514,733 2,684,340 3,141,858

776,386

774,167

2,219

831,546

829,522

2,024

895,053

893,230

1,823

941,189

939,426

1,763

993,374

990,039

3,335

1,088,310

1,062,561

25,749

1,202,349

1,146,186

56,163

1,307,387

1,240,048

67,339

1,426,202

1,342,538

83,664

711,675 1,171,186 1,100,667 1,062,607 1,159,389 1,195,319 1,312,384 1,376,953 1,715,656

Memoranda

Recoveries credited to valuation reserves (not included in

recoveries above):

On secu ritie s..................................................................................

On lo a n s ...........................................................................................

Losses charged to valuation reserves (n ot included in losses

above):

On secu ritie s ....................................................................................

On loan s.............................................................................................

5,585

73,790

207,061

122,315

18,294

68,232

47,716

264,405

9,911

73,844

22,463

249,500

4,714

84,863

16,305

238,825

6,216

96,897

17,314

323,475

4,515

157,791

43,683

394,181

4,158

124,062

25,761

429,490

3,300

143,859

60,282

545,647

5,638

168,680

29,072

601,194

Average assets and liabilities 10

Assets—total..........................................................................................

Cash and due from b a n k s ...........................................................

U nited States G overnm ent ob lig a tio n s ...................................

Other secu ritie s...............................................................................

Loans and d is c o u n ts .....................................................................

All other a sse ts................................................................................

Liabilities and capital—total...........................................................

Total d e p o sits.................................................................................. Demand deposits......................................................................................................................

Tim e and savings deposits...................................................................................................

Borrowings and other lia b ilitie s .................................................

Total capital a c c o u n ts ...................................................................

237,577,389

46,881,654

61,878,548

20,284,525

103,872,351

4,660,311

246,776,722

49,317,003

57,773,429

20,092,632

114,275,450

5,318,208

254,198,199

46,613,211

61,792,135

21,660,321

117,969,985

6,162,547

274,220,778

49,438,670

64,519,914

25,761,084

127,789,110

6,712,000

298,940,778

50,997,566

64,058,431

31,421,875

145,028,233

7,434,673

325,490,626

54,449,343

61,439,390

36,360,062

164,816,703

8,425,128

357,214,409

59,013,596

59,419,551

41,540,772

187,661,591

9,578,899

387,113,663

62,867,398

56,088,649

47,054,812

210,240,170

10,862,634

421,128,433

70,248,679

57,357,584

55,213,293

226,145,245

12,163,632

237,577,389

213,428,979

146,599,745

66,829,334

5,410,250

18,738,160

246,776,722

220,099,028

150,451,481 69,647,547

6,712,522

19,965,172

254,198,199

225,214,703

147,556,175

77,658,528

7,694,509

21,288,987

274,220,778

243,319,550

153,849,494 89,470,056

8,197,420

22,703,808

298,940,778

264,069,489

159,561,973

104,507,516

10,587,389

24,283,900

325,490,626

287,988,560

168,382,122

119,606,438

11,110,692

26,391,374

357,214,409

315,643,533

178,089,360

137,554,173

12,750,015

28,820,861

387,113,663

340,336,714

185,336,407

155,000,307

15,926,263

30,850,686

421,128,433

368,906,501

194,982,924

173,923,577

19,345,258

32,876,674

N um ber of em ployees (including building employees),

D ecem ber 30:

Active o ffic e rs ..................................................................................

Other em ployees.............................................................................

98,934

481,666

103,211

506,596

107,279

526,101

112,458

543,695

117,147

531,820

124,351

578,307

130,486

601,677

138,206

639,155

145,346

669,691

Num ber of banks, Decem ber 30................................................... 13,114 13,126 13,115 13,124 13,291 13,493 13,547 13,541 13,517

1 The figures for 1967 may differ slightly from those published by the Board of Governors of the Federal Reserve System and the Comptroller of the Currency because of differences in rounding 

techniques.

2 Excludes rentals from bank premises; included with "Occupancy expense of bank premises— net.”

3 Excludes compensation of building officers and other employees; included with "Occupancy expense of bank premises— net."

4 Included with “ Other current operating expenses", except Social Security taxes paid on bank’s account which were included with ‘‘Taxes other than on net income "

5 Included with “ Officer employee benefits", “ Occupancy expense of bank premises— net", and “ Other current operating expenses.”

6 Included with “ Occupancy expense of bank premises— net” , and “ Furniture and equipment.”

7 Included with “ Taxes other than on net income” , “ Recurring depreciation on banking house, furniture and fixtures", and “ Other current operating expenses.’’

8 Included with “ Recurring depreciation on banking house, furniture and fixtures” , and “ Other current operating expenses.”

9 Not comparable with amounts reported for previous years; see footnotes 4, 5, 7, and 8.

10 For 1959 through 1960 and for 1964 through 1967, averages of amounts reported at beginning, middle, and end of year. For 1961 and 1962, averages of amounts for four consecutive official call 

dates beginning with the end of the previous year and ending with the fall call of the current year. For 1963, averages of amounts reported at 1962 year-end, 1963 spring, mid-year, and year-end calls.

Note: Due to rounding differences, data for 1959 may not add to totals.

INCOME OF INSURED BANKS 189

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Table 113. RATIOS OF INCOME OF INSURED COMMERCIAL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS), 1959-1967

Incom e item 1959 1960 1961 1962 1963 1964 1965 1966 1967

A m ounts per $100 of c u rre n t op eratin g revenue

C u rre n t operatin g revenue-— to ta l............................................................................................ $100.00

17.91

$100.00

16.69

$100.00

17.18

$100.00

17.13

$100.00

16.11

$100.00

14.91

$100.00

13.23

$100.00

11.88

$100.00

Interest on U. S. G overnm ent o b lig a tio n s....................................................................... 11.95

Interest and dividends on oth er se cu ritie s ..................................................................... 5.65 5.40 5.68 6.21 6.82 7.22 7.64 7.85 8.74

Incom e on loan s.......................................................................................................................... 61.73 63.48 63.31 63.16 64.19 65.13 66.63 68.11 67.24

Service charges on deposit acco u n ts................................................................................... 5.50 5.50 5.70 5.58 5.39 5.20 5.01 4.69 4.53

Other charges, com m issions, fees, e tc ............................................................................. 2.13 2.04 2.02 1.94 1.84 1.87 1.81 1.81 1.89

Other current operating revenue............................................................................................ 7.08 6.89 x6.11 *5.98 *5.65 *5.67 15.68 l5.66 *5.65

C u rre n t operating expenses— to ta l.......................................................................................... 64.78 64.65 67.22 70.29 71.91 72.53 74.25 74.64 76.00

Salaries, wages, and fe e s ................. ................................................................................. 27.19 26.62 226.73 225.67 224.81 223.90 222.83 220.99 221.26

O fficer and em ployee b e n e fits ................................................................................................

Interest on tim e and savings d e p o s its .................................................................................

(3)

16.34

(3)

16.65

3.41

19.03

3.43

23.28

3.38

25.64

3.27

27.21

3.13

30.15

3.07

32.09

3.06

33.88

Taxes other than on net in co m e ............................................................................................ 2.61 2.66 (4)

(5)

4.61

(4)

(5)

4.55

(?(5)

4.50

(4)

(5)

4.46

(4)

(5)

4.35

(4)

(5)

4.11

(4)

C5)

4.01

Recurring depreciation on ba nking house, fu rn itu re and fix tu re s ............................... 1.98 1.98

Occupancy expense of bank prem ises— n e t...................................................................... (6)

(7)

(6)

(7)

16.74

Furniture and e q u ip m e n t.......................................................................................................... 2.03 2.19 2.31 2.41 2.45 2.35 2.45

Other current operating expenses......................................................................................... 16.66 811.41 m.17 811.27 811.28 811.34 812.03 811.34

N et c u rre n t operating e a rn in g s ................................................................................................ 35.22 35.35 32.78 29.71 28.09 27.47 25.75 25.36 24.00

A m ounts per $100 of to ta l assets9

C urrent operating revenue— to ta l...................................................... .................................. 4.07 4.35 4.35 4.45 4.52 4.62 4.71 5.04 5.17

C urrent operating expenses— to ta l........................................................................................ 2.64 2.81 2.92 3.13 3.25 3.35 3.50 3.76 3.93

Net current operating earnings............................................................................................... 1.43 1.54 1.43 1.32 1.27 1.27 1.21 1.28 1.24

Recoveries, transfers from valuation reserves, and profits— to ta l............................... .14 .23 .28 .17 .16 .10 .11 .09 .10

Losses, charge-offs, and transfers to valuation reserves— to ta l................................... .57 .40 .37 .30 .30 .32 .33 .41 .31

Net incom e before related ta x e s ............................................................................................ 1.00 1.37 1.34 1.19 1.13 1.05 .99 .96 1.03

Net incom e after related ta x e s ............................................................................................... .63 .81 .79 .73 .72 .70 .70 .69 .75

A m ounts per $100 of to ta l ca p ita l accounts9

Net current operating ea rnings............................................................................................... 18.17 18.99 17.05 15.99 15.63 15.64 15.03 16.03 15.90

Recoveries, transfers from valuation reserves, and profits— to ta l............................... 1.76 2.88 3.32 2.06 1.93 1.22 1.35 1.11 1.27

Losses, charge-offs, and transfers to valuation reserves— to ta l................................... 7.27 4.90 4.39 3.69 3.64 3.86 4.08 5.10 4.03

Net incom e before related ta x e s ........................................................................................ 12.66 16.97 15.98 14.36 13.92 13.00 12.30 12.04 13.14

Taxes on net in co m e .............................................................................................................. 4.72 6.94 6.61 5.53 5.06 4.35 3.57 3.34 3.58

Net incom e after related ta x e s ............................................................................................... 7.94 10.03 9.37 8.83 8.86 8.65 8.73 8.70 9.56

Cash dividends de cla red........................................................................................................... 4.14 4.16 4.20 4.15 4.09 4.12 4.17 4.24 4.34

Net additions to capital from in co m e ................................................................................... 3.80 5.87 5.17 4.68 4.77 4.53 4.56 4.46 5.22

Special ra tio s9

Incom e on loans per $100 of lo a n s......................................................................................... 5.75 5.96 5.94 6.04 5.98 5.94 5.97 6.32 6.48

Incom e on U. S. Governm ent obligations per $100 o f U. S. Governm ent obligations.

Incom e on other securities per $100 of other secu ritie s..................................................

2.80

2.69

3.10

2.88 3.082.90

3.24

2.95

3.40

2.93

3.65

2.98

3.74

3.09

4.13

3.25

4.54

3.45

Service charges per $100 of dem and d e p o sits................................................................... .36 .39 .43 .44 .46 .46 .47 .49 .51

Interest paid per $100 of tim e and savings d e p o sits........................................................ 2.36 2.56 2.71 3.18 3.31 3.42 3.69 4.04 4.24

Num ber of banks, Decem ber 30..................................................................................... 13,114 13,126 13,115 13,124 13,291 13,493 13,547 13,541 13,517

Note: For footnotes, see Table 112, p. 189, Nos. 2-10.

190 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 114. SOURCES AND DISPOSITION OF TOTAL INCOME, INSURED COMMERCIAL BANKS IN THE UNITED

STATES (STATES AND OTHER AREAS), 1959-1967 

(A m ounts in m illions o f dollars)

Incom e item 1959 1960 1961 1962 1963 1964 1965 1966 1967

Amount

Total incom e....................................................................... ................. 9,998 11,298 11,778 12,686 13,978 15,347 17,208 19,850 22,199

Sources

L o ans............................................................................................................................................... 5,969 6,807 7,009 7,718 8,672 9,785 11,205 13,286 14,647

U. S. G overnm ent o b lig a tio n s................................................................................................. 1,732 1,791 1,902 2,093 2,176 2,240 2,225 2,318 2,602

O ther se cu ritie s........................................................................................................................... 546 579 629 759 921 1,086 1,285 1,532 1,905

Service charges on d e p o s its .................................................................................................... 532 590 630 681 729 781 843 915 987

Other current in co m e ................................................................................................................. *890 *957 900 968 1,011 1,132 1,260 1,457 1,641

Recoveries, e tc ............................................................................................................................. 329 575 708 467 468 322 390 342 418

Disposition

Salaries and wages2.................................................................................................................... 2,629 2,854 3,336 3,556 3,808 4,082 4,365 4,778 5,297

Interest on d e p o s its ................................................................................................................... 1,580 1,785 2,107 2,845 3,464 4,088 5,071 6,259 7,380

O ther current exp enses............................................................................................................. 32,055 32,293 1,998 2,188 2,442 2,728 3,051 3,524 3,876

Charge-offs, e tc ........................................................................................................................... 1,362 979 935 837 884 1,017 1,178 1,574 1,327

Incom e ta x e s ................................................................................................................................ 884 1,384 1,406 1,256 1,227 1,148 1,029 1,030 1,177

Dividends and interest on c a p ita l.......................................................................................... 776 832 895 941 993 1,088 1,202 1,307 1,426

A dditions to capital a c c o u n ts .................................................................................................. 712 1,171 1,101 1,063 1,159 1,195 1,312 1,377 1,716

Percentage distribution

Total incom e...................................................................................... ......................... 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

Sources

Loans............................................................................................................................................... 59.7 60.2 59.5 60.8 62.0 63.8 65.1 66.9 66.0

U. S. G overnm ent o b lig a tio n s................................................................................................. 17.3 15.9 16.2 16.5 15.6 14.6 12.9 11.7 11.7

Other se cu ritie s............................................................................................................................ 5.5 5.1 5.3 6.0 6.6 7.1 7.5 7.7 8.6

Service charges on d e p o s its .................................................................................................... 5.3 5.2 5.4 5.4 5.2 5.1 4.9 4.6 4.4

Other current in co m e ................................................................................................................. 8.9 8.5 7.6 7.6 7.2 7.3 7.3 7.4 7.4

Recoveries, e tc ............................................................................................................................. 3.3 5.1 6.0 3.7 3.4 2.1 2.3 1.7 1.9

Disposition

Salaries and w age s..................................................................................................................... 26.3 25.3 28.3 28.0 27.2 26.6 25.4 24.0 23.9

Interest on d e p o s its ................................................................................................................... 15.8 15.8 17.9 22.4 24.8 26.6 29.5 31.5 33.2

Other current expenses............................................................................................................. 20.6 20.3 17.0 17.2 17.5 17.8 17.7 17.7 17.5

Charge-offs, e tc............................................................................................................................ 13.6 8.6 7.9 6.6 6.3 6.6 6.8 8.0 6.0

Incom e ta x e s ................................................................................................................................ 8.8 12.2 11.9 10.0 8.8 7.5 6.0 5.2 5.3

Dividends and interest on c a p ita l.......................................................................................... 7.8 7.4 7.6 7.4 7.1 7.1 7.0 6.6 6.4

A dditions to capital a cco u n ts.................................................................................................. 7.1 10.4 9.4 8.4 8.3 7.8 7.6 7.0 7.7

1 For description of changes in report form made in 1961, see p. 187. Rentals from bank premises are included in "other current income” in 1959-1960, and in net "other current expenses" in 1961-

XJO/.

2 Includes in each year fees paid to directors and committees. In 1961-1967 includes officer and employee benefits; these were included in “ other current expenses” in 1959-1960. In 1961-1967 

excludes salaries, wages, and benefits of officers and employees in building department which are included in “ other current expenses.”

3 Not comparable with amounts shown in 1961-1967; see footnotes 1 and 2.

Note: Due to rounding differences, components may not add to totals.

INCOME OF INSURED BANKS 191

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Federal Reserve Bank of St. Louis
Table 115. INCOME OF INSURED COMMERCIAL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS), 1967

BANKS GROUPED BY CLASS OF BANK

(A m ounts in thousands o f dollars)

Incom e item Total

M em bers F.R. System Not

m em bers

F.R. System

O perating

throug hou t

the year

Operating

less than

State full yearNational

Current operating revenue—total.............................................................................. 21,781,611 12,651,856 5,196,634 3,933,121 21,725,712 55,899

Interest on U. S. G overnm ent o b lig a tio n s.......................................................... 2,601,900 1,401,230 532,744 667,926 2,593,756 8,144

Interest and dividends on other se cu ritie s ........................................................ 1,904,886 1,122,238 439,134 343,514 1,899,401 5,485

Interest and discount on lo a n s.............................................................................. 14,351,421 8,458,494 3,430,284 2,462,643 14,316,233 35,188

Service charges and fees on lo a n s ....................................................................... 295,216 169,563 69,220 56,433 294,176 1,040

Service charges on deposit a cco u n ts.................................................................. 987,187 576,984 180,165 230,038 985,180 2,007

Other charges, com m issions, fees, e tc................................................................ 411,021 230,181 85,187 95,653 410,407 614

Trust d e p a rtm e n t........................................................................................................ 820,269 435,378 349,260 35,631 817,992 2,277

Other current operating revenue........................................................................... 409,711 257,788 110,640 41,283 408,567 1,144

Current operating expenses—total........................................................................... 16,553,642 9,649,628 3,849,403 3,054,611 16,508,575 45,067

Salaries— o ffic e rs ........................................................................................................ 1,674,955 901,887 355,312 417,756 1,670,204 4,751

Salaries and wages— other em ployees................................................................ 2,862,941 1,673,178 715,439 474,324 2,855,091 7,850

Officer and em ployee b e n e fits ............................................................................... 667,345 391,406 170,952 104,987 664,970 2,375

Fees paid to directors and c o m m itte e s............................................................... 92,074 43,483 13,542 35,049 91,882 192

Interest on tim e and savings d e p o s its................................................................ 7,379,863 4,416,753 1,672,927 1,290,183 7,362,516 17,347

Interest on borrowed m o ney................................................................................... 266,476 153,860 105,179 7,437 265,861 615

Occupancy expense of bank prem ises— n e t..................................................... 873,541 489,588 219,198 164,755 870,934 2,607

Furniture and e q u ip m e n t......................................................................................... 533,846 313,345 116,334 104,167 531,886 1,960

Other current operating expenses........................................................................ 2,202,601 1,266,128 480,520 455,953 2,195,231 7,370

Net current operating earn ing s.................................................................................. 5,227,969 3,002,228 1,347,231 878,510 5,217,137 10,832

Recoveries, transfers from valuation reserves, and profits—total.............. 417,624 252,755 98,755 66,114 416,272 1,352

On securities:

Profits on securities sold or re d e e m e d ............................................................ 150,238 91,305 29,572 29,361 149,858 380

R ecoveries................................................................................................................. 3,986 2,566 176 1,244 3,978 8

Transfers from valuation reserves........... .... 62,089 36,703 22,454 2,932 62,089

On loans:

Recoveries................................................................................................................. 14,307 6,700 1,625 5,982 14,269 38

Transfers from valuation re serves..................................................................... 44,439 28,715 5,619 10,105 44,420 19

All o th e r......................................................................................................................... 142,565 86,766 39,309 16,490 141,658 907

Losses, charge-offs, and transfers to valuation reserves—total................... 1,326,581 770,868 317,409 238,304 1,319,426 7,155

On securities:

Losses on securities s o ld ..................................................................................... 154,550 76,039 56,463 22,048 151,784 2,766

Charge-offs prior to sa le ..................................................................................... 8,403 4,472 906 3,025 8,403

Transfers to valuation reserves........................................................................ 74,572 52,165 11,686 10,721 74,572

On loans:

Losses and cha rge-offs......................................................................................... 28,341 13,564 1,594 13,183 28,338 3

Transfers to valuation reserves.......................................................................... 885,885 519,200 207,103 159,582 883,194 2,691

All o th e r......................................................................................................................... 174,830 105,428 39,657 29,745 173,135 1,695

Net income before related ta xe s................................................................................ 4,319,012 2,484,115 1,128,577 706,320 4,313,983 5,029

192 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes on net income—total..........................................................................................

F e d e ra l...................................................................................................................................................

S t a t e ........................................................................................................................................................

Net income after related ta x e s...................................................................................

Dividends and interest on capital—total................................................................

C a s h d iv id e n d s d e c la re d o n c o m m o n s t o c k .................................................................

D iv id e n d s d e c la re d o n p r e fe rr e d s to c k a n d in te r e s t o n c a p ita l n o te s a n d 

d e b e n tu r e s ......................................................................................................................................

1,177,154

1,020,988

156,166

680,154

594,209

85,945

325,190

269,971

55,219

171,810

156,808

15,002

1,175,919

1,019,796

156,123

1,235

1,192

43

3,141,858 1,803,961 803,387 534,510 3,138,064 3,794

1,426,202

1,342,538

83,664

842,490

794,308

48,182

404,345

374,914

29,431

179,367

173,316

6,051

1,422,080

1,338,416

83,664

4.122

4.122

Net additions to capital from incom e...................................................................... 1,715,656 961,471 399,042 355,143 1,715,984 328

N u m b e r o f b a n k in g e m p lo y e e s (e x c lu s iv e o f b u ild in g e m p lo y e e s ), D e c e m ­

b e r 30:

A c tiv e o f f ic e r s ....................................................................................................................................

O th e r e m p lo y e e s .............................................................................................................................

144,868

637,511

75,808

369,780

26,357

144,622

42,703

123,109

144,408

635,491

460

2,020

Memoranda

R e c o v e rie s c r e d ite d to v a lu a tio n re s e rv e s ( n o t in c lu d e d in re c o v e rie s a b o v e ): 

O n s e c u r it ie s ................................................................................................................................ 5,638

168,680

29,072

601,194

3,839

105,914

21,875

363,169

771

29,899

1,291

123,053

1,028

32,867

5,906

114,972

5,638

168,363

29,072

599,725

O n lo a n s .................................................................................................................................................

L o s s e s c h a rg e d to v a lu a tio n re s e rv e s ( n o t in c lu d e d in lo s s e s a b o v e ):

O n s e c u r it ie s .......................................................................................................................

317

O n lo a n s ................................................................................................................................................ 1,469

Occupancy expense of bank prem ises

Occupancy expense of bank prem ises, net—total.............................................

R e n ta l a n d o th e r in c o m e .............................................................................................................

Occupancy expense of bank prem ises, gross—total........................................

S a la rie s — b u ild in g d e p a r tm e n t o f f ic e r s .........................................................................

S a la rie s a n d w a g e s — b u ild in g d e p a r tm e n t e m p lo y e e s ..........................................

B u ild in g d e p a r tm e n t p e rs o n n e l b e n e fit s .....................................................................

R e c u rrin g d e p r e c ia tio n .............................................................................................................

M a in te n a n c e a n d r e p a ir s ...................................................................................................

In s u r a n c e a n d u t ilit ie s ..............................................................................................................

R e n ts p a id ...........................................................................................................................................

T a x e s .......................................................................................................................................................

873,541

186,244

1,059,785

3,574

103,430

12,989

189,818

128,505

177,785

295,006

148,678

489,588

121,929

611,517

2,175

62,132

7,981

115,361

78,470

100,445

156,241

88,712

219,198

46,160

265,358

949

26,155

3,939

42,433

26,528

42.457 

87,439

35.458

164,755

18,155

182,910

450

15,143

1,069

32,024

23.507 

34,883 

51,326

24.508

870,934

185,088

1,056,022

3,571

103,077

12,940

189,517

127,984

177,305

293,554

148,074

2,607

1,156

3,763

3

353

49

301

521

480

1,452

604

N u m b e r o f b u ild in g e m p lo y e e s , D e c e m b e r 30:

O ff ic e r s ................................................................................................................................................ 478

32,180

274

17,730

109

6,634

95

7,816

478

O th e r e m p lo y e e s ........................................................................................................................... 32,080 100

N u m b e r o f b a n k s , D e c e m b e r 3 0 .................................................................................... 13,517 4,758 1,312 7,447 13,419 98

These figures may differ slightly from those published by the Board of Governors of the Federal Reserve System and the Comptroller of the Currency because of differences in rounding techniques. 

Back figures, 1934-1966: See the Annual Report for 1966 pp. 162-163, and earlier reports.

INCOME OF INSURED BANKS 193

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Federal Reserve Bank of St. Louis
B A N K S G R O U P E D A C C O R D IN G T O A M O U N T OF D E P O S IT S 

( A m o u n ts in th o u s a n d s o f d o lla rs )

Table 116. INCOME OF INSURED COMMERCIAL BANKS OPERATING THROUGHOUT 1967 IN THE UNITED STATES (STATES AND

OTHER AREAS)

B a n k s w ith d e p o s its o f— 2

In c o m e ite m b a n k s 1 Less

than

$1,000,000

$1,000,000

to

$2,000,000

$2,000,000

to

$5,000,000

$5,000,000

to

$10,000,000

$10,000,000

to

$25,000,000

$25,000,000

to

$50,000,000

$50,000,000

to

$100,000,000

$100,000,000

to

$500,000,000

$500,000,000

or

more

Current operating revenue—total............................. 21,725,712 14,544 125,778 740,425 1,368,613 2,315,326 1,670,376 1,536,438 4,044,783 9,909,429

I n te r e s t o n U . S. G o v e r n m e n t o b lig a tio n s ............ 2,593,756 3,905 32,395 167,076 258,867 377,621 241,683 208,727 453,580 849,902

I n te r e s t a n d d iv id e n d s o n o th e r s e c u r it ie s .......... 1,899,401 675 7,315 52,171 117,870 217,315 160,145 148,197 362,541 833,172

I n te r e s t a n d d is c o u n t o n lo a n s .................................... 14,316,233 8,305 74,601 451,378 853,656 1,460,941 1,067,943 985,085 2,660,910 6,753,414

S e rv ic e c h a rg e s a n d fe e s o n lo a n s ............................ 294,176 91 532 4,354 10,701 25,225 21,804 25,468 64,642 141,359

S e rv ic e c h a rg e s o n d e p o s it a c c o u n ts ....................... 985,180 624 5,399 36,569 80,870 149,777 101,168 81,868 194,572 334,333

O th e r c h a rg e s , c o m m is s io n s , fe e s , e t c .................... 410,407 542 4,339 21,945 30,622 43,558 29,048 28,317 76,040 175,996

T r u s t d e p a r t m e n t ................................................................... 817,992 205 45 583 2,300 16,857 29,571 36,936 176,270 555,225

O th e r c u r r e n t o p e ra tin g r e v e n u e ................................. 408,567 197 1,152 6,349 13,727 24,032 19,014 21,840 56,228 266,028

Current operating expenses—total.......................... 16,508,575 10,881 94,091 564,106 1,052,269 1,796,353 1,301,188 1,210,252 3,074,033 7,405,402

S a la rie s — o f f ic e r s .................................................................... 1,670,204 3,898 26,344 116,223 162,204 226,596 147,867 127,953 299,869 559,250

S a la rie s a n d w a g e s — o th e r e m p lo y e e s .................... 2,855,091 1,163 10,136 70,006 150,778 277,221 214,467 201,200 579,855 1,350,265

O ffic e r a n d e m p lo y e e b e n e f it s ...................................... 664,970 351 2,854 17,128 34,051 60,847 46,889 44,852 134,308 323,690

F e e s p a id to d ir e c to rs a n d c o m m itt e e s .................. 91,882 327 2,499 12,266 17,330 20,842 10,546 7,176 11,655 9,241

In te r e s t o n t im e a n d s a v in g s d e p o s its .................... 7,362,516 2,545 31,619 222,691 442,928 780,495 564,511 534,447 1,282,000 3,501,280

In te r e s t o n b o rro w e d m o n e y .......................................... 265,861 11 136 703 1,655 3,146 4 642 5,838 31,354 218,376

O c c u p a n c y e x p e n s e o f b a n k p r e m is e s — n e t. . . . 870,934 637 4,314 27,076 54,460 95,598 69,856 68,295 168,351 382,347

F u r n itu r e a n d e q u ip m e n t .................................................. 531,886 278 2,431 16,329 32,775 57,999 45,148 46,329 123,993 206,604

O th e r c u r r e n t o p e ra tin g e x p e n s e s .............................. 2,195,231 1,671 13,758 81,684 156,088 273,609 197,262 174,162 442,648 854,349

Net current operating earn ing s................................. 5,217,137 3,663 31,687 176,319 316,344 518,973 369,188 326,186 970,750 2,504,027

Recoveries, transfers from valuation reserves,

and profits—total..................................................... 416,272 559 2,133 13,067 22,816 40,144 31,537 31,389 76,451 198,176

O n s e c u ritie s :

P ro fits o n s e c u r itie s s o ld o r r e d e e m e d ............... 149,858 317 463 3,707 9,426 17,194 13,802 13,910 37,890 53,149

R e c o v e r ie s .............................................................................. 3,978 9 36 181 618 1,168 498 423 327 718

T r a n s fe r s fro m v a lu a tio n r e s e r v e s ....................... 62,089 20 571 419 3,681

2,132

3,434

780

2,381

397

9,580

918

42,003

762

O n lo a n s :

R e c o v e r ie s .............................................................................. 14,269 197 1,123 4,153 3,807

T r a n s fe r s fro m v a lu a tio n r e s e r v e s .......................... 44,420 4 200 1,803 3,062 5,773 2,842 5,534 7,956 17,246

A ll o t h e r ......................................................................................... 141,658 32 291 2,652 5,484 10,196 10,181 8,744 19,780 84,298

Losses, charge-offs, and transfers to valuation

reserves—total.......................................................... 1,319,426 696 6,681 46,234 90,483 146,615 101,943 88,793 218,664 619,317

O n s e c u ritie s :

L o s s e s o n s e c u r itie s s o ld ............................................. 151,784 15 451 4,310 8,957 13,673 11,370 8,691 22,851 81,466

C h a rg e -o ffs p rio r to s a le ................................................ 8,403 6 53 884 1,777 2,651 783 341 516 1,392

T r a n s fe r s to v a lu a tio n r e s e r v e s ................................ 74,572 4 71 800 1,956 4,599 5,543 4,717 12,979 43,903

O n lo a n s :

L o s s e s a n d c h a r g e - o ffs .................................................. 28,338 342 2,001 8,158 8,218 6,009 1,692 886 809 223

T r a n s fe r s to v a lu a tio n r e s e r v e s ............................... 883,194 259 3,225 26.515 58,373 100,137 70,354 61,486 150,775 412,070

A ll o t h e r ......................................................................................... 173,135 70 880 5,567 11,202 19,546 12,201 12,672 30,734 80,263

Net income before related ta xe s ............................... 4,313,983 3,526 27,139 143,152 248,677 412,502 298,782 268,782 828,537 2,082,886

194 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes on net income—total......................................... 1,175,919

1,019,796

711 5,532

4,968

564

32,557

29,723

2,834

59,616

55,070

4,546

104,875

97,907

6,968

77,037

71,954

5,083

68,376

63,611

4,765

231,082

213,429

596,133

482,473

113,660

Federal........................................................................... 661

S ta te ............................................................................... 156,123 50 17.653

Net income after related taxes.................................. 3,138,064 2,815 21,607 110,595 189,061 307,627 221,745 200,406 597,455 1,486,753

Dividends and interest on capital—total...............

Cash dividends declared on com m on stock. .. .

Dividends declared on preferred stock and

interest on capital notes and debenture s.......

1,422,080

1,338,416

83,664

830

830

7,232

7,221

11

33,950

33,900

50

60,998

60,723

275

104,126

102,985

1,141

81,927

80,396

1,531

76,248

73,635

2,613

269,628

257,585

12,043

787.141

721.141

66,000

Net additions to capital from incom e..................... 1,715,984 1,985 14,375 76,645 128,063 203,501 139,818 124,158 327,827 699,612

N um ber of banking em ployees (exclusive of

building em ployees), Decem ber 30:

Active o ffic e rs .............................................................. 144,408 784 4,076 13,817

20,131

16,954

40,681

21,441

73,028

12,688

54,060

10,323

48,614

23,519 40,806

O ther em ployees......................................................... 635,491 451 3,478 130,911 264,137

Memoranda

Recoveries credited to valuation reserves (not

included in recoveries above):

On se cu ritie s................................................................ 5,638 1 26 180 722 310 727 1,988 1,684

On lo a n s ........................................................................ 168,363

29,072

46 1,190

1

6,869

184

15,074

163

25,364

1,029

77,908

14,535

617

13,251

2,174

48,858

29,799

2,976

110,133

62,235

21,928

245,557

Losses charged to valuation reserves (not included in losses above):

On securities................................................................

On loan s........................................................................ 599,725 158 2,603 19,068 43,949 51,491

Occupancy expense of bank prem ises

Occupancy expense of bank prem ises, net—

tota1............................................................................... 870,934

185,088

637 4,314

301

27,076

1,978

54,460

4,027

95,598

10,184

69,856

10,737

68,295

15,903

168,351

52,035

382,347

Rental and other incom e............................................. 21 89,902

Occupancy expense of bank prem ises, gross—

total........................................ .......... 1,056,022

3,571

658 4,615

77

29,054

55

58,487

39

105,782

54

80,593

89

84,198

189

220,386

878

472,249

............... 47 2,143Salaries— building departm ent o ffice rs

Salaries and wages— building departm ent

em ployees................................................................. 103,077 13 316 2,861 5,969 10,640 8,454 8,478 25,114 41,232

Building departm ent personnel benefits . .. 12,940 2 51 180 817 884 949 3,387

38,192

6,670

............................................. 189,517 59 798 6,273 12,514 22,023 15,173 15,055 79,430Recurring d e p re cia tio n

M aintenance and re p a irs......................................... 127,984 77 635 3,566 7,212 13,348 10,659 11,412 26,980 54,095

Insurance and u tilitie s .............................................. 177,305 297 1,785 7,810 12,739 20,033

22,081

16,786

13,736 12,561 32,899 75,445

151,309

61,925

Rents p a id .................................................................... 293,554 73 397 3,647 10,340 18,700 23,723

11,831

63,284

Taxes.............................................................................. 148,074 92 605 4,791 9,494 12,898 29,652

N um ber of building em ployees, December 30:

O fficers........................................................................... 478 12 44 24 43 28 25 115 187

Other em ployees......................................................... 32,080 60 609 2,901 3,406 4,041 2,754 2,720 7,027 8,562

Num ber of banks, December 30................................ 13,419 327 1,424 3,866 3,412 2,662 871 403 353 101

1 This group of banks is the same as the group shown in Table 115 under the heading "Operating throughout the year” .

2 For asset and liability data, see Table 109, p. 181.

3 The figures in this table may differ slightly from those published by the Board of Governors of the Federal Reserve System and the Comptroller of the Currency because of differences in rounding 

techniques. Back figures, 1941-1966: See the Annual Report for 1966, pp. 164-165, and earlier reports.

INCOME OF INSURED BANKS 195

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http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS

Table 117. RATIOS OF INCOME OF INSURED COMMERCIAL BANKS OPERATING THROUGHOUT 1967 IN THE UNITED STATES

(STATES AND OTHER AREAS) ’

Banks with deposits of— 2

Incom e item Less

than

$1,000,000

$1,000,000

to

$2,000,000

$2,000,000

to

$5,000,000

$5,000,000

to

$10,000,000

$10,000,000

to

$25,000,000

$25,000,000

to

$50,000,000

$50,000,000

to

$100,000,000

$100,000,000

to

$500,000,000

$500,000,000

or

more

Amounts per $100 of current operating revenue

Current operating revenue—total................................ 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Interest on U.S. G overnm ent o b lig a tio n s ............... 26.85 25.76 22.56 18.91 16.31 14.47 13.59 11.21 8.58

Interest and dividends on other se cu ritie s ............ 4.64 5.82 7.05 8.61 9.39 9.59 9.65 8.96 8.41

Incom e on lo a n s ............................................................. 57.73 59.73 61.55 63.16 64.19 65.24 65.77 67.38 69.58

Service charges on deposit a cco u n ts ...................... 4.29 4.29 4.94 5.91 6.47 6.06 5.33 4.81 3.37

Other service charges, com m issions, fees, e tc .... 3.73 3.45 2.96 2.24 1.88 1.74 1.84 1.88 1.78

Other current operating re venue............................... 2.76 .95 .94 1.17 1.77 2.91 3.83 5.75 8.29

Current operating expenses—total.............................. 74.81 74.81 76.19 76.89 77.59 77.90 78.77 76.00 74.73

Salaries, wages, and fe e s ............................................ 37.05 30.99 26.81 24.13 22.66 22.32 21.89 22.04 19.36

Officer and em ployee b e n e fits .................................. 2.41 2.27 2.31 2.49 2.63 2.81 2.92 3.32 3.27

Interest on tim e and savings d e p o s its .................... 17.50 25.14 30.08 32.36 33.71 33.80 34.78 31.70 35.33

Occupancy expense of bank prem ises— n e t........ 4.38 3.43 3.66 3.98 4.13 4.18 4.45 4.16 3.86

Furniture and e q u ip m e n t............................................ 1.91 1.93 2.21 2.39 2.50 2.70 3.02 3.07 2.08

Other current operating exp enses............................ 11.56 11.05 11.13 11.53 11.95 12.09 11.72 11.72 10.83

Net current operating earn ing s.................................... 25.19 25.19 23.81 23.11 22.41 22.10 21.23 24.00 25.27

Amounts per $100 of total assets2

Current operating revenue— to ta l.................................. 5.12 5.14 5.08 5.08 5.08 5.07 5.05 4.95 4.64

Current operating expenses— to ta l............................... 3.83 3.84 3.87 3.91 3.94 3.95 3.98 3.76 3.46

Net current operating ea rnings..................................... 1.29 1.29 1.21 1.17 1.14 1.12 1.07 1.19 1.17

Recoveries, transfers from valuation reserves, and

profits— to ta l.................................................................... .20 .09 .09 .08 .09 .10 .10 .09 .09

Losses, charge-offs, and transfers to valuation

reserves— to ta l................................................................ .25 .27 .32 .34 .32 .31 .29 .27 .29

Net incom e before related ta x e s ................................... 1.24 1.11 .98 .92 .91 .91 .88 1.01 .97

Net incom e after related ta xe s ...................................... .99 .88 .76 .70 .68 .67 .66 .73 .70

Memoranda

Recoveries credited to valuation reserves (n o t in ­

cluded in recoveries above):

On securities .................................................................. (3) (3) (3) (3) (3) (3) (3) (3)

On lo a n s............................................................................ .02 .05 .05 .06 .06 .04 .04 .04 .03

Losses charged to valuation reserves (not included

in losses above):

On secu ritie s.................................................................... (3) (3) (3) (3) (3) .01 (3) .01

On loan s............................................................................ .06 .11 .13 .16 .17 .16 .16 .13 .11

196 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Amounts per $100 of total capital accounts2

Net current operating ea rn in g s..................................... 9.88 11.93 12.93 14.35 14.96 15.48 15.09 16.17 15.67

Recoveries, transfers from valuation reserves, and

profits— to ta l.................................................................... 1.51 .80 .96 1.03 1.16 1.32 1.45 1.27 1.24

Losses, charge-offs, and transfers to valuation

reserves— to ta l................................................................ 1.88 2.51 3.39 4.10 4.23 4.27 4.11 3.64 3.88

Net incom e before related ta x e s .................................. 9.51 10.22 10.50 11.28 11.89 12.53 12.44 13.80 13.03

Taxes or net in co m e ......................................................... 1.92 2.08 2.39 2.70 3.02 3.23 3.16 3.85 3.73

Net incom e after ta x e s .................................................... 7.59 8.13 8.11 8.58 8.87 9.30 9.27 9.95 9.30

Cash dividends d e cla red................................................. 2.24 2.72 2.49 2.77 3.00 3.43 3.53 4.49 4.93

Net additions to capital from in co m e ......................... 5.35 5.41 5.62 5.81 5.87 5.86 5.74 5.46 4.38

Memoranda

Recoveries credited to reserve accounts (not included in recoveries above):

On secu ritie s...................................................... (3)

.45

(3)

.50

.01 .02 .01 .03 .03 .01

On lo a n s............................................................................ .12 .68 .73 .61 .61 .50 .39

Losses charged to reserve accounts (not included

in losses above):

On secu ritie s................................................................... (3)

.98

.01 .01 .03 .03 .10 .05 .14

On loan s............................................................................ .43 1.40 1.99 2.25 2.16 2.26 1.83 1.54

Special ratios2

Incom e on loans per $100 of lo a n s............................... 7.15 6.81 6.58 6.53 6.42 6.29 6.30 6.17 5.83

Incom e on U.S. G overnm ent obligations per $100 of

U.S. Governm ent ob lig a tio n s..................................... 4.72 4.56 4.48 4.39 4.23 4.18 4.10 4.01 4.15

1 ncome on other securities per $100 of other securities 2.29 2.71 2.75 2.86 2.94 3.00 3.05 3.11 3.29

Service charges per $100 of dem and d e posits........ .37 .43 .54 .68 .77 .71 .61 .50 .32

Interest paid per $100 of tim e and savings deposits 3.38 3.46 3.50 3.56 3.59 3.65 3.78 3.81 4.40

Occupancy expense of bank prem ises per $100

of current operating revenue

Occupancy expense of bank prem ises, net—total. 4.38 3.43 3.66 3.98 4.13 4.18 4.45 4.16 3.86

Rental and other in co m e ................................................ .14 .24 .27 .29 .44 .64 1.04 1.29 .91

Occupancy expense of bank prem ises, gross—total 4.52 3.67 3.92 4.27 4.57 4.82 5.48 5.45 4.77

Salaries and wages— building de partm ent officers

and em ployees........................................................... .41 .31 .39 .44 .46 .51 .56 .64 .44

B uilding de partm ent personnel b e n e fits ...............

Recurring d e p re cia tio n ................................................ .41 .63

.01

.85

.01

.91

.04

.95

.05

.91

.06

.98

.08

.94

.07

.80

M aintenance and re p a irs ............................................ .53 .50 .48 .53 .58 .64 .74 .67 .55

Insurance and u tilitie s ................................................. 2.04 1.42 1.05 .93 .87 .82 .82 .81 .76

Rents p a id ........................................................................ .50 .32 .49 .76 .95 1.12 1.54 1.56 1.53

T axes................................................................................. .63 .48 .65 .69 .72 .77 .77 .73 .62

N um ber of banks, Decem ber 30................................... 327 1,424 3,866 3,412 2,662 871 403 353 101

1 This group of banks is the same as the group shown in Table 115 under the heading “ Operating throughout the year.”

2 For asset and liability data, see Table 109, p. 181.

3 Less than .005.

Back figures, 1941-1966: See th e Annual Report for 1966, pp. 166-167, and earlier reports.

INCOME OF INSURED BANKS 197

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 118. INCOME OF INSURED COMMERCIAL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS),

BY STATE, 1967

(A m ounts in thousands o f dollars)

Incom e item

Total

United

States

Other areas 50 States

and

D.C.

Alabama Alaska Arizona Arkansas

California Colorado

Connecticut

Puerto

Rico

Virgin

Islands

C urrent operating revenue—total........................... 21,781,611 68,114 2,968 21,710,529 216,727 25,336 163,592 125,991 2,532,687 207,459 256,738

Interest on U. S. G overnm ent o b lig a tio n s ........ 2,601,900 5,482 327 2,596,091 34,218 3,374 13,487 17,278 204,248 23,815 21,907

Interest and dividends on oth er s e c u ritie s .... 1,904,886 3,455 295 1,901,136 19,497 1,428 11,252 12,697 222,240 12,145 23,784

Interest and discount on lo a n s............................. 14,351,421 47,315 1,743 14,302,363 136,944 15,358 114,697 83,379 1,710,815 134,209 166,610

Service charges and fees on lo a n s..................... 295,216 5,709 409 289,098 1,923 1,737 3,422 441 58,085 3,648 2,344

Service charges on deposit a c c o u n ts ................. 987,187 2,663 45 984,479 12,944 2,085 11,151 6,856 154,337 15,651 14,758

Other charges, com m issions, fees, e tc ............. 411,021 2,237 79 408,705 4,216 851 3,456 2,913 47,781 4,397 4,653

Trust d e p a rtm e n t...................................................... 820,269 57 820,212 4,339 148 3,963 1,099 68,668 8,739 20,014

Other current operating revenue......................... 409,711 1,196 70 408,445 2,646 355 2,164 1,328 66,533 4,855 2,668

Current operating expenses—total....................... 16,553,642 56,502 2,469 16,494,671 155,236 19,990 135,003 95,071 2,051,179 162,580 194,451

Salaries— o ffic e rs ....................................................... 1,674,955 5,565 232 1,669,158 21,041 2,937 14,080 14,342 191,586 19,825 22,247

Salaries and wages— other em ployees............. 2,862,941 11,933 562 2,850,446 28,550 4,671 26,213 15,100 359,117 28,264 42,019

O fficer and em ployee b e n e fits ............................. 667,345 2,664 125 664,556 6,792 706 5,160 3,456 76,699 5,830 10,023

Fees paid to directors and co m m itte e s ............. 92,074 183 10 91,881 1,369 61 244 1,337 1,952 1,329 1,150

Interest on tim e and savings d e p o sits............. 7,379,863 20,482 1,045 7,358,336 59,911 6,410 57,269 35,552 1,015,404 63,882 68,042

Interest on borrowed m o ney................................ 266,476 465 44 265,967 371 51 1683 713 36 484 946 888

Occupancy expense of bank prem ises— n e t.. . 873 541 3,222 66 870,253 7,372 1,364 8,147 5,409 113,101 10,027 13,024

Furniture and e q u ip m e n t...................................... 533,846 1,847 46 531,953 6,181 1,022 5,694 3,466 58,841 7,217 8,418

Other current operating exp enses....................... 2,202,601 10,141 339 2,192,121 23,649 2,768 16,513 15,686 207,995 25,260 28,640

Net current operating earn ing s............................... 5,227,969 11,612 499 5,215,858 61,491 5,346 28,589 30,920 471,508 44,879 62,287

Recoveries, transfers from valuation reserves,

and profits—total................................................... 417,624 2,322 104 415,198 5,581 494 2,425 2,002 54,116 3,693 2,975

On securities:

Profits on securities sold or re d e e m e d ........... 150,238 1,571 1 148,666 3,716 392 1,538 802 17,020 1,805 1,315

R ecoveries............................................................... 3,986 3,986 17 1 34 5 86 4

Transfers from valuation reserves................... 62,089 62,089 140 23 8,667 391 334

On loans:

R ecoveries............................................................... 14,307 90 14,217 223 328 955 331 11

Transfers from valuation reserves................... 44,439 165 44,274 566 5 13 349 1,023 99 100

All o th e r........................................................................ 142,565 496 103 141,966 919 97 873 466 26,446 981 1,211

Losses, charge-offs, and transfers to valuation

reserves—total........................................................ 1,326,581 3,716 203 1,322,662 13,297 2,046 14,241 8,038 158,244 10,887 14,556

On securities:

Losses on securities s o ld .................................... 154,550 479 2 154,069 702 35 947 616 17,810 632 500

Charge-offs prior to sale...................................... 8,403 8,403 134 140 44 60 6

Transfers to valuation reserves........................ 74,572 5 74,567 218 195 15,323 81 116

On loans:

Losses and cha rge-offs....................................... 28,341 410 27,931 495 7 479 1,838 905 4

Transfers to valuation reserves........................ 885,885 2,423 172 883,290 10,198 1,766 11,060 5,382 94,438 7,686 10,880

All o th e r........................................................................ 174,830 399 29 174,402 1,550 245 2,227 1,226 28,791 1,523 3,050

Net income before related ta xe s ............................. 4,319,012 10,218 400 4,308,394 53,775 3,794 16,773 24,884 367,380 37,685 50,708

198 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes on net income—total.......................................

Federal..........................................................................

S ta te ..............................................................................

1,177,154

1,020,988

156,166

458

379

79

47

47

1,176,649

1,020,562

156,087

15,430

13,005

2,425

1,198

1,193

5

3,397

2,989

408

5.457

5.457

92,044

55,418

36,626

11,741

9,575

2,166

15,263

9,287

5,976

Net income after related ta xe s ................................

Dividends and interest on capital—total..............

Cash dividends declared on com m on s to c k .. .

D ividends declared on preferred stock and interest on capital notes and debentures

Net additions to capital from incom e...................

N um ber o f banking em ployees (exclusive of

bu ilding em ployees), Decem ber 30:

Active o ffic e rs ............................................................

Other em ployees.......................................................

3,141,858 9,760 353 3,131,745 38,345 2,596 13,376 19,427 275,336 25,944 35,443

1,426,202

1,342,538

83,664

3,635

3,025

610

1,422,567

1,339,513

83,054

12,695

12,692

3

575

575

9,636 8,120

1,516

5,909

5,781

128

154,461

140,368

14,093

11,999

11,632

367

17,357

16,655

702

1,715,656

144,868

637,511

6,125

586

3,075

353

19

136

1,709,178

144,263

634,300

25,650

1,928

7,642

2,021

180

838

3,740

1,241

5,806

13,518

1,516

4,049

120,875

16,887

72,124

13,945

1,732

11,956

18,086

1,680

8,881

Memoranda

Recoveries credited to valuation reserves (not

included in recoveries above):

On s e cu ritie s .............................................................. 5,638

168,680

29,072

601,194

5,638

167,335

29,072

598,438

127

2,692

79

10,789

8

1,608

5

3,738

525

18,902

14,758

85,888

30

1,192

122

7,110

On lo a n s .............................................................

Losses charged to valuation reserves (not included in losses above):

On s e cu ritie s..............................................................

1,272 73 418 2,223 2,305

On lo a n s....................................................................... 2,629 127 1,911 8,944 6,865

Occupancy expense of

bank prem ises

Occupancy expense of bank prem ises, n e ttotal .........................................................................

Rental and other in co m e...........................................

Occupancy expense of bank prem ises, gross—

total.............................................................................

Salaries— building de partm ent o ffice rs .............

Salaries and wages— building departm ent

e m ployees...............................................................

B uilding d e partm ent personnel b e n e fits .........

Recurring d e p re cia tio n ............................................

M aintenance and re p a irs .......................................

Insurance and u tilitie s ............................................

Rents p a id ...................................................................

Taxes..............................................

873,541

186,244

1,059,785

3,574

103,430

12,989

189,818

128,505

177,785

295,006

148,678

3,222

459

3,681

17

239

35

486

479

551

1,645

229

66

5

71

8

6

13

41

3

870,253

185,780

1,056,033

3,557

103,191

12,954

189,324

128,020

177,221

293,320

148,446

7,372

763

8,135

26

863

83

1,514

893

1,473

2,897

386

1,364

384

1,748

2

36

11

396

424

363

275

241

8,147

1,472

9,619

61

612

98

1,670

856

2,255

3,139

928

5,409

660

6,069

14

712

66

1,798

543

1,186

926

824

113,101

12,287

125,388

453

4,672

731

15,581

19,517

16,344

53,512

14,578

10,027

3,436

13,463

41

1,144

118

1,633

1,397

2,029

5,560

1,541

13,024

1,845

14,869

27

1,233

156

2,575

1,614

3,011

4,062

2,191

Num ber of building em ployees, December 30:

O fficers.................................................. 478

32,180

3

69

475

32,111

13

371

5

140

3

328

31

981

6

298

3

Other em ployees............................. 7 333

N um ber o f banks, Decem ber 30.......................... 13,517 7 1 13,509 266 10 17 245 172 217 64

INCOME OF INSURED BANKS 199

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
( A m o u n ts in th o u s a n d s o f d o lla rs )

Table 118. INCOME OF INSURED COMMERCIAL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS), ^

BY STATE, 1967— CONTINUED g

In c o m e ite m D e la w a re

D is tric t

o f

C o lu m b ia

F lo rid a G e o rg ia H a w a ii Id a h o Illin o is In d ia n a Io w a K a n s a s K e n tu c k y

Current operating revenue—total......................... 64,347 137,038 515,304 358,651 77,298 62,920 1,580,718 450,829 274,232 213,646 209,492

I n te r e s t o n U . S. G o v e r n m e n t o b li g a t i o n s . .. . 7,413 25,084 84,751 39,739 6,113 7,018 237,722 84,243 46,549 41,212 38,152

I n te r e s t a n d d iv id e n d s o n o th e r s e c u r it ie s . .. 7,069 5,905 52,358 23,820 5,735 4,245 150,694 32,448 22,735 19,294 17,346

I n te r e s t a n d d is c o u n t o n lo a n s ................................ 36,701 86,792 296,552 229,398 53,899 42,615 1,000,079 282,974 177,990 131,115 131,863

S e rv ic e c h a rg e s a n d fe e s o n lo a n s ....................... 1,077 2,477 9,548 8,210 3,768 1,136 14,598 4,552 1,151 1,042 2,255

S e rv ic e c h a rg e s o n d e p o s it a c c o u n ts .................. 1,611 7,241 35,724 24,141 2,752 5,043 45,993 18,404 13,264 12,554 7,849

O th e r c h a rg e s , c o m m is s io n s , fe e s , e t c ............. 713 1,330 10,365 16,939 2,776 1,834 19,890 11,825 5,999 4,015 2,593

T r u s t d e p a r t m e n t .............................................................. 8,375 7,443 15,232 11,089 781 445 71,407 11,296 3,650 2,249 6,925

O th e r c u r r e n t o p e r a tin g r e v e n u e ........................... 1,388 766 10,774 5,315 1,474 584 40,335 5,087 2,894 2,165 2,509

Current operating expenses—total..................... 41,005 95,814 406,852 269,908 59,128 48,216 1,193,290 339,115 208,105 150,918 150,496

S a la rie s — o f f ic e r s ............................................................... 5,746 9,903 45,579 32,552 5,760 6,313 110,466 40,702 36,171 27,519 20,777

S a la rie s a n d w a g e s — o th e r e m p lo y e e s .............. 10,063 18,392 73,573 51,652 11,086 8,366 181,569 58,802 28,378 21,587 25,103

O ffic e r a n d e m p lo y e e b e n e fit s ................................ 2,127 3,101 14,262 12,618 3,465 2,061 45,015 12,394 7,234 5,288 5,475

F e e s p a id to d ir e c to rs a n d c o m m itt e e s .............. 282 583 3,399 2,663 312 181 6,950 3,059 1,615 1,851 1,736

In te r e s t o n t im e a n d s a v in g s d e p o s its .............. 12,097 39,657 162,923 95,802 24,042 19,772 575,462 133,633 87,068 59,919 59,483

In te r e s t o n b o rro w e d m o n e y ..................................... 60 820 2,789 2,321 134 132 27,468 4,640 1,018 561 508

O c c u p a n c y e x p e n s e o f b a n k p r e m is e s — n e t. . 2,497 6,022 20,186 17,065 3,416 2,261 50,499 18,109 9,921 7,291 7,681

F u r n itu r e a n d e q u ip m e n t ............................................ 2,216 3,459 19,360 10,939 2,737 2,333 32,710 12,516 7,167 5,376 5,756

O th e r c u r r e n t o p e r a tin g e x p e n s e s ......................... 5,917 13,877 64,781 44,296 8,176 6,797 163,151 55,260 29,533 21,526 23,977

Net current operating earn ing s............................. 23,342 41,224 108,452 88,743 18,170 14,704 387,428 111,714 66,127 62,728 58,996

Recoveries, transfers from valuation reserves,

and profits—total................................................. 1,711 3,280 7,996 10,837 800 749 36,081 16,682 4,595 3,709 4,259

O n s e c u ritie s :

P r o fits o n s e c u r itie s s o ld o r r e d e e m e d ............. 969 927 2,926 4,888 500 67 11,490 4,824 2,480 1,584 1,455

R e c o v e r ie s .......................................................................... 2 8 88 50 2 777 56 15 24 37

T r a n s fe r s fro m v a lu a tio n r e s e r v e s ..................... 108 289 367 222 6,100 3,858 149 251 324

O n lo a n s :

R e c o v e r ie s .......................................................................... 53 69 278 176 1 73 592 389 376 602 209

T r a n s fe r s fro m v a lu a tio n r e s e r v e s ..................... 253 40 732 3,662 7 1,201 2,100 925 161 403

A ll o t h e r .................................................................................... 326 2,236 3,683 1,694 299 378 15,921 5,455 650 1,087 1,831

Losses, charge-offs, and transfers to valuation

reserves—total...................................................... 2,512 9,555 32,300 22,979 4,555 4,200 86,115 31,475 14,404 14,355 14,982

O n s e c u ritie s :

L o s s e s o n s e c u r itie s s o ld ......................................... 377 724 3,827 1,145 410 1,375 11,931 2,309 2,093 1,168 710

C h a rg e -o ffs p rio r to s a le ........................................... 1 2 57 96 1,199 266 198 353 334

T r a n s fe r s to v a lu a tio n r e s e r v e s ......................... 54 503 428 28 6,655 5,583 311 189 1,014

O n lo a n s :

L o s s e s a n d c h a r g e - o f fs ............................................. 43 431 1 946 396 332 1 198 547 552 1,287 631

T r a n s fe r s to v a lu a tio n r e s e r v e s ........................... 1,457 7,494 21,857 16,199 3,598 2,205 55,244 19,349 9,378 8,790 9,161

A ll o t h e r .................................................................................... 634 850 4,110 4,715 547 260 9,888 3,421 1,872 2,568 3,132

Net income before related ta xe s........................... 22,541 34,949 84,148 76,601 14,415 11,253 337,394 96,921 56,318 52,082 48,273

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes on net incom e— to ta l. . .

F e d e ra l............................................... . .

S t a t e ..................................................................

8,103

7.544

559

13.886

13.886

19.020

19.020

21.418

21.418

3,865

3.070

795

3,536

2.793

743

92.546

92.546

27.171

27.171

13.512

13.512

14,137

12,610

1.527

14.279

14.279

Net incom e a fte r related ta x e s .......... 14,438 21,063 65,128 55,183 10,550 7,717 244,848 69,750 42,806 37,945 33,994

D ividends and in te re s t on ca p ita l— to ta l......... 8,049 10,662 21,646 22,149 7,020 3,842 82,809 21,455 14,425 12,195 11,953

C a s h d iv id e n d s d e c la re d o n c o m m o n s to c k . . 8.049 10.068 20.971 ' 19,605 5.728 3.689 82.481 20.723 14,398 12.061 11.797

D iv id e n d s d e c la re d o n p re fe rre d s to c k a n d in ­

te re s t o n c a p ita l n o te s a n d d e b e n tu re s . . . 594 675 ' 2.544 1.292 153 328 732 27 134 156

Net ad ditio ns to ca p ita l fro m incom e 6,389 10,401 43,482 33,034 3,530 3,875 162,039 48,295 28,381 25,750 22,041

N u m b e r o f b a n k in g e m p lo y e e s ( e x c lu s iv e o f 

b u ild in g e m p lo y e e s ), D e c e m b e r3 0 :

A c tiv e o f f ic e r s ........................................................................ 453 697 4.252 2.965 501 573 ■ 8.521 3.615 3.585 2,755 2.314

O th e r e m p lo y e e s .................................................................. 2.328 3.783 18.330 11,695 | 2.421 2.030 38.107 14,340 7.671 5.608 6.775

M em oranda

R e c o v e rie s c r e d ite d to v a lu a tio n re s e rv e s (n o t 

in c lu d e d in re c o v e rie s a b o v e ):

O n s e c u r it ie s .........................................................................

O n lo a n s ................................................................................... ’ 85 622

i 48 

4.530

125

! 2.720 389' 198

104

11.872

52

5.078

4

2.092

28

2,410

24

1.444

L o s s e s c h a rg e d to v a lu a tio n re s e rv e s (n o t in ­

c lu d e d in lo s s e s a b o v e ):

O n s e c u r it ie s .........................................................................

O n lo a n s ............................................................................ 328 5.281

28

20,617

79

7.266

11

2.321 1.026

730

42.925

926

12.836

52

4.933

7

7.250

165

5.066

O ccupancy expense of

bank prem ises

Occupancy expense of bank prem ises, n e ttotal ........................................................................... 2,497 6,022 20,186 17,065 3,416 2,261 50,499 18,109 9,921 7,291 7,681

R e n ta l a n d o th e r in c o m e .................................................... 271 1.179 6.211 2.472 ! 1.336 371 8,310 3.379 1.404 1.455 1.429

Occupancy expense of bank prem ises, g ro s s -

total ........................................................................... 2,768 7,201 26,397 19,537 4,752 2,632 58,809 21,488 11,325 8,746 9,110

S a la rie s — b u ild in g d e p a r tm e n t o f f ic e r s ............... 2 103 38 56 5 112 50 28 68 12

S a la rie s a n d w a g e s — b u ild in g d e p a rtm e n t 

e m p lo y e e s ............................................................................ 182 1.239 2.411 1.352 231 235 8.929 2.912 1.425 1.041 1.338

B u ild in g d e p a r tm e n t p e rs o n n e l b e n e fit s ........... 29 110 279 137 62 15 936 266 110 58 105

R e c u rrin g d e p r e c ia tio n .................................................... 371 : 972 4.815 2.792 705 635 10.345 4.081 2.251 1.810 1.724

M a in te n a n c e a n d r e p a ir s ............................................... 234 I 722 3.708 2.214 561 242 7.671 2.996 1.408 1.136 1.233

In s u ra n c e a n d u t ilit ie s ..................................................... 421 996 5,056 2.983 959 511 7.829 3.779 2.091 1.776 1.758

R e n ts p a id ................................................................................ 1.367 2.377 5,577 6,492 1.760 658 14.261 4,727 2.402 1.742 1.804

T a x e s ........................................................................................... 164 783 4,448 3.529 418 331 8.726 2.677 1.610 1.115 1.136

N u m b e r o f b u ild in g e m p lo y e e s , D e c e m b e r 30: 

O ff ic e r s ............................................... . . . 1 9 3 4 1 13 10 9 7 6

O th e r e m p lo y e e s .................................................................. 47 296 674 486 86 66 2.200 1.031 796 483 583

N u m b e r o f b a n k s , D e c e m b e r 3 0 .................................... 19 14 447 408 7 26 1,062 413 661 600 340

INCOME OF INSURED BANKS 201

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 118. INCOME OF INSURED COMMERCIAL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS),

BY STATE, 1967— CONTINUED

(A m ounts in thousands o f dollars)

Incom e item Louisiana Maine

Maryland

M assachusetts

M ichiganM innesota

M ississippi M issouriM ontana Nebraska Nevada

Current operating revenue—total......................... 275,318 62,138 232,591 531,988 951,771 411,248 136,202 508,702 75.558 152,103 51,444

Interest on U. S. G overnm ent o b lig a tio n s .... 46,926 6,072 30,842 47,126 124,408 60,709 18,547 82.472 12,068 21,795 6,437

Interest and dividends on other s e c u ritie s ... 24,025 5,520 16,598 37,122 87,102 38,054 14,327 49,870 5,910 11,400 4,018

Interest and discount on lo a n s........................... 172,128 42,343 152,545 345,292 641,217 253,800 86,277 323,813 47,901 101,297 33,264

Service charges and fees on lo a n s ................... 2,527 697 5,238 5,346 15,672 3,451 629 3,705 1,044 652 1,370

Service charges on deposit a cco u n ts............... 15,386 3,618 15,970 29,861 34,289 21,225 8,091 18,684 5,069 7,549 3,488

Other charges, com m issions, fees, e tc........... 8,254 746 4,386 21,460 13,485 19,241 5,426 7,348 2,111 4,169 664

Trust d e p a rtm e n t.................................................... 2,092 2,412 4,622 32,276 25,337 10,610 1,178 12,842 721 2,974 1,304

Other current operating re venue....................... 3,980 730 2,390 13,505 10,261 4,158 1,727 9,968 734 2,267 899

Current operating expenses—total..................... 204,215 48,244 166,732 382,317 785,596 321,538 99,666 369,675 58,571 111,486 40,327

Salaries— o ffic e rs ..................................................... 22,892 5,446 15,780 40,456 52,191 41,179 14,261 43,198 8,726 20,900 4,694

Salaries and wages— other em ployees........... 34,791 9,729 36,318 89,548 125,696 43,652 17,430 59,931 8,046 15,974 7,217

O fficer and em ployee b e n e fits ........................... 7,116 1,990 7,137 19,667 26,240 11,423 4,481 11,957 2,523 4,724 1,182

Fees paid to directors and co m m itte e s ........... 2,498 455 1,239 1,775 3,067 2,670 1,244 3,122 508 1,302 118

Interest on tim e and savings d e p o s its ........... 76,854 17,267 59,567 117,480 421,872 152,817 34,161 163,140 22,910 40,734 16,228

Interest on borrowed m o n e y.............................. 2,820 263 2,080 8,646 9,928 3,218 1,476 4,826 750 936 97

O ccupancy expense of bank prem ises— n e t.. 12,506 2,960 11,342 26,202 36,123 13,669 4,172 16,950 2,736 5,185 2,863

Furniture and e q u ip m e n t.................................... 8,086 1,902 7,227 16,210 19,983 9,380 4,683 12,430 1,917 4,761 1,808

Other current operating exp enses..................... 36,652 8,232 26,042 62,333 90,496 43,530 17,758 54,121 10,455 16,970 6,120

Net current operating earn ing s............................. 71,103 13,894 65,859 149,671 166,175 89,710 36,536 139,027 16,987 40,617 11,117

Recoveries, transfers from valuation reserves,

and profits—total................................................. 6,314 1,080 3,684 47,742 10,648 3,752 4,323 12,683 1,574 3,532 2,449

On securities:

Profits on securities sold or re d e e m e d........ 3,993 685 1,920 4,338 4,300 1,343 857 4,752 377 1,914 1,334

R ecoveries............................................................. 7 2 86 49 16 285 481 100 316 63

Transfers from valuation reserves................. 731 48 317 12,559 742 272 734 5,415 243 332 928

On loans:

R ecoveries............................................................. 283 28 87 202 189 474 262 425 312 208

Transfers from valuation reserves................. 236 96 512 8,725 1,803 402 1,026 1,037 125 576

All o th e r...................................................................... 1,064 221 762 21,869 3,598 976 963 954 201 439 187

Losses, charge-offs, and tran sfers to valuation

reserves—total...................................................... 23,742 3,060 13,376 41,454 52,580 22,199 13,516 27,879 3,818 9,101 5,191

On securities:

Losses on securities s o ld .................................. 1,244 375 695 1,051 8,746 2,873 719 2,927 280 606 840

Charge-offs prior to sa le .................................... 204 16 75 13 103 417 841 333 163 358

Transfers to valuation reserves...................... 2,664 4 1,190 1,663 359 116 1,955 3,157 443 825 393

On loans:

Losses and cha rge-offs ..................................... 671 2 242 97 391 1,101 604 1,077

17,966

405 454

Transfers to valuation re serves...................... 14,839 2,105 7,698 25,604 38,290 15,348 7,947 1,916 5,661 3,456

All o th e r...................................................................... 4,120 558 3,476 13,026 4,691 2,344 1,450 2,419 611 1,197 502

Net income before related ta xe s........................... 53,675 11,914 56,167 155,959 124,243 71,263 27,343 123,831 14,743 35,048 8,375

202 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes on net income—total................

Federal...................................................

S ta te .......................................................

15.708

15.708

2.315

2.315

20.003

20.003

45,254

34,090

11,164

17.412

17.412

21,267

14,449

6,818

6.709

6.709

35,203

32,646

2,557

4,262

4,034

228

10.141

10.141

1.156

1.156

Net income after related taxe s..............................

Dividends and interest on capital—total............

Cash dividends declared on com m on stock..

Dividends declared on preferred stock and intere st on capital n'otes and d e benture s___

Net additions to capital from incom e.................

37,967 9,599 36,164 110,705 106,831 49,996 20,634 88,628 10,481 24,907 7,219

14,897

14,305

592

4,337

4,256

81

14,891

14,349

542

39,009

38,909

100

46,439

43,941

2,498

21,482

21,295

187

8,362

8,064

298

34,956

33,499

1,457

6,026

6,026

9,728

9,570

158

3,665

3,304

361

23,070 5,262 21,273 71,696 60,392 28,514 12,272 53,672 4,455 15,179 3,554

N um ber of banking em ployees (exclusive of

building em ployees), Decem ber 30:

Active o ffic e rs .........................................................

Other em ployees.....................................................

2,006

8,399

537

2,443

1,450

8,586

3,229

19,309

4,106

27,511

3,838

10,926

1,396

4,471

4,087

14,819

782

1,950

2,169

4,265

468

1,663

Memoranda

Recoveries credited to valuation reserves (not

included in recoveries above):

On se cu ritie s.......................................................

On lo a n s.....................................................................

Losses charged to valuation reserves (not included in losses above):

On secu ritie s.............................................................

On lo a n s...................................................................

1

3,012

147

10,684

1

498

3

1,632

3

968

12

3,843

535

4,256

162

16,814

2

7,443

13

27,682

6

2,350

5,482

114

1,158

790

4,317

113

2,921

2,910

10,535

4

1,558

4

1,975

33

1,874

3,680

302

9

2,780

Occupancy expense of

bank prem ises

Occupancy expense of bank prem ises, nettotal ...........................................................................

Rental and other in co m e .........................................

Occupancy expense of bank prem ises, grosstotal ...........................................................................

Salaries— bu ilding departm ent o ffic e rs ...........

Salaries and wages— building departm ent

em ployees.............................................................

B uilding de partm ent personnel benefits

Recurring d e p re cia tio n ..........................................

M aintenance and re p a irs.....................................

Insurance and u tilitie s ..........................................

Rents p a id .................................................................

T axes..........................................................................

12,506

2,679

15,185

34

1,753

167

2,294

1,650

2,672

3,494

3,121

2,960

550

3,510

5

493

40

637

341

596

914

484

11,342

1,402

12,744

14

691

119

2,484

1,890

2,243

4,134

1,169

26,202

3,752

29,954

186

2,701

446

4,543

3,027

5,460

8,579

5,012

36,123

4,275

40,398

208

5,114

661

7,818

6.328

6,669

8,271

5.329

13,669

5,265

18,934

35

1,496

89

2,857

2,325

3,673

5,664

2,795

4,172

1,981

6,153

1

624

72

918

1,053

1,318

827

1,340

16,950

2,310

19,260

81

2,474

284

4,430

2,751

3,649

3,830

1,761

2,736

672

3,408

440

43

724

366

554

507

774

5,185

1,271

6,456

48

789

84

1,102

736

1,115

1,721

861

2,863

704

3,567

18

311

3

766

320

644

1,057

448

N um ber of building em ployees, Decem ber 30:

O fficers.......................................................................

Other em ployees.....................................................

5

536

1

230

1

295

46

745

26

1,500

6

701

2

264

11

872 187

7

403

2

76

N um ber of banks, Decem ber 3*0............................ 225 41 121 154 339 719 188 656 132 433 9

INCOME OF INSURED BANKS 203

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 118. INCOME OF INSURED COMMERCIAL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS),

BY STATE, 1967— CONTINUED

(A m ounts in thousands of dollars)

Incom e item

New

H am pshire

New

Jersey

New

Mexico

New

York

North

Carolina

North

Dakota

Ohio Oklahoma

Oregon Pennsylvania

Rhode

Island

Current operating revenue—total......................... 43,882 648,760 65,731 4,009,286 325,087 63,694 974,450 234,568 199,420 1,322,169 86,810

Interest on U. S. G overnm ent o b lig a tio n s ... . 4,062 69,647 9,089 337,821 30,614 12,531 147,974 35,746 21,109 146,264 6,503

Interest and dividends on other s e c u ritie s ... 2,533 72,750 4,383 331,221 34,098 6,960 100,727 19,697 16,378 118,854 8,591

Interest and discount on lo a n s........................... 31,878 429,061 43,251 2,759,938 207,251 36,554 620,639 151,413 131,034 897,420 59,110

Service charges and fees on loan s................... 333 8,238 570 43,667 9,744 430 7,976 1,958 3,560 13,886 705

Service charges on deposit a cco u n ts............... 3,011 34,899 4,984 101,549 16,946 3,102 41,681 14,545 16,596 38,384 3,574

Other charges, com m issions, fees, e tc ........... 644 8,466 1,614 54,515 12,098 3,206 12,349 4,356 2,447 14,316 994

Trust d e p a rtm e n t.................................................... 742 19,489 875 261,768 9,593 437 33,575 3,824 4,562 71,633 6,099

Other current operating re ve n u e....................... 679 6,210 965 118,807 4,743 474 9,529 3,029 3,734 21,412 1,234

Current operating expenses—total....................... 33,510 508,906 51,148 2,929,361 253,729 49,379 724,724 173,552 163,277 993,485 64,181

Salaries— o ffic e rs ..................................................... 4,049 46,642 7,201 209,121 30,743 7,660 63,957 28,242 19,249 86,922 4,876

Salaries and wages— other em ployees........... 5,584 94,984 9,480 540,943 48,435 5,695 118,370 27,273 28,319 165,204 11,201

Officer and em ployee b e n e fits ........................... 1,245 21,833 1,596 141,783 10,912 1,805 24,021 6,464 5,959 43,944 3,762

Fees paid to directors and co m m itte e s............ 401 3,530 469 5,946 1,154 591 3,749 1,633 359 6,676 280

Interest on tim e and savings d e p o sits ........... 13,630 220,261 17,771 1,381,873 101,720 23,640 345,350 67,458 76,797 459,677 31,363

Interest on borrowed m o ney.............................. 87 1,671 175 88,553 2,582 88 8,143 1,928 1,111 15,079 552

Occupancy expense of bank prem ises— n e t.. 1,814 30,691 2,878 171,503 13,073 2,135 30,821 9,046 8,581 49,483 3,253

Furniture and e q u ip m e n t.................................... 1,207 17,473 2,358 68,047 9,733 1,375 20,759 6,687 5,532 34,134 1,907

Other current operating exp enses..................... 5,493 71,821 9,220 321,592 35,377 6,390 109,554 24,821 17,370 132,366 6,987

Net current operating earn ing s............................. 10,372 139,854 14,583 1,079,925 71,358 14,315 249,726 61,016 36,143 328,684 22,629

Recoveries, transfers from valuation reserves,

and profits—total.................................................. 1,608 13,924 1,545 37,900 7,999 633 20,909 4,196 1,391 16,840 1,153

On securities:

Profits on securities sold or re d e e m e d ......... 319 4,866 293 13,478 4,154 339 7,885 1,780 744 7,388 815

Recoveries . . . . 57 84 371 16 9 122 22 8 60

Transfers from valuation reserves 499 3,620 25 2,699 1,344 3,299 667 4,067

On loans:

R ecoveries............................................................. 54 363 113 499 47 82 332 928 54 409 4

Transfers from valuation reserves................. 48 1,862 202 3,438 549 30 4,321 146 4 1,583 50

All o th e r...................................................................... 631 3,129 912 17,415 1,889 173 4,950 653 581 3,333 284

Losses, charge-offs, and tran sfers to valuation

reserves—total...................................................... 2,411 32,035 4,365 240,397 17,171 2,552 57,365 17,385 12,076 79,881 5,386

On securities:

Losses on securities s o ld .................................. 262 4,640 574 35,590 1,333 502 9,577 596 333 15,533 180

C harge-offs prior to sale . . . 23 89 10 609 61 54 185 94 340

Transfers to valuation reserves .......... 55 462 77 3,202 924 2 10,318 591 3,078 50

On loans:

Losses and charge-offs 82 435 161 137 185 184 719 1,770 115 591

Transfers to valuation reserves...................... 1,733 19,972 2,676 182,381 11,636 1,444 32,125 12,911 7,160 53,157 4,169

All o th e r...................................................................... 256 6,437 867 18,478 3,032 366 4,441 1,423 4,468 7,182 987

Net income before related ta x e s ........................... 9,569 121,743 11,763 877,428 62,186 12,396 213,270 47,827 25,458 265,643 18,396

204 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes on net income—total......................................

Federal..........................................................................

S ta te ..............................................................................

2.965

2.965

22.406

22.406

2.694

2.694

264,794

194,913

69,881

15,411

13,447

1,964

3,144

2,806

338

56.582

56.582

13,670

12,015

1,655

7,325

4,862

2,463

65.661

65.661

5,099

4,021

1,078

Net income after related ta xe s ................................

Dividends and interest on capital—total..............

Cash dividends declared on com m on s to c k .. .

Dividends declared on preferred stock and in ­

te re st on capital notes and d e b e n tu re s ....

Net additions to capital from incom e...................

6,604 99,337 9,069 612,634 46,775 9,252 156,688 34,157 18,133 199,982 13,297

2,182

2,182

42,743

40,649

2,094

3,641

3,551

90

345,237

304,096

41,141

18,084

16,669

1,415

3.756

3.756

61,932

60,621

1,311

16,094

15,162

932

10,907

10,854

53

104,475

102,831

1,644

6.607

6.607

4,422 56,594 5,428 267,397 28,691 5,496 94,756 18,063 7,226 95,507 6,690

N um ber o f banking em ployees (exclusive of

building em ployees), Decem ber 30:

Active o ffic e rs .............................................................

Other e m ployees.......................................................

374

1,458

3,811

21,478

658

2,300

13,466

97,914

2,907

12,851

789

1,596

5,305

26,920

2,662

6,803

1,868

6,343

7,670

37,518

403 ^

2,683 ^

Memoranda

Recoveries credited to valuation reserves (not

included in recoveries above):

On se cu ritie s............................................................... 617

25,282

2,421

97,937

435

1,152

2,138

4,186

351

7,424

1,662

17,994

8

4,111

24

12,433

93

7,889

113

25,265

O

m

On lo a n s.......................................................................

Losses charged to valuation reserves (not included in losses above):

On se cu ritie s...............................................................

On lo a n s.......................................................................

313

9

999

4,558

7

15,148

1,485

2

4,181

281

1,076

856

3,720

546

40

2,096 c:

Occupancy expense of

bank prem ises

Occupancy expense of bank prem ises, net—

total.............................................................................

Rental and other in co m e ...........................................

Occupancy expense of bank prem ises, g ro sstotal .............................................................................

Salaries— building de p a rtm e n t o ffic e rs .............

Salaries and wages— building departm ent

em ployees...............................................................

B uilding d e partm ent personnel b e n e fits .........

Recurring d e p re cia tio n ............................................

M aintenance and re p a irs .......................................

Insurance and u tilitie s ............................................

Rents p a id ...................................................................

T a xes.............................................................................

1,814

205

2,109

208

14

362

200

310

550

375

30,691

3,432

34,123

44

3,356

474

5,889

5,461

5,204

7,135

6,560

2,878

573

3,451

2

471

57

672

381

496

1,003

369

171,503

32,889

204,392

559

14,534

2,676

38,321

17,982

35,716

63,416

31,188

13,073

2,199

15,272

41

1,429

150

2,557

1,722

2,855

5,281

1,237

2,135

488

2,62310

293

22

611

199

608

484

396

30,821

13,702

44,523

193

6,623

685

7,927

6,229

7,349

12,004

3,513

9,046

3,972

13,018

37

1,580

158

2,570

1,349

2,380

4,031

913

8,581

351

8,932

92

741

97

2,308

1,556

1,580

1,296

1,262

49,483

7,301

56,784

303

8,742

1,268

10,845

6,017

9,156

13,973

6,480

73

m

D

3,253 00

1,716 >

4,969 £

49

1,117

236

734

475

605

920

833

Num ber of building em ployees, Decem ber 30:

O fficers.........................................................................

Other em ployees....................................................... 92

5

913 147

95

2,949

3

599

6

175

17

2,135

7

578

7

205

30

2,800

4

305

Num ber of banks, Decem ber 30.............................. 73 225 64 303 127 166 530 421 47 512 12 IS)

O

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 118. INCOME OF INSURED COMMERCIAL BANKS IN THE UNITED STATES (STATES AND OTHER AREAS),

BY STATE, 1967— CONTINUED

(A m ounts in thousands o f dollars)

South South Ten­ W ash­ West W isIncom e item Carolina Dakota nessee Texas Utah Verm ont Virginia ington Virginia consin W yoming

Current operating revenue—total........................... 101,884 71,524 308,858 1,063,855 92,653 39,000 360,327 283,296 116,463 400,300 36,444

Interest on U. S. G overnm ent o b lig a tio n s........ 13,150 13,982 41,927 127,051 8,577 3,988 42,103 27,447 24,547 72,234 6,000

Interest and dividends on other securities. .. . 9,274 5,111 27,373 97,316 8,484 2,900 28,686 22,619 9,475 32,899 2,169

Interest and discount on lo a n s ............................ 65,115 44,006 208,333 718,324 60,682 28,169 242,599 185,083 71,402 255,088 24,146

Service charges and fees on lo a n s ..................... 650 352 4,382 10,855 2,251 476 7,421 5,280 1,505 2,725 409

Service charges on deposit acco u n ts................. 7,036 3,613 11,529 55,377 6,725 2,035 19,104 23,255 3,509 15,411 2,026

Other charges, com m issions, fees, e tc ............. 3,645 3,079 6,666 17,323 3,246 307 7,212 8,293 1,886 7,236 971

Trust d e p a rtm e n t...................................................... 2,031 636 6,439 22,880 2,108 726 10,025 8,007 2,756 9,434 343

983 745 2,209 14,729 580 399 3,177 3,312 1,383 5,273 380

Current operating expenses—total....................... 71,986 53,277 228,809 792,371 71,548 31,612 277,942 220,394 82,048 316,433 28,275

Salaries— o ffic e rs ....................................................... 12,404 9,348 25,217 99,229 7,148 3,261 29,645 23,976 10,405 38,505 4,089

Salaries and wages— other em ployees............. 17,920 7,034 38,527 119,337 10,851 4,777 47,199 47,326 13,457 43,695 3,998

Officer and em ployee b e n e fits ............................ 3,860 2,274 8,760 26,633 2,422 987 11,271 9,857 2,897 11,245 870

Fees paid to directors and c o m m itte e s ............. 719 683 1,378 7,799 453 376 2,242 515 1,087 3,326 444

Interest on tim e and savings d e p o sits ............. 16,049 22,986 96,098 320,322 34,579 16,247 123,734 87,424 34,384 155,255 12,360

Interest on borrowed m o ney................................ 272 111 5,903 17,914 823 34 1,683 1,326 338 787 180

Occupancy expense o f bank prem ises— n e t.. 4,135 2,523 11,033 41,822 3,177 1,548 13,651 12,205 3,786 13,587 1,408

Furniture and e q u ip m e n t...................................... 3,657 1,673 8,506 28,414 2,769 898 9,091 8,888 2,567 11,426 1,057

Other current operating expenses....................... 12,970 6,645 33,387 130,901 9,326 3,484 39,426 28,877 13,127 38,607 3,869

Net current operating earning s............................... 29,898 18,247 80,049 271,484 21,105 7,388 82,385 62,902 34,415 83,867 8,169

Recoveries, transfers from valuation reserves,

and profits—total................................................... 1,141 786 8,114 13,533 1,446 439 6,645 6,948 2,144 5,537 601

On securities:

Profits on securities sold or re d e e m e d.......... 436 404 6,763 3,792 1,221 196 2,557 2,870 831 2,860 164

Recoveries ...................................... 2 2 77 127 4 25 302 12 72 3

Transfers from valuation reserves .. . 15 37 174 907 10 699 172 90 171 50

On loans:

Recoveries............................................................... 20 46 241 2,685 26 39 489 74 324 117 135

Transfers from valuation reserves................... 315 66 122 1,517 27 31 194 2,558 288 651 95

All o th e r........................................................................ 353 231 737 4,505 168 163 2,681 972 599 1,666 154

Losses, charge-offs, and transfers to valuation

reserves—total........................................................ 5,416 2,672 19,190 74,248 4,818 1,970 25,660 16,912 7,034 17,314 1,747

On securities:

Losses on securities s o ld .................................... 760 347 3,947 3,098 941 440 1,642 1,746 1,237 3,034 90

Charge-offs prior to sa le ...................................... 15 38 688 390 16 19 77 24 46 201 11

Transfers to valuation reserves........................ 303 1,306 5,644 4,357 438 89 145 59

On loans:

Losses and cha rge-offs....................................... 116 48 475 5,368 66 29 404 178 303 173 257

Transfers to valuation reserves........................ 3,166 1,829 10,368 52,504 3,496 1,293 15,735 12,137 3,989 11,234 1,203

All o th e r........................................................................ 1,056 410 2,406 7,244 299 189 3,445 2,389 1,370 2,527 127

Net income before related ta xe s............................. 25,623 16,361 68,973 210,769 17,733 5,857 63,370 52,938 29,525 72,090 7,023

206 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Taxes on net income—total.......................................

Federal.........................................................................

S ta te ..............................................................................

8,948

8,334

614

5,310

4,776

534

18,646

18,178

468

58.211

58.211

4,150

3,659

491

1,672

1,564

108

17.080

17.080

16,186

16,186

9.658

9.658

19,447

14,951

4,496

2.157

2.157

Net income after related ta x e s................................

Dividends and interest on capital—total..............

Cash dividends declared on com m on s to c k .. .

Dividends declared on preferred stock and interest on capital notes and de benture s.......

Net additions to capital from incom e...................

16,675 11,051 50,327 152,558 13,583 4,185 46,290 36,752 19,867 52,643 4,866

7,351

7,323

28

4,347

4,329

18

16,216

15,242

974

71,269

68,799

2,470

7,065

6,897

168

1,936

1,867

69

23,121

22,989

132

13,743

13,701

42

6,685

6,675

10

20,591

19,902

689

1,956

1,900

56

9,324 6,704 34,111 81,289 6,518 2,249 23,169 23,009 13,182 32,052 2,910

N um ber of ba nking em ployees (exclusive of

building em ployees), Decem ber 30:

A ctive o ffic e rs .............................................................

Other em ployees.......................................................

1,203

4,791

937

1,881

2,607

9,840

9,085

28,975

713

2,941

343

1,280

2,899

12,168

2,187

10,165

1,058

3,389

3,474

11,306

381

974

Memoranda

Recoveries credited to valuation reserves (not

included in recoveries above):

On se cu ritie s.............................................................. 1

352

1

531

2

1,843

1

1,760

23

6,848

585

16,061

1,070

50,911

6

248

72

672

1,607

2,335

395

9,749

46

729

16 2,001

On loan s.......................................................................

Losses charged to valuation reserves (not included in losses above):

On secu ritie s................................................

408 1,052

50

4,333

2,320

16

7,452

522

On lo a n s....................................................................... 1,316 2,440 1,320

Occupancy expense of

bank prem ises

Occupancy expense of bank prem ises, n e ttotal .............................................................................

Rental and other inco m e...........................................

Occupancy expense of bank prem ises, g ro sstotal .............................................................................

Salaries— building departm ent o ffic e rs .............

Salaries and wages— building departm ent

em ployees...............................................................

Building d e partm ent personnel b e n e fits .........

Recurring d e p re cia tio n ............................................

M aintenance and re p a irs .......................................

Insurance and u tilitie s ............................................

Rents p a id ...................................................................

T a xes............................................................................

4,135

302

4,437

1

391

54

1,039

568

1,013

1,080

291

2,523

486

3,009

3

354

35

459

273

661

650

574

11,033

3,367

14,400

56

1,873

185

3,453

1,534

2,587

2,359

2,353

41,822

33,230

75,052

222

7,266

741

15,245

9,112

13,101

13,218

16,147

3,177

1,076

4,253

13

561

38

864

379

665

1,231

502

1,548

175

1,723

234

26

298

175

268

515

207

13,651

1,528

15,179

13

2,009

193

2,732

1,307

2,938

4,801

1,186

12,205

1,199

13,404

80

965

167

3,588

2,526

2,269

2,379

1,430

3,786

900

4,686

27

753

73

1,115

536

826

740

616

13,587

2,902

16,489

79

2,057

215

3,124

1,679

2,880

3,561

2,894

1,408

262

1,670

5

181

12

370

204

341

157

400

Num ber of building em ployees, Decem ber 30:

O ffice rs.........................................................................

Other em ployees.......................................................

1

203

4

221

7

712

23

2,318

1

220 118

6

867

14

294

3

341

9

844

2

60

Num ber of banks, Decem ber 30.............................. 122 165 295 1,139 55 45 250 94 194 596 69

Back figures, 1946-1966: See T h e A nnual Report for 1966, pp. 168-177, and earlier reports.

INCOME OF INSURED BANKS 207

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 119. INCOME OF INSURED MUTUAL SAVINGS BANKS, 1959-1967

( A m o u n ts in th o u s a n d s o f d o lla rs )

In c o m e ite m 1959 1960 1961 1962 1963 1964 1965 1966 1967 ’

Current operating income—total................................................. 1,280,347 1,461,763 1,595,183 1,755,582 1,946,776 2,164,115 2,391,753 2,606,012 2,884,789

In te r e s t o n U . S . G o v e r n m e n t o b lig a tio n s .................................. 146,353 152,458 151,931 156.410 153.659 153.368 147,751 142.509 130.873

In te r e s t a n d d iv id e n d s o n o th e r s e c u r it ie s ................................ 180,535 199.258 205,751 206.367 203.720 207,164 211,278 226.023 301.218

In te r e s t a n d d is c o u n t o n re a l e s ta te m o rtg a g e lo a n s — n e t 921,315 1,070,173 1,194,282 1,342,896 1,534.446 1,738.621 1.950.930 2,141.099 2.326.459

Interest and discount on real estate mortgage loans— gross........................... 951,952 1,104,100 1,231,774 1,363,735 1,580,276 1,790.316 2.009.214 2,203.133 2,391.646

Less: Mortgage servicing fees........................................................................... 29,154 32,343 36,045 39,263 44.1:4 49,756 56,165 59.996 63.405

Premium amortization............................................................................ 1,463 1.584 l .44' 1.556 l/'5 6 1.911 2,119 2.036 1.9 6 i

In te r e s t a n d d is c o u n t o n o th e r lo a n s a n d d is c o u n ts — n e t. 12,669 18.407 18.767 22.733 27.576 33.538 41.773 53.172 67',925

In c o m e o n re a l e s ta te o th e r th a n b a n k b u ild in g — n e t ......... - 1 27 - 3 8 - 5 2 -1 0 8 -1 2 2 - 9 7 -2 5 5 —209

Income on real estate other than bank building— gross.................................. 216 397 379 302 296 4 21 541 513

Less: Operating exvense................................................................................... 217 370 417 35 4 4r>4 543 63 S 766 976

In c o m e o n o th e r a s s e t s .................................................... 7,486 7.474 9.081 9.777 9,984 13.121 18.713 18.095 25.248

In c o m e fro m s e rv ic e o p e r a t io n s ............................. 11.990 13 966 15 409 17.451 17,499 18.425 21.405 25.369 33.275

Current operating expenses—total 201,402 224,789 241,685 252,963 274,544 290,471 311,755 334,451 353,947

S a la rie s — o f fic e r s .............................................. 32.082 36,608 38.158 40.466 42.792 45.391 48.514 52.085 55.510

S a la rie s a n d w a g e s — o th e r e m p lo y e e s ....................................... 64.396 71,295 75,303 79.165 84.514 89.514 93.680 98.421 105,612

P e n s io n , h o s p ita liz a tio n a n d g ro u p in s u ra n c e p a y m e n ts ,

a n d o th e r e m p lo y e e b e n e f it s ................................................... 20,006 22,656 24.134 25.419 27,202 28.138 30.080 33.593 34.243

F e e s p a id to tru s te e s a n d c o m m itte e m e m b e r s .................... 3.366 3,731 3.994 4,158 4.404 4.604 4.720 4.855 4,945

O c c u p a n c y , m a in te n a n c e , e tc . o f b a n k p r e m is e s ( in c lu d ­

in g ta x e s a n d r e c u r rin g d e p re c ia tio n ) — n e t ...................... 22.695 25,255 27,369 29.269 32.160 34,683 37.219 38.855 42,412

Occupancy, maintenance, etc. of bank premises (including taxes and recurring depreciation )—gross........................................................................ 32.266 35.120 37.296 39.297 4 2.563 4 5.671 49.093 51.38 7 55.631

Less: Income {rom bank building.................................................................... 9.573 9.665 0.929 1o'?j26 10.423 11,166 11.671 12.532 13.219

D e p o s it in s u ra n c e a s s e s s m e n ts ..................................................... 11.316 11.707 12,824 12.172 12,709 14.035 15.887 16.810 17,712

F u r n itu r e a n d fix tu r e s ( in c lu d in g r e c u r rin g d e p re c ia tio n ). 4.445 4.740 5.438 5.997 7,714 9.182 10,262 11.777 13.799

A ll o th e r c u r re n t o p e ra tin g e x p e n s e s ............... .... 43,096 48.797 54,465 56.317 63.049 64,924 71,393 78.055 79.714

Net current operating income 1,078,945 1,236,974 1,353,498 1,502,619 1,672,232 1,873,644 2,079,998 2,271,561 2,530,842

Franchise and income taxes—total. . 11,649 13,637 16,011 17,966 22,587 26,022 29,487 37,480 37,708

S ta te fra n c h is e a n d in c o m e t a x e s ............... 11.172 13.190 15.277 17.502 19.168 21.657 22.048 31,426 33.737

F e d e ra l in c o m e t a x e s ................................................ 477 447 734 464 3.419 4.365 7,439 6.054 3.971

Net current operating income after taxes 1,067,296 1,223,337 1,337,487 1,484,653 1,649,645 1,847,622 2,050,511 2,234,081 2,493,134

Dividends and interest on deposits. . 897,469 1,073,542 1,147,767 1,334,005 1,481,869 1,653,768 1,809,350 2,087,072 2,395,762

Net current operating income after taxes and dividends 169,827 149,795 189,720 150,648 167,776 193,854 241,161 147,009 97,372

Non-recurring income, realized profits and recoveries

credited to profit and loss, and transfers from valuation adjustment provisions—total 91,205 142,009 113,763 105,907 113,085 105,454 75,130 177,612 93,536

N o n -re c u rrin g in c o m e ............................................................... 21.147 31.133 17.567 20.453 28.678 18.048 15.242 20,211 20.377

R e a liz e d p r o fits a n d re c o v e rie s o n :

S e c u ritie s s o ld o r m a tu r e d ................................................................ 39,498 34,860 54,263 55.751 28.752 36.472 27.375 59,173 47.292

R e al e s ta te m o rtg a g e lo a n s ............................................................. 192 283 629 739 2.465 1,088 1.266 773 705

O th e r re a l e s t a te ...................................................................................... 646 535 337 462 807 571 719 1,548 2.059

A ll o th e r a s s e t s ................................................................................ 2.498 6.576 459 957 871 1.096 1.532 3.429 1.114

T r a n s fe r s fro m v a lu a tio n a d ju s tm e n t p r o v is io n s 2 on :

S e c u r itie s .................................................................................................. 14.270 57.588 10.873 5.460 26.995 22.029 11.817 13.635 7.774

R e al e s ta te m o rtg a g e l o a n s ......................................................... 12,021 10.480 29.068 21.465 24.342 25.786 16.365 78.458 13.435

O th e r re a l e s t a t e ...................................................................................... 17 86 36 66 46 92 121 20 64

A ll o th e r a s s e t s ........................................................................... 916 468 531 554 129 272 693 365 716

208 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Non-recurring expenses, realized losses charged to profit

and loss, and transfers to valuation adjustment provisions—total..............................................................

N o n -re c u rrin g e x p e n s e s .................................................

R e a liz e d lo s s e s o n :

S e c u ritie s s o ld ........................................................................................

R e a l e s ta te m o rtg a g e lo a n s ..........................................................

O th e r re a l e s t a t e ..........................................................................

A ll o th e r a s s e t s .........................................................................

T r a n s fe r s to v a lu a tio n a d ju s tm e n t p ro v is io n s 2 o n : 

S e c u r itie s .......................................................

R e al e s ta te m o rtg a g e lo a n s .............................................................

O th e r re a l e s t a t e ...................................................................................

A ll o th e r a s s e t s ........................................................................................

126,876

11,385

66,875

330

260

440

30,347

16,151

40

1,048

123,664

16,981

63,846

508

210

315

23,352

17,679

19

754

116,143

17,692

40,851

1,252

375

404

19,337

35,377

111

744

109,192

18,941

31,379

1,083

662

424

30,925

25,252

76

450

101,611

17,331

47,629

1,681

656

655

11,548

21,534

74

503

88,234

12,991

39,884

2,023

712

936

8,692

22,266

57

673

93,036

15,306

48,124

3,037

886

927

6,524

17,394

122

716

147,688

10,499

100,585

7.015 

1,644 

2,646

13.015 

11,590

97

597

94,744

12,458

63,624

4,891

1,850

1,932

5,229

3,796

127

837

Net additions to total surplus accounts from operations.. 134,156 168,140 187,340 147,363 179,250 211,074 223,255 176,933 96,164

Memoranda

Recoveries credited to valuation adjustment provisions2

(not included in recoveries above) on:

S e c u r itie s ........................................................................................................

R e al e s ta te m o rtg a g e lo a n s .................................................................

O th e r re a l e s t a te ..................................................................

173

99

2

471

136

278

53

1,658

48

3,389

201

756

64

341

85

1,277

212

2,726

231

1

A ll o th e r a s s e t s .....................................................................

Realized losses charged to valuation adjustment provisio n s2 (not included in realized losses above) on:

S e c u r itie s .............................................................................

R e a l e s ta te m o rtg a g e lo a n s ................................................................

O th e r re a l e s t a te ..........................................................................................

37

9,339

197

26

585

8,110

1,131

13

6

7,721

720

5

35

5,830

501

6

14

12,973

5,136

190

13

6,058

765

24

6,564

841

118

308

46

6,811

1,220

257

89

2,172

4,040

204

A ll o th e r a s s e t s ............................................................................................. 385 165 218 448 178 258 341 1,016

Average assets and liabilities3

Assets—total...........................................................

C a s h a n d d u e fro m b a n k s ....................................................................

U n ite d S ta te s G o v e r n m e n t o b lig a tio n s ......................................

O th e r s e c u r it ie s .................................................................... ....

R e al e s ta te m o rtg a g e lo a n s ......................................... . .

O th e r lo a n s a n d d is c o u n ts ................................................ .. .

O th e r re a l e s t a te ........................................................................................

A ll o th e r a s s e t s ................................................................

31,248,671

689,698

5,236,825

4,677,222

19,937,652

244,010

7,002

456,262

34,339,564

721,308

5,092,512

5,036,291

22,628,058

355,327

11,555

494,513

35,916,590

757,912

4,791,909

5,228,022

24,255,437

353,474

18,955

510,881

38,152,221

794,362

4,748,691

5,151,555

26,435,337

441,994

19,640

560,642

41,180,616

786,298

4,563,328

5,115,637

29,538,513

543,458

21,114

612,268

44,609,410

768,719

4,351,966

5,057,794

33,121,502

588,196

28,389

692,844

48,466,656

891,727

4,030,731

5,069,343

36,991,670

672,117

27,228

783,840

51,399,898

838,855

3,594,830

5,153,130

40,095,486

842,896

29,263

845,438

55,173,023

953,843

3,156,304

6,312,183

42,794,592

1,003,436

27,987

924,678

Liabilities and surplus accounts—total....................................

T o ta l d e p o s its ...................................................... Savings and time deposits................................................................................................. Demand deposits............................................................

31,248,671

28,136,390

28,106,089

30,301

34,339,564

30,822,839

30,790,599

32,240

35,916,590

32,320,488

32,113,129

207,359

38,152,221

34,350,820

3 !>,070,511

280,309

41,180,616

37,175,285

36,870,906

304,379

588,622

3,416,709

44,609,410

40,334,274

39,997,217

337,057

660,037

3,615,099

48,466,656

43,985,749

43,609,062

376,687

653,614

3,827,293

51,399,898

46,590,719

46,172,242

418,477

764,445

4,044,734

55,173,023

50,247,915

49,805,468

442,447

730,825

4,194,283

O th e r lia b ilit ie s ............................................................................................

T o ta l s u r p lu s a c c o u n ts ............................................................................

512,192

2,600,089

598,011

2,918,714

506,744

3,089,358

537,630

3,263,771

N u m b e r o f a c tiv e o ffic e rs , D e c e m b e r 3 0 ..........................................

N u m b e r o f o th e r e m p lo y e e s , D e c e m b e r 3 0 ...................................

2,504

15,110

2,885

16,753

2,977

17,290

3,085

17,617

3,170

18,459

3,281

18,958

3,423

19,451

3,602

19,609

3,708

20,367

N u m b e r o f b a n k s , D e c e m b e r 3 0 ............................................................ 268 325 330 331 330 327 329 332 333

1 Figures for 1967 may differ slightly from those published by the Board of Governors of the Federal Reserve System and the Comptroller of the Currency because of differences in 

rounding techniques.

2 Includes “ Valuation reserves” and "Other asset valuation provisions (direct write-downs).”

3 For 1959 and 1960, averages of figures reported at beginning, middle, and end of year. For 1961 through 1967, averages of amounts for four consecutive official call dates beginning with the end 

of the previous year and ending with the fall call of the current year.

INCOME OF INSURED BANKS 209

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 120. RATIOS OF INCOME OF INSURED MUTUAL SAVINGS BANKS, 1959-1967

In c o m e ite m 1959 1960 1961 1962 1963 1964 1965 1966 1967

Am ounts per $100 of cu rre n t o p eratin g income

C u rren t op eratin g incom e— t o t a l............................................................................................................................................. $100.00

11.43

$100.00

10.43

$100.00

9.52

$100.00

8.91

$100.00

7.89

$100.00

7.09

$100.00

6.18

$100.00

5.47

$100.00

Interest on U. S. Government obligations................................................................................................................. 4.54

Interest and dividends on other securities............................................................................................................... 14.10 13.63 12.90 11.76 10.46 9.57 9.83 8.67 10.44

Interest and discount on real estate mortgage loans— n e t.................................................................................... 71.96 73.21 74.87 76.49 78.82 80.34 81.57 82.16 80.65

2.35

.87

1.15

Interest and discount on other loans and discounts— net..................................................................................... .99 1.25 1.18 1.29 1.42 1.55 1.75 2.04

Income on other assets................................................................................................................................................. .58 .51 .57 .56 .51 .60 .78 .69

Income from service operations.................................................................................................................................. .94 .96 .96 .99 .90 .85 .89 .97

C u rren t operating expenses— to ta l................................................................................................................................ 1 5 .7 3 ^ 15.38 15.15 14.41 14.10 13.42 13.03 12.83 12.27

Salaries— officers........................................................................................................................................................... 2.51 2.50 2.39 2.30 2.20 2.10 2.03 2.00 1.93

Salaries and wages— other employees........................................................................... 5.03 4.88 4.72 4.51 4 34 4.14 3 92 3.78

1.29

3.66

Pension, hospitalization and group insurance payments, and other employee benefits................................... 1.56 1.55 1.51 1.45 1.40 1.30 1 26 1.19

Fees paid to trustees and committee members....................................................................................................... .26 .26 .25 .24 .23 21 .20 .19 17

Occupancy, maintenance, etc. of bank premises (including taxes and recurring depreciation)— net............. 1.77 1.73 1.72 1.67 1.65 1.60 1.55 1.49 1.47

Deposit insurance assessments..................................................................................................... .88 .80 .80 .69 .65 .65 .66 .64 .61

Furniture and fixtures (including recurring depreciation)..................................................................................... .35 .32 .34 .34 .39 .42 .43 .45 .48

All other current operating expenses........................................................................... 3.37 3.34 3.42 3.21 3.24 3.00 2.98 2.99 2.76

N et c u rre n t operating in co m e................................................................................................................................................... 84.27 84.62 84.85 85.59 85.90 85.58 86.97 87.17 87.73

Franchise and income taxes— t o t a l....................................................................................................... .................. .91 .93 1.00 1.02 1.16 1.20 1.24 1.44 1.31

State franchise and income taxes................................................................................................. .87 .90 .96 1 00 98 1 00 93 1 21 1.17

Federal income taxes.................................................................................................................................................... .04 .03 .04 .02 .18 .20 .31 .23 .14

N et c u rre n t operating income a fte r t a x e s ......................................................................... 83.36 83.69 83.85 84.57 84.74 85.38 85.73 85.73 86.42

Dividends and in te re s t on d ep o sits............................................................................... 70.10 73.44 71.95 75.99 76.12 76.42 75.65 80.09 83.04

N et c u rre n t operating income a fte r taxes and d iv id e n d s .......................................................................................... 13.26 10.25 11.90 8.58 8.62 8.96 10.08 5.64 3.38

Am ounts per $100 of to ta l assets

Current operating income— to ta l....................................................................................... 4.10 4.26 4.44 4.60 4.73 4 85 4.93 5.07 5.23

Current operating expenses— total................................................................................................................................. .65 .66 .67 .66 .67 .65 .64 .65 .64

Net current operating income.......................................................................................................................................... 3.45 3.60 3.77 3.94 4.06 4.20 4.29 4.42 4 39

State franchise and income taxes................................................................................................................................... .03 .04 .05 .05 .05 .06 .06 07 .07

Net current operating income after taxes...................................................................................................................... 3.42 3 56 3.72 3.89 4.01 4.14 4.23 4.35 4.52

4.06

.29

Dividends and interest on deposits................................................................................................ 2.87 3.12 3.19 3.50 3.60 3.71 3 73 4.34

Net current operating income after taxes and dividends.............................................. .55 .44 .53 .39 .41 .43 .50 .18

Non-recurring income, realized profits and recoveries credited to profit and loss, and transfers from valuation 

adjustment provisions - to ta l....................................................................................... .29 .41 .31 .28 .27 .24 .15 .34 .16

Non-recurring expenses, realized losses charged to profit and loss, and transfers to valuation adjustment 

provisions — total.......................................................................................................................................................... .41 .36 .32 28 24 20 .19 .29 .17

Net additions to total surplus accounts from operations............................................................................................ .43 .49 .52 .39 .44 .47 .46 .34 .17

Special ratios

Interest on U. S. Government obligations per $100 of U. S. Government obligations........................................... 2.79 2.99 3.17 3.29 3.37 3.52 3.67 3.96 4.15

Interest and dividends on other securities per $100 of other securities............................................. 3.86 3.96 3.94 4.01 3.98 4.10 4.17 4.39 4.77

Interest and discount on real estate mortgage loans per $100 of real estate mortgage loans 4.62 4.73 4.92 5.08 5.19 5.25 5.27 5.34 5.44

Interest and discount on other loans and discounts per $100 of other loans and discounts 5.19 5.18 5.31 5.14 5.07 5.70 6.22 6.31 6.77

Dividends and interest on deposits per $100 of savings and time deposits........................................................... 3.19 3.49 3.57 3.92 4.02 4.13 4.15 4.52 4.81

Net additions to total surplus accounts from operations per $100 of total surplus accounts................. 5.16 5.76 6.06 4.52 5.25 5.84 5.83 4.37 2.29

Number of banks, December 30........................................................................................ 268 325 330 331 330 327 329 332 333

Note: For footnotes to this Table, see Table No. 119, p. 209.

210 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 121. SOURCES AND DISPOSITION OF TOTAL INCOME, INSURED MUTUAL SAVINGS BANKS, 1959-1967

(Am ounts in m illions of dollars)

Incom e item 1959 1960 1961 1962 1963 1964 1965 1966 1967

Amount

Total incom e............................................................................... 1,372 1,604 1,709 1,861 2,060 2,270 2,467 2,783 2,978

Sources

L o ans....................................................................................... 934 1,089 1,213 1,366 1,562 1,772 1,993 2,194 2,394 U.S. G overnm ent o b lig a tio n s ............................................................. 146 153 152 156 154 153 148 143 131 Other secu ritie s...................................................................................... 181 199 206 206 204 207 211 226 301 Other current in c o m e ........................................................................ 19 21 24 27 27 32 40 43 58 Non-recurring incom e, recoveries, e tc ............................................ 91 142 114 106 113 105 75 177 94

Disposition

Salaries and wages1........................................................................... 120 134 142 149 159 168 177 189 200 Dividends and interest on d e p o s its ...................................... 897 1,073 1,148 1,334 1,482 1,654 1,809 2,087 2,396 Other current exp enses............................................................ 81 91 100 104 115 122 135 146 154 Non-recurring expenses, losses, e tc............................. 127 124 116 109 102 88 93 148 95 Incom e ta x e s ........................................................................ 12 14 16 18 23 26 29 37 37 A dditions to capital a c c o u n ts .................................. 134 168 187 147 179 211 223 177 96

Percentage distribution

Total incom e............................................................ 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

Sources

L o ans........................................................................... 68.1 67.9 71.0 73.3 75.8 78.1 80.8 78 8 80.4 U.S. G overnm ent o b lig a tio n s ........................... 10.7 9.5 8.9 8.4 7.5 6.8 6.0 5.1 4.4 O ther se cu ritie s..................................................... 13.2 12.4 12.0 11.1 9.9 9.1 8.6 8.1 10.1 O ther current in co m e .............................................. 1.4 1.3 1.4 1.5 1.3 1.4 1.6 1.6 1.9 Non-recurring incom e, recoveries, e tc .. . 6.6 8.9 6.7 5.7 5.5 4.6 3.0 6.4 3.2

Disposition

Salaries and wages1.............................. 8.7 8.3 8.3 8.0 7.7 7.4 7.2 6 8 6.7 D ividends and interest on deposits. .. 65.4 66.9 67.1 71.6 71.9 72.9 73.3 75.0 80.5 Other current expenses............................................. 5.9 5.7 5.9 5.6 5.6 5.4 5.5 5.2 5.2 Non-recurring expenses, e tc ..................... 9.3 7.7 6.8 5.9 5.0 3.9 3.8 5.3 3.2 Incom e ta x e s .......................................... .9 .9 1.0 1.0 1.1 1.1 1.2 1 3 1 2

A dditions to capital a c c o u n ts .................................. 9.8 10.5 10.9 7.9 8.7 9.3 9.0 6.4 3.2

1 Includes pension, hospitalization and other employee benefits and fees paid to trustees and committee members.

Note: Due to rounding differences, components may not add to totals.

INCOME OF INSURED BANKS 211

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Federal Reserve Bank of St. Louis
Table 122. INCOME OF INSURED MUTUAL SAVINGS BANKS IN THE UNITED STATES, BY STATE, 1967

(A m o u n ts in th o u s a n d s o f d o lla rs )

In c o m e ite m

A ll S ta te s 

a n d o th e r 

a re a s

C o n n e c tic u t

In d ia n a M a in e M a ry la n d M a s s a c h u ­

s e tts

N e w

H a m p s h ire

Current operating income—total..........................................................

In te r e s t o n U . S. G o v e r n m e n t o b lig a tio n s .............................................

in te r e s t a n d d iv id e n d s o n o th e r s e c u r it ie s ...........................................

In te r e s t a n d d is c o u n t o n re a l e s ta te m o rtg a g e lo a n s — n e t. . . . 

In te r e s t a n d d is c o u n t o n re a l e s ta te m o rtg a g e lo a n s — g ro s s .

L e s s : M o rtg a g e s e rv ic in g f e e s ..................................................................

P re m iu m a m o r tiz a t io n .....................................................................

In te r e s t a n d d is c o u n t o n o th e r lo a n s a n d d is c o u n ts — n e t .........

in c o m e o n re a l e s ta te o th e r th a n b a n k b u ild in g — n e t ..................

In c o m e o n re a l e s ta te o th e r th a n b a n k b u ild in g — g r o s s .........

L e s s : O p e r a tin g e x p e n s e ..............................................................................

In c o m e o n o th e r a s s e t s .....................................................................................

In c o m e fro m s e rv ic e o p e r a t io n s ................... ....................................

and

Current operating expenses—total

S a la rie s — o f f ic e r s ................................................................................................

S a la rie s a n d w a g e s — o th e r e m p lo y e e s ................................................

P e n s io n , h o s p ita liz a tio n a n d g ro u p in s u r a n c e p a y m e n ts ,

o th e r e m p lo y e e b e n e fits ......................................................................................

F e e s p a id to tru s te e s a n d c o m m itte e m e m b e r s ........................................

O c c u p a n c y , m a in te n a n c e , e tc . o f b a n k p r e m is e s ( in c lu d in g ta x e s

a n d re c u r rin g d e p re c ia tio n ) — n e t .................................................................

O c c u p a n c y , m a in te n a n c e , e tc . o f b a n k p r e m is e s ( in c lu d in g ta x e s

a n d r e c u r rin g d e p re c ia tio n ) — g r o s s ............................................................

L e ss: In c o m e fro m b a n k b u ild in g ...................................................................

D e p o s it in s u r a n c e a s s e s s m e n ts ...........................................................................

F u r n itu r e a n d fix tu r e s ( in c lu d in g r e c u r rin g d e p r e c ia tio n ) ....................

A ll o th e r c u r r e n t o p e ra tin g e x p e n s e s ................................................................

Net current operating incom e.............

Franchise and income taxes—total.

S ta te fra n c h is e a n d in c o m e ta x e s . 

F e d e ra l in c o m e t a x e s ...........................

Net current operating income after taxes.

Dividends and interest on depo sits.........................................

Net current operating income after taxes and dividends.

2,884,789

130.873

301,218 2,326,459

2,391,848

63,405

1,984

67.925 -209

767 976 25.248

33,275

237,390

11,108 28,721

185,833 188,424

2,51873 8,774

118776 670

2,273

5,020

1,023

442 3,258 3,271

13

103

2

2

" " l 185

38,367 3,857 5,681

26,785 27,224

439

1,683

2261

39

13

326

42,887

4,444 4,607

25,398 25,502

101

3

10

2

2,562

353,947 55.510

105,612

34,243 4,945

42,412

55,631

13,219 17,712

13,799 79,714

35,950 7,263

9.410

3,279 514

4,237

4,746 509

1.410 1,650 

8,187

1,402

420

315

42

113

150

37

32

36 363

5,529

1,147

1,379

332

169

653

767 114

244

223

1,382

7,649

1,023 2,494

63160

870

933

63 264

90

2,217

2,530,842 201,440 3,618 32,838 35,238

37,708 33.737 3.971

6,753

6,515

238

106

106

1217

114

635

216

419

2,493,134 194,687 3,512 32,717 34,603

2,395,762 176,115 2,917 28,795 32,121

97,372 18,572 595 3,922 2,482

93,609

11,622

7,592 71,639 73,530

1,511

380

1,892

6

17

11 475

383

11,090

1,597 2,974

853

110

1,417

1,729

312 875 731

2,533

82,519

1,467 1,326

141

81,052

81,925

-873

55,776 3.975 5,752

41,296

41,944

626

22 3.976 

-2 1

34

55

200

598

8,204 1.918

1,962

626 241

678

1,233 555 329

201

2,249

47,572

492 380

112

47,080

42,712

4,368

212 FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
N o n -re cu rrin g incom e, realized p ro fits and recoveries credited to

p ro fit and loss, and tra n s fe rs fro m valuation ad ju stm en t provisions— to ta l..............................................................................................

Non-recurring in co m e ..................................................................................

Realized profits and recoveries on:

Securities sold or m a tu re d .....................................................................

Real estate m ortgage lo a n s ...............

Other real e s ta te ......................................................................................

All other asse ts..........................................................................................

Transfers from valuation adju stm en t provisions on:

S ecurities.....................................................................................................

Real estate m ortgage lo a n s..................................................................

Other real e s ta te ......................................................................................

All other a sse ts..........................................................................................

N on-recu rring expenses, realized losses charged to p ro fit and loss,

and tra n sfe rs to valuation ad ju stm e n t provisions— to ta l...........

Non-recurring exp enses..............................................................................

Realized losses on:

Securities so ld ............................................................................................

Real estate m ortgage lo a n s...................................................................

Other real e s ta te .......................................................................................

All other a sse ts..........................................................................................

Transfers to valuation ad ju stm en t provisions on:

S ecurities.....................................................................................................

Real estate m ortgage lo a n s ...................................................................

Other real e s ta te ......................................................................................

All other asse ts..........................................................................................

N et ad ditio ns to to ta l su rp lu s accounts from operatio ns..................

M em oranda

Recoveries credited to valuation ad ju stm en t provisions (not included

in recoveries above) on:

S ecurities.........................................................................................................

Real estate m ortgage lo a n s ......................................................................

Other real e sta te ...........................................................................................

All other asse ts..............................................................................................

Realized losses charged to valuation adjustm ent provisions (not

included in realized losses above) on:

S ecurities.........................................................................................................

Real estate mortgage loan s.....................................................................

Other real e s ta te ...........................................................................................

All other a sse ts..............................................................................................

Num ber of banks, Decem ber 3 0 ...............................................................................

93,536

20,377

47,292

705

2,059

1,114

7,774

13,435

64

716

94,744

12,458

63,624

4,891

1,850

1,932

5,229

3,796

127

837

96,164

8,696

1,175

5,235

83

181

173

1,452

193

204

8,851

1,290

4,341

891

53

664

1,102

122

62

326

18,417

4233

97

214

96

187

1,386

89

1,180

18

276

66

1,985

253

1,124

37

52

43

238

189

454

3,323

2,973

57

28

37

52

2,455

"344

535

114

245

18

30

128

4,920

983

81

634

301

149

39

49

3,248

217

2,777

93

25

81

19

36

-3,138

2,549

204

1,515

12

16

173

201

428

1,892

219

9787

62

1071

403 

i i 5

5,025

2,726

2311

89

2,172

4,040

204

1,016 85

5

50

66

856

333 70 30 32

INCOME OF INSURED BANKS 213

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Federal Reserve Bank of St. Louis
Table 122. INCOME OF INSURED MUTUAL SAVINGS BANKS IN THE UNITED STATES, BY STATE, 1967— CONTINUED

(Am ounts in thousands of dollars)

Incom e item New

Jersey

New

York

PennsylvaniaRhode

Island Verm ont

W ashington

W isconsin

Other

States or

areas1

Current operating income—total.................................................................. 125,069 1,946,109 175,976 51,883 12,453 48,335 1,794 50,121

Interest on U. S. G overnm ent o b lig a tio n s............................................. 10,294 67,413 8,884 2,426 896 2,915 189 1,827

Interest and dividends on other se cu ritie s........................................... 15,444 179,960 32,737 6,907 224 5,051 126 7,974

Interest and discount on real estate m ortgage loans— n e t.............. 96,268 1,616,020 130,722 39,667 10,396 39,280 1,360 38,537

Interest and discount on real estate m ortgage loans— gross....... 98,588 1,663,382 137,555 41,318 10,485 39,551 1,379 39,695

Less: M ortgage servicing fe e s .............................................................. 1,830 46,394 6,797 1,649 89 271 19 1,148

Prem ium a m o rtiza tio n ............. . ... 490 968 36 2 10

Interest and discount on other loans and discounts— n e t............... 916 39,713 1,440 2,430 786 466 49 817

Incom e on real estate other than bank building— net. -17 -184 6 -55 4 16 -7

Incom e on real estate other than bank building— gross 21 407 8 87 5 16 12

Less: Operating expense.......................................................................... 38 591 2 142 1 19

Incom e on other a sse ts................................................................................ 235 19,331 1,124 40 90 224 6 271

Incom e from service op e ra tio n s................................................................. 1,929 23,856 1,063 468 57 383 64 702

Current operating expenses—total................................................................ 19,098 216,196 23,516 8,485 1,883 6,772 415 7,758

Salaries— o ffic e rs ............................................................................................. 3,263 30,739 2,895 1,778 516 1,425 112 1,414

Salaries and wages— other em ployees..................................................... 5,526 66,908 7,831 2,058 441 2,148 95 2,071

Pension, hospitalization and group insurance payments, and

other em ployee b e n e fits .......................................................................... 1,918 22,043 2,170 904 126 714 19 547

Fees paid to trustees and com m ittee m e m b e rs................................... 403 2,978 60 130 58 70 9 101

Occupancy, m aintenance, etc. of bank prem ises (including taxes

and recurring depreciation)— n e t............................................................ 2,103 27,745 2,101 885 145 602 54 809

Occupancy, m aintenance, etc. of bank prem ises (including taxes

and recurring depreciation)— gross.................................................... 2,244 35,936 4,360 1,197 191 860 56 1,229

Less: Incom e from bank b u ild in g .......................................................... 141 8,191 2,259 312 46 258 2 420

Deposit insurance assessm ents................................................................. 793 11,697 1,091 320 77 266 11 303

Furniture and fixtures (including recurring depreciation).................. 963 7,970 1,079 304 75 202 21 254

All other current operating expenses........................................................ 4,129 46,116 6,289 2,106 445 1,345 94 2,259

Net current operating incom e......................................................................... 105,971 1,729,913 152,460 43,398 10,570 41,563 1,379 42,363

Franchise and income taxes—total................................................................ 621 24,468 471 1,585 113 703 2 171

State franchise and incom e taxes 23,196 431 1,541 1 2 122

Federal incom e ta xe s ....................... ................................. 621 1 272 40 44 112 703 49

Net current operating income after ta xe s.................................................. 105,350 1,705,445 151,989 41,813 10,457 40,860 1,377 42,192

Dividends and interest on deposits............................................................... 98,948 1,666,840 140,135 38,387 9,514 36,690 1,230 39,424

Net current operating income after taxes and dividends.................... 6,402 38,605 11,854 3,426 943 4,161 147 2,768

214 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Non-recurring income, realized profits and recoveries credited to

profit and loss, and transfers from valuation adjustment provisions—total..................................................................................................

Non-recurring in co m e ...................................................................................

Realized profits and recoveries on:

Securities sold or m a tu re d .......................................................................

Real estate m ortgage lo a n s....................................................................

Other real e s ta te ....................................................................................

2,684

911

1,574

47

88

67,583

14,947

34,488

290

1,734

318

1,789

239

786

8

4

3,415

2,102

1,130

48

122

25

83

7

6

254

55

107

442

20

15

2

3

1,067

456

526

74

All other a sse ts........................................................................................ 64 177 1 1 41 11

Transfers from valuation adju stm en t provisions on:

S ecurities................................................................................................... 5,390 569 5

Real estate mortgage lo a n s..................................................................... 10,219 134

Other real e s ta te ........................................................................................ 58 6

All other a sse ts............................................................................................ 119

Non-recurring expenses, realized losses charged to profit and loss,

and transfers to valuation adjustment provisions—total.............

Non-recurring exp enses...............................................................................

Realized losses on:

Securities so ld ..............................................................................................

Real estate m ortgage lo a n s.....................................................................

Other real e sta te .........................................................................................

1,533

395

776

44

7

68,096

9,442

47,643

3,708

1,046

5,835

136

5,129

30

47

1,092

175

266

4

551

72

27

19

16

3

241

153

41

15

3

41

3

37

1

900

31

151

271

All other asse ts............................................................................................ 35 878 1 82 4 1 23

Transfers to valuation a d ju stm en t provisions on:

S ecurities....................................................................................................... 50 2,613 463 1 28 500

Real estate m ortgage lo a n s..................................................................... 226 2,571 159

Other real e sta te ......................................................................................... 16 4

All other a sse ts... ............................................................................... 179 25 14 2 8

Net additions to total surplus accounts from operations..................... 7,553 38,092 7,808 5,749 993 4,174 126 2,935

Memoranda

Recoveries credited to valuation adjustm ent provisions (not included

in recoveries above) on:

S ecurities........................................................................................................... 23 2,382

3

258

Real estate m ortgage lo a n s........................................................................ 1 222

Other real e sta te ............................................................................................. 1

All other asse ts. . . . ................................................................................ 12 i 5

Realized losses charged to valuation adjustm ent provisions (not

included in realized losses above) on:

S ecurities........................................................................................................... 1 78 112 1 873 1 28

Real estate mortgage loan s.................................................. .................... 31 3,906 12 16

Other real e s ta te ............................................................................................. 200 4

All other asse ts................................................................................................ 50 10 11

N um ber of banks, Decem ber 30.................................................................... 21 125 7 7 6 5 3 9

1 Other States or areas include Alaska, Delaware, Minnesota, Ohio, Oregon, Puerto Rico, and Virgin Islands.

INCOME OF INSURED BANKS 215

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Federal Reserve Bank of St. Louis
BANKS CLOSED BECAUSE OF FINANCIAL DIFFICULTIES; 

DEPOSIT INSURANCE DISBURSEMENTS

Table 123. Number and deposits of banks closed because of financial difficulties, 

1934-1967

Table 124. Insured banks requiring disbursements by the Federal Deposit Insurance 

Corporation during 1967 

Table 125. Depositors, deposits, and disbursements in insured banks requiring disbursements by the Federal Deposit Insurance Corporation, 1934-1967

Banks grouped by class of bank, year of deposit payoff or deposit assumption, amount of deposits, and State

Table 126. Recoveries and losses by the Federal Deposit Insurance Corporation on 

principal disbursements for protection of depositors, 1934-1967

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Federal Reserve Bank of St. Louis
Deposit insurance disbursements

Disbursements by the Federal Deposit Insurance Corporation to 

protect depositors are made when the insured deposits of banks in 

financial difficulties are paid off, or when the deposits of a failing 

bank are assumed by another insured bank with the financial aid of 

the Corporation. In deposit payoff cases, the disbursement is the 

amount paid by the Corporation on insured deposits. In deposit 

assumption cases, the principal disbursement is the amount loaned 

to failing banks, or the price paid for assets purchased from them; 

additional disbursements are made in those cases as advances for 

protection of assets in process of liquidation and for liquidation 

expenses.

Noninsured bank failures

No noninsured bank failed in 1967.

For detailed data regarding noninsured banks which suspended 

in the years 1934-1962, see the Annual Report for 1963, pp. 

27-41. For 1963-1966, see Table 123 of this Report, and previous 

Reports for respective years.

Sources of data

Insured banks: books of bank at date of closing; and books of 

FDIC, December 31, 1967.

BANKS CLOSED AND DEPOSIT INSURANCE DISBURSEMENTS 217

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Federal Reserve Bank of St. Louis
Table 123. NUMBER AND DEPOSITS OF BANKS CLOSED BECAUSE OF FINANCIAL DIFFICULTIES, 1934-1967

N um ber Deposits (in thousands o f dollars)

Year

Total Noninsured 1

Insured

Total

W ithout

disbursem ents

by

FDIC 2

With

disbursements

by

FDIC3

Total Noninsured 1

Insured

Total

W ithout

disbursem ents

by

FDIC 2

W ith

disbursem ents

by

FD IC3

Total

1934..

1935..

1936..

1937..

1938..

1939..

1940..

1941..

1942..

1943..

1944..

1945..

1946..

1947..

1948..

1949..

1950..

1951..

1952...

1953..

1954..

1955..

1956..

1957..

1958..

1959..

1960..

1961..

1962..

1963..

1964..

1965..

1966..

1967..

606

61

32

72

83

80

72

48

16

23

5

2 

1 

2

6

3

9

5

5

4

5

4

5

3

3

9

3

2 

9

3

2

131

52

6

3

7

7

12

5

2

3

475

9

26

69

76

73

60

43

14

20

5

2

1

1

5

3

5

4

2

3

4

2

5

2 

2

4

3

1

5

1 

2 

7

5

7

4

467

9

25

69

74

73

60

43

14

20

5

2

1

1

5

3

4

4

2

3

2 

2

5

2 

1

4

3

1

5

908,029

37,332

13,987

28,100

34,141

60.444

160,211

142,787

18,805

19,541

12,525

1,915

5,695

494

7,207

10,674

9,217

5,555

6,464

3,313

45,101

2,948

11,953

11,689

12,502

10,413

2,593

7,965

10,611

4,231

23.444

23,867

45,256

106,171

10,878

61,973

35,364

583

592

528

1,038

2,439

358

79

355

147

167

2,552

42

3,056

143

390

1,950

360

1,255

2,173

1,035

1,675

1,220

429

1,395

2,648

846,056

1,968

13,404

27,508

33,613

59,406

157,772

142,429

18,726

19,186

12,525

1,915

5,695

347

7,040

10,674

6,665

5,513

3,408

3,170

44,711

998

11,953

11,329

11,247

8,240

2,593

6,930

8,936

3,011

23,444

23,438

43,861

103,523

10,878

41,147

85

328

1,190

26,449

10,084

3,011

804,909

1,968

13,319

27,508

33,285

59,406

157,772

142,429

18,726

19,186

12,525

1,915

5,695

347

7,040

10,674

5,475

5,513

3,408

3,170

18,262

998

11,953

11,329

1,163

8,240

2,593

6,930

8,936

23,444

23,438

43,861

103,523

10,878

1 For information regarding each of these banks, see Table 22 in the Annual Report of the Federal Deposit Insurance Corporation for 1963, page 221 of the report for

1964, page 179 of the report for 1965, and page 183 of the 1966 report. One noninsured bank placed in receivership in 1934, with no deposits at time of closing, is omitted

(see Table 22, note 9). Deposits are unavailable for 7 banks.

2 For information regarding these cases, see Table 23 of the Annual Report for 1963.

3 For information regarding each bank, see the Annual Report for 1958, pp. 48-83 and pp. 98-127, and tables regarding deposit insurance disbursements in subsequent

annual reports. Deposits are adjusted as of December 31, 1967, and exclude deposits for three cases requiring disbursements by the Corporation; 1 bank in voluntary

liquidation in 1937 (payoff case no. 90); 1 noninsured bank in 1938 with insured deposits at date of suspension, its insurance status having been terminated prior to

suspension (payoff case no. 162); and 1 foreign-owned bank closed in 1941 by order of the Federal Government (payoff case no. 234).

218 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Table 124. INSURED BANKS REQUIRING DISBURSEMENTS BY THE FEDERAL DEPOSIT INSURANCE CORPORATION DURING 1967

Case

num ber Name and location

Class of

bank

Num ber of

d e p o sito rs'

Date of

closing

First paym ent

to depositors

or disbursem ent

by FDIC

D isb u rse m e n t2

Receiver or

liquidating agent

Deposit

Pa2y8°0ff

281

282

283

Bank of Pine Apple,

Pine Apple, Alabam a

Southern Bank of St. Petersburg,

St. Petersburg, Florida

Sacul State Bank,

Sacul, Texas

The Cedar Vale National Bank,

Cedar Vale, Kansas

SM

NM

NM

N

1,265

1,277

617

1,570

January 31, 1967

February 17,1967

June 23, 1967

July 7, 1967

February 6, 1967

February 21, 1967

June 30, 1967

July 13, 1967

$2,304,479

1,902,958

582,953

3,073,810

Federal Deposit

Insurance Corporation

Federal Deposit

Insurance Corporation

Federal Deposit

Insurance Corporation

Federal Deposit

Insurance Corporation

Case

num ber

Assets 1

Total

Liabilities and capital accounts 1

Cash and

due from

banks

U. S. Governm ent

obligations

Other

securities

Loans,

discounts,

and

overdrafts

Banking

house,

furniture

& fixtures

Other

real

estate

Other

assets Deposits

Other

liabilities

Capital

stock

Other

capital

accounts

Deposit

pT o ,f

281

282

283

365,709

183,577

141,455

560,282

987,920

1,368,467

113,622

580,812

37,491

30,000

6,000

2,878,325

912,626

462,813

2,849,111

1

414,675

5,416

37,200 23,126

19,741

4,380

8,665

1,720

4,289,187

2,883,725

761,971

4,058,251

3,884,599

2,451,411

723,985

3,818,263

150.000

500.000

25.000

50.000

254,588

-67,686

12,986

189,988

1 Figures as determined by FDIC agents after adjustment of books of the bank immediately following its closing.

2 Includes disbursements made to December 31, 1967, plus additional disbursements estimated to be required in these cases.

BANKS CLOSED AND DEPOSIT INSURANCE DISBURSEMENTS 219

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Table 125. DEPOSITORS, DEPOSITS, AND DISBURSEMENTS IN INSURED BANKS REQUIRING DISBURSEMENTS BY THE

FEDERAL DEPOSIT INSURANCE CORPORATION, 1934-1967 

B A N K S G R O U P E D BY C L A SS OF B A N K , YEAR OF DE PO SIT PAYOFF OR D E PO SIT A S S U M P T IO N , A M O U N T OF D E P O S IT S, A N D STA T E

C la s s ific a tio n

N u m b e r o f b a n k s N u m b e r o f d e p o s ito r s ' D e p o s it s 1 (in t h o u s a n d s o f dollars^ D is b u r s e m e n t s b y FD IC’ (in t h o u s a n d s o f d o lla r s)

T o tal P a y o ff

c a s e s

A s s u m p ­ tio n

c a s e s

T otal P a y o ff

c a s e s

A s s u m p tio n

c a s e s

T otal P a y o ff

c a s e s

A s s u m p tio n

c a s e s

P rin cip a l d is b u r s e m e n t s A d v a n c e s a n d e x p e n s e s 2

T o tal P a y o ff c a s e s 3

A s s u m p ­ tio n

c a s e s 4

P a y o ff c a s e s 5

A s s u m p ­ tio n c a s e s 6

All banks............................... 470 280 190 1,632,597 501,998 1,130,599 816,244 245,996 570,248 376,843 163,955 212,888 3,005 48,126

Class of bank N a tio n a l b a n k s......................... 85 30 55 332,675 84,215 248,460 184,000 80,597 103,403 78,716 38,407 40,309 820 6,395 S ta te b a n k s m e m b e r s F .R .S............................................ 25 9 16 3/3,810 88,204 285,606 194,421 33,303 161,119 105,888 25,617 80,271 196 19,273 B a n k s n o t m e m b e r s F .R .S . 360 241 119 926,112 329,579 596,533 437,823 132,097 305,726 192,239 99,931 92,308 1,989 22,458

Year 7

1934 . . 9 9 15,767 15,767 1,968 1,968 941 941 43

1 935.................................................... 25 24 1 44,655 32,331 12,234 13,319 9,091 4,229 8,891 6,026 2,865 108 272

1936.................................................... 69 42 27 89,018 43,225 45,793 27,508 11,241 16,267 14,781 8,056 6,725 67 934

1937.................................................... 75 50 25 130,387 74,148 56,239 33,349 14,960 18,389 19,161 12,045 7,116 103 905

1 938.................................................... 74 50 24 203,961 44,288 159,673 59,684 10,296 49,388 30,479 9,092 21,387 93 4,902

1 939.................................................... 60 32 28 392,718 90,169 302,549 157,772 32,738 125,034 67,770 26,196 41,574 162 17,603

1940.................................................... 43 19 24 256,361 20,667 235,694 142,429 5,657 136,773 74,134 4,895 69,239 89 17,237

1 941.................................................... 15 8 7 73,005 38,594 34,411 29,718 14,730 14,987 23,880 12,278 11,602 50 1,479

1942.................................................... 20 6 14 60,688 5,717 54,971 19,186 1,816 17,369 10,825 1,612 9,213 38 1,076

1943.................................................... 5 4 1 27,371 16,917 10,454 12,525 6,637 5,888 7,172 5,500 1,672 53 72

1944.................................................... 2 1 1 5,487 899 4,588 1,915 456 1,459 1,503 404 1,099 9 37

1945 ........................ 1 1 12,483 12,483 5,695 5,695 1,768 1,768 96

1946 ................................. 1 1 1,383 1,383 347 347 265 265 11

1947 ................... 5 5 10,637 10,637 7,040 7,040 1,724 1,724 365

1948 ............................. 3 3 18,540 18,540 10,674 10,674 2,990 2,990 200

1949 4 4 5,671 5,671 5,475 5,475 2,552 2,552 166

1950 ............................ 4 4 6,366 6,366 5,513 5,513 3,986 3,986 524

1951 ...................................... 2 2 5,276 5,276 3,408 3,408 1,885 1,885 127

1952 ................... 3 3 6,752 6,752 3,170 3,170 1,369 1,369 195

1953 ............................ 2 2 24,469 24,469 18,262 18,262 5,017 5,017 428

1954 . . 2 2 1,811 1,811 998 998 913 913 145

19 55.................................................... 5 4 1 17,790 8,080 9,710 11,953 6,503 5,450 6,784 4,438 2,346 106 665

1 956.................................................... 2 1 1 15,197 5,465 9,732 11,329 4,702 6,628 3,333 2,795 538 87 51

1957 ........................ 1 1 2,338 2,338 1,163 1,163 1,031 1,031 20

1 958.................................................... 4 3 1 9,587 4,380 5,207 8,240 4,156 4,084 3,026 2,796 230 38 31

1959 . . 3 3 3,073 3,073 2,593 2,593 1,835 1,835 51

I960 ........................ 1 1 11,171 11,171 6,930 6,930 4,765 4,765 82

1961 5 5 8,301 8,301 8,936 8,936 6,200 6,200 154

1963 ........................ 2 2 36,430 36,430 23,444 23,444 19,242 19,242 274

1964 7 7 19,934 19,934 23,438 23,438 13,770 13,770 570

1 965.................................................... 5 3 2 15,817 14,363 1,454 43,861 42,889 972 11,506 11,033 473 486 108

1 966.................................................... 7 1 6 95,424 1,012 94,412 103,528 774 102,749 15,075 735 14,340 188 495

1967 4 4 4,729 4,729 10,878 10,878 8,272 8,272 134

Banks with deposits of— L e s s th a n $ 100,000.................. 107 83 24 38,347 29,695 8,652 6,418 4,947 1,471 5,000 4,309 691 88 154

$100,000 to $250 ,000................. 109 86 23 83,370 65,512 17,858 17,759 13,920 3,839 12,906 11,554 1,352 209 173

$250,000 to $ 500 ,000................. 61 37 24 91,218 57,287 33,391 21,881 12,921 8,961 14,993 10,550 4,443 163 611

$500,000 to $ 1,00 0,0 00............. 72 35 37 161,923 74,870 87,053 55,972 27,935 28,037 36,675 20,957 15,718 383 2,288

$1,000,000 to $2,000,000 52 17 35 211,161 66,768 144,393 74,044 22,210 51,834 41,103 17,085 24,018 353 3,545

$2,000,000 to $5,000,000 41 14 27 257,640 73,531 184,109 128,929 46,744 82,185 69,111 32,454 36,657 479 5,733

$5,000,000 to $10,000,000. . . . 16 4 12 222,948 32,665 190,283 105,189 27,715 77,474 44,112 17,828 26,284 434 5,491

$10,000,000 to $ 25,0 00 ,0 00 .. . 6 3 3 198,137 89,189 108,948 113,498 49,429 64,068 59,514 39,444 20,070 309 5,404

$25,000,000 to $5 0,000 ,0 00 .. . 5 1 4 284,809 12,481 272,328 199,594 40,176 159,418 83,427 9,774 73,653 422 24,723 $50,000,000 to $100,000,000. . 1 1 83,044 83,044 92,960 92,960 10,000 10,000 82

220 FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
S ta te

A la b a m a ............

A rk a n s a s ...........

C a lifo rn ia ...........

C o lo ra d o ............

C o n n e c tic u t. . . .

F lo rid a ................

G e o rg ia ...............

Id a h o ...................

Illin o is ...................

In d ia n a ...............

Io w a .....................

K a n s a s .................

K e n tu c k y ............

L o u is ia n a ............

M a in e ...................

M a ry la n d .............

M a s s a c h u s e tts .

M ic h ig a n .............

M in n e s o ta ..........

M is s is s ip p i.........

M is s o u ri...............

M o n ta n a ..............

N e b ra s k a ............

New H a m p s h ire 

New J e rs e y .........

New Y o rk .............

N o rth C a ro lin a . . 

N o rth D a kota . . .

O h io .......................

O k la h o m a ...........

O re g o n .................

P e n n s y lv a n ia . . . 

S o uth C a ro lin a .. 

S o uth D a kota . . . 

T e n n e s s e e .........

T e x a s ....................

V e rm o n t...............

V irg in ia .................

W a sh in g to n 

W est V irgin ia . . .

W is c o n s in ...........

W y o m in g .............

4 2 2 9,170 2,059 7,111 6,170 3,985 2,185 1,089 94 995 46 91

7 6 1 5,446 4,541 905 2,538 1,942 596 4,335 4,191 144 40 48

4 3 1 21,059 17,890 3,169; 47,298 46,220 1,078 13,881 13,020 861 517 138

3 2 1 2,094 1,382 712 2,987 2,262 725 1,410 938 472 39 61 ? 2 5,379 5,379 1,526 1,526 1,242 1,242 8

4 2 2 5,991 1,725 4,266 5,908 2,668 3,240 3,459 2,145 1,314 45 151 10 8 2 9,410 8,797 613 1,959 1,870 89 1,620 1,551 69 33 33 ? 2 2,451 2,451 1,894 1,894 1,493 1,493 29 20 8 12 79,721 41,802 37,919 50,765 25,081 25,684 28,466 20,484 7,982 303 791 20 15 5 30,006 12,549 17,457 13,593 3,932 9,662 6,197 3,096 3,101 39 384

7 4 3 16,055 4,066 11,989 9,401 4,383 5,018 3,875 2,804 1,071 46 113 10 6 4 6,715 3,824 2,891 5,052 4,357 694 4,093 3,601 492 33 72

23 18 5 36,139 18,490 17,649 8,888 3 953 4,934 5,455 3,329 2,126 44 201

3 3 6,087 6,087 1,652 1,652 668 668 10 1 1 9,710 9,710 5,450 5,450 2,346 2,346 665

5 2 3 22,567 6,643 15,924 .4,566 828 3,738 3,109 735 2,374 9 371

? 2 9,046 9,046 3,019 3,019 1,564 1,564 1,030 10 4 6 115,863 2,084 113,779 107,727 1,394 106,332 17,461 1,311 16,150 206 760

5 5 2,650 2,650 818 818 640 640 17

3 3 1,651 1,651 334 334 257 257 5

49 36 13 41,277 29,478 11,799 11,107 7,240 3,867 7,678 6,011 1,667 99 233

5 3 2 1,500 849 651 1,095 215 880 639 186 453 6 21 6 6 6,069 6,069 8,145 8,145 5,008 5,008 46 1 1 1,780 1,780 296 296 117 117 8

39 12 27 522,563 103,797 418,766 194,630 33,128 161,502 82,125 26,468 55,657 161 20,154

26 3 23 269,621 28,440 241,181 145,439 13,286 132,153 67,872 10,836 57,036 32 10,847

7 2 5 10,408 3,677 6,731 3,266 1,421 1,845 2,387 1,156 1,231 23 179

29 18 11 14,103 6,760 7,343 3,830 1,552 2,278 2,656 1,397 1,259 24 203

4 2 2 13,751 7,585 6,166 7,223 2,345 4,877 2,098 1,610 488 7 44 11 8 3 25,070 20,149 4,921 13,765 11,053 2,712 9,247 7,936 1,311 178 104

2 1 1 3,439 1,230 2,209 2,670 1,368 1,302 1,948 986 962 11 81

29 8 21 166,894 43,828 123,066 75,756 14,340 61,416 51,292 10,133 41,159 75 9,524 2 1 1 1,848 403 1,445 849 136 714 274 136 138 10

23 22 1 12,515 11,412 1,103 2,987 2,862 126 2,411 2,388 23 26 9 12 8 4 12,358 9,993 2,365 1,942 1,620 322 1,278 1,164 114 28 25

32 26 6 42,784 35,848 6,936 25,108 19,185 5,922 15,637 13,241 2,396 446 292

3 2 1 11,057 8,687 2,370 3,725 3,375 350 3,445 3,259 186 21 22

9 4 5 35,715 12,638 23,077 17,778 7,652 10,127 8,285 3,889 4,396 286 505 1 1 4,179 4,179 1,538 1,538 935 935 512

3 3 8,346 8,346 2,006 2,006 1,458 1,458 11

31 20 11 26,898 18,739 8,159 9,512 5,966 3,545 7,188 5,096 2,092 54 423 1 1 3,212 3,212 2,033 2,033 202 202 19

1 Adjusted to December 31, 1967. In assumption cases, number of depositors refers to number of deposit accounts.

2 Excludes $344 thousand of non-recoverable insurance expenses in cases which were resolved without payment of claims or a disbursement to facilitate assumption of deposits by

another insured bank, and other expenses of field liquidation employees not chargeable to liquidation activities.

in c lu d e s estimated additional disbursements in active cases.

4 Excludes excess collections turned over to banks as additional purchase price at termination of liquidation.

5 These disbursements are not recoverable by the Corporation; they consist almost wholly of field payoff expenses.

* Includes advances to protect assets and liquidation expenses of $47,725 thousand, all of which have been fully recovered by the Corporation, and$399thousand of non-recoverable

expenses.

7 No case in 1962 required disbursements. Disbursement totals for each year relate to cases occurring during that year, including disbursements made in subsequent years.

Note: Due to rounding differences, components may not add to totals.

BANKS CLOSED AND DEPOSIT INSURANCE DISBURSEMENTS 221

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Federal Reserve Bank of St. Louis
Table 126. RECOVERIES AND LOSSES BY THE FEDERAL DEPOSIT INSURANCE CORPORATION ON PRINCIPAL DISBURSEMENTS 

FOR PROTECTION OF DEPOSITORS, 1934-1967

( A m o u n ts in th o u s a n d s o f d o lla rs )

L iq u id a tio n 

s ta tu s a n d 

y e a r o f d e ­

p o s it p a y o ff 

o r d e p o s it 

a s s u m p tio n

A ll c a s e s D e p o s it p a y o ff c a s e s D e p o s it a s s u m p tio n c a s e s

N u m ­

b e r o f 

b a n k s

P rin c ip a l

d is b u r s e ­

m e n ts

R e ­

c o v e rie s 

to D e c . 

31, 1967

E s tim a te d

a d d itio n a l

re c o v e rie s

L o s s e s 1

N u m ­

b e r o f 

b a n k s

P rin c ip a l

d is b u rs e ­

m e n ts 2

R e ­

c o v e rie s 

to D e c . 

31, 1967

E s tim a te d

a d d itio n a l

re c o v e rie s

L o s s e s 1

N u m ­

b e r o f 

b a n k s

P rin c ip a l

d is b u rs e ­

m e n ts 3

R e ­

c o v e rie s 

to D e c . 

31, 1967

E s tim a te d

a d d itio n a l

re c o v e rie s

L o s s e s 1

T o ta l.

S tatus

A c tiv e ........

Term inated

Y ear4

193 4 

193 5 

193 6 

193 7

193 8

193 9 

194 0

194 1 

194 2 

194 3 

194 4 

194 5 

194 6 

194 7 

194 8

194 9 

195 0 

195 1 

195 2

195 3 

195 4 

195 5 

195 6 

195 7

195 8 

195 9 

196 0

196 1 

196 3 

196 4 

196 5 

196 6 

196 7

470

36

434

9

25

69

75

74

60

43

15

20

5

2

1

1

5

3

4

4

2

3 

2

2

5 

2

1

4

3 

1

5 

2

7

5

7

4

376,841

121,125,

255,716

941

8,891

14,781

19,161

30,479

67,770

74,134

23,880

10,825

7,172

1,503

1,768

265

1,724

2,990

2,552

3,986

1,885

1,369

5,017

913

6,784

3,333

1,031

3,026

1,835

4,765

6,200

19,242

13,767

11,506

15,075

8,272

309,028

79,482

229,546

734

6,196

12,325

15,610

28,055

60,618

70,246

23,290

10,136

7,048

1,462

1,768

265

1,634

2,349

2,183

2,601

1,792

577

5,017

654

6,554

3,038

1,031

2,998

1,738

4,765

4,652

15,775

10,129

657

2,741

389

17,983

17,983

120

91

55

41

1,522

1,441

3,664

6,213

4,812

49,829

23,659

26,170

207 

2 689 

2,455 

3,549 

2,425

7,153

3,767

591

688

123

40

280

21

259

9

24

42

50

50

32

19

8

6

4

163,954

60,188

103,765

941

6,026

8,056

12,045

9,092

26,196

4,895

12,278

1,612

5,500

404

121,794

33,319

88,472

734

4,274

6,595

9,520

7,908

20,399

4,313

12,065

1,320

5,376

363

72

641

369

1,385

3

792

258

230

240

1,508

1.945

2,197

7,185

6,121

3,070

4,438

2.795 

1,031

2.796

1,835

4,765

6,200

19,242

13,767

11,033

735

8,272

4,208

2,500

1,031

2,768

1,738

4,765

4,652

15,775

10,129

357

611

389

11,635

11,635

55

41

1,522

1,441

3,661

104

4,812

30,525

15,232

15,293

207

1,751

1,460

2,524

1,184

5,798

582

213

292

123

40

230

240

1,508

1,945

2,197

7,015

20

3,070

190

15

175

212,887

60,937

151,951

2,865

6,725

7,116

21,387

41,574

69,239

11,602

9,213

1,672

1,099

1,768

265

1,724

2,990

2,552

3,986

1,885

1,369

5,017

913

2,346

538

230

473

14,340

187,237

46,163

141,074

1,922

5,730

6,090

20,147

40,219

65,933

11,225

8,816

1,672

1,099

1,768

255

1,634

2,349

2,183

2,601

1,792

577

5,017

654

2,346

538

230

300

2,130

6,346

6,347

120

19

91

3

6,109

19,304

8,427

10,877

938

995

1,025

1,241

1,355

3,185

378

396

72

641

369

1,385

3

792

258

170

6,101

1 Includes estimated losses in active cases. Not adjusted for interest or allowable return, which was collected in some cases in which the disbursement was fully recovered.

2 Includes estimated additional disbursements in active cases.

3 Excludes excess collections turned over to banks as additional purchase price at termination of liquidation.

4 No case in 1962 required disbursements.

Note: Due to rounding differences, components may not add to totals.

222 FEDERAL DEPOSIT INSURANCE CORPORATION

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225

INDEX

Absorptions:

Of insured banks requiring disbursements by FDIC. See 

Banks in financial difficulties.

Of operating banks, 1967 .................................................................. 23-24, 156

Of operating banks approved by FDIC, 1967 ....................................24, 41-84

Regulation o f ............................................................................ 23, 106-110, 111

Admission of banks to insurance (see also Applications from banks):

Applications for, 1967 .................................................................................. 22

Number of banks admitted, by class of bank, 1967 .............................. 157

Advertising of Participation in FDIC Insurance. See Federal Deposit Insurance Corporation

Applications from banks ..........................................22-25, 100-101, 105-109, 111

Areas outside continental United States, banks and branches located in:

Earnings, expenses, profits, and dividends, 1967 ..............................198-199

Number, December 30, 1967 ..............................................159, 160, 167-168

Assessments for deposit insurance..........................................35-38, 109, 112-114

Assets, liabilities, and capital of banks (see also Deposits):

All banks, June 30, and December 30, 1967 ........................................172-175

Commercial banks, June 30, and December 30, 1967 ....................... 172-175

Insured commercial banks:

Amount, December call dates, 1963-1967 ....................................176-179

Amount, December 30, 1967, by class of b a n k ............................ 180

Amount, December 30, 1967, by deposit size of b a n k................. 181

Distribution of banks with given ratios of selected items to

total assets, by size of bank, December 30, 1967 ............... 184-185

Insured mutual savings banks:

Amount, and percentage distributions, December call dates,

1963-1967 .................................................................................... 176-179

Major categories, average, 1959-1967 ............................................ 209

Mutual savings banks:

Banks grouped by insurance status, June 30, and December

30, 1967 ........................................................................................ 172-173

Sources of data .............................................................................. 171, 187

Assets and liabilities of FDIC................................................................................ 34-35

Assets purchased by FDIC from banks in financial difficulties ....19-21, 35, 222 

Assumption of deposits of insured banks with financial aid of FDIC

(see also Banks in financial difficulties)......................... 20-21, 217, 219-222

Attorney General of the United States, summary reports on absorptions.....43-84

Audit of FDIC........................................................................................................... 40

Bad-debt reserves. See Valuation reserves.

Bank Supervision. See Supervision of banks; Examination of 

insured banks.

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Banking data, classification of:

Assets and liabilities of banks.................................................................... 171

Deposit insurance disbursements............................................................... 217

Income of insured banks.............................................................................. 187

Number of banks and branches ............................................................154-155

Number of Banks and Deposits.................................................................. 169

Banking offices, number of. See Number of banks and branches.

Banks, applications from, acted on by FDIC ................................................. 22-24

Banks in financial difficulties:

Insured banks requiring disbursements by FDIC:

Assets and Liabilities o f ...................................................................... 219

Deposit size o f ...................................................................................... 219

Deposits protected, 1934-1967 ..............................19-21, 218, 220-221

Disbursements by FDIC, 1934-1967 ............................. 19-21, 217-222

Loans made and assets purchased by FDIC.................................... 21

Location by State, 1934-1967 ............................................................ 221

Losses incurred by FDIC............................................................20-21, 222

Losses incurred by depositors .......................................................... 20

Name and location of, 1967............................................................ 19, 219

Number of, 1934-1967 ..................................................19, 218, 220-221

Number of deposit accounts, 1934-1967 ......................................220-221

Recoveries by FDIC on assets acquired, 1934-1967 ................. 21, 222

Noninsured banks:

Number and deposits of commercial banks closed, 1934-1967.. 218 

Suspensions, 1967 .................................................................... 156, 217

Banks, number of. See Number of banks and branches.

Board of Directors of FDIC. See Federal Deposit Insurance Corporation.

Board of Governors of the Federal Reserve System. See Federal Reserve 

authorities.

Branches (see also Number of banks and branches):

Establishment approved by FDIC, 1967 .................................................... 23

Examination of, 1966 and 1967 ................................................................ 25

Increase, branches of all banks, 1967 ....................................15-16, 157-159

Call reports. See Assets, liabilities, and capital of banks;

Reports from banks.

Capital of banks. See Assets, liabilities, and capital of banks; Banks in 

financial difficulties; Income of insured commercial banks; Examination

of insured banks.

Cease-and-desist authority ...................................................................... 26, 127-128

Certificates of deposit (see also Deposits)....................................................10, 136

Charge-offs by banks. See income of insured commercial banks;

Income of insured mutual savings banks; Valuation reserves.

Class of bank, banking data presented by:

Absorptions .......................................................................................... 23-24, 156

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Admissions to and terminations of insurance......................................156*157

Assets and liabilities of insured commercial banks ............................. 180

Income of insured commercial banks, 1967 ........................................162-163

Insured banks requiring disbursements by FDIC, 1934-1967 ............... 220

Number of banks and banking offices, 1967 ..................... 156-157, 160-168

Number of banks and deposits.................................................................. 169

Classification of banks...................................................................................... 154-155

Closed banks. See Banks in financial difficulties.

Commercial banks. See Assets, liabilities, and capital of banks; Deposits;

Income of insured commercial banks; Number of banks and branches.

Comptroller of the Currency ................... IV, V, 22, 25, 33, 97, 103, 171, 187

Conferences with supervisors of State banks....................................................28-29

Consolidations. See Absorptions.

Control of banks, changes in .............................................................................. 27

Credit, bank. See also Assets, liabilities, and capital of banks..................... 7-8

Demand deposits. See Assets, liabilities, and capital of banks; Deposits.

Deposit insurance coverage ........................................................20-22, 31, 133-137

Deposits, insured by FDIC:

Definition of deposit insurance coverage..............................................133-137

Estimated insured deposits, December 31, 1934-1967 ......................... 39

Increase in maximum per depositor..................................................2.1-22, 31

Deposits of: (See also Assets, liabilities, and capital of banks):

All banks:

By insurance status and type of bank, and type of account,

December 30, 1967 ........................................................................ 175

By insurance status and type of bank, and type of account,

June 30, 1967 ................................................................................ 173

Banks closed because of financial difficulties, 1934-1967 ............... 217-221

Insured banks, December call dates, 1934-1967 ............................... 39

Insured commercial banks:

Average demand and time desposits, 1959-1967 ....................... 189

By class of bank, December 30, 1967 ............................................ 180

By deposit size of bank, December 30, 1967 .............................. 181

December call dates, 1963-1967 .................................................... 178

Insured mutual savings banks:

Average demand and time deposits, 1959-1967 .......................... 209

December call dates, 1963-1967 .................................................... 178

Sources of data concerning ...................................................................... 171

Deposits, number of insured commercial banks with given ratios of

demand to total deposits .............................................................................. 185

Directors of FDIC. See Federal Deposit Insurance Corporation.

Disbursements, See Banks in financial difficulties.

Districts, FDIC, Realignment of ........................................................................ 25-26

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Dividends:

To depositors in insured mutual savings banks ....... 208, 210, 212, 214

To stockholders of insured commercial banks. See Income of 

insured commercial banks.

Earnings of banks. See Income of insured commercial banks; Income 

of insured mutual savings banks.

Economic and banking developments in 1967 ................................................ 3-9

Employees:

FDIC .............................................................................................. 33-34, 140-142

Insured commercial banks:

Number and compensation, 1959-1967 ......................................188-189

Number and compensation, by class of bank, by size of bank,

and by State, 1967 ........................................................193, 195, 199

Insured mutual savings banks, number and

compensation ............................................................................. 208-212, 214

Examination of insured banks:

Banks examined by FDIC, 1967 ................................................................ 25

District offices and supervising examiners ........................................VI, 25-26

Expenses of banks. See Income of insured commercial banks;

Income of insured mutual savings banks.

Expenses of FDIC ...................................................................................................36-37

Failures. See Banks in financial difficulties.

Federal bank supervision ........................................................................ 22-30, 93-99

Federal Deposit Insurance Corporation (FDIC):

Actions on applications ................................................................................ 22-24

Advertising of membership by insured banks ............................31, 130-133

Assessments on insured banks ................................................................35-38

Assets ...............................................................................................................34-35

Audit ............................................................................................................... 40

Banks examined by, and submitting reports to ......................................22-28

Borrowing power .......................................................................................... 35

Capital stock ................................................................................................. 35n

Cease-and-desist authority .............................................................. 26, 127-128

Coverage of deposit insurance, banks participating ..15, 20, 156, 160-168

Deposit insurance fund (surplus) ..............................................................35-39

Directors (members of the Board) ............................................................V, 33

Disbursements for protection of depositors ..........................19-21, 217-222

Districts .....................................................................................................VI, 25-26

Divisions .........................................................................................................IV, 34

Employees .................................................................................... 32-34, 140-143

Examination of banks ................................................................................ VI, 25

Financial statements, 1967 ........................................................................ 35-37

Income and expenses, 1933-1967 ............................................................36-38

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Information and records available to the public ............... 101-105, 109-114

Insured banks requiring disbursements by. See Banks in 

financial difficulties.

Liabilities .........................................................................................................34-35

Loans to, and purchase of assets from, insured banks ....... 217, 220-221

Losses incurred, 1934-1967 .................................................................. 21, 222

Methods of protecting depositors ....................................................19-21, 217

Organization and staff .................................................................... IV-VI, 33-34

Payments to insured depositors........................................................19-21, 222

Publications ................................................................................................... 102

Recoveries .............................................................................................20-21, 222

Regulation of interest rates ....................................................10, 29, 30, 32

Reports from banks .................................................................... 27-28, 109-114

Reserve for losses on assets acquired ......................................................35-36

Rules and regulations ................................................................ 30-33, 99-143

Rules of practice and procedures applicable to hearings and

proceedings ...........................................................................................115-130

Sources and uses of funds ........................................................................ 37

Standards of conduct for employees ....................................32-33, 140-143

Supervisory activities.....................................................................................22-29

Federal Home Loan Bank Board ............................................................ 29, 31, 99

Federal Reserve authorities ............................................22, 24, 29, 93, 94, 97

Federal Reserve member banks. See Class of bank, banking data 

presented by.

Federal Savings and Loan Insurance Corporation .......................................... 31

Financial Developments— See Economic and Financial Developments, 1967 40

Gambling Activities, Prohibition of Bank Participation in....................... 29, 96-99

General Accounting Office .................................................................................... 40

Income of FDIC ...................................................................................................... 35-39

Income of insured commercial banks:

Amounts of principal components:

Annually, 1959-1967 ..............................................................188-189, 191

By class of bank, 1967 .................................................................. 192-193

By size of bank, 1967 .................................................................... 194-195

By State, 1967 ................................................................................ 198-207

Classification of income data .................................................................... 187

Earnings, 1967 ...............................................................................................12-15

Ratios of income items:

Annually, 1959-1967 .................................................................................... 190

By size of bank, 1967 .................................................................... 196-197

Sources of data ............................................................................................. 187

Income of insured mutual savings banks:

Amounts of principal components, 1959-1967 ......................... 208-209, 211

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230 FEDERAL DEPOSIT INSURANCE CORPORATION

Ratios of income and expense items, 1959-1967 .................................. 210

Sources of data ............................................................................................ 187

Insolvent banks. See Banks in financial difficulties.

Insurance status, banks classified by:

Assets and liabilities of, June 30 and December 30, 1967 ............. 172-175

Changes in number of, 1967 .................................................................. 156-157

Deposits of, June 30 and December 30, 1967 ..................................173, 175

Number of, December 30, 1967 ............................................................156-168

Percentage of banks insured, by State, December 30, 1967 ........... 160-168

Insured banks. See Assets, liabilities, and capital of banks; Banks in financial difficulties; Deposits; Income of insured commercial banks; Income 

of insured mutual savings banks; Number of banks and branches.

Insured commercial banks not members of the Federal Reserve System. 

See Class of bank, banking data presented by.

Insured deposits. See Banks in financial difficulties; Deposit insurance 

coverage.

Insured State banks members of the Federal Reserve System. See Class 

of bank, banking data presented by.

Interest rates paid by insured banks:

Authority to regulate amended ..................................................29, 30, 31, 95

Maximum rates revised ...................................................................... 10, 32, 95

Mutual savings banks in Alaska ..............................................................32, 99

Survey of, by FDIC.................................................................................... 28, 102

Investments. See Assets, liabilities, and capital of banks; Assets and liabilities of FDIC; Banks in financial difficulties; Small business investment company stock.

Legislation relating to deposit insurance and banking:

Federal, enacted in 1967 ................................................................ 29*30, 93-99

State, enacted in 1967 ............................................................................ 143-152

Loans. See Assets, liabilities, and capital of banks; Banks in financial 

difficulties.

Loans to bank executive officers.................................................................. 29, 93-94

Losses:

Of banks. See income of insured commercial banks; Income of insured mutual savings banks.

Of FDIC .................................................................................................19-21, 222

On loans, reserves for. See Valuation reserves.

Provision for, in insured banks, 1959-1967 ....................... 188-189, 208-209

Lotteries. See Gambling Activities 

Mergers. See Absorptions.

Methods of tabulating banking data. See Banking data, classification of. 

Mutual savings banks. See Assets, liabilities, and capital of banks; Deposits; Income of insured mutual savings banks; Number of banks and 

branches.

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National banks. See Class of bank, banking data presented by.

New banks, 1967 ...............................................................................................156-159

Noninsured banks (see also Absorptions; Admission of banks to insurance; Assets, liabilities, and capital of banks; Banks in financial difficulties; Classification of banks; Class of bank, banking data presented 

by; Deposits; Number of banks and branches; Reports from banks)

Number of banks and branches:

Banks:

By insurance status, type of bank, number of branches, and

State, December 30, 1967 ........................................................160-168

By insurance status and type of bank, December 30, 1967....... 156

Changes during 1967 ................................................................15-16, 156

Branches:

By insurance status, type of bank, and State, December 30,

1967 .............................................................................................. 160-168

Changes during 1967 .......................................................................... 157

Commercial banks and branches, December 30, 1966 and 1967,

by State ........................................................................................ 158-159

Insured commercial banks:

December 30, 1959-1967 ..............................................................189-190

December 30, 1967, by class of bank and deposit size of

bank .............................................................................................. 193-194

December 30, 1967, by State....................... 199, 201, 203, 205, 208

Distributed by capital ratios and distribution of assets and

deposits, December 30, 1967 ..................................................184-185

Insured mutual savings banks, December 30, 1967 .....209, 210, 213, 215

Mutual savings banks, by State, December 30, 1967 ....................... 160-168

Noninsured banks, by State, December 30, 1967 ..............................160-168

Unit banks, by insurance status and State, December 30, 1967 .....160-168

Obligations of banks. See Assets, liabilities, and capital of banks; Deposits.

Officers of insured banks. See Employees.

Officials of FDIC.................................................................................................V, 33-34

Operating banks. See Number of banks and branches.

Payments to depositors in closed insured banks. See Banks in financial 

difficulties.

Personnel. See Employees.

Possessions, banks and branches located in. See Areas outside continental 

United States, banks and branches located in.

Protection of depositors. See Banks in financial difficulties; Deposit Insurance coverage.

Receivership, insured banks placed in. See Banks in financial difficulties. 

Recoveries:

By banks on assets charged off. See Income of insured commercial 

banks; Income of insured mutual savings banks.

By FDIC on disbursements. See Banks in financial difficulties.

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232 FEDERAL DEPOSIT INSURANCE CORPORATION

Reports from banks .................................................................. 27-28, 109-114, 187

Reserves:

Of FDIC, for losses on assets acquired .................................................. 35

Of insured banks for losses on assets. See Valuation reserves.

With Federal Reserve Banks. See Assets, liabilities, and capital of 

banks.

Rules and Regulations of the FDIC. See Federal Deposit Insurance Corporation.

Salaries and wages:

FDIC ............................................................................................................... 36

Insured banks. See income of insured commercial banks; Income of 

insured mutual savings banks.

Savings and loan associations........... ........................................................ 11, 31, 96

Savings and time deposits. See also Deposits

9-10, 29, 32, 173, 175, 178, 179, 182, 183

Securities. See Assets, liabilities, and capital of banks; Assets and liabilities of FDIC; Banks in financial difficulties.

Securities, registration and reporting of bank................................27, 32, 138-140

Size of bank, data for banks classified by amount of deposits:

Assets and liabilities, insured commercial banks, 1967 ................... 181-182

Banks requiring disbursements by FDIC, 1934-1967 ........................... 220

Disbursements for protection of depositors, 1934-1967 ..................... 220

Income data of insured commercial banks, 1967 ................................194-195

Income ratios of insured commercial banks, 1967 ........................... 196-197

Number and deposits of all banks ............................................................ 169

Number of employees of insured commercial banks, 1967 ............... 195

Number of insured commercial banks, 1967 ................................... 195, 197

Number of insured commercial banks, grouped by ratios of selected

items to assets and deposits, December 30, 1967 ....................... 184-185

Small business investment company stock, bank purchase of ............. 30, 95-96

Standards of conduct for FDIC employees ........................................................32-33

State, banking data classified by:

Disbursements, deposits, and depositors in insured banks requiring

disbursements by FDIC, 1934-1967 .................................................... 221

Income of insured commercial banks, 1967 ..................................... 177-198

Number of banks and branches, by class of bank and type of office,

December 30, 1967 ............................................................................ 160-168

Percentage of banks insured, December 30, 1967 ........................... 160-168

State banking legislation enacted in 1967 ....................................................143-152

State banks. See Class of bank, banking data presented by.

Stockholders of banks, net profits available for. See Income of insured 

commercial banks.

Supervision of banks (see also Examination of insured banks):

By FDIC .................................................................................... VI, 22-29, 99-143

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Federal legislation ............................................................................ 29-30, 93-99

State legislation, 1967 ............................................................................143-152

Suspensions. See Banks in financial difficulties.

Taxes paid by insured banks. See Income of insured commercial banks; 

Income of insured mutual savings banks.

Terminations of insurance for unsafe and unsound practices ..................... 26-27

Time and savings deposits. See also Deposits

9-10, 29, 32, 173, 175, 178, 179, 182, 183

Unit banks, by insurance status and State, December 30, 1967 ............. 160-168

Unsafe and unsound banking practices ............................................26-27, 125-130

Valuation reserves (see also Assets, liabilities, and capital of banks):

Amounts held, June 30 and December 30, 1967 ........................... 172, 174

Amounts held, December call dates, 1959-1967 ............. 188-189, 208-209

Violations of law or regulations, banks charged with ......................................26-27

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