ANNUAL REPORT

OF THE

FEDERAL DEPOSIT INSURANCE CORPORATION

FOR THE YEAR ENDED 

DECEMBER 31,1943

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Federal Reserve Bank of St. Louis
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Federal Reserve Bank of St. Louis
L E T T E R OF T R A N S M IT T A L

F e d e ra l D eposit Insurance C orp oration,

Washington, D. C., September 27, 1944.

SIR: Pursuant to the provisions of subsection (r) of section 

12B of the Federal Reserve Act, as amended, the Federal Deposit 

Insurance Corporation has the honor to submit its annual report.

Respectfully,

L eo T . C row ley, Chairman.

T he P resident of the Senate

T h e Speaker of the H ouse of R epresentatives

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Federal Reserve Bank of St. Louis
FEDERAL DEPOSIT INSURANCE CORPORATION

BOARD OF DIRECTORS

LEO T. CROWLEY, Chairman 

PHILLIPS LEE GOLDSBOROUGH 

PRESTON DELANO, Comptroller oi the Currency

The Board of Directors is responsible for the performance of 

all duties and the exercise of all powers vested by law in the 

Corporation.

BOARD OF REVIEW

Considers recommendations submitted by the Division 

of Examination relative to applications from banks for 

insurance, retirement of capital, establishment of 

branches, and other similar purposes.

DIVISION OF EXAMINATION

Handles applications from banks for member* 

ship, capital retirement, branches, mergers, 

etc.; examines insured banks and determines 

necessary supervisory actions.

LEGAL DIVISION

Handles legal matters in connection with the 

activities and operations of the Corporation.

EXECUTIVE DIVISION

Supervises business management functions of 

the Corporation,'handles public relations, maintains minutes and other official records of the 

Board, and furnishes notice of matters acted 

on by the Board.

COMMITTEE ON LIQUIDATIONS, LOANS, AND 

PURCHASE OF ASSETS

Considers recommendations from the Division of 

Examination relative to loans to or purchase of assets 

from banks and recommendations from the Division 

of Liquidation relative to liquidation activities.

DIVISION OF LIQUIDATION

Pays depositors in closed insured banks, 

liquidates national banks and closed State 

banks for which the Corporation is appointed 

receiver, exercises general supervision over 

the liquidation of closed insured banks for 

which the Corporation is not receiver, and 

liquidates loans to or purchases of assets 

from insured banks to facilitate mergers.

DIVISION OF RESEARCH AND 

STATISTICS

Provides ec6nomic counsel, conducts special 

studies pertaining to deposit insurance and 

banking, and compiles statistical data relating 

to condition and operation of banks.

DIVISION OF ADMINISTRATION

Establishes procedures for personnel matters 

including recruitment, appointment, placement, classification and training; purchases 

materials, supplies, equipment for Washington 

and Field Offices; provides duplicating services 

and general maintenance services for the 

Corporation.

FISCAL AND ACCOUNTING DIVISION

Collects assessments from banks and other' 

receipts, makes disbursements, and maintains 

the general accounting records oi the Corporation.

AUDIT DIVISION

Makes final administrative audit of the books 

and accounts of the Corporation and prepares 

detailed and summary audit reports for Board 

of Directors.

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Federal Reserve Bank of St. Louis
FEDERAL DEPOSIT INSURANCE CORPORATION

B o a r d o f D ir e c t o r s

Chairman................................................................................Leo T. Crowley

^Phillips Lee Goldsborough

Directors...............................................................................< ^ ^

(P reston D elano

Comptroller of the Currency

Of f ic ia l s— S e p t e m b e r 27, 1944 

W ashington 25, D. C.

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

Executive Officer.................................................................... Henry W. Riley

Confidential Assistant to Chairman.................................. Beryl Roberts

Special Assistant to Director...............................................Albert G. Towers

Secretary to Director............................................................. Madeline G. Von Eberhard

Special Assistant to Chairman...........................................J. Forbes Campbell

General Counsel.....................................................................Francis C. Brown

Acting Chief, Division of Examination............................Neil G. Greensides

Chief, Division of Research & Statistics.......................... Donald S. Thompson

Director of Personnel............................................................C. W . Satterlee

Chief, Service Division.........................................................Frank C. Blowe

Chicago 3, Illinois

Chief , Division of Liquidation........................................... Wheeler McDougal

Supervising Liquidator, Division of Liquidation........... Ralph E. Zimmerman

Chief, Claims Section, Division of Liquidation.............. James M . Gaffney

Supervising Accountant, Division of Liquidation.......... H. R. Burling

Counsel................................................................................... James M. Kane

Fiscal Agent...........................................................................W. G. Loeffler

Chief, Audit Division...........................................................Mark A. Heck

V

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Federal Reserve Bank of St. Louis
DISTRICT OFFICES

D ist. Supervising

N o. Examiner

1. Leo J. Carr,

Acting

2. Howard S. Lahman,

Acting

3. L. F. Stroefer

4. L. W. Barlow

5. W. Clyde Roberts

6. Neil G. Greensides

7. R. L. Hopkins

8. C. L. Pitman

9. R. 0 . Bishop

10. G. F. Roetzel

11. L. J. Davis

12. W . P. Funsten

A ddress

Room 765, No. 10 Post 

Office Square, Boston 9, 

Mass.

Room 1900, 14 Wall Street, 

New York 5, N. Y.

City National Bank 

Building, 20 East Broad 

Street, Columbus 15, Ohio

909 State Planters Bank &

Trust Company Building, 

Richmond 19, Va.

625 First National Bank 

Building, Atlanta 3, Ga.

1059 Arcade Building,

St. Louis 1, M o.

715 Tenney Building, 

Madison 3, Wis.

741 Federal Reserve Bank 

Building, Chicago 4, 111.

1200 Minnesota Building,

St. Paul 1, Minn.

901 Federal Reserve Bank 

Building, Kansas City 6, 

Missouri

Federal Reserve Bank 

Building, Dallas 13, Tex.

States in district

Maine, New Hampshire, 

Vermont, Massachusetts, 

Rhode Island, Connecticut

New York, New Jersey, 

Delaware, Puerto Rico, 

Virgin Islands

Ohio, Pennsylvania

Maryland, Virginia,

West Virginia, North 

Carolina, South Carolina

Georgia, Florida, Alabama, 

Mississippi, Louisiana

Kentucky, Tennessee, 

Missouri, Arkansas

Indiana, Michigan, 

Wisconsin

Illinois, Iowa

Minnesota, North Dakota, 

South Dakota, Montana

Nebraska, Kansas, 

Oklahoma, Colorado, 

Wyoming

Texas, New Mexico, Arizona

Suite 1120, 315 Montgomery Idaho, Utah, Nevada, 

Street, San Francisco 4, Washington, Oregon, 

Calif. California, Alaska,

Hawaii

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Federal Reserve Bank of St. Louis
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Federal Reserve Bank of St. Louis
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Federal Reserve Bank of St. Louis
CONTENTS

Introduction and Summary......................................

Page

3

P A R T ONE

OPERATIONS AND POLICIES OF THE CORPO RATIO N

Deposit insurance, bank supervision, and private enterprise............................. 7

Operations of the corporation in 1943...................................................................... 13

Legal developments....................................................................................................... 18

Organization and financial statements of the Corporation.................................. 21

P A R T TW O

DEPOSIT INSURANCE AND BANKING DEVELOPMENTS

Assets, liabilities, and capital of insured commercial banks............................... 31

Earnings of insured commercial banks..................................................................... 35

Insured mutual savings banks.................................................................................... 38

PA R T THREE 

SPECIAL REPORTS 

N ote................................................................................................................................... 41

PA R T FOUR 

LEGISLATION AND REGULATIONS

Legislation relating to insured banks or the Corporation.................................... 45

Regulation of the Corporation.................................................................................... 48

State legislation relating to bank supervision and bank operations................. 49

PA R T FIVE

STATISTICS OF BANKS AND DEPOSIT INSURANCE

Explanatory notes.......................................................................................................... 59

Number, offices, and deposits of operating banks................................................. 68

Assets and liabilities of operating banks.................................................................. 78

Analysis of examinations of insured commercial banks........................................ 82

Earnings of insured banks............................................................................................ 96

Suspensions, receiverships, and mergers................................................................... 102

CHARTS

Organization chart of the Federal Deposit Insurance Company....................... iv

M ap: Federal Deposit Insurance Corporation districts.......................... ............ vii

ix

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Federal Reserve Bank of St. Louis
LIST OF TABLES

Page

PAR T ONE

OPERATIONS AND POLICIES OF THE CORPORATION

Operations of the Corporation in 1943:

1. Depositors’ recoveries and losses in insured banks in financial 

difficulties, 1934-1943................................................................................. 14

2. Payment of deposits of insured banks placed in receivership, 

1934-1943...................................................................................................... 14

3. Disbursements of the Corporation in connection with banks in 

financial difficulties, 1934-1943................................................................ 15

4. Action to terminate insured status of banks charged with engaging 

in unsafe or unsound practices or violations of law or regulations, 

1936-1943...................................................................................................... 16

5. Unsafe or unsound banking practices and violations of law or 

regulations charged against 6 banks by the Corporation during

1943................................................................................................................ 17

Organization and financial statements of the Corporation:

6. Officers and employees of the Federal Deposit Insurance Corporation, December 31, 1943.................................................................... 22

7. Income and expenses of the Federal Deposit Insurance Corporation 

since beginning operations........................................................................ 23

8. Income and expenses of the Federal Deposit Insurance Corporation, 

calendar year 1943...................................................................................... 24

9. Assets and liabilities of the Federal Deposit Insurance Corporation, 

December 31, 1943, and December 31, 1942....................................... 25

10. Federal Deposit Insurance Corporation balance sheet, June 30,

1943— from auditors’ report..................................................................... 26

PART TW O

DEPOSIT INSURANCE AND BANKING DEVELOPMENTS

A ssets, liabilities, and capital of insured commercial banks:

11. Percentage changes during 1943 in total deposits and holdings of 

United States Government obligations of insured commercial banks 31

12. Amount and percentage change during 1943 in loans of insured 

commercial banks........................................................................................ 32

13. Assets of insured commercial banks at the beginning and close of

1943................................................................................................................. 33

14. Classification of assets of insured commercial banks, examinations

in 1942 and 1943......................................................................................... 33

15. Distribution of insured commercial banks according to substandard 

assets ratio, examinations in 1942 and 1943......................................... 34

16. Distribution of number and deposits of insured commercial banks 

according to ratio of fixed and substandard assets to net sound 

capital, examinations in 1943................................................................... 35

X

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LIST OF TABLES x i

Page

E a r n in g s o f in s u r e d c o m m e r c ia l b a n k s :

17. Earnings, expenses, and taxes of insured commercial banks, 

1934-1943...................................................................................................... 35

18. Net earnings, charge-offs, profits, and dividends of insured commercial banks, 1934-1943.......................................................................... 36

19. Net earnings and net profits per $100 of total capital accounts of 

insured commercial banks, 1941, 1942, and 1943................................ 37

20. Amounts and rates of income received, and rate of interest paid,

by insured commercial banks, 1934-1943.............................................. 37

PA R T FIVE

STATISTICS OF BANKS AND DEPOSIT INSURANCE

N umber, offices, and deposits of operating banks:

101. Analysis of changes in number and classification of operating 

banking offices in the United States and possessions during 1 9 4 3 .. 68

102. Number of operating banking offices, December 31, 1943

Grouped according to insurance status and class of bank and by

type of office in each State and possession........................................... 70

103. Number and deposits of operating commercial and mutual savings 

banks, December 31, 1943

Banks grouped according to insurance status in each State and

possession................................................................................................... 76

A ssets and liabilities of operating banks:

104. Summary of assets and liabilities of operating banks in the United 

States and possessions, June 30, 1943

Banks grouped according to insurance status and type of bank.. . . 78

105. Summary of assets and liabilities of operating banks in the United 

States and possessions, December 31, 1943

Banks grouped according to insurance status and type of bank. . . . 79

106. Assets and liabilities of operating insured commercial banks, call 

dates, December 31, 1943, to December 31, 1 942.................................. 80

A nalysis of examinations of insured commercial banks:

107. Analysis of assets, capital, and liabilities of insured commercial 

banks examined in 1943

Banks grouped according to amount of deposits................................. 82

108. Asset and net sound capital ratios of insured commercial banks 

examined in 1943

Banks grouped according to amount of deposits................................. 83

109. Analysis of assets, capital, and liabilities of insured commercial 

banks examined in 1943

Banks grouped according to net sound capital ratio.......................... 84

110. Assets and net sound capital ratios of insured commercial banks 

examined in 1943

Banks grouped according to net sound capital ratio.......................... 85

111. Analysis of assets, capital, and liabilities of insured commercial 

banks examined in 1943

Banks grouped according to fixed and substandard assets ratio.... 86

112. Asset and net sound capital ratios of insured commercial banks 

examined in 1943

Banks grouped according to fixed and substandard assets ratio___ 87

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Federal Reserve Bank of St. Louis
xii LIST OF TABLES

Page

A nalysis of examinations of insured commercial banks— Continued

113. Analysis of assets, capital, and liabilities of insured commercial

banks examined in 1943

Banks grouped according to Federal Deposit Insurance Corporation

District....................................................................................................... 88

114. Asset and net sound capital ratios of insured commercial banks

examined in 1943

Banks grouped according to Federal Deposit Insurance Corporation

District............................................................................................................... 89

115. Analysis of securities held by insured commercial banks examined

in 1942 and 1943

Banks grouped according to amount of deposits................................... 90

116. Analysis of securities held by insured commercial banks examined

in 1942 and 1943

Banks grouped according to net sound capital ratio............................ 91

117. Analysis of securities held by insured commercial banks examined

in 1942 and 1943

Banks grouped according to fixed and substandard assets ratio.... 92

118. Analysis of securities held by insured commercial banks examined

in 1942 and 1943

Banks grouped according to Federal Deposit Insurance Corporation

district........................................................................................................ 93

119. Distribution of insured commercial banks examined in 1943

according to net sound capital ratio

Banks grouped by fixed and substandard assets ratio, rate of net

earnings, and amount of deposits.......................................................... 94

120. Distribution of deposits of insured commercial banks examined in

1943

Banks grouped according to net sound capital ratio and by fixed

and substandard assets ratio, rate of net earnings, and amount of

deposits....................................................................................................... 95

Earnings of insured banks:

121. Earnings, expenses, and dividends of insured banks, 1943

By class of bank.............................................................................................. 96

122. Ratios of earnings, expenses, and dividends of insured commercial

banks, 1943...........................................................................................................

By class of bank.............................................................................................. 98

123. Ratios of earnings, expenses, and dividends of insured commercial

banks, 1943

Banks grouped according to amount of deposits................................... 100

Suspensions, receiverships, and mergers:

124. Number and deposits of banks suspending operations, placed in

receivership, and merged with the financial aid of the Federal

Deposit Insurance Corporation, 1934-1943

Banks grouped by class, year, amount of deposits, and State.... 102

125. Assets and liabilities of insured banks placed in receivership,

1934-1943

As shown by books of bank at date of suspension................................ 104

126. Depositors and deposits of insured banks placed in receivership,

1934-1943

As shown by books of FDIC, December 31, 19^3................................ 105

127. Assets and liabilities of insured banks merged with the financial aid

of the Federal Deposit Insurance Corporation, 1935-1943

As shown by books of bank at date of merger......................................... 106

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Federal Reserve Bank of St. Louis
INTRODUCTION AND SUMMARY

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Federal Reserve Bank of St. Louis
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Federal Reserve Bank of St. Louis
I ntroduction and Summ ary

December 31,1943, marks the close of the first decade of operation 

of Federal insurance of bank deposits. During this time deposit 

insurance has been successful even beyond the anticipation of its 

staunchest advocates. Its immediate and widespread acceptance has 

meant the extension of insurance protection to more than 75 million 

accounts in more than 90 percent of the nation’s banks, and, although 

deposits now total over $100 billion, depositors in insured banks have 

lost less than $3 million from bank failures during the past ten years.

The insurer of bank deposits, the Federal Deposit Insurance 

Corporation, has been as successful in building its own financial 

structure as it has been in preventing losses to bank depositors. 

Starting with a capital of $289 million, it has accumulated a surplus 

of $414 million, and brought its combined capital and surplus to $703 

million. The amount of surplus accumulated has exceeded the amount 

of assessments paid by banks, income from investments having been 

more than adequate to cover all expenses and losses.

Not only has deposit insurance enjoyed ten years of sound development, but the banking system of the nation has become more stable 

and is today immeasurably stronger than it was at the beginning of 

1934. The soundness of the banks’ assets and the effectiveness of the 

deposit insurance system are elements of strength in the economic 

life of today. The public has demonstrated its confidence in the banks 

and in deposit insurance. So long as depositors and the public generally 

know that banking and supervisory policies will be courageous and 

farsighted they will continue to support and to have confidence in 

our present system. The operation and growth of banks during the 

past ten years of unusually favorable economic conditions may not, 

however, afford a reliable guide to their operation during future periods 

of economic strain. The banking system faces problems in the post-war 

period which will require the utmost foresight, courage, and skill on 

the part of bankers and public officials if the privately owned banking 

system and, indeed, our system of private business enterprise are to 

survive. Some of these problems are discussed in Part One of this 

report.

3

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Federal Reserve Bank of St. Louis
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Federal Reserve Bank of St. Louis
PART ONE

OPERATIONS AND POLICIES OF THE CORPORATION

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Federal Reserve Bank of St. Louis
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Federal Reserve Bank of St. Louis
D eposit In surance, Ba n k Su pervision, and P rivate E nterprise

Deposit insurance and economic developments. The successful 

operation of deposit insurance and the great improvement in banking 

conditions over the past ten years reflect the combined effect of such 

circumstances and policies as: rehabilitation of the capital of the banks 

following the Bank Holiday; improvement in the supervision provided 

by State and Federal banking agencies; improvement of bank management; modifications in the banking structure and in the character of 

risks undertaken by banks; growth in national income with a transition 

from a low to an extremely high level of economic activity; and 

faithful adherence to the principles of the deposit insurance law.

The rate of expansion in the national income and in the volume of 

production during the past decade has been extraordinarily high. 

Between 1934 and 1943, industrial output more than trebled, income 

payments nearly trebled, farm incomes more than trebled, factory 

payrolls more than quadrupled, and total deposits of insured banks 

trebled. Industrial profits and bank earnings have generally improved. 

The Corporation acted as a stabilizing factor during this period. Its 

activities and the fact of the existence of Federal insurance of deposits 

helped to check developments which might have had an adverse effect 

upon the banking system. Not only have bank failures been relatively 

few in number but the total volume of resources involved has been 

small. Earlier periods of recovery and expansion, however, have 

likewise been characterized by a small number of bank suspensions.

Insurance operations of the Corporation. The past ten years, 

even though they have been years of high income and generally 

favorable banking conditions, have not been entirely free from 

banking difficulties, and the Corporation not only has bent its efforts 

to the improvement of the condition of operating banks but also has 

protected depositors from losses in those insured banks which were 

in financial difficulties. For the most part these were banks which 

were not successfully rehabilitated following the banking crisis of the 

early 1930’s.

The Corporation has disbursed $258 million to protect depositors 

from loss in 395 insured banks which were closed or merged during 

the past ten years. Nearly 1,300,000 individual accounts in these 

banks have been fully protected from loss and less than 1,700 of the 

depositors had accounts eligible for insurance which were not fully 

protected. Total losses to these depositors will be about $3 million 

out of a total of $497 million of deposits in the 395 banks. The Corporation’s losses are estimated at about $45 million.

7

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

In addition to the protection of these depositors from loss, the 

promptness with which depositors’ funds are made available, as well 

as the orderly liquidation of assets, are factors tending to maintain 

financial and economic stability in the community. Ninety-eight 

percent of the deposit balances in the banks in difficulty have been 

made available promptly to depositors, frequently without even one 

day’s interruption of service. On the other hand, the liquidation of 

assets, to the extent that such liquidation has been under the control 

of the Corporation, has been undertaken with a view not only to 

protecting the interests of the Corporation and other creditors but 

also to protecting the economic fabric of the communities involved. 

These policies have provided the utmost possible protection to depositors and their business interests and have also resulted in higher 

recoveries on assets and lower losses to the Corporation than past 

experience would have indicated.

Losses and surplus of the Corporation. Because of the comparatively small number of bank failures and the relatively large 

recovery on the assets of closed banks, the losses of the Corporation 

and its administrative expenses have been less than the interest on 

its invested capital and surplus. The surplus of the Corporation, 

therefore, has been increased by more than the full amount of the 

insurance premiums collected from the banks. During the ten years, 

the total income of the Corporation has amounted to $493 million, 

and its expenses and insurance losses to $79 million, leaving $414 

million as additions to its surplus. Of the Corporation’s ten-year 

income, $389 million was from insurance assessments and $103 million 

was from investment of its funds, principally in Government bonds. 

Administrative expenses of the Corporation have amounted to $34 

million, and deposit insurance losses and expenses to an estimated 

$45 million.

On December 31, 1943, the capital and surplus of the Corporation 

stood at $703 million, or nearly two and one-half times the amount 

of its capital when deposit insurance went into effect on January 1, 

1934. However, the amount of deposits now protected by the Corporation is about three times the amount of deposits protected when 

insurance first went into effect. Although this increase in the resources 

of the Corporation has been accompanied by a marked improvement 

in the quality of the assets of the banks, the margin of protection 

provided by the owners of the banks—in the form of capital—has 

been reduced.

Condition of insured banks after ten years of deposit insurance. As a consequence of favorable trends which set in following 

the banking crisis of 1933 and the inauguration of deposit insurance, 

the banks generally entered the war in sound condition. Bankers were

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Federal Reserve Bank of St. Louis
INSURANCE, SUPERVISION, AND ENTERPRISE 9

ready to meet any demands which might be made upon them in the 

prosecution of the war and have ably discharged these responsibilities.

At the close of 1943, deposits of commercial banks approximated 

$106 billion and total assets amounted to about $114 billion. Threefourths of the assets consisted of the following: United States Government obligations, cash or cash items, and balances with other banks, 

including Federal Reserve banks. Less than one percent of the banks’ 

assets were fixed assets. Of the remaining assets—loans and securities 

other than United States Government obligations—only 5 percent 

were found by Federal bank examiners to be of substandard grade in 

1943. This was less than 2 percent of the total assets of the banks.

The growth in volume of assets and the changes in their composition 

affected the banks’ earnings. Net earnings of all insured banks combined were higher in 1943 than in any other year of deposit insurance. 

The large city banks, particularly, reported substantial increases in 

earnings over the past two years, while many of the small country 

banks suffered some decline in earnings and profits from the levels 

prevailing immediately before the war. The increase in profits of the 

larger banks came chiefly from a growth in income from United States 

Government obligations. The decline in profits of the small country 

banks resulted from a reduction in income from loans which was not 

fully offset by increased income from expanded holdings of United 

States Government obligations and from other sources. The reduced 

income from loans accompanied a decline in volume of loans, reflecting 

in part repayment of debts by customers out of high wartime incomes, 

in part competition of other lending agencies, and in part restrictions 

on consumer loans imposed by Federal regulation.

The income prospects of a large number of the small country banks 

have also been affected adversely by a recent ruling of the Board of 

Governors of the Federal Reserve System holding absorption of 

exchange charges by member banks of that system to be a payment 

of interest upon demand deposits. If sustained and enforced, this 

ruling will undoubtedly bring about the elimination of income from 

remittance exchange. For decades these exchange charges have 

constituted one of the important sources of income for many small 

banks. With the shrinkage in income from loans, income from remittance exchange charges has been of increasing importance to these 

banks, notwithstanding increased income from greatly expanded 

holdings of United States Government obligations and from service 

charges on deposit accounts, which most of these banks impose.

Appraisal of assets. Before the Federal Deposit Insurance Corporation was created the soundness of bank assets was frequently 

evaluated on the basis of liquidity, and many banks otherwise sound 

were judged to be insolvent because it would have been impossible

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

to liquidate all of their loans and securities at the time of appraisal 

without excessive loss even though no doubt existed as to the ability 

of obligors to meet the terms of their contracts. For many years now 

it has been the policy of the Corporation and of most bank supervisory 

agencies to appraise assets on the basis of the ability of the obligor 

to meet the terms of his obligations. This policy has lessened supervisory pressure for liquidation of bank assets, and if maintained will 

continue to do so during periods of crisis. The procedure has not been 

prescribed by law, and in general supervisory and examination policies 

are not so prescribed, but are left to the determination of the different 

agencies.

On major policies and especially on those whose inconsistency may 

damage the standing of an individual bank, it is desirable that continuity and consistency be established and their maintenance assured. 

One such supervisory policy is the evaluation of bank assets, particularly obligations of the United States Government. These securities 

now constitute more than 50 percent of the assets of the banks. 

Before the war is over the percentage will undoubtedly be much 

higher. It may therefore be desirable for Congress by affirmative 

legislation to require Federal bank supervisory agencies when they 

examine banks to evaluate interest-bearing obligations of the United 

States Government at the lower of book or amortized cost. The 

Federal Government should adjust its appraisal policies so as to 

avoid penalizing its own creditors because of fluctuations in market 

prices of its own obligations.

Inasmuch as the Federal Government is the currency-issuing 

authority in the land, it is difficult to justify the valuation in examinations of one group of obligations of the Federal Government at 

less than par or amortized cost, merely because the obligations are 

interest-bearing, when another group of obligations, which are 

noninterest-bearing—that is, the currency of the land—is always 

valued at par because the law so requires. The interest-bearing obligations vary in price chiefly because of fluctuations in the market 

rate of interest relative to the fixed yield on the obligations. Fluctuations in the rate of interest do not affect directly the ultimate soundness 

of the obligations of the United States Government but they do, of 

course, affect market prices. No question could arise with regard to 

the soundness of obligations of the United States Government which 

would not exist also with respect to our currency.

It is specifically to assist banks during the period of post-war adjustment that the Corporation recommends this legislative affirmation 

of existing bank supervisory policy regarding the evaluation of United 

States Government obligations. Such legislation, coupled with the 

availability to banks of the facilities of the Federal Reserve System

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Federal Reserve Bank of St. Louis
INSURANCE, SUPERVISION, AND ENTERPRISE 11

and other Federal emergency lending agencies and of the resources 

of the Federal Deposit Insurance Corporation will assure the utmost 

possible maintenance of the integrity of our banks. The Board of 

Governors of the Federal Reserve System has already (on December 8, 

1941) affirmed that the “Federal Reserve Banks stand ready to 

advance funds on United States Government securities at par to 

all banks.”

Supervisory activities of the Corporation. Up to the close of 

1943, the Corporation had conducted a total of 83,666 examinations 

of banks. Of these examinations, 83,605 were of insured State banks 

regularly subject to examination by the Corporation and examined 

by no other Federal agency, or of banks applying for admission to 

deposit insurance as State banks not members of the Federal Reserve 

System. The 61 other examinations were of banks regularly subject 

to examination by the Comptroller of the Currency (national banks) 

or by the Federal Reserve banks (State member banks of that system). 

These banks either were in need of financial assistance to avoid 

suspension or were believed by the Corporation to be engaging in 

unsafe and unsound practices. These examinations were made with 

the consent of the Comptroller of the Currency in the case of national 

banks and of the Board of Governors of the Federal Reserve System 

in the case of State banks members of that system. They resulted in 

initiation of proceedings against a number of national banks and State 

banks members of the Federal Reserve System for engaging in unsafe 

and unsound practices, and in the merging with the assistance of the 

Corporation of other member banks in order to avoid suspension.

The ultimate sanction which may be used by the Corporation to 

check the development of unsafe and unsound practices is the termination of the insured status of banks which continue to engage in 

such practices. Up to the close of 1943, the Corporation had brought 

formal action to terminate the insured status of 129 banks charged 

with continuing to engage in unsafe and unsound practices. Of these 

banks, 20 corrected or eliminated the practices, and proceedings were 

discontinued, 99 suspended operations or were merged with other 

banks, and 4 were dismissed from insurance (2 subsequently suspended). Proceedings against 6 were still pending at the close of the 

year.

The Corporation has set forth in detail the nature of charges of 

unsafe and unsound practices preferred against every bank cited by 

the Corporation. In this manner a case record has been built up which 

serves as a basis to appraise the exercise of the Corporation’s power 

to dismiss banks from insurance. This record, which is published in 

the Annual Reports of the Corporation, is available to bankers as a 

detailed statement of Corporation policy and procedure regarding

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12 FEDERAL DEPOSIT INSURANCE CORPORATION

unsafe and unsound banking practices. The nature of the charges 

brought against banks during 1943 is discussed on page 17 of this 

report.

Supervision of banks was initiated to provide the public with 

reasonable assurance that bank obligations would be met. As the 

nature of bank obligations changed and deposits assumed greater 

importance, bank supervision became concerned more and more with 

the protection of depositors. Failure of supervision alone to provide 

the necessary protection led to the inauguration of Federal insurance 

of deposits. Deposit insurance as now constituted, however, cannot 

provide the expected protection for depositors unless it is accompanied 

by effective supervision. The primary concern of bank supervision 

must continue to be the protection of bank creditors. The Corporation, 

by assuming the risk of loss of most of the depositors, bears much 

of the ultimate financial cost resulting from lax supervision, poor 

management, and adverse banking developments.

Many existing Federal statutory definitions relating to bank 

supervision are vague. The procedures, standards, and objectives of 

bank supervision frequently are not set forth clearly either to the 

public or to the bankers. The operations and practices of banks of 

deposit are so fundamental to the public welfare that the public 

should have full knowledge not only of banking practices but also 

of bank supervisory practices. While action in individual cases must 

be kept confidential, Congress, bankers, and the public should be kept 

fully advised regarding general policies, objectives, standards, and 

procedures of bank supervision if public policy is to be faithfully 

adhered to and abuse of authority avoided.

Risk bearing and the financing of private enterprise. As more 

consideration is given to problems of post-war reconversion, doubts 

concerning the ability of banks and other private financial institutions 

to finance business enterprise find expression in an increasing number 

of proposals for direct Government financing or for guarantees by 

the Government or by governmental agencies of financing by private 

institutions.

In its Annual Report for 1942, the Corporation pointed out that 

one of the distinguishing characteristics of private enterprise was the 

assumption of risks by individuals or groups of individuals in the 

hope of obtaining profits. The Corporation also warned that if bankers 

wished to preserve their system of privately owned banks they would 

have to have enough capital to enable them to finance, with reasonable 

safety, business enterprise so as to make unnecessary either the 

creation of governmental financing agencies or the imposition of an 

undue burden of risk upon the Government.

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INSURANCE, SUPERVISION, AND ENTERPRISE! 13

Assumption by the Government of the risks inherent in credit 

extension by privately owned financial institutions to private business 

enterprise would reduce the chances of continuation of banking and 

business under private ownership and control. In order to avoid 

excessive loss the guarantor, an agency of the Federal Government, 

would have to set standards and review each individual loan transaction. In effect, the guarantor would determine who could and who could 

not have credit, as well as the channels through which such credit 

would be obtained. More and more, it would assume the functions of 

management. The standards and forces of the market place would 

play a less and less important role, paving the way for progressive 

substitution of governmental action as the final determinant in the 

granting of credit—the life blood of business.

Ample justification can be found for the use of Government guaranties in connection with war loans—the so-called V and VT loans. 

These loans finance war contracts and contract terminations and 

involve risks and costs that are peculiar to war which is strictly a 

governmental function. Justification does not exist for similar governmental intervention in the financing of private peacetime business. 

Adequate private resources now exist for the financing of business 

enterprise. Never before have the savings and cash resources of our 

people and our businesses been so large. Every opportunity should 

be given private enterprise to operate within the framework of a 

private financial system before the Federal Government, either 

directly or through its many agencies, steps in to render financial aid 

to and provide financial direction and control over business enterprise. 

If the private enterprise system is to survive, the financing of industry 

for peacetime pursuits should not be undertaken as a governmental 

function except in periods of emergency.

O perations op th e C orporation in 1943

Protection of bank depositors. The number of banks in which 

the Corporation made disbursements to protect depositors was smaller 

in 1943 than in any previous year of deposit insurance. Four banks 

suspended operations and one was merged with the financial aid of the 

Corporation. The deposits of the five banks totalled $12 million and 

the disbursements of the Corporation amounted to more than $7 

million. The four banks which suspended had 15,352 depositors of 

which all but 161 were fully protected. The bank which merged had 

10,455 accounts. None of the owners of these accounts suffered any 

loss. Further details are given in Table 1, together with figures for 

depositors’ recoveries and losses in insured banks in financial difficulties throughout the entire 10 years of deposit insurance.

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14 FEDERAL DEPOSIT INSURANCE CORPORATION

T ab le 1. DEPOSITORS' RECOVERIES AND LOSSES IN INSURED BANKS

i n F in a n c ia l D if f ic u l t ie s , 1934-1943

Total

1934-1943

Banks closed

or merged in

1943

Number of banks................................................................................................ 395

1,290,137

1,247,332

4,770

38,035

$497,262,000

494,029,000

2,807,000

426,000

5

25,807

25,646

161

$12,481,000

12,403,000

78,000

Number of depositors....................................................................................

Depositors suffering no loss..........................................................................

Depositors suffering loss:

Claims filed, but recoveries from liquidation inadequate1..............

Claims not filed within period prescribed by law...............................

Amount of deposits........................................................................................

Estimated recoveries by depositors............................................................

Estimated losses by depositors filing claims1...........................................

Estimated losses because of failure to file claims....................................

1 1,617 depositors will lose an estimated $2,711,000 of their deposits in accounts which exceeded

the limit of $5,000 insurance and which were not otherwise protected; and 3,153 depositors will lose

about $96,000 in accounts which had been restricted or deferred prior to 1934 or were otherwise ineligible

for insurance protection.

The corporation has made bank deposits available as rapidly as 

possible after the suspension of insured banks. At the end of 1943 

only 1 percent of the insured deposits in all of the banks which closed 

during the past 10 years remained unpaid, and most of these were in 

one bank which had closed late in 1943. A large part of the $5.8 million 

unpaid at the end of the year, that part which was in uninsured 

deposits, may eventually prove to be a loss to depositors, although 

only $0.4 million had been lost by depositors in the 136 banks whose 

receiverships had been terminated by December 31,1943. Data on the 

payment of deposits are given in Table 2 and in Table 126, page 105.

T ab le 2. PAYMENT OF DEPOSITS OF INSURED BANKS PLACED IN

R e c e iv e r s h ip , 1934-1943

Total

Paid by

Dec. 31,

19431

Unpaid on

Dec. 31,

1943s

Deposits— total.................................................................. $109,079,000

86.850.000

11.067.000

9,803,000

933.000

426.000

$103,310,000

86,008,000

10,966,000

5,613,000

706,000

17,000

$5,769,000

842.000

101.000

4,190,000

227.000

409.000

Insured...............................................................................

Secured, preferred, and subject to offset...................

Deposits in excess of $5,000 not otherwise protected

Restricted or otherwise uninsured..............................

Unclaimed3........................................................................

1 Payment made by the Federal Deposit Insurance Corporation and by receivers.

2 Includes loss of $396,000 in banks whose receiverships have been terminated.

3 Unclaimed deposits paid are held in trust to pay deposits unclaimed at termination of receivership.

During 1943 the Corporation was successful in liquidating many 

of the assets which it had acquired in earlier years from banks which 

were in an unsound condition. The assets were taken over by the 

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OPERATION OF THE CORPORATION IN 1943 15

stitutions or were claims against receivers of closed banks. The assets 

and liabilities of the banks placed in receivership or merged are given 

in Tables 125 and 127, pages 104 and 106.

The proceeds from the sale of assets acquired in connection with 

mergers amounted to about $28 million in 1943. This brought collections for the ten years during which the Corporation has operated 

to $143 million, including about $29 million for repayment of expenses. 

It is expected that final losses on these assets will not exceed $25 

million from a principal disbursement of $172 million.

Repayments to the Corporation during the year from banks in 

receivership amounted to nearly $4 million. This brought collections 

from this source to a total of $55 million. It is expected that final 

losses in these banks will not exceed $20 million from a disbursement 

of $86 million in the payment of insured deposits during the decade 

of the Corporation's operations. The disbursements of the Corporation 

during the past ten years are shown in Table 3.

T ab le 3. DISBURSEMENTS OF THE CORPORATION IN CONNECTION WITH BANKS

i n F in a n c ia l D if f ic u l t ie s , 1934-1943

Number of banks Amount of disbursement

(in millions)

Total

Placed in

receivership

Merged Total1

Insured

deposits

paid

Loans and

assets

purchased

T otal..................... 395 244 151 $258 $86 $172

1943................... 5 4 1 7 5 2

1942................... 20 6 14 11 2 9

1941................... 15 8 7 24 12 12

1940................... 43 19 24 74 5 69

1939................... 60 32 28 68 26 42

1938................... 74 50 24 30 9 21

1937................... 75 50 25 19 12 7

1936................... 69 42 27 15 8 7

1935................... 25 24 1 9 6 3

1934................... 9 9 1 1

1 In addition, the Corporation disbursed $1,160,000 to purchase assets from the liquidators of

53 insured banks in receivership.

Receivership activities of the Corporation. At the close of 1943 

the Corporation was acting as receiver for 40 of the 108 insured banks 

still in receivership. It was receiver for 11 national banks with deposits 

at time of suspension aggregating $16 million and for 29 State banks 

with deposits aggregating $7 million. The Corporation maintains 

close contact with the receivers of the remaining 68 State banks, 

which at time of suspension had deposits of $55 million.

Bank examinations. To the extent permitted by a shortage of 

employees the Corporation in 1943 continued its policy of examining

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16 FEDERAL DEPOSIT INSURANCE CORPORATION

annually each insured State bank not a member of the Federal Reserve 

System. The changing nature of bank assets has enabled the Corporation to simplify some of its examination procedures, and to 

eliminate much tedious detail without reducing the effectiveness of 

the examination process or impairing its usefulness to the Corporation. 

The resultant saving in time enabled the Corporation substantially 

to maintain its schedule of examinations.

The number of examinations and investigations of banks believed 

to require special attention was smaller in 1943 than in former years. 

As in former years the Corporation reviewed reports of examination 

of insured banks members of the Federal Reserve System made by 

examiners of that system or by the Office of the Comptroller of the 

Currency.

Unsafe and unsound banking practices and violations of law

or regulations. During 1943 proceedings were initiated against six 

banks and were continued against seven other banks. The status of 

these cases at the end of the year, and also a summary of all cases for 

the entire period since the effective date of the Banking Act of 1935, 

are given in Table 4. A list of the practices engaged in by banks against 

which proceedings were initiated in 1943 is given in Table 5.

T ab le 4. ACTION TO TERMINATE INSURED STATUS OF BANKS CHARGED

w it h E n g a g in g in U n s a f e o r U n s o u n d P r a c t ic e s o r V io l a t io n s

o f L a w or R e g u l a t io n s , 1936-1943

Total

Cases in 1943

cases

1936-19431 Pending

beginning

of year

Started

during

year

Total banks against which action was taken................... 129 7 6

Cases closed during period................................................... 123 5 2

Corrections made..................................................................... 20 4

Insured 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 status2.................................................................. 7

Bank continued in operation3........................................... 3

Bank suspended prior to setting of date of termination

of insured status by Corporation................................

Banks absorbed or succeeded by other banks4.............

32 1

61 2

Cases pending December 31, 1943...................................... 6 2 4

Deferred pending consummation of plans for reorganization or recapitalization....................................................... 2 1 1

Deferred pending reexamination..........................................

Correction period not expired...............................................

2

2

1 1

2

1 No action to terminate status of any insured bank was taken before 1936. In 4 cases where initial

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

2 Includes one national bank which, in accordance with the provisions of the law, suspended immediately following the action of the Corporation in terminating its insured status.

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

4 In all except 3 of the 61 cases the Corporation made loans to facilitate the mergers or

reorganizations.

Back data— See the following Annual Reports of the Corporation: 1941, p. 188; 1942, p. 13.

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OPERATION OF THE CORPORATION IN 1943 17

Table 5. UNSAFE OR UNSOUND BANKING PRACTICES AND VIOLATIONS OF

L aw or R e g u la tio n s C h arged A g a in st Six B an ks

by th e C o rp o ra tio n D u rin g 1943

Type of practice or violation

Number

of banks

charged

Case

identification

letters

Capital:

Operation of bank with seriously impaired capital....................................

Continued operation of the bank with a net capital inadequate to give

reasonable protection to depositors, particularly in view of the large

amount of substandard assets.........................................................................

Inadequacy of available funds and insufficiency of earnings to provide

for current and developing losses...............................................................

Management and general practices:

Lax credit and collection policies....................................................................

Continued carrying of losses in bank’s assets failing to disclose true statement of condition................................................................................................

Operation of bank by weak, hazardous, untrustworthy, or incapable

management.....................................................................................................

Unwarranted and illegal dividends to stockholders....................................

Excessive amount of contingent liabilities in the trust department and of

probable and possible losses resulting therefrom........................................

Transfer of deposits to a noninsured bank without permission of this

Corporation......................................................................................................

Loan and investment practices:

Failure of the bank’s management to dispose of assets of substandard

quality including other real estate, some of which had been carried

beyond the period fixed by law...................................................................

Large and excessive amount of assets subject to adverse classification, or

assets of substandard quality and of doubtful value and upon which

substantial losses are probable....................................................................

b, e, f

a, b, d, e

a, b, d, e, f

a, b

a, b

a, b, e

e, £

a, b, d, e, f

Other actions of the Corporation. During 1943 the Corporation 

approved applications of 194 banks for admission to insurance. Of 

these banks, 35 were new banks (including five which replaced closed 

banks or closed branches of insured banks), 147 were banks in operation 

at the beginning of the year, and 12 were insured banks reorganizing 

or withdrawing from the Federal Reserve System. The applications 

for admission to insurance of two banks were disapproved, approvals 

in three cases were rescinded, and in 14 of the banks approved for 

admission, insurance had not become effective by the end of the year. 

In addition, 8 banks whose applications were approved during the 

preceding year became insured during 1948. Three other banks became 

insured through admission to membership in the Federal Reserve 

System.' Further details regarding admission to insurance, and also 

figures regarding the number of insured banks which ceased operations 

or otherwise terminated their insured status, are given in Table 101,

page 68.

During 1943 the Corporation approved the applications of 35 banks 

to establish 43 branches.2 In addition, about 180 branches were opened

1 These do not include two new banks in process of organization which were approved for admission

to insurance by the Corporation but became operating insured banks as members of the Federal Reserve

System.

2 This figure includes applications to continue in operation branches of banks which were being

absored or succeeded. In addition, continuance of operation of 60 branches by 36 banks admitted to

insurance was approved by the Corporation.

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18 FEDERAL DEPOSIT INSURANCE CORPORATION

for business by national and State banks members of the Federal 

Reserve System.1 About four-fifths of the branches opened for business 

by insured banks during the year were for the purpose of providing 

banking services at military establishments. Further details regarding 

changes in the branches operated by insured banks are given in 

Table 101, page 68.

Insured banks supervised by the Federal Deposit Insurance Corporation are required by law to secure the Corporation’s approval to 

retire any part of their capital obligations. Applications for the 

retirement of capital stock were filed by 486 such banks in 1943. 

The retirement of obligations held by the Reconstruction Finance 

Corporation in amounts aggregating $7,181,000 and of those held by 

others in amounts aggregating $1,670,000, was approved. The Corporation disapproved the retirement of obligations amounting to 

$1,766,000.

During the year the Corporation approved the assumption by 

insured banks of deposit liabilities of six noninsured institutions. In 

four insured banks the Corporation approved the payment of waived 

deposits or certificates of beneficial interest representing deposits which 

had been waived at the time of the Banking Holiday of 1933.

Semi-annual statements of deposits were submitted by each insured 

bank as required by law for the purpose of determining the amount 

of the deposit insurance assessment. The Corporation called for 

reports of assets, liabilities, and capital accounts as of June 30 and 

December 31, 1943, and for reports of earnings, expenses, and disposition of profits for the calendar year 1943, from each insured bank 

required by law to submit such reports to the Corporation.2

Summaries of the tabulations from the reports of assets, liabilities, 

and capital accounts are given in the pamphlets “Assets and Liabilities 

of Operating Insured Banks” , Report No. 19 and Report No. 20, 

and in Table 106 of this report, page 80. Summaries of the reports of 

earnings, expenses, and disposition of profits are given in Tables 

121-123, pages 96-101 of this report.

L egal D evelopments

A bsorption o f exchange. On December 6, 1943, the Board of 

Directors of the Federal Deposit Insurance Corporation ruled that 

absorption by an insured bank not a member of the Federal Reserve 

System of exchange charges in connection with routine collection of 

checks cannot be considered a payment of interest in the absence

1 These banks are not required to obtain Corporation approval for establishment of branches.

2 With the exception of banks in the District of Columbia and national banks in the possessions, all

insured banks not members of the Federal Reserve System are required to submit such reports to the

Corporation.

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LEGAL DEVELOPMENTS 19

of facts or circumstances establishing that the practice is resorted to 

as a device for the payment of interest.1 This ruling was issued in 

response to a number of requests received subsequent to an interpretation published in September 1943 by the Board of Governors 

of the Federal Reserve System, and applied generally to all member 

banks, that absorption of exchange by a member bank of the Federal 

Reserve System constituted a payment of interest on demand deposits.

During December, the Committee on Banking and Currency of 

the House of Representatives called upon officials of the Board of 

Governors of the Federal Reserve System and this Corporation to 

explain the rulings and the differences in interpretation of the two 

agencies. The Corporation’s representatives contended that the ruling 

holding absorption of exchange to be a payment of interest on demand 

deposits went beyond the intent of the law and was another attempt 

to force par clearance upon nonmember banks.

In January 1944 identical bills, H. R. 3956 and S. 1642, were 

introduced into the Congress declaring that absorption of exchange 

shall not be deemed to be a payment of interest upon demand deposits, 

thus setting aside the ruling of the Board of Governors of the Federal 

Reserve System. After extensive hearings, the House of Representatives on March 2, 1944, passed H. R. 3956 by an overwhelming voice 

vote. In the course of the hearings and the debate on the bill, it became 

clear that the paramount issue was whether an administrative ruling 

prohibiting absorption of exchange charges should be upheld on the 

ground of its contribution to par clearance and its restriction of 

competition among banks for deposits, when the ruling was predicated 

upon a statute which did not forbid absorption of exchange and which 

authorized regulation not of competition but only of payment of 

interest. The House of Representatives took the position that such 

a ruling should not be upheld, thus supporting the position of the 

Corporation that absorption of exchange is not interest.

Other legal developments affecting the Corporation or insured banks. War loan deposits, which are accounts to the credit of 

the United States Government arising from subscriptions by or made 

through banks for U. S. Government securities issued under the 

Second Liberty Loan Act, were exempted from deposit insurance 

assessments by Public Law 37,78th Congress, approved April 13,1943. 

The exemption will continue until six months after the cessation of 

hostilities.

Under Public Law 49, 78th Congress, known as the War Overtime 

Pay Act of 1943, approved May 7, 1943, employees of the Federal

1 The ruling of the Federal Deposit Insurance Corporation was revised in March 1944 to apply

to exchange charges absorbed in the regular course of business rather than to “routine” collection of

checks only. The revision was one of form and not of substance. The revised ruling is given on page 48

of this report.

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20 f e d e r a l d e p o sit in s u r a n c e c o r po r atio n

Deposit Insurance Corporation are paid for overtime during the war 

emergency on the same basis as other employees of the Federal 

Government.

On February 25, 1944, Congress enacted the Revenue Act of 1943, 

section 113 of which specifically authorizes the use of reserves for bad 

debts (at the discretion of the Commissioner of Internal Revenue) as 

a deduction from income in determining tax liabilities. This will permit 

banks to make adequate provision for future losses during periods of 

prosperity so as to safeguard their capital from impairment during 

periods of crises. The Coiporation has repeatedly urged that banks 

set aside reserves for losses annually in the form of valuation allowances or unallocated charge-off or in some other manner against those 

groups of assets in which losses ordinarily arise. Authority to deduct 

such annual reserves from profits in computing income tax liabilities 

must be obtained from the Commissioner of Internal Revenue.

Public Law 159, approved October 15,1943, amended the National 

Housing Act by extending until July 1, 1945, the date after which 

eligible war housing mortgages may not be insured by the Federal 

Housing Commissioner out of the War Housing Insurance Fund; 

and until July 1,1946, the date after which eligible mortgages may not 

be insured by the Commissioner out of the Mutual Mortgage Insurance Fund; and until July 1, 1947, the authority of the Federal 

Housing Commissioner to insure qualified banks, trust companies, and 

other financial institutions against losses as a result of loans or advances made to finance housing construction, repair, alterations, etc. 

Public Law 159 also increased the maximum premium which may be 

charged for the latter insurance from three-fourths of one percent to 

one percent per annum on the net proceeds of such loans or advances. 

Public Law 158, approved October 14, 1943, amended the National 

Housing Act to provide that, in respect to mortgages covered by 

certain provisions of the Soldiers’ and Sailors’ Civil Relief Act and 

insured by the Commissioner out of the Mutual Mortgage Insurance 

Fund or the War Housing Insurance Fund, any debentures issued in 

payment of such insurance may include amounts sufficient to compensate the mortgagee for losses on account of interest or insurance 

premiums by reason of having postponed foreclosure proceedings 

during the period of military service and three months thereafter.1

The text of pertinent provisions of these acts, except Public Laws 

158 and 159, is given on pages 45-48 of this report.

State Legislation. Regular sessions of State legislatures were held 

during 1943 in 44 States. In five of these States legislation was enacted

1 The Federal Housing Administration and its functions, powers and duties including those of the

Administrator thereof were consolidated into the National Housing Agency by Executive Order of the

President No. 9070 promulgated on February 24, 1942 (7 F. R. 1529).

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LEGAL DEVELOPMENTS 21

which affects insured banks or the operations of the Federal Deposit 

Insurance Corporation.

In California the Civil Code was amended to provide that the 

deposit of trust funds at interest in a savings bank or savings department of the trustee bank shall be deemed a qualified investment 

to the extent such deposit is insured by the Corporation or to such 

greater extent as a court of competent jurisdiction may authorize. 

(Ch. 811). The California Bank Act was also amended to authorize 

ex parte court orders for deposit of moneys by executors or other 

fiduciaries where the amount sought to be deposited is fully insured 

by the Corporation. (Ch. 194).

The legislature of Idaho enacted a law providing for the establishment of bank agencies, as distinguished from a branch bank, by a 

bank or branch organized and existing under the State law and insured 

by the Corporation. These agencies have only such powers as are 

expressly granted them in the act providing for their establishment. 

The bank or branch may qualify the agency to receive deposits of 

public funds to the same extent as if it were a branch. The approval 

of the Corporation and the Commissioner of Finance of the State is 

required prior to the establishment of any such agency. (Ch. 106).

In South Dakota the Code of 1939 relating to the depositaries of 

municipal funds was amended to provide that no bond or other security 

shall be required for such part of public funds as is insured by the 

Corporation. (Ch. 166).

In Texas the former law authorizing the Corporation, as receiver or 

liquidator of a closed insured bank, to enforce the double liability 

of stockholders in such bank was repealed inasmuch as such liability 

of stockholders has also been repealed. (Banking Code 1943, Art. 11).

In Vermont the public law prescribing statutory liability of stockholders of trust companies was amended so as to exclude from such 

liability the stockholders of trust companies insured by the Corporation. (Pu. Act 133).

Most of the State legislatures which met during 1943 adopted 

legislation amending their banking laws. A summary of such legislation 

appears on pages 49-56.

Organization and F inancial Statem ents op the C orporation

Organization and staff of the Corporation. No changes in the 

directorship of the Corporation occurred during 1943. Mr. Leo T. 

Crowley continued as Chairman; Mr. Phillips Lee Goldsborough and 

Mr. Preston Delano, Comptroller of the Currency, continued as 

Directors throughout the year.

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22 FEDERAL DEPOSIT INSURANCE CORPORATION

On December 31, 1943, the total personnel of the Corporation 

consisted of 1,899 officers and employees, compared with 2,411 at the 

beginning of the year and 2,538 at the close of December 1941. At 

the close of 1943, 259 employees were on military furlough for service 

in the armed forces. Known deaths among this group numbered two. 

The number of officers and employees in each division of the Corporation as of December 31, 1943, is given in Table 6.

T ab le 6. OFFICERS AND EMPLOYEES OF THE FEDERAL DEPOSIT

I n s u r a n c e C o r p o r a t io n , D e c e m b e r 31, 1943

Total

Officers and

administrative,

supervisory,

and technical

employees

Clerical,

stenographic,

and custodial

employees

T otal................................................................................................... 1,899 748 1,151

Washington office....................................................................... 262 77 185

Chicago office.............................................................................. 276 111 165

Field............................................................................................ 1,361 560 801

Directors........................................................................................ 3 3

Executive Division....................................................................... 29 13 16

Washington office....................................................................... 26 12 U

Chicago office.............................................................................. 3 1 2

Legal Division............................................................................... 34 17 17

Washington office...................................................................... 18 9 9

Chicago office.............................................................................. 16 8 8

Division of Examination............................................................ 552 394 158

Washington office....................................................................... U2 20 22

Field............................................................................................ 510 37 U 136

Division of Research and Statistics......................................... 44 19 25

Washington office....................................................................... U 19 25

Division of Liquidation............................................................... 950 234 716

Chicago office.............................................................................. 99 U8 51

Field............................................................................................ 851 186 665

Division of Administration........................................................ 175 19 156

Washington office....................................................................... 129 lk 115

Chicago office.............................................................................. U6 5 U1

Audit Division.............................................................................. 27 20 7

Chicago office.............................................................................. 27 20 7

Fiscal and Accounting Division................................................ 85 29 56

Chicago office.............................................................................. 85 29 56

Early in the year 1943 effect was given to an action of the Board of 

Directors to divide the Division of Finance and Administration into 

three divisions—Division of Administration, Fiscal and Accounting 

Division, and Audit Division. Later in the year, the special assistants 

and aides to the Board of Directors, the personnel of the office of the 

Secretary, and other personnel not previously attached to divisions 

were incorporated into an Executive Division.

An organization chart of the Corporation is shown on page iv.

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ORGANIZATION AND FINANCIAL STATEMENTS 23

Income and expenses. The total income of the Corporation for 

the calendar year 1943 was $86.7 million, of which $70 million was 

from assessments upon banks, $16.7 million from investments and 

assessments upon credit unions. Deposit insurance losses and expenses 

amounted to $2.2 million and administrative expenses were $4.2 

million, leaving a net addition to surplus for the year of $80.3 million.

The re-appraisal of the assets of closed banks held by the Corporation which was made during the year indicated that the losses on 

these assets would be less than had been previously estimated. An 

adjustment of $6 million was therefore made in the surplus of the 

Corporation applicable to previous years.

A summary statement of the income and expenses of the Corporation for each year since its organization is given in Table 7. The 

figures for deposit insurance losses and expenses, and for net income 

added to surplus, shown in this table for each year differ from those 

shown in the Annual Report of the Corporation for 1942 because of 

the revision in the estimate of losses which will be sustained by the 

Corporation. A detailed statement for the year 1943 is given in 

Table 8.

T ab le 7. INCOME AND EXPENSES OF THE FEDERAL DEPOSIT INSURANCE

C o r p o r a t io n Sin c e B e g in n in g O p e r a t io n s 1

(In millions of dollars)

Income Expenses

Total

Deposit

insurance

assessments2

Investment

income

and

profits3

Total

Deposit

insurance

losses and

expenses

Administrative

expenses4

Net

income

added to

surplus

1933-1943................ 492.6 389.0 103.6 78.8 44.9 33.9 413.8

1943...................... 86.7 70.0 16.7 6.4 2.2 4.2 80.3

1942...................... 69.4 56.5 12.9 5.3 1.3 4.0 64.1

1941...................... 62.0 51.4 10.6 5.2 1.5 3.7 56.8

1940...................... 55.9 46.2 9.7 15.9 12.3 3.6 40.0

1939...................... 51.2 40.7 10.5 17.4 14.0 3.4 33.8

1938.........i .......... 47.8 38.3 9.5 6.5 3.5 3.0 41.3

1937...................... 48.1 38.8 9.3 6.8 4.1 2.7 41.3

1936...................... 43.8 35.6 8.2 5.3 2.8 2.5 38.5

1935...................... 20.7 11.5 9.2 5.6 2.9 2.7 15.1

1933-345................. 7.0 7.0 4.4 .3 64.1 2.6

figures of total expenses, deposit insurance losses and expenses and net income added to surplus

for years prior to 1943 differ from those shown in previous Annual Reports because of revisions in estimates

of losses allocated to the different years.

2 Assessments collected from insured banks, members of the temporary insurance funds, were credited

to their accounts in total at the termination of the temporary funds, being applied toward subsequent

assessments under the permanent insurance fund, and resulting in no income to the Corporation from

assessments for the terms of the temporary insurance funds.

3 Includes assessments and fees collected from Federal credit unions.

4 Includes furniture, fixtures, and equipment purchased and charged off.

6 Includes expenses from date of organization, September 11, 1933, to December 31, 1934.

6 After deducting portion of expenses and losses charged to banks withdrawing from the temporary

funds on June 30, 1934.

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24 FEDERAL DEPOSIT INSURANCE CORPORATION

Table 8. Income and Expenses op t h e F ed eral Deposit Insurance

Corporation, Calendar Y ea r 1943

Income:

Deposit insurance assessments............................................................... $ 70,018,414.75

Interest earned (less provision for amortization of premiums) and

profit on government obligations sold.............................................. 16,336,704.63

Other income.............................................................................................. 318,875.39

Total incom e...................................................................... $ 86,673,994.77

Expenses:

Deposit insurance losses and expenses................................................. $ 2,187,622.71

Administrative expenses (see below).................................................... 4,162,184.95

Furniture, fixtures, and equipment purchased and charged off .. . 25,733.30

Total expenses.................................................................... $ 6,375,540.96

Net income added to surplus...................................... $ 80,298,453.81

Surplus December 31, 1942:

As previously reported............................................................................. $327,643,640.08

Plus— net adjustments applicable to periods prior to Jan. 1, 1943 5,812,928.67

Surplus as adjusted December 31, 1942.................. $333,456,568.75

Surplus December 31, 1943........................................... $413,755,022.56

DISTRIBUTION OF a d m i n i s t r a t i v e e x p e n s e s

Salaries....................................................................................................................................

Professional services.............................................................................................................

Services of other governmental agencies.........................................................................

Transportation......................................................................................................................

Subsistence.............................................................................................................................

Office rental............................................................................................................................

Printing, stationery, and supplies....................................................................................

Postage, telephone, and telegraph..................................................................................

Insurance and fidelity bond premiums............................................................................

Subscriptions..........................................................................................................................

Equipment rental..................................................................................................................

Repairs and alterations.......................................................................................................

Transportation of things.....................................................................................................

Miscellaneous.........................................................................................................................

Miscellaneous income and other credits applicable to reduction of

administrative expenses....................................................................... $ 20,722.27

Inter-departmental expense transfers................................................... 39,738.52

Administrative expenses for the year ended December 31,1943

$ 3,146,181.96

24,571,50

4,667.45

118,701.41

474,411.80

272,219.26

85,375.34

49,963.36

1,122.75

11,223.10

6,930.60

13,799.93

10,118.22

3,359.06

$ 4,222,645.74

60,460.79

$ 4,162,184.95

Assets and liabilities. On December 31, 1943, the Corporation 

held assets acquired through bank suspensions and mergers amounting 

at face value to a total of $85 million which were carried on the books 

of the Corporation at a net or appraised value of $46 million, United 

States Government securities valued at $639 million, and cash 

amounting to $20 million.

Total capital of the Corporation consisted of $289 million capital 

stock issued at its organization and $414 million accumulated surplus. 

Balance sheets of the Corporation as of December 31,1942 and 1943, 

are given in Table 9,

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ORGANIZATION AND FINANCIAL STATEMENTS 25

Table 9. ASSETS AND LIABILITIES OP THE FEDERAL DEPOSIT INSURANCE

C o r p o r a t io n , D e c e m b e r 31, 1943, a n d D e c e m b e r 31, 1942

1943 1942

ASSETS

Assets acquired through bank suspensions and mergers:

Subrogated claims of depositors against closed insured banks. . .

Net balances of depositors in closed insured banks pending settlement or not claimed, to be subrogated when paid— contra. .

Loans to merging insured banks to avert deposit insurance losses

and recoverable liquidation expenses...........................................

Assets purchased from merging insured banks, to avert deposit

insurance losses, under agreements to return any excess recovery to selling banks......................................................................

Assets purchased from merging insured banks and receivers of

closed insured banks to avert deposit insurance ’

Less: Reserve for losses...................................................................

Cash on hand and on deposit......................................................

United States Government securities (cost less reserve for

amortization of premiums) and accrued interest receivable

Due from Governmental agencies................................................

Miscellaneous receivables.................................................................

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

Deferred charges.................................................................................. .

Total assets.....................................................................

LIABILITIES

Current liabilities:

Accounts and assessment rebates payable...................................

Earnest money deposits and collections in suspense......................

Net balances of depositors in closed insured banks pending

settlement or not claimed— contra.............................................

Deferred credits....................................................................................

Reserve for deposit insurance expenses.....................................

Total liabilities...........................................................

CAPITAL

Capital stock:

United States.......................................................................................

Federal Reserve banks......................................................................

Surplus— (see Table 8 ).....................................

Total capital............................. .

Total liabilities and capital.

$ 25,805,676.76 $ 27,112,952.50

841,927.72 351,254.13

29,412,363.96 39,872,584.89

28,041,173.53 38,314,820.58

696,387.25

$ 84,797,529.22

988,606.36

$106,640,218.46

38,547,754.80

$ 46,249,774.42

44,584,295.97

$ 62,055,922.49

19,961,081.20 19,359,639.29

638,776,370.88 536,827,041.84

292,931.08 308,037.43

109,775.64 110,397.75

1.00 1.00

73,911.69 82,805.27

$705,463,845.91 $618,743,845.07

$ 421,550.06

904,320.42

$ 477,399.09

840,452.79

841,927.72 351,254.13

107,619.54 4,379.48

133,848.62 127,162.51

$ 2,409,266.36 $ 1,800,648.00

$150,000,000.00

139,299,556.99

$150,000,000.00

139,299,556.99

$289,299,556.99 $289,299,556.99

413,755,022.56 327,643,640.08

$703,054,579.55 $616,943,197.07

$705,463,845.91 $618,743,845.07

Audit. In accordance with the Corporation's policy of having an 

annual independent audit, the accounts as of June 30, 1943, were 

audited by Arthur Andersen & Co. The balance sheet of the Corporation as of that date, as shown in the auditors’ report, is given in 

Table 10. The auditors’ certificate is given on page 28.

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Table 10. FEDERAL D e p o s it INSURANCE CORPORATION BALANCE SHEET

Ju n e 30, 1943— f r o m a u d it o r s ' r e p o r t

ASSETS

Cash on deposit, in transit and on hand................................. $ 32,112,817.18

26 FEDERAL DEPOSIT INSURANCE CORPORATION

United States Government Securities and accrued interest

receivable thereon:

Principal amount $570,043,400, stated at cost ($573,394,017.19),

less reserve for amortization of premiums ($1,845,336.86) . .. $571,548,680.33

Accrued interest receivable................................................................. 1,785,212.44 573,333,892.77

Assets acquired through bank suspensions and mergers,

less collections:

Subrogated claims of depositors against closed insured banks. . $ 25,742,036.04

Net balances of depositors in closed insured banks pending

settlement or not claimed, to be subrogated when paid—

per contra........................................................................................... 446,126.57

Loans made to, and assets purchased from, merging insured

banks to reduce or avert deposit insurance losses—

Loans, and recoverable liquidation expenses (Note 1)........ 34,459,768.53

Assets purchased under agreement to return any excess

recoveries to the selling banks, and recoverable liquidation expenses (Note 1)............................................................ 32,076,233.98

Assets purchased, other............................................................... 557,907.52

Assets purchased from receivers of closed insured banks............ 219,007.89

$ 93,501,080.53

Less— Reserves for losses.................................................................... 38,792,706.64 54,708,373.89

Miscellaneous receivables and deferred charges:

Receivable from other governmental agencies............................... $ 485,569.92

Federal Credit Union examination and supervision fees............. 112,445.82

Other........................................................................................................ 93,466.62 691,482.36

Furniture, fixtures and equipment, at nominal value........... 1.00

$660,846,567.20

NOTES:

(1) Loans to merging insured banks are evidenced by demand notes bearing interest at the rate

of 4% per annum, and the Corporation is entitled to a return of 4% per annum with respect to its investments in assets purchased from merging insured banks under agreements to return any excess recoveries

to the selling banks. The Corporation follows the practice of taking into income only such amounts

of interest and allowable return as are realized after recovery in full of its investments (including recoverable liquidation expenses) in the respective loans and purchased assets. The amount of such interest

realized during the year ended June 30, 1943 was $90,343.30.

(2) From time to time as appraisals or reappraisals are made, the Corporation revises its estimates

of probable losses on assets acquired and carries directly to surplus the resulting adjustments of the

reserve for losses insofar as such adjustments relate to assets acquired through bank suspensions and

mergers which occurred in prior periods. However, in the summary of surplus shown in the foregoing

balance sheet, such adjustments (net credit of $4,771,231.79) recorded during the year ended June 30,

1943 have been applied in reduction of deposit insurance losses and expenses for the year.

(3) Under the provisions of Section 12B of the Federal Reserve Act, as amended by Title I of the

Banking Act of 1935 (subsection “ o”), the Corporation is authorized and empowered to issue and to have

outstanding its notes, debentures, bonds or other such obligations in a par amount determined in accordance with said provisions, which amount at June 30, 1943, was $974,601,498.36.

The Secretary of the Treasury, in his discretion, is authorized to purchase such obligations of the

Corporation; and he is authorized and directed to purchase obligations of the Corporation in an amount

not to exceed $250,000,000 par value whenever in the judgment of the Board of Directors of the Corporation additional funds are required for insurance purposes.

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ORGANIZATION AND FINANCIAL STATEMENTS 27

T able 10. F e d e r a l DEPOSIT INSURANCE CORPORATION BALANCE SHEET

Ju n e 30, 1943— f r o m a u d it o r s ' r e p o r t— Continued

LIABILITIES

Liabilities:

Accounts payable..................................................................................

Earnest money deposits and collections in suspense, arising from

assets acquired through bank suspensions and mergers. .. .

Net balances of depositors in closed insured banks pending

settlement or not claimed— per contra........................................

Reserve for expenses of paying insured deposits...........................

Deferred credits.....................................................................................

Total liabilities.....................................................

Capital stock and surplus (the entire capital stock and surplus

is considered by the Corporation to constitute a reserve for

future deposit insurance losses and related expenses with

respect to insured banks. The Corporation estimates that

the insured deposits in operating insured banks amounted

to approximately $36. billion at June 30, 1943):

Capital stock, without nominal or par value (nonvoting

and not entitled to the payment of dividends)—

Held by United States Government....................................

Held by Federal Reserve banks............................................

Surplus—

Income and expenses for the year

ended June 30, 1943—

Income—

Deposit insurance assessments.

Interest earned and net profits from

sales of United States Government securities, less provision for

amortization of premiums........

Other interest received (Note 1).

Fees from Credit Unions (Note 4)

Expenses—

Deposit insurance losses and ex

penses applicable to—

Current-year cases and trans

actions..................................

Prior-year cases (credit) (Note 2)

T otal....................................

Administrative expenses (Note 4)

Furniture, fixtures and equipment

purchased.................................

Excess of income over expenses..

Transfer from Farm Credit Adminis

tration, Department of Agriculture

(Note 4)............................................

Surplus balance June 30, 1942.............

Surplus balance June 30, 1943.............

Total capital stock and surplus.

$ 359,839.61

985,898.61

446,126.57

137,465.92

98,402.92

$ 2,027,733.63

$150,000,000.00

139,299,556.99

$289,299,556.99

$ 61,110,632.07

14,319,669.93

90,758.67

222,884.66

$ 75,743,945.33

$ 1,612,099.56

( 4,771,231.79)

($ 3,159,132.23)

4,212,329.79

33,213.12

$ 1,086,410.68

$ 74,657,534.65

273,846.75

294,587,895.18

$369,519,276.58 $369,519,276.58

658,818,833.57

$660,846,567.20

NOTES: (3) continued:

The Reconstruction Finance Corporation, as provided in subsection (b) of section 5e of the Reconstruction Finance Corporation Act, as amended, shall purchase at par value, such obligations of the

Corporation as are authorized to be issued, upon request of the Board of Directors of the Corporation,

whenever in the judgment of said Board additional funds are required for insurance purposes; provided,

that the Reconstruction Finance Corporation shall not purchase or hold at any time said obligations

in excess of $250,000,000 par value. If the Reconstruction Finance Corporation fails for any reason

to purchase any of the obligations of the Corporation, the Secretary of the Treasury is authorized and

directed to purchase such obligations in an amount equal to the amount of such obligations the Reconstruction Finance Corporation so fails to purchase.

(4) By Executive Order, the President of the United States transferred ail functions of the Farm

Credit Administration under the Federal Credit Union Act to the Federal Deposit Insurance Corporation

as of May 16,1942. These functions include the approval of applications and the issuance of organization

certificates to Federal Credit Unions, the supervision thereof, and the field examinations of the financial

reports of such unions. The order also provided for the transfer of the unexpended balances of appropriations or other funds available for such functions.

During the period from May 16 to October 31, 1942 the income applicable to Credit Union activities

was added to the funds so transferred and the expenses of these activities were paid from such funds.

As of October 31, 1942, the Corporation discontinued the use of these funds for Credit Union activities,

and thereafter took up the income received in, and paid the expenses from, the general funds of the

Corporation.

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28 FEDERAL DEPOSIT INSURANCE CORPORATION

ARTHUR ANDERSEN & CO.

120 SOUTH LA SALLE STREET 

CHICAGO

To t h e B o a r d o f D i r e c t o r s ,

F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n :

We have examined the balance sheet of the F e d e r a l D e p o s it I n s u r a n c e

C o r p o r a t io n (a corporation created under Section 12B of the Federal Reserve 

Act, as amended by Title I of the Banking Act of 1935) as of June 30, 1943, and the 

related statement of income and expenses for the year then ended, which statement 

of income and expenses is summarized under the surplus account in the balance 

sheet. In connection therewith, we have reviewed the system of internal control 

and the accounting procedures of the Corporation and, without making a detailed 

audit of the transactions, have examined or tested accounting records and other 

supporting evidence maintained in the general office of the Corporation (except the 

records as to the closed insured banks for which the Corporation is receiver), by 

methods and to the extent we deemed appropriate. We did not examine the collateral 

under loans to merging insured banks nor the documents evidencing ownership 

of assets purchased from insured banks, which collateral and assets for the most 

part are held by Liquidating Agents of the Corporation, but we reviewed reports 

as of various dates throughout the year prepared by the Corporation's internal 

audit department or inventories of assets purchased during the year prepared by 

the Corporation's examiners, covering their verification of such items.

In our opinion, the accompanying balance sheet presents fairly the position of 

the Federal Deposit Insurance Corporation at June 30, 1943, and the results of its 

operations for the year ended that date.

(Signed) A r t h u r A n d e r s e n & Co.

Chicago, Illinois,

November 15, 1943.

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Federal Reserve Bank of St. Louis
PART TWO

DEPOSIT INSURANCE AND BANKING DEVELOPMENTS

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During 1943 deposits of insured commercial banks continued to 

rise above the previous record levels of 1942. On December 31, 1943, 

total deposits of all insured commercial banks amounted to $104 

billion, an increase of $16 billion, or 19 percent, for the year. The 

growth was chiefly in deposits of individuals, partnerships, and corporations which increased by $14 billion. Deposits of the United 

States Government increased by nearly $2 billion. Deposits of State 

and local governments increased by $400 million while interbank 

deposits decreased by approximately the same amount. All other 

deposit items, consisting chiefly of cashier’s checks, also showed an 

aggregate increase of $400 million. The expansion in deposits was 

most marked in the smaller banks of the country.

As in other recent years, the growth in deposits reflected chiefly 

the processes of war financing. A considerable part of the Government’s needs was met by borrowing from the banks. This borrowing 

created new deposits, originally to the credit of the Government. These 

deposits were disbursed in payment of war goods and services and 

found their way into the balances of businesses and individuals, thus 

accounting for the large increase in deposits of individuals, partnerships, and corporations reported by the banks. Bank purchases of 

United States Government obligations resulted in a net growth in 

their holdings of these securities of $18 billion, or 44 percent, during 

1943. As in the case of deposits, the growth in holdings of United 

States Government obligations was greatest among the smaller banks, 

particularly among the banks which charge exchange on remittances— 

the banks not on the par list. These latter banks increased their 

holdings of United States Government obligations by 116 percent 

during the year. Member banks of the Federal Reserve System increased their holdings by 41 percent. The figures are shown in Table 11.

A sse t s, L ia b il it ie s, a n d C a p it a l of I n s u r e d C o m m e r c ia l B a n k s

Table 11. PERCENTAGE CHANGES DURING 1943 IN TOTAL DEPOSITS AND

H o ld in g s o f U n it e d S t a t e s G o v e r n m e n t O b lig a t io n s op

I n s u r e d C o m m e rc ia l B a n k s

Total

deposits

United States

Government

obligations

All banks ............................................................................................................ + 1 9 %

+ 18

+ 19

+ 16

+24

+22

+32

+ 4 4 %

+ 41

+43

+37

+82

+ 75

+ 116

Members F R System..................................................................................

National........................................................................................................

State..................................................................... ..........................................

Not members F. R. System..........................................................................

On par list1...................................................................................................

Other..............................................................................................................

1 For character of par list and its relation to the practice of charging exchange on bank remittances,

see page 66.

31

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32 FEDERAL DEPOSIT INSURANCE CORPORATION

The banks’ loans and discounts were reduced less than one-half 

of 1 percent. However, this stability in the aggregate volume of loans 

resulted from an increase in loans of banks in large cities and a decrease in loans of banks in other places. The 407 reserve city member 

banks of the Federal Reserve System increased their loans and discounts by nearly $600 million, while the other insured banks, which 

include country banks members of the Federal Reserve System and 

insured commercial banks not members of the Federal Reserve System, 

reported declines of more than $600 million. In the reserve city banks 

loans for the purpose of purchasing or carrying securities increased 

by more than $700 million as a result of the activity of brokers and 

banks in connection with Government financing of the war, and 

commercial and industrial loans increased by $175 million, while 

consumer loans to individuals were reduced by $218 million. In the 

case of the other insured banks, substantial declines occurred not only 

in consumer loans to individuals but also in commercial and industrial loans, agricultural loans, real estate loans, and all other loans. 

The figures for the changes in major types of loans for the two groups 

of banks are given in Table 12.

Table 12. A m o u n t AND PERCENTAGE CHANGE DURING 1943 IN LOANS

of I n su red C om m ercial B a n k s

Amount of change

(millions of dollars) Percentage change

Reserve

city

banks1

Other

insured

commercial

banks2

Reserve

city

banks1

Other

insured

commercial

banks2

Total loans and discounts.................................................

Commercial and industrial loans......................................

Consumer loans to individuals..........................................

Loans for purchasing or carrying securities4.................

Real estate loans..................................................................

+583

+ 175

-8

-218

+721

-77

-10

-648

-155

-129

-184

+68

-133

-115

+ 5.3

+ 2.8

-2.5

-18.6

+ 55.7

-4.7

-1.9

-8.2

-9.7

-9.7

-16.7

+26.9

-4.4

All other loans................................................... .. -20.3

407 12,870

1 Includes banks members of the Federal Reserve System classified as central reserve city banks

and reserve city banks.

2 Includes banks members of|the Federal Reserve System classified as country banks and insured

commercial banks not members of the Federal Reserve System. Country member banks include three mutual savings banks and for this reason the sum of the figures in this column and the preceding column

differ slightly from figures derived from those for all insured commercial banks given in Table 13 and in

Table 106, page 80.

8 Includes loans secured by agricultural commodities, covered by purchase agreements of the Commodity Credit Corporation, and excludes loans on farm land.

* Includes loans to brokers and dealers in securities and other loans for the purpose of purchasing

or carrying securities.

The banks’ holdings of securities other than obligations of the 

United States Government were reduced during the year by 10 percent, 

or $648 million.

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The total amount of cash and balances with other banks, including reserve balances and cash items in process of collection, held 

by insured commercial banks declined during 1943 by less than 2 

percent. The figures for these items and for the other principal assets 

of all insured commercial banks at the beginning and close of 1943 

are shown in Table 13.

ASSETS, LIABILITIES, AND CAPITAL OF INSURED COMMERCIAL BANKS 83

Table 13. ASSETS OF INSURED COMMERCIAL BANKS

A t the Beginning and Close of 1943

Amount (millions of dollars) Percentage

distribution

Dec. 31,

1943

Dec. 31,

1942

Change

during

year

Dec. 31,

1943

Dec. 31,

1942

Total assets....................................................... 112,246 95,459 + 16,787 100.0% 100.0%

Total cash assets and U. S. Government securities.................................. 85,885 68,305 + 17,580 76.5 71.6

Currency and coin................................... 1,447 1,307 + 140 1.3 1.4

Balances with banks including reserve balances........................................ 21,306 22,170 -864 19.0 23.2

Cash items in process of collection. . . . 4,438 4,117 + 321 3.9 4.3

U. S. Government securities.................. 58,694 40,711 + 17,983 52.3 42.7

Total invested assets other than

U. S. Government securities........ 26,361 27,154 -793 23.5 28.4

Other securities......................................... 5,985 6,632 -647 5.3 6.9

Loans and discounts................................ 18,843 18,907 -64 16.8 19.8

Fixed and miscellaneous assets............. 1,533 1,615 -82 1.4 1.7

Detailed figures— See Table 106, page 80.

Quality of assets. The quality of the banks' assets was considered 

by the examiners to be better in 1943 than in 1942, previously the 

best year of record. Classification of the assets of these banks during 

the two years is shown in Table 14.

Table 14. CLASSIFICATION OF ASSETS OF INSURED COMMERCIAL BANKS,

Examinations in 1942 and 1943

(Amounts per $100 of book value)

Total

assets

Assets

other than

cash and

U. S.

Government

securities

Securities

other than

U. S.

Government

Loans

Fixed and

miscellaneous

assets

Assets criticized

1943......................................... $1.30 $5.03 $7.87 $3.18 12.36

1942......................................... 2.29 6.33 9.58 4.13 16.61

Examiners’ deductions (net)

1943......................................... 0.07 0.29 0.24 0.22 1.02

1942........................................ .16 .43 .34 .32 1.74

Substandard

1943........................................ 1.23 4.74 7.63 2.96 11.34

1942......................................... 2.13 5.90 9.24 3.81 14.87

Detailed figures for 19J+3— See Tables 107 and 108, pages 82 and 83.

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34 FEDERAL DEPOSIT INSURANCE CORPORATION

The chief increase during 1943 in the banks’ assets was in holdings 

of obligations of the United States Government. At the close of the 

year these securities, together with cash and items due from other 

banks, were three-fourths of the insured commercial banks’ total 

assets. Review of the examiners’ reports regarding the remaining 

assets of the insured banks showed that not only was the proportion 

criticized lower than in any other year, but the amount criticized was 

also the smallest of record.

The improvement in the condition of the banks is also shown by the 

increase in the number of banks with no substandard assets or with 

relatively small amounts of such assets. The improvement was general 

throughout the banking system and there was a reduction in the number of banks with a high proportion of substandard assets. In 1943 

nine-tenths of the banks had either no substandard assets at all or 

held them in amounts equal to less than 5 percent of total assets; 

in 1942 three-fourths of the banks were so situated. The figures are 

shown in Table 15.

Table 15. D istribution of I nsured Commercial Banks A ccording to

Substandard A ssets Ratio, Examinations in 1942 and 1943

Number of banks Percentage distribution

1943 1942 1943 1942

All banks1.............................................................. 13,089 13,125 100.0% 100.0%

Banks with no substandard assets...

Banks with substandard assets per

$100 of appraised value of assets o f-2

1,329 714 10.1 5.4

Less than $5.00.................................................. 10,367 9,317 79.2 71.0

$5.00 to $9.99..................................................... 1,082 2,200 8.3 16.8

$10.00 to $14.99................................................. 213 604 1.6 4.6

$15.00 to $19.99................................................. 61 179 0.5 1-4 3 $20.00 to $24.99................................................. 21 67 .2 .51

$25.00 or more................................................... 16 44 .1 .3 ,

1 Excludes banks operating less than the full year preceding either examination or whose operations

were materially affected by mergers.

2 The appraised value of assets for each individual bank is an estimated average value of assets

over a 12-month period. See pages 63-64.

Capital. Total capital of the insured commercial banks increased 

by $397 million during 1943, reflecting the highest profits recorded 

since organization of the Federal Deposit Insurance Corporation. 

Notwithstanding this increase and the continued improvement in 

quality of assets generally, nearly 400 banks had fixed and substandard 

assets in excess of net sound capital at the time of examination in 1943. 

Of these banks, 43 held fixed and substandard assets in amounts that 

were more than double their net sound capital. The figures are shown 

in Table 16.

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ASSETS, LIABILITIES, AND CAPITAL OF INSURED COMMERCIAL BANKS 35

Table 16. D istribution of N umber and D eposits of I nsured

Commercial Banks According to Ratio of Fixed and Substandard

A ssets to N et Sound Capital, Examinations in 1943

Number of banks Deposits

Number Percentage

distribution

Amount

(in millions

of dollars)

Percentage

distribution

All banks................................................................

Banks with fixed and substandard

assets as percentage of net sound

capital of—

13,207 100.0% 94,087 100.0%

Less than 2 0 % ................................................... 5,288 40.0 36,069 38.4

20% to 3 9 % ....................................................... 4,289 32.5 33,686 35.8

40% to 5 9 % ....................................................... 2,034 15.4 13,569 14.4

60% to 7 9 % ....................................................... 827 6.3 7,291 7.8

80% to 9 9 % ....................................................... 375 2.8 1,545 1.6

100% to 1 9 9 % .................................................. 351 2.7 1,731 1.8

43 .3 196 .2

At the close of 1943 total capital accounts amounted to 28 percent 

of the combined total of loans, securities other than U. S. Government, and fixed and miscellaneous assets, compared with 26 percent 

at the opening of the year. On December 31, 1943, total capital 

accounts amounted to 6.6 percent of total assets, compared with 7.4 

percent one year earlier and 8.8 percent two years ago.

E arnings of Insured C ommercial Ban ks

Total current operating earnings, total expenses, and taxes of 

the insured banks were the highest of any year of deposit insurance 

but the margin of net earnings was also highest. The figures are 

shown in Table 17.

Table 17. Earnings, E xpenses, and T axes of Insured

Commercial Banks, 1934-1943

(In millions of dollars)

Year

Total

current

operating

earnings

Expenses

other

than

taxes

Net current

operating

earnings

before taxes

All

taxes

Net current

operating

earnings

after taxes

1943............................ 1,960 1,156 804 228 576

1942............................ 1,791 1,125 666 177 489

1941............................ 1,730 1,113 617 153 464

1940............................ 1,631 1,070 561 123 438

1939............................ 1,605 1,053 552 107 445

1938............................ 1,584 1,055 529 103 426

1937............................ 1,634 1,059 575 108 467

1936............................ 1,567 1,028 539 98 441

1935............................ 1,486 1,004 482 79 403

1934............................ 1,518 1,040 478 77 401

Detailed figures for 1 H 8— See Table 121, page 96.

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36 FEDERAL DEPOSIT INSURANCE CORPORATION

Net profits after taxes of insured commercial banks in 1943 

amounted to $638 million, the highest figure ever reported to the 

Corporation. The growth in profits reflected higher current operating 

earnings and recoveries on assets offset only in part by increased 

expenses and taxes. Net profits, dividends, and addition of profits 

to capital are shown in Table 18.

Table 18. N et E arnings, Charge-offs, Profits, and D ividends of

Insured Commercial Banks, 1934-1943

(In millions of dollars)

Year

Net

current

operating

earnings

after

taxes

Net

chargeoffs1

Net

profits

after

charge-offs

and

taxes

Dividends2

Profits

added

to

capital

1943............................ 576 *62 638 233 404

1942............................ 489 48 441 228 213

1941............................ 464 9 455 238 217

1940............................ 438 37 401 237 164

1939............................ 445 57 388 232 156

1938............................ 426 126 300 222 78

1937............................ 467 86 381 226 155

1936............................ 441 383 524 223 301

1935............................ 403 196 207 207

1934............................ 401 741 -340 188 -528

1 Book value of assets charged off, minus recoveries on assets previously charged off, and profits

on securities sold.

2 Preferred and common cash dividends and interest paid on capital.

3 Non-operating profit.

Detailed figures for 19US— See Table 121, page 96.

For the first time since 1936, and for the second time since inauguration of Federal insurance of deposits, recoveries on assets and 

profits from sale of assets exceeded charge-offs. Net profits after 

charge-offs and taxes were nearly 50 percent higher in 1943 than in 

1942. Dividends were about the same in the two years, and the 

amount of profits added to capital in 1943 was about double that 

added in 1942.

The growth in net earnings and net profits from 1942 to 1943 

was particularly marked in the large banks, while the small banks 

generally showed relatively smaller increases or reductions. These 

differences reflected chiefly the changing nature of bank income. 

Loans are a more important source of income to small banks than to 

large banks and the reduction in volume of loans outstanding has 

affected the earnings of the small banks adversely, even though they 

increased their holdings of United States Government securities 

more, proportionately, than did the large banks. The rates on total 

capital accounts of net current operating earnings before taxes and 

of net profits after taxes of insured commercial banks grouped by 

size of bank are shown for 1941, 1942, and 1943 in Table 19.

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EARNINGS OF INSURED COMMERCIAL BANKS 37

Table 19. N et Earnings and N et Profits Per $100 of T otal Capital

A ccounts of Insured Commercial Banks, 1941, 1942, and 1943

BANKS GROUPED BY AMOUNT OF DEPOSITS

Net current operating earnings

before taxes

Net profits after charge-offs

and taxes

1943 1942 1941 1943 1942 1941

All banks.................................... $10.80 $9.45 $9.04 $8.58 $6.26 $6.66

Banks with deposits of—

$250,000 or less...................... 6.30 7.96 9.76 5.41 5.78 6.96

$250,000 to $500,000............ 8.50 9.12 11.00 7.60 6.80 8.32

$500,000 to $1,000,000 9.53 9.57 10.89 8.40 6.41 7.97

$1,000,000 to $2,000,000. . . 10.00 9.48 10.19 8.42 5.69 7.04

$2,000,000 to $5,000,000 . . .

$5,000,000 to $10,000,000 . .

$10,000,000 to $50,000,000..

10.00

9.74

9.36

9.04 \

9.58

9.59

7.97

7.52

5.37

4.78 \

6.16

6.37 10.43 9.54/ 7.76 5.72/

More than $50,000,000........ 11.34 9.50 8.35 9.07 6.77 6.62

Detailed figures for 19US— See Table 123, page 100.

Sources and rates of income. The chief increase in the income 

of insured commercial banks was from larger holdings of United States 

Government securities. Income from total securities in 1943 increased 

over 1942 by $250 million, or 40 percent. Other increases were chiefly 

from service charges on deposit accounts, and from other service, 

exchange, and collection charges. Income from loans was reduced, 

reflecting reduction in both amounts outstanding and rates of interest received. Figures for the chief types of earnings each year since 

deposit insurance became effective are shown in Table 20.

Table 20. A m o u n t s AND RATES OF INCOME RECEIVED, AND RATE OP

I n t e r e s t P a id , b y I n s u r e d C o m m e r c ia l B a n k s , 1934-1943

Year

Total current operating earnings

(millions of dollars) from— Income on

loans

per $100

of

loans1

Income on

securities

per $100

of

securities1

Interest

paid per

$100 of

time and

savings

deposits1 Loans Securities Other

sources

1943...................... 706 861 393 $3.85 $1.52 $0.93

1942...................... 817 610 364 4.08 n.78 1.10

1941...................... 848 509 373 4.27 1.95 1.20

1940...................... 769 500 363 4.41 2.16 1.30

1939...................... 727 522 357 4.46 2.38 1.43

1938...................... 705 532 347 4.36 2.56 1.55

1937...................... 710 572 352 4.28 2.68 1.62

1936...................... 663 574 330 4.34 2.66 1.72

1935...................... 643 548 295 4.40 2.87 2.01

1934............. 691 550 278 4.63 3.17 2.40

1 Loans, securities, and deposits are averages of figures reported at beginning, middle, and end of

year by banks submitting statements of assets and liabilities.

2 For 1942, average securities are based on amounts reported at end of month in the Treasury survey

of ownership of Government securities as well as upon amounts reported at call dates.

Detailed figures for 19£3— See Tables 121-123, pages 96-101.

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38 FEDERAL DEPOSIT INSURANCE CORPORATION

Insured M u tu al Savin gs Ban k s

On December 31,1943, the Federal Deposit Insurance Corporation 

was insuring deposits in 184 of the 545 mutual savings banks in the 

country. The insured banks operated 95 of the 136 branches of mutual 

savings banks. During 1943, 128 banks with their 60 branches, 

having deposits totaling about $4.5 billion, were admitted to insurance. One hundred twenty-five of these banks, with 173 offices, 

were located in New York State. The insured mutual savings banks 

held deposits of $7.5 billion on December 31, 1943, or 64 percent of 

the $11.8 billion of deposits in all mutual savings banks.

Total assets of the 184 mutual savings banks insured as of December 

31, 1943, increased from $7,570 million on December 31, 1942, to 

$8,364 million on December 31,1943, reflecting an increase in depositors’ accounts of about $758 million, and a net increase of $36 million 

in capital accounts, of which $27 million was from profits and $9 

million, net, from other sources. Holdings of obligations of the United 

States Government increased by $1,011 million, or 36 percent, during 

the year and amounted to $3,844 million in the 184 banks on December 

31, 1943.

The average rate of dividends or interest paid depositors in insured mutual savings banks was 1.57 percent in 1943, compared with 

1.62 percent in 1942. The following figures show the dividends and 

interest reported for the year as a percentage of total deposits held 

at the end of the year, for each year from 1935 to 1943:

1939 1.88%

Figures showing earnings, expenses, and dividends of insured 

mutual savings banks for 1943 are presented in Table 121, page 96.

Condensed statements of assets and liabilities of both insured 

and noninsured mutual savings banks for December 31, 1943, will 

be found in Table 105, page 79.

On July 1, 1943, when 121 New York savings banks were admitted 

to insurance, the Federal Deposit Insurance Corporation established 

an advisory council on savings banks. This council, composed of 

eight members most of whom are mutual savings bank presidents, 

will advise with directors and officers of the Federal Deposit Insurance 

Corporation in respect to matters of common interest.

1943 1.57%

1942 1.62%

1941 1.66%

1940 1.73%

1938 1.91%

1937 1.92%

1936 1.96%

1935 2.26%

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Federal Reserve Bank of St. Louis
PART THREE

SPECIAL REPORTS

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It is the policy of the Corporation to present in this section special 

studies prepared for the administrative use of the Corporation but 

which also possess general interest. No such studies are available 

for publication at this time.

S p e c i a l R e p o r t s

41

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Federal Reserve Bank of St. Louis
PART FOUR

LEGISLATION AND REGULATIONS

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W AR LOAN DEPOSITS

[Public La w 37— 78th Congress]

[Chapter 62— 1st Session]

[S. 700]

AN ACT

Suspending certain provisions of sections 12B and 19 of the Federal Reserve Act 

until six months after the cessation of hostilities in the present war as determined by proclamation of the President or concurrent resolution of the 

Congress.

Be it enacted by the Senate and House of Representatives of the United States of

America in Congress assembledf That the second sentence of paragraph (1) of subsection (h) of section 12B of the Federal Reserve Act (U. S. C., title 12, sec. 264 

(h) (1) ), as amended, is hereby further amended by substituting a colon for the 

period at the end thereof and adding the following: “And provided further, That 

until six months after the cessation of hostilities in the present war as determined 

by proclamation of the President or concurrent resolution of the Congress any 

balance payable to the United States by any insured bank, whether represented by 

a deposit account or otherwise, arising solely as a result of subscriptions made by 

or through such insured bank for United States Government securities issued under 

authority of the Second Liberty Bond Act, as amended, shall be excluded from the 

definition of ‘deposit* for the purpose of determining the assessment base.”

Sec. 2. The last sentence of section 19 of the Federal Reserve Act (U. S. C., title 

12, sec. 462a-l) be amended by substituting a colon for the period at the end thereof 

and by adding the following: “ Provided, That until six months after the cessation 

of hostilities in the present war as determined by proclamation of the President 

or concurrent resolution of the Congress no deposit payable to the United States 

by any member bank arising solely as the result of subscriptions made by or through 

such member bank for United States Government securities issued under authority 

of the Second Liberty Bond Act, as amended, shall be subject to the reserve requirements of this section.”

Approved April 13, 1943.

F e d e r a l L e g i s l a t i o n R e l a t i n g t o I n s u r e d B a n k s

o r t h e C o r p o r a t i o n

45

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46 FEDERAL DEPOSIT INSURANCE CORPORATION

OVERTIME COMPENSATION TO GOVERNMENT EMPLOYEES

[Public Law 49— 78th Congress]

[Chapter 93— 1st Session]

[H. R. 1860]

AN ACT

To provide for the payment of overtime compensation to Government 

employees, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of

America in Congress assembled, That this Act shall apply to all civilian officers and 

employees (including officers and employees whose wages are fixed on a monthly 

or yearly basis and adjusted from time to time in accordance with prevailing rates 

by wage boards or similar administrative authority serving the same purpose, 

except those in or under the Government Printing Office or the Tennessee Valley 

Authority) in or under the United States Government, including Governmentowned or controlled corporations . . .

Sec. 2. Officers and employees to whom this Act applies and who are not entitled 

to additional compensation under section 3 shall be paid overtime compensation 

computed on the same basis as the overtime compensation which was authorized 

to be paid under Public Law Numbered 821, Seventy-seventh Congress: Provided, 

That such overtime compensation shall be paid only on the portion of an officer’s 

or employee’s basic rate of compensation not in excess of $2,900 per annum: Provided further, That such overtime compensation shall be paid on such portion of 

an officer’s or employee’s basic rate of compensation notwithstanding the fact that 

such payment will cause his aggregate compensation to exceed a rate of $5,000 

per annum: And provided further, That in lieu of overtime compensation for work in 

excess of forty-eight hours in any administrative workweek, the heads of departments, establishments, and agencies may in their discretion grant per annum 

employees compensatory time off from duty.

Sec. 3. (a) Except as provided in subsection (c), officers and employees to 

whom this Act applies and whose hours of duty are intermittent or irregular, shall 

be paid, in lieu of the overtime compensation authorized under section 2 of this Act, 

additional compensation at the rate of (1) $300 per annum if their earned basic 

compensation is at a rate of less than $2,000 per annum, or (2) 15 per centum of 

so much of their earned basic compensation as is not in excess of a rate of $2,900 

per annum if their earned basic compensation is at a rate of $2,000 per annum or 

more.

(b) Any officer or employee to whom this Act applies and who is entitled to no 

additional compensation under subsection (a) or subsection (c) for a pay period, 

shall be paid for such pay period, in lieu of overtime compensation under section 2, 

additional compensation at the rate of $300 per annum, unless his overtime compensation under section 2 for such pay period is at least equal to such additional 

compensation.

(c) Any officer or employee to whom this Act applies and whose hours of duty 

are less than full time, or whose compensation is based upon other than a time 

period basis shall be paid, in lieu of overtime compensation or additional compensation under the foregoing provisions of this Act, additional compensation at a rate of 

15 per centum of so much of their earned basic compensation as is not in excess of 

a rate of $2,900 per annum.

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FEDERAL LEGISLATION 47

(d) In no case shall any officer or employee be paid additional compensation 

under this section for any pay period amounting to more than 25 per centum of 

his earned basic compensation for such pay period.

4c 4c 4c * 4c

Sec. 6 The provisions of the Saturday half-holiday law of March 3, 1931 (46 

Stat. 1482; U. S. C., title 5, sec. 26 (a) ), are hereby suspended for the period during 

which this Act is in effect.

4c 4c * * *

Sec. 9. The Civil Service Commission is authorized and directed to promulgate 

such rules and regulations as may be necessary and proper for the purpose of coordinating and supervising the administration of the provisions of the foregoing 

sections of this Act insofar as such provisions affect employees in or under the 

executive branch of the Government.

4e 4c * * *

Sec. 11. The heads of departments and agencies in the executive branch, whose 

employees are affected by the provisions of this Act, shall present to the Director 

of the Bureau of the Budget and to the Congress such information as the Director 

shall from time to time, but not less frequently than the first day of each quarter, 

require for the purpose of determining the number of employees required for the 

proper and efficient exercise of the functions of their respective departments and 

agencies. The Director shall, from time to time, but not less frequently than the 

thirtieth day after the beginning of each quarter, determine the number of employees so required, and any personnel of any such department or agency in excess 

thereof shall be released at such times as the Director shall order. Such determination shall be reported to the Congress each quarter. Sections 2 and 3 of this Act 

shall cease to be applicable to the employees of such department or agency unless 

the head thereof shall certify within thirty days from the effective date so prescribed by the Director that the number of employees of his agency does not exceed 

the number determined by the Director to be required for the proper and efficient 

exercise of its functions. Any determinations and directions made by the Director 

under the authority of Public Law 821, Seventy-seventh Congress, are hereby 

continued in effect until modified by him. The Civil Service Commission is authorized to transfer to other departments and agencies any employees released pursuant 

to this section whose services are needed in and can be effectively utilized by such 

other departments or agencies, and the services of these employees are to be utilized 

by the departments and agencies before additional employees are recruited.

Sec. 12. Amounts received as overtime compensation or additional compensation 

under this Act shall not be considered in determining the amount of a person’s 

annual income or annual rate of compensation for the purposes of paragraph II (a) 

of part III of Veterans Regulation Numbered 1 (a), as amended, or section 212 of 

title II of the Act entitled “ An Act making appropriations for the Legislative Branch 

of the Government for the fiscal year ending June 30,1933, and for other purposes” , 

approved June 30, 1932, as amended.

* * * * *

Sec. 14. This Act shall take effect on M ay 1, 1943, and shall terminate on June 

30,1945, or such earlier date as the Congress by concurrent resolution may prescribe.

Sec. 15. This Act may be cited as the “ War Overtime Pay Act of 1943” .

Approved M ay 7, 1943.

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48 FEDERAL DEPOSIT INSURANCE CORPORATION

DEDUCTION OF RESERVE FOR BAD DEBTS IN DETERMINING

TA X LIABILITY

[Public Law 235— 78th Congress]

[Chapter 63— 2d Session]

[H. R. 3687]

AN ACT

To provide revenue, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of

America in Congress assembled, That (a) S h o r t T it l e .— This Act, divided into 

titles and sections according to the following Table of Contents, may be cited as 

the “ Revenue Act of 1943” :

* * * * *

SEC. 113. PARTIALLY WORTHLESS BAD DEBTS

(a) I n G e n e r a l .— The first sentence of section 23 (k) (1) (relating to deductions 

for bad debts) is amended to read as follows: “ Debts which become worthless within 

the taxable year; or (in the discretion of the Commissioner) a reasonable addition 

to a reserve for bad debts; and when satisfied that a debt is recoverable only in part, 

the Commissioner may allow such debt, in an amount not in excess of the part 

charged off within the taxable year, as a deduction.”

(b) Y e a r s t o W h ic h A p p l ic a b l e .— The amendment made by this section shall 

be effective with respect to taxable years beginning after December 31, 1938.

* * * * *

Approved February 25, 1944.

R e g u l a t i o n o f t h e C o r p o r a t i o n

RULING ON ABSORPTION OF EXCHANGE CHARGES

On February 29, 1944, the board of directors of the Corporation adopted the 

resolution:

Resolved, That the Board’s Rule, relating to the absorption of exchange charges, 

adopted December 6, 1943, be and the same is hereby amended to read as follows:

The absorption of normal or customary exchange charges by an insured nonmember bank, in connection with the routine collection for its depositors of 

checks drawn on other banks, does not constitute the payment of interest within 

the provisions of Section 304.2 (a) of Part 304 of the Corporation's Rules and 

Regulations.

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S t a t e L e g i s l a t i o n R e l a t i n g t o B a n k S u p e r v i s i o n

a n d Ba n k O p e r a t io n s

Thirty-seven States enacted statutes which adjusted their laws to Executive 

Order No. 9112 of March 26,1942, and Federal Reserve Regulation V so as to permit 

loans without limitation when they are guaranteed by commitments to purchase 

same given by Federal Reserve banks, the United States or agencies thereof (including wholly owned corporations). These laws are qualified in some instances to require 

that such commitments be paid in cash within 60 days after demand and that no 

conditions beyond the bank’s control be involved therein. Some of the most important subjects dealt with by State legislation during 1943 are listed below.

AFFECTING BANKING SUPERVISORY AUTHORITY

Examination, fees, and publication of reports:

Requiring that for duration of the war banks and trust companies which are 

examined by a federal agency be examined by commissioner at least once each 

eighteen months instead of at least once a year as heretofore..Delaware (Ch. 129)

Requiring examiners to interview bank’s board of directors during one semiannual examination, and to furnish report of interview to superintendent and 

report of examinations to board of directors...........................Georgia (S. B. 202)

Providing that charges for expense of examination shall be available for use of 

banking department............................................................................Maine (Ch. 43)

Authorizing commissioner to prescribe information to be included in reports of 

condition of savings bank and trust companies................Massachusetts (Ch. 21)

Amending fee charged for expense of examination.................... Vermont (P. Act 133)

Reducing requisite number of annual examinations............Minnesota (Ch. 12);

North Dakota (Ch. 91); Pennsylvania (No. 15); West Virginia (Ch. 6)

Reducing number of annual published statements........South Carolina (No. 114)

Deposits, reserves, and charges:

Requiring state examiners to verify certain individual deposits directly with 

depositors......................................................................................Georgia (S. B. 200)

Authorizing supervising authority to alter amount of reserves against deposits__

Massachusetts (Ch. 193); Ohio (Sec. 710-6a); Oregon (Ch. 244); Utah (Ch. 

.............................................................................................10); Vermont (P. Act 133)

Authorizing commissioners, with approval of Banking Review Board to fix 

maximum service charge of certain loans.............................Wisconsin (Ch. 462)

Other:

Prohibiting for two-year period the employment by a bank formed from a reorganized, merged or rehabilitated bank of the superintendent or agents who 

acted as conservators, liquidators, etc. of such bank. . . . California (Ch. 905)

Permitting divulgence of confidential information by commissioner to advisory 

board...................................................................................................Maine (Ch. 196)

Creating Finance Commission to advise Banking Department and providing

for the election of Bank Commissioner by such commission.............................

...................................................................................... Texas (Banking Code 1943)

49

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50 FEDERAL DEPOSIT INSURANCE CORPORATION

Other:— Continued

Authorizing superintendent to extend time for bank to commence business where 

certificate was issued not more than six months prior to declaration of war 

.....................................................................................................New York (Ch. 633)

Giving superintendent power to authorize banks and trust companies to establish 

and maintain offices at military stations for transaction of limited banking 

functions.......................................................... New York (Banking Board Res. 349)

Making state examiner (formerly governor) chairman of State Banking Board 

and making Attorney General its counsel................ North Dakota (Ch. 91)

Transferring supervision of credit unions to Superintendent of Banks............

........................................................ .................................................. Alabama (No. 95)

OPERATIONS OF BANKS OF DEPOSIT

Capital accounts:

Suspending in certain cases until one year after war provisions relating to ratio 

of capital and surplus to deposits............................................California (Ch. 775)

Amending law restricting amount of deposits to capital and permitting deduction

of certain United States obligations in computing deposits.............................

...............................................................................................South Dakota (Ch. 15)

Permitting the deduction of United States securities, cash, and due from reserve 

banks, in computing ratio of capital to deposits.................... Wisconsin (Ch. 27)

Eliminating requirement that capital stock be increased when capital and surplus 

amount to less than 10% of deposits and eliminating provision that with 

examiner's consent bank may keep of legal reserve in certain Federal and 

State securities.......................................................................North Dakota (Ch. 88)

Allowing banks to borrow in excess of paid in capital when secured by U. S. 

obligation....................................................................................Florida (Ch. 22037)

Authorizing the retirement of capital debentures when due without regard to 

ratio of capital to deposits if bank has cash or unpledged United States obligations equal to 50% of deposits....................................................Indiana (Ch. 19)

Amending capital and surplus requirements to provide same shall be fixed in 

proportion to deposits and permitting the inclusion as capital and surplus 6% 

of par value of U. S. bonds and 6% cash reserve in excess of the 15% required 

reserve.................................................................................................. Nevada (Ch. 71)

Amending law to increase amount of required surplus before dividends may be 

paid...................................................................................................Nebraska (No. 33)

Providing that no dividends shall be declared or paid on capital stock of a bank 

unless surplus and undivided profits equals capital notes and debentures and 

until approved by superintendent in writing................South Dakota (Ch. 16)

Amending law to reduce amount of earnings which must be transferred to surplus 

before dividends......................................................................... ............Utah (Ch. 9)

Permitting certain unincorporated banks to transfer assets and liabilities to 

new banking corporation with prescribed capital less than minimum usually 

required............................................................................................ Ohio (Sec. 710-37)

Increasing minimum capital requirements of trust companies.............................

..................................................................................................... Vermont (P. Act 133)

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STATE LEGISLATION 51

Continuing during 1943 and 1944 the suspension of provision relating to surplus 

and dividends applicable to savings banks and trust companies except provisions relating to payment of dividends by trust companies on common stock 

.....................................................................................................Vermont (P. Act 134)

Amending law relating to increases in capital stock of certain trust companies 

......................................................................................................... Delaware (Ch. 136)

Reserves:

Reducing amounts of reserves required against demand and time deposits........

.............................................................Delaware (Ch. 130); New York (Ch. 169)

Repealing law requiring commercial banks to maintain reserve against deposits 

....................................................................................................... Ohio (Sec. 107-138)

Providing for the elimination of reserve requirements against war loan deposit

accounts........Connecticut (Ch. 257); Nebraska (No. 434); New York (Ch. 226);

..........................................................................North Dakota (Ruling Banking Board)

Removing restriction that banks, trust companies and industrial banks may not 

pay any dividends while there is any deficiency in reserves against deposits 

...................................................................................... New York (Ch. 404 and 666)

Deposits and depositors:

Providing for the payment to any owner of joint deposits and discharging bank 

for such payment..............................................Alabama (No. 125); Idaho (Ch. 30)

Extending provisions relating to payment of joint deposits to national banks 

.....................................................................................................Washington (Ch. 167)

Exempting partnership accounts from joint deposit accounts which may not be

released to survivor without approval of department of taxation.....................

....................................................................................................... Wisconsin (Ch. 440)

Amending law relating to payment of small bank deposits of deceased depositors 

.................... Connecticut (Ch. 197); Georgia (S. B. 52); Washington (Ch. 143)

Making statement of deposit account conclusively correct after expiration of

prescribed time if not previously objected to.........................Alabama (No. 128);

........................................................................... Florida (Ch. 22035); Idaho (Ch. 28)

Relating to adverse claims for deposits........Alabama (No. 123); Indiana (Ch. 7)

Providing for escheat of abandoned funds to State................Minnesota (Ch. 620)

Making national banks eligible to receive deposits of executors or other fiduciaries 

....................................................................................................... California (Ch. 194)

Suspending for duration of war and six months requirement that banks verify 

deposit and pass books of depositors or shareholders........Massachusetts (Ch. 30)

Providing for the disposal of contents of safe deposit boxes and special remedies 

to enforce liabilities of renters and safekeeping depositors....California (Ch. 846)

Extending procedure applicable to payment of accounts covered by lost pass 

books to investment certificates of Morris Plan Banks, and to certificates

issued by a bank subsequently merged with another bank.................................

....................................................................................................Massachusetts (Ch. 22)

Increasing amount of State funds which may be deposited with any depository 

...................................................................................................Washington (Ch. 134)

Capital accounts:— Continued

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52 FEDERAL DEPOSIT INSURANCE CORPORATION

Deposits and depositors:— Continued 

Fixing premium on deposits and investments of Board of Deposits..

......................................................................................................... Wisconsin (Ch. 91)

Permitting deposits in excess of limitation where offset by excess cash reserve 

or unpledged United States obligations.................................Minnesota (Ch. 342)

Checks, drafts, etc.:

Giving banks additional time for handling collection items before requiring

presentment, return or protest thereon..................................... Alabama (No. 129);

California (Ch. 930); Idaho (Ch. 94); Illinois (H. B. 744); Michigan (Ch. 90); 

.................... New Mexico (Ch. 89); Wisconsin (Ch. 117); Wyoming (Ch. 80)

Requiring that checks drawn on banks and trust companies organized under 

state laws be cleared at par by banks on which drawn............Iowa (Ch. 243)

Requiring written stop orders, revocations, or countermands relating to payment 

of checks or drafts......................................................................... Nebraska (No. 239)

Making person issuing check or draft against insufficient funds liable for costs 

and expenses of collection........................................................ Wisconsin (Ch. 243)

Legalizing payment, etc. of checks by banks and trust companies after banking 

hours or on legal holidays........................................................ Florida (Ch. 21771)

Limitation on loans and investments:

Excluding loans secured by pledge of United States obligations from loan limitation 

...................................................................Connecticut (Ch. 254); Kansas (Ch. 83)

Amending loan limitation for trust companies as applied to loans secured by 

pledge of obligations of the United States.........................Connecticut (Ch. 254)

Limiting loans from savings or commercial departments of trust companies but

excluding loans unconditionally guaranteed by the United States....................

................. ..........................._.....................................................Massachusetts (Ch. 261)

Excluding from 50% mortgage loan limitation for commercial banks, loans to 

finance construction of residential or farm buildings and having maturities 

not exceeding six months.................................................... Connecticut (Ch. 298)

Exempting loans made to Commodity Credit Corp. by banks or trust companies

and fully guaranteed by the United States from loan limitation....................

....................................................................... New York (Banking Board Res. 354)

Exempting investments in Federal Land Banks, Federal National Mortgage 

Association bonds, and Federal Intermediate Credit Bank debentures from 

loan limitation................................................................................Arkansas (No. 140)

Amending law relating to legal investments of banks in respect to real estate 

mortgages....................................................................................Vermont (P. Act 131)

Enlarging legal investments of banks..................................... Florida (Ch. 21889)

Authorizing banks or trust companies to participate in loans (formerly industrial 

loans) sponsored by the United States, or departments, boards, etc. of the 

United States.....................................................................................Maryland (Ch. 98)

Extends until July 1,1945, authority of banks, trust companies, and credit unions 

to make Federal Housing Administration loans, to acquire loans secured by 

real estate insured by that administration and to service such insured mortgage 

loans.........................................................................................Massachusetts (Ch. 126)

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STATE LEGISLATION 53

Limitation on loans and investments:— Continued

Providing that member banks and trust companies may purchase without recourse notes, bills of exchange, etc. at prices agreed upon.................................

...........................................................................................Missouri (S. 163 and 164)

Authorizing State banks and trust companies to take chattel mortgages on live 

stock, crops, farm machinery, etc...................................... Connecticut (Ch. 318)

Reduces amount of permissible loan by banks without adequate security or 

property statement.....................................................................Nebraska (No. 34)

Amending provisions of law prescribing requirements of real estate loans which 

may be made by banks.........................................................Ohio (Sec. 710-112)

Providing that bank or trust company may lend money on security of capital 

stock of other banks and trust companies and omitting permission to purchase 

own stock to prevent loss on debt previously contracted....Washington (Ch. 187)

Pledge of assets:

Providing that State or Federal Public Housing Authority bonds or obligations 

shall be legal investment and authorized security for public deposits for all 

banks and trust companies.........................................................Montana (Ch. 218)

Permitting banks to pledge assets to guarantee deposits of bankrupt’s estate 

made pursuant to court order and prescribing rate of interest on instalment 

loans...........................................................................................West Virginia (Ch. 6)

Permitting the pledge of assets to secure war loan deposit accounts................

.............................Michigan (No. 82); New York (Banking Board Res. 356);

.........................................................Vermont (P. Act 133); Wisconsin (Ch. 461)

Authorizing trust companies to pledge assets of commercial department to secure 

war loan deposit accounts................................................ New Hampshire (Ch. 115)

Permitting depositories of local government funds to deposit, in lieu of bond,

such securities as a bank may legally pledge to secure such funds.....................

.................................................................................................South Dakota (Ch. 166)

Other:

Providing for assignment of accounts receivable without notice............California

(Ch. 766); Connecticut (Ch. 248); Illinois (S. 536); Maryland (Ch. 728)

Relating to the ownership of United States obligations registered in name of

co-owner or owner and beneficiary upon death of one co-owner or owner........

.....................California (Ch. 51); Illinois (H. B. 634); New York (Ch. 632);

......................................................................................................... Washington (Ch. 14)

Requiring board of directors to meet at least once every 60 days and at call of 

president or two members...........................................................Alabama (No. 121)

Providing for reimbursement of directors, trustees, officers, or employees for 

expenses incurred in official capacity.................................Connecticut (Ch. 293)

Staying foreclosure, forced sale, etc. of seasonal resort properties subject to 

mortgage, which have lost earning power as a result of war conditions and 

restrictions...........................................................................................Maine (Ch. 342)

Permitting investment of sinking fund moneys in unlimited obligations of the 

United States..........................................................................New Jersey (Ch. 48)

Adopting uniform stock transfer act..................................... New Mexico (Ch. 67)

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54 FEDERAL DEPOSIT INSURANCE CORPORATION

Other:— Continued

Entire banking code recodified. Providing new procedure for purchase of assets 

by another bank. Providing for merger of banks. Changing procedure for 

liquidation of closed banks. Enlarging duties of bank directors. Eliminating 

requirements that banks with savings departments segregate assets. Repealing 

provisions relating to required ratio of capital to deposits. Bank charters are 

made perpetual.................................................................Texas (1943 Banking Code)

Regulating and licensing business of receiving money as agent for deposit in a 

bank............................................................................................ North Dakota (Ch. 89)

Amending law relating to bonding of bank officers and employees.........................

.......................................................................................................Wisconsin (Ch. 157)

SAVINGS BANKS, TRUST FUNDS, AND FIDUCIARY INSTITUTIONS

Deposits and depositors:

Allowing payment of trust deposits to beneficiary upon death of trustee............

........................................................................................................... Alabama (No. 127)

Amending law relating to state guaranty fund for deposits of Mutual Savings 

Banks................................................................................. ......Connecticut (Ch. 275)

Amending law relating to disposition and escheat of unclaimed funds held by 

fiduciaries....................................................................................Florida (Ch. 22075)

Repealing limitation on amount of savings banks deposits............ Iowa (Ch. 238)

Requiring annual publication by trust companies of inactive savings deposit 

accounts.............................................................................................Maine (Ch. 217)

Amending law relating to reporting of dormant accounts by savings banks to 

exclude Christmas savings funds............................................Maryland (Ch. 510)

Allowing minimum interest or discount charge on loans to depositors by savings 

banks and trust companies with savings departments..... Massachusetts (Ch. 27)

Permitting savings banks to accept deposits of public funds and to secure such 

deposits by pledge of assets....................................... .....................Indiana (Ch. 6)

Legal investments, common trust funds, and pledge of assets:

Repealing requirements that trust funds be invested in investments legal for 

savings banks and substituting prudent man rule..............California (Ch. 811)

Amending law relating to legal investments by fiduciaries of trust funds............

.................... Delaware (Ch. 171); Florida (Ch. 21889); Indiana (Ch. 71); Iowa

(Ch. 239); Minnesota (Ch. 635); Montana (S. 218); Oregon (Ch. 31); 

.........................Utah (Ch. 12); Vermont (P. Act 131); Washington (Ch. 114)

Amending law relating to legal investments for savings banks....Arizona (Ch. 40); 

Connecticut (Ch. 217 and 219); Florida (Ch. 21889); Maine (Ch. 74); 

Massachusetts (Ch. 94); Minnesota (Ch. 197 and 635); New Hampshire 

(Ch. 163); New York (Ch. 531); Vermont (P. Act 131); Wisconsin (Ch. 28)

Providing for the disposition of investments of savings banks removed from 

legal list........................................................................................ Connecticut (Ch. 218)

Relating to the establishment or handling of common trust funds.........................

.............................................................Alabama (No. 565); Connecticut (Ch. 361);

Illinois (H. B. 413); New York (Ch. 602); Ohio (Sec. 715 et seq); Pennsylvania (No. 28 and 213); Washington (Ch. 55); Wisconsin (Ch. 274)

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STATE LEGISLATION 55

Fiduciary duties and other powers:

Authorizing trust companies to register securities held as fiduciary in name of 

a nominee................................. California (Ch. 811); Minnesota (Ch. 338 and 339)

Amending requirements relating to keeping of trust accounts.............................

.................................. . Connecticut (Ch. 100); Minnesota (Ch. 338 and 339);

.............................................................Vermont (P. Act 133); Wisconsin (Ch. 359)

Excusing corporate fiduciaries from bond in sales of real estate under probate 

court and providing for private sale of real estate by fiduciaries under court 

orders.......................................................................................... Connecticut (Ch. 56)

Providing method of substituting successors of fiduciaries engaged in war service

..........................................California (Ch. 33); Connecticut (Ch. 358 and 306);

....................Illinois (H. B. 690); Michigan (No. 195); Wisconsin (Ch. 283)

Extending time during which trust companies may waive or modify terms of 

bonds or mortgages held as fiduciary..................................... New York (Ch. 573)

Permitting trust company to hold own stock received in fiduciary capacity as part 

of an estate or trust....................................................................... Missouri (H. 46)

Authorizing savings banks to sell negotiable checks........Rhode Island (Ch. 1343)

Permitting savings banks to do a safe deposit business..._Vermont (P. Act 133)

Permitting Mutual Savings Banks to apply for extension of time of existence 

................................... .................................................................Washington (Ch. 148)

Uniform laws and other:

Adopting Uniform Fiduciaries Law or Uniform Trust Act........Alabama (No. 557);

...................................................................Texas (S. 251); S. Dakota (Ch. 308)

Adopting Uniform Trust Receipts Act..Minnesota (Ch. 433); Washington (Ch. 71)

Suspending as applied to savings banks requirements of amortization of certain 

mortgage loans......................................................................... Connecticut (Ch. 141)

Suspending for duration of war and two years thereafter provisions governing 

the establishment of branch offices by trust companies and the maintenance, 

as a branch, of the office of a merged trust company or national bank taken 

over............................................................................................ Massachusetts (Ch. 192)

Providing that any amount paid by the General Insurance Fund to a savings 

bank selling life insurance for settlement of losses shall be repaid as the fund 

directs........................................................................................ Massachusetts (Ch. 210)

BANKS IN FINANCIAL DIFFICULTIES OR RECEIVERSHIP

Providing alternative method for voluntary liquidation of banks by vote of 

two-thirds of stockholders...............................................................Indiana (Ch. 39)

Amending law relating to payment of dividends on preferred stock of trust companies in liquidation or conservatorship...........................Massachusetts (Ch. 110)

Prescribing procedure for publication prior to final distribution of dividends of 

dissolved bank................................................................................Nevada (Ch. 90)

Validating deeds made by banks or trust companies which have been dissolved 

or charters surrendered or forfeited........................ New Jersey (Ch. 167 and 168)

Prescribing procedure for liquidation and distribution of title insurance reserve 

funds of banking institutions taken over by Secretary prior to date of Act 

...................................................................................................Pennsylvania (No. 262)

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56 FEDERAL DEPOSIT INSURANCE CORPORATION

CREDIT UNIONS AND SMALL LOAN INSTITUTIONS

Examination and fees:

Requiring credit unions to pay expense of examination based on total assets 

........................................................................................................... Alabama (No. 94)

Providing for the licensing, bonding, examination, etc. of community currency 

exchanges and prohibiting them from accepting deposits....Illinois (H. B. 475)

Loans and investments:

Limiting investment of Morris Plan Bank certificate funds in municipal securities and public utility issues................................................ Massachusetts (Ch. 208)

Regulating personal loan business of banks, savings banks, and trust companies 

...................................... .................................................................. Nebraska (No. 43)

Regulating loans by industrial loan and investment companies.............................

..........................................................................._........................... Nebraska (No. 296)

Authorizing commercial banks to make personal or industrial loans in the same

manner as industrial banks and removing limitation on such loans................

..................................................................................................N. Carolina (Ch. 234)

Other:

Permitting industrial banks to do a safe deposit business and receive valuables

for safekeeping and amending limitation on deposits of such banks................

....................................................................................................... New York (Ch. 530)

Permitting industrial banks to accept deposits subject to check upon approval

of Commissioner..........._.......................... ........................... N. Carolina (H. B. 284)

Amending credit union statutes......Illinois (S. B. 524); Massachusetts (Ch. 118);

Minnesota (Ch. 20 and 647); New York (Ch. 288 and 630); Washington 

.................. ................................................ (Ch. 131); Wisconsin (Ch. 120 and 156)

TAXATION

Repealing local taxation of capital stock of banks and trust companies and making 

tangible assets subject to local assessment and taxation....Michigan (No. 231)

Imposing income tax on State banks beginning in 1944 and on national banks in 

conformity with Federal authorization (R. S. 5219, 42 Stat. 1499, 12 U.S.C. 

548; Method No. 4)........................................................ .............. Arizona (Ch. 11)

Exempting trust fund certificates from taxation....................Indiana (S. B. 100)

Granting State banks same immunity from State and local taxation as national 

banks enjoy under Federal statutes...................... .............. Florida (Ch. 21842)

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PART FIVE

STATISTICS OF BANKS AND DEPOSIT INSURANCE

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EXPLANATORY NOTES

Sources of Data

Data relating to national banks and State banks in the District ofK Columbia 

were obtained from the Comptroller of the Currency or the Board of Governors 

of the Federal Reserve System, and data relating to State banks members of the 

Federal Reserve System from the Board of Governors of the Federal Reserve 

System, with the following exceptions: (1) analysis of examinations, the data of 

which were compiled by this Corporation from reports submitted by the Comptroller 

of the Currency and the Board of Governors of the Federal Reserve System and 

reviewed by the Corporation; and (2) data relating to suspensions, receiverships, 

and mergers with the financial aid of the Federal Deposit Insurance Corporation, 

which were obtained from the records of the Corporation.

Data relating to insured State banks not members of the Federal Reserve System 

were obtained from the banks themselves or from the records of the Federal Deposit 

Insurance Corporation.

Data relating to noninsured banks were obtained from the Board of Governors 

of the Federal Reserve System, State banking authorities, Rand M cNally Bankers

Directory, and Polk’s Bankers Encyclopedia.

Classification of Banks and Banking Offices

Insured banks include all operating banks insured by the Federal Deposit 

Insurance Corporation; noninsured banks include all banks not so insured.

Commercial banks and trust companies include the following categories of 

banking institutions:

Operating 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 and, in New Hampshire, noninsured guaranty savings banks;

Stock savings banks, excluding noninsured guaranty savings banks in New 

Hampshire;

Banks in conservatorship or operating under restrictions, provided they 

are authorized to and in fact do accept new deposits, regardless of the character of the restrictions imposed on the operations of the bank;

Such industrial and Morris Plan banks as operate under general banking 

codes or are specifically authorized by law to accept deposits or operate under 

the same codes of law as insured industrial banks;

Branches of foreign banks which engage in a general deposit business;

Cash depositories;

Private banks under State supervision, and such other private banks as 

are reported by reliable unofficial sources to be engaged in deposit banking;

Trust companies, even though not engaged in regular deposit banking, 

except those operating as title companies without other fiduciary business;

Branches of American and foreign banks maintained in the possessions 

to do a general deposit business. (Where more than one branch is maintained 

by a given bank in any one possession the chief or central office is classified 

as a bank and the other offices as branches).

59

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60 FEDERAL DEPOSIT INSURANCE CORPORATION

Mutual savings banks include all banks operating under special State banking 

codes applying to mutual savings banks, including noninsured guaranty savings 

banks in New Hampshire and savings associations in New Jersey.

Unit banks include all banks operating only one office at which deposits are 

received or checks cashed.

Branches include all offices, other than head offices, of banks operating more 

than one office at which deposits are received or checks cashed, and all offices, 

other than head offices, of trust companies not engaged in deposit banking. The term 

“ branch” is used in accordance with the definition in paragraph (15), subsection (c) 

of section 12B of the Federal Reserve Act, as amended, which is as follows:

“ 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 Hawaii, Alaska, Puerto Rico, or the 

Virgin Islands at which deposits are received or checks paid or money 

lent.”

Institutions excluded. Figures for operating banks do not include institutions 

in the following categories, though such institutions may perform many of the same 

functions as 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, regardless of the amount of deposit liability still remaining and regardless 

of whether they are listed among operating banks or included in abstracts 

of condition of banks published by State banking authorities;

Building and loan associations, savings and loan associations, credit unions, 

personal loan companies, and similar institutions, chartered under special 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;”

Noninsured Morris Plan companies, industrial banks, loan and investment 

companies, and similar institutions, not operating under general State banking 

codes, nor under the same codes of law as similar institutions which have been 

admitted to insurance, and not specifically authorized to accept deposits;

Branches of foreign banks, and of private banks, which confine their business 

to foreign exchange dealings and do not receive “ deposits” as that term is 

commonly understood;

A few special institutions chartered under general banking laws, but operating as mortgage or investment companies and not engaged in deposit banking;

Federal Reserve banks and other banks, such as the Savings and Loan 

Bank of the State of New York, which operate as rediscount banks and do 

not accept deposits from the general public.

Bank and Branch Changes

Changes during 1943 in the number of operating banks and branches, as defined 

above, are shown in Table 101. Similar figures for prior years are shown in previous 

Annual Reports of the Corporation.

The number of banks which suspended operations because of financial difficulties, 

and the number merged with the financial aid of the Corporation, in each of the 

years 1934-1943, are shown in Table 124. For differences between these figures and

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EXPLANATORY NOTES 61

those shown in tables in previous Annual Reports corresponding to Table 101 in 

this report, see the Annual Report of the Corporation for 1942, page 61.

Deposits of Banks and Banking Offices

Operating insured banks. Deposit data for operating insured banks are obtained from two separate sources: (1) deposit figures shown, or used for classifying 

insured banks by size groups, in Tables 103, 104, 105, and 124 are from reports 

of condition submitted by the banks for the dates indicated; (2) deposit figures 

shown, or used for classifying insured banks by size groups, in Tables 107, 108, 

115, 119, and 120, summarizing the reports of examinations of banks, are for the 

respective dates on which each bank was examined.

Deposits shown in reports of examination are defined in the same way as those 

shown on reports of condition. In adjusting figures for examiners' appraisals, deposit 

liabilities not shown on the bank's books are added to deposits shown on the books.

For description of deposit liabilities reported by insured banks on certified statements submitted for the purpose of computing the deposit insurance assessment, 

used in some tables in the Annual Reports of the Corporation prior to 1939, see 

the Annual Report of the Corporation for 1941, page 92.

Noninsured banks. Deposits of noninsured banks are from published figures 

or from reports received from State banking authorities, and are based on reports 

of condition submitted by the banks to State authorities or to bankers' directories. 

Figures refer to June 30 and December 31 or nearest available dates.

Suspended and merged banks and banks in receivership. Deposit figures 

for insured banks in Tables 124 and 127, relating to suspensions, receiverships, and 

mergers with the financial aid of the Corporation, are from the records of the Corporation with respect to such banks, and refer to the date of suspension or merger. 

Deposit figures for banks in receivership as shown by the books of the Corporation, 

December 31, 1943, given in Table 126, differ from those shown by the books of 

the banks at date of suspension, given in Table 125, because of reclassification of 

liabilities and discovery of additional liabilities during liquidation.

Banks Submitting Reports to the Corporation

The Federal Deposit Insurance Corporation regularly examines, and calls for 

reports of assets and liabilities, and of earnings and dividends, from all insured 

banks which are not members of the Federal Reserve System, except State banks 

in the District of Columbia and national banks in the possessions. The latter groups 

of banks are examined by and report to the Comptroller of the Currency.

For captions used in tables in previous Annual Reports of the Corporation, 

relating to banks examined by or submitting reports to the Corporation, see the 

Annual Report of the Corporation for 1941, page 93.

Assets and Liabilities of Operating Banks

Assets and liabilities of insured banks, in Tables 104-106, are tabulated from 

reports of condition submitted to Federal supervisory authorities: to the Comptroller 

of the Currency by all national banks, and by State banks located in the District 

of Columbia; to the Board of Governors of the Federal Reserve System by State 

banks members of that system; and to the Federal Deposit Insurance Corporation 

by all other insured State banks. Instructions provided to insured banks by the 

Federal supervisory authorities for the preparation of reports of condition are 

essentially uniform. Copies of the instructions issued to banks submitting reports 

to the Federal Deposit Insurance Corporation are available upon request.

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62 FEDERAL DEPOSIT INSURANCE CORPORATION

Assets and liabilities of noninsured banks are from published figures or from 

reports received from State banking authorities, and are based on reports of condition submitted by the banks to State authorities or to bankers’ directories.

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 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. Trust funds deposited by a trust department in a commercial or savings 

department are reported as “ Deposits of individuals, partnerships, and corporations.” 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.”

Assets reported represent aggregate book value, on the date of call, less valuation 

allowances, and, in the case of securities, less reserves for bond premiums. Reciprocal bank balances were reported gross prior to June 30, 1942. 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.

Total deposits. All funds received by a bank in the course of its commercial 

or fiduciary business (except funds in payment of obligations to the bank) give 

rise to demand or time deposit liabilities and are classified under total deposits, 

unless the funds are received as trust funds which the bank keeps segregated and 

apart from its general assets.

Analysis of Examinations of Insured Commercial Banks

Data for Tables 107-120, relating to the analysis of examinations of all insured 

commercial banks in 1943, are derived from the reports of examinations made by 

the Comptroller of the Currency in the case of national banks and of State banks 

in the District of Columbia, by the Federal Reserve banks in the case of State 

banks members of the Federal Reserve System, and by the Federal Deposit Insurance Corporation in the case of other insured State banks. Similar tables relating 

to the analysis of examinations of all insured commercial banks in 1939, 1940, 1941, 

and 1942 were published in the Annual Reports of the Corporation for those years. 

Corresponding tabulations for earlier years have not been made, except for banks 

examined by the Corporation.

Figures relating to commercial banks examined by the Federal Deposit Insurance 

Corporation covering the period 1933 to 1940 are presented in Tables 135-138 in 

the Annual Report of the Corporation for 1940. Examination procedures of the 

Federal bank supervisory authorities and of numerous State banking authorities 

were revised in 1938 so that the data for 1939 and 1940 are not strictly comparable 

with data for 1937 and earlier years. Data for banks examined by the Federal 

Deposit Insurance Corporation are shown for 1938 on both the original and the 

uniform or revised basis. For a discussion of the differences between the uniform 

procedure and the procedure previously followed by the Corporation in analyzing 

and valuing assets in examination reports, see the Annual Report of the Corporation 

for 1938, pages 61-78.

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EXPLANATORY NOTES 63

Banks in cluded . The tabulations have been prepared from reports of examinations available during the year and do not cover precisely the banks examined during 

the year. The figures for 1943 include 13,171 insured commercial banks operating 

at the close of the year and 36 banks which ceased operations or were taken over by 

other banks during the year. Figures for 103 insured banks operating at the close 

of the year were not included in the tabulations: 11 because they were not engaged 

in deposit banking and 92 because reports of examination were, for various reasons, 

not available for tabulation. Figures for 50 banks cover reports of examinations 

made in the last three months of 1942. The number and deposits of insured commercial banks included in the 1943 tabulations, distributed according to month 

of examination, are shown below.

Month of Number Total deposits (in

examination of banks millions of dollars)

AH banks.............................................................................. 13,207 94,087

Banks examined in:

1942................................................................................. 50 1,649

1943

January.......................................................................... 1,265 6,338

February........................................................................ 1,079 10,422

March.. . : ...................................................................... 1,359 6,588

April................................................................................ 1,243 5,096

M ay................................................................................. 1,218 5,483

June................................................................................. 1,125 15,965

July................................................................................. 951 5,422

August............................................................................ 1,098 5,690

September...................................................................... 1,181 7,396

October........................................................................... 1,144 7,230

November...................................................................... 990 8,317

December....................................................................... 504 8,531

Ratios for individual banks. The base used in the computation of ratios 

to the appraised value of assets, and to total assets, for each individual bank is an 

estimated average value of assets over a 12-month period derived from reports of 

condition and the report of examination. The method of estimating this average is 

not uniform for all banks. An average is used in order to eliminate the influence 

of seasonal fluctuations in total assets upon the ratios of individual banks. However, 

in view of the rapid increase in total assets during the period covered by this averaging process, the ratios for 1943 tend to represent the condition of the banks— 

considered as a whole— at a time close to the beginning of the year.

Explanation of terms. The principal terms and methods used, under the uniform 

procedure, in the tables relating to analysis of examinations of bank assets and 

capital accounts are described below.

Book value, applied to total assets, loans, securities, and fixed and miscellaneous 

assets, refers to the values (net, after deduction of valuation allowances and, in 

the case of securities, of premium allowances) carried by each bank on its books at 

the time of examination.

Appraised value of total assets, loans, securities, and fixed and miscellaneous 

assets, represents the value of assets as determined by the examiners. For explanation 

of method of valuing securities see the Annual Report of the Corporation for 1938, 

pages 64-68. The term “ appraised value” corresponds in meaning to the term “ adjusted value” used in the Annual Report of the Corporation for 1938, and to the 

term “ net sound value” used in the Annual Reports of the Corporation for 1935 and 

1934.

Examiners’ deductions from assets represent for each group of assets the 

amount by which the examiners’ evaluation of each bank’s assets is less than the 

value carried by the bank on its books. Minus (-) represents the excess of appraised 

value of assets over book value.

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64 FEDERAL DEPOSIT INSURANCE CORPORATION

The deductions are derived from the examiners' evaluation of the assets classified 

on the basis of eventual collectibility. In the case of assets other than securities, 

the examiner, for reasons which he sets forth, deducts: (1) the amount of, or the 

portion of, loans and other assets regarded as worthless or uncollectible (Classification IV ); and (2) one-half of the amount of, or the portion of, loans and other 

assets regarded as of doubtful worth or collectibility (Classification III). In the 

case of securities, the examiner deducts: (1) the amount by which the book value 

(less valuation allowances) exceeds the market value of stocks and defaulted securities; (2) one-half of the amount by which the book value (less valuation and 

premium allowances) of speculative securities exceeds the average of market prices 

over the 18 months preceding the month of examination; and (3) the amount by 

which book value (less valuation and premium allowances) exceeds cost less amortization of other (i.e., uncriticized) securities.

Examiners’ deductions (net) from total assets, United States Government 

obligations, and fixed and miscellaneous assets, is the difference between examiners’ 

deductions and the determinable sound values of assets not shown on the books. 

Determinable sound values of loans and securities other than United States Government obligations not shown on the books are tabulated with fixed and miscellaneous 

assets; and for this reason the figure for examiners’ deductions (net) from fixed and 

miscellaneous assets understates the net deductions from assets classified as fixed 

and miscellaneous.

Examiners’ deductions (net) from total capital accounts represent the 

amount by which the examiners’ evaluation of each bank’s total capital accounts 

(net worth) is less than the value carried by the bank on its books. It exceeds 

examiners’ deductions (net) from assets by the amount of determinable liabilities 

not shown on the books. Minus (-) represents examiners’ net additions to capital, 

or an excess of appraised value of assets over book value and over liabilities not 

shown on the books.

Substandard, applied to total assets, loans, securities, and fixed and miscellaneous assets, represents the appraised value of all assets believed by the examiner 

to involve a substantial or unreasonable degree of risk, and hence to be undesirable 

or hazardous for bank investment. It includes the value of assets in Classification 

II and 50 percent of the value of assets in Classification III. The appraised value of 

substandard assets also represents the book value of all criticized assets less examiners’ deductions on such assets. The term “ substandard” corresponds in meaning 

to the term “ slow” used in the Annual Reports of the Corporation for 1936, 1935, 

and 1934, except in the case of securities and total assets.

Fixed and substandard assets include fixed assets not criticized, as well as 

all substandard assets. Fixed assets consist of banking house and furniture and 

fixtures.

Uncriticized, applied to total assets, cash, loans, securities, and fixed and miscellaneous assets, represents the appraised value of all assets regarded as suitable 

for bank investment. The appraised value of these assets (Classification I) represents acquisition values less charge-offs, valuation allowances, and, in the case of 

securities, amortization of bond premiums.

Total capital accounts, or book value of capital accounts, refers to the 

“ net worth” or equity of stockholders (including holders of capital notes and debentures) in each bank as carried by the bank on its books at the time of examination.

Net sound capital represents the appraised value of assets less all determinable 

liabilities. It is also derived by subtracting examiners’ deductions (net) from total

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EXPLANATORY NOTES 65

capital accounts, and is the examiners' evaluation of the net worth or equity of 

stockholders (including holders of capital notes and debentures) in each bank. 

The retirable value of R. F. C. capital is used to determine the amount of net

sound private capital, so that the latter differs from book value of private capital 

accounts by the excess of retirable value of R. F. C. capital over book value as 

well as by the examiners' deductions (net) from total capital accounts. The term 

“ net sound capital" corresponds in meaning to the term “ adjusted capital account” 

used in the Annual Report of the Corporation for 1938, to the term “ net capital 

account” used in the Annual Report of the Corporation for 1937, and to the term 

“ sound capital” used in the Annual Report of the Corporation for 1936.

The amount of R. F. C. capital in banks may correspond to any one of three 

values: the par or face value; the book value, which is normally the same as par 

value but may be less; and the retirable value. The latter is the same as the investment of the Reconstruction Finance Corporation shown in reports of that 

Corporation.

Deposits, in all cases, represent deposits at the date of the examination.

A djusted deposits and adjusted liabilities include, in addition to liabilities 

shown on the books of the bank, those not shown, but determined by the examiner 

to exist.

Net current operating earnings are for the calendar year 1942; and the figure 

for total assets to which net current operating earnings are related is the average 

for a 12-month period derived from reports of condition and the report of examination. The 29 banks for which no net earnings figures were available were, in general, 

new institutions or institutions which had been merged.

Irregularity in individual items. The average ratios of net sound capital to 

the appraised value of assets of $19.91, $24.30, and $21.14, referred to in footnote 1 

of Table 110, are less than the lower limits of the intervals in which these ratios 

fall due to the difference between the ratios based on assets at the date of examination and on the average of assets over the year immediately preceding the date of 

examination, discussed under “ Ratios for individual banks” above.

The States included in each Federal Deposit Insurance Corporation District,

and the cities in which the district offices are located, are given on page vi.

Earnings, Expenses, and Dividends of Insured Commercial Banks

Banks included. Reports of earnings and dividends covering the calendar year 

1943 were submitted to Federal bank supervisory agencies by all insured commercial 

banks. Reports for each six months' period were also submitted by banks not 

reporting to the Corporation. The figure for number of banks in 1943 in Tables 121- 

123 is the total number operating at the end of the year. The earnings data relate to 

the same banks, except that data are also included, for the first six months of the 

year, for national banks not operating at the end of the year.

For banks included in tabulations of earnings and dividends prior to 1942, see 

the Annual Report of the Corporation for 1941, page 97.

The figures in Table 123, and in the column in Table 121 entitled “ Operating 

throughout the year,” exclude data for the following banks: banks submitting 

reports covering less than the full year's operations, trust companies not engaged 

in deposit banking, and banks submitting reports to the Corporation whose operations were materially affected by mergers, consolidations, or other corporate changes.

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

Asset and liability averages. The ratios presented in Table 122 are based upon 

average asset and liability items from reports of condition as of December 31, 1942, 

June 30, 1943, and December 31, 1943. These averages include figures for banks 

which reported on one call date but not on another because they became insured 

during the year or were in operation only part of the year. No duplication in the 

figures exists because of changes in class of insured banks during the period. The 

ratios presented in Table 123 are based upon assets as of December 31 for the 

identical banks to which the earnings data pertain.

Method of reporting. Reports of earnings and dividends of insured commercial banks are submitted on the same basis, either cash or accrual, depending upon 

the bank's method of bookkeeping, as the reports of assets and liabilities. The 

form of the report and instructions issued by the three Federal bank supervisory 

agencies were for the most part uniform in 1943. Copies of the instructions issued 

to banks reporting to the Federal Deposit Insurance Corporation are available upon 

request.

For differences in the form and instructions for years prior to 1942 see the Annual 

Report of the Corporation for 1941, pages 97-99.

Banks on par list. Some drawee banks make a service charge (called “ exchange") 

for remitting funds to points foreign to the locality of the drawee bank. The Federal 

Reserve Act, as interpreted, forbids any such charge from being made against a 

Federal Reserve bank. All banks, both national and State, that are members of the 

Federal Reserve System are required to pay checks drawn upon them and presented 

by Federal Reserve banks without deduction of exchange charges. The Federal 

Reserve System maintains a list of banks known as the “ par list.” Banks on the 

“ par list” include all banks, both national and State, that are members of the 

Federal Reserve System and those non-member banks which have agreed to pay 

checks drawn upon them and presented by Federal Reserve banks without deducting 

exchange charges. Banks not on the par list include all other banks which banks 

clear their checks through channels entirely outside the Federal Reserve banks. All 

banks on the par list may charge “ exchange” on checks presented from out of 

town either directly or through correspondents where Federal Reserve banks are 

not involved in the chain of collection. It is customary for many of these banks to 

make such a charge on checks presented directly (not through correspondents) 

from out of town points.

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Federal Reserve Bank of St. Louis
NUMBER, OFFICES, AND DEPOSITS OF OPERATING BANKS

Table 101. ANALYSIS OF CHANGES IN NUMBER AND CLASSIFICATION OF OPERATING BANKING OFFICES

in the U nited States and Possessions D uring 1943

All banking offices Commercial bank and trust company offices

Mutual savings

banking offices

Total Insured Noninsured Total

Insured Noninsured

Total Insured2

Noninsured Total

Members F. R.

system

Not

members

F. R.

system

Banks

of deposit

Trust

companies1 National State

ALL BANKING OFFICES

Number of offices, December 31, 1943........................................ 18,751 17,297 1,454 18,070 17,018 6,782 2,744 7,492 966 86 681 279 402

Number of offices, December 31, 1942........................................ 18,666 16,993 1,673 17,982 16,902 6,675 2,619 7,608 989 91 684 91 593

+85 +304 -219 +88 + 116 + 107 + 125 -116 -23 -5

- 3

+ 188 -191

Changes resulting from—

Offices opened • • ........................................ 283 267 16 281 267 162 41 64 14 2 2

48 36 12 48 36 3 4 29 12

Br&nchcs 235 231 4 233 231 159 37 35 2 2 2

Offices closed ........................................................................... 198 168 30 194 168 59 23 86 21 5 4 4

150 124 26 150 124 47 9 68 21 5

Branches . . . . . . . . ............................ 48 44 4 44 44 12 14 18 4 4

Changes in classification— net total................................... +205 -205 + 1 + 17 + 4 + 107 -94 -16 -1 + 188 -189

Noninsured banks to insured banks . . . . . . . + 144 -144 + 1 + 16 + 1 + 15 -15 -1 + 128 -129

Insured bank to noninsured . ........ -1 + 1 -1 -1 + 1

Nooiiisurcd branches to insured branches ................. +62 -62 + 2 + 2 -2 + 60 -60

+ 3 + 105 -108

Among branches of insured banks • ..... + 1 + 2 - 3

BANKS

Number of banks, December 31, 1943......................................... 14,751 13,458 1,293 14,206 13,274 5,040 1,695 6,539 847 85 545 184 361

Number of banks, December 31, 1942......................................... 14,853 13,403 1,450 14,307 13,347 5,081 1,595 6,671 870 90 546 56 490

Net change during year................................................................ -102 +55 -157 -101 -73 -41 + 100 -132 -23 -5 -1 + 128 -129

Changes resulting from—

Banks beginning deposit operations— new banks.......... 48 36 12 48 36 3 4 29 12

DamIto flnn& 150 124 26 150 124 47 9 68 21 5

OnVtrx-nlrcf ronnoTioH r*T siirpppnpn 4 4 4 4 2 2

XT /] JVL0rg6Q Wlcn nilallUal olU U **71 4- * 1 q yi /ii Q1 O 1 A'f I T - . W pf" |&P 1 1 1 1 1 1 1 X/iv net ucucaoct . . . . .

AiLtvknn/1 oKonrnfinna*—n t HpPfP^QP 82 76 6 82 76 34 6 36 5 1

63 43 20 63 43 10 3 30 16 4

FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Noninsured banks becoming insured.........................

Successions to noninsured banks.....................................

Admissions to F. R. System.............................................

Admissions to insurance, operating banks3 ..................

Insured bank becoming noninsured— withdrawal

from F. R. System..........................................................

Other changes in classification among banks.

National banks succeeding State banks................

State banks succeeding national banks.................

Admissions to F. R. System.....................................

Withdrawals from F. R. System.............................

Changes not involving number in any class:

Successions..........................................................

Changes in title, location, or name of location..

BRANCHES

Number of branches, December 31, 1943.

Number of branches, December 31, 1942.

Net changes during year. . . .

Changes resulting from -

Branches opened for business................................

Facilities provided as agents of the government.

Absorbed banks converted into branches.............

Branches replacing offices closed or relocated

Other branches opened..............................................

Branches discontinued..............................................

Branch of suspended bank........................................

Other branches discontinued....................................

Branches of banks admitted to insurance..............

Other changes in classification among branches.

Branches transferred as result of absorption..............

From national banks to State banka............................

From State banks to national banks............................

Admissions to F. R. System...........................................

Withdrawals from F. R. System....................................

Changes not involving number in any class:

Branches transferred as result of absorptions...

Changes in title, location, or name of location..

4,000

3,813

+ 187

235

188

23

4

20

48

2

46

A-144

+3 

+1 

+ 140

-1

3,839

3,590

+249

231

188

23

4

16

44

2

42

+62

-144

-1

-140

+1

161

223

-62

4

-62

+1

+1

31

3,864

3,675

+ 189

233

188

23

4

18

44

2

42

16

+ 16

+ 3

+ 1 

+ 12

-1

3,744

3,555

+ 189

231

188

23

4

16

44

2

42

+2

+ 3

+ 10

-7

+ 1

-1

+2

+ 1

‘ +1

-1

+ 105

-5

+ 112

-2

9 5

1,742 1,049

1,594 1,024

+ 148 + 25

159 37

148 26

8 8

+2 

+ 1

-2

+ 4

-1

+ 15

+ 3

+ 12

-108

-5

+ 7

-112

+2

2

15

953

937

+ 16

35

14

7

4

10

18

2

16

+2

-3

-1 

+ 1

-4

+ 1

-15

-3

-1

-11

+ 1

-1 + 128 -129

-1 + 128 -129

4

2

119

119

1

1

136

138

-2

2

95

35

+60

41

103

-62

2 2

2 2

4

2

4

4 4

-2 +60 -60

*Not engaged in deposit banking.

* Includes, at the beginning and at the end of the year, three mutual savings banks members of the Federal Reserve System.

* Operating at beginning of year.

Back figures— See the Annual Report for 1942, pages 68-69.

Oi

toNUMBER AND DEPOSITS OF OPERATING BANKS

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Table 102. N u m b e r OF OPERATING BANKING OFFICES, DECEMBER 31, 1943

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK AND BY TYPE OF OFFICE IN EACH STATE AND POSSESSION

All banking offices Commercial bank and trust company offices Mutual savings banking

offices

Insured banking offices

as percentages of—

Total Insured Noninsured Total

Insured Noninsured

Total Insured Noninsured

All

banking

offices

Commercial

banking

offices

Mutual

savings

banking

offices Total

Members F. R.

System

Not

members

F. R.

System

Banks

of deposit

Trust

companies1 National State

United States and possessions. . . . 18,751 17,297 1,454 18,070 17,018 6,782 2,744 7,492 966 86 681 279 402 92.2 94.2 41.0

Unit banks........................................... 13,561 12,343 1,218 13,096 12,208 4,738 1,504 5,966 804 84 465 135 330 91.0 93.2 29.0

Head offices......................................... 1,190 1,115 75 1,110 1,066 302 191 573 43 1 80 49 31 93.7 96.0 61.3

Branches............................................... 4,000 3,839 161 3,864 3,744 1,742 1,049 953 119 1 136 95 41 96.0 96.9 69.9

United States........................................ 18,646 17,292 1,354 17,965 17,013 6,782 2,744 7,487 871 81 681 279 402 92.7 94.7 41.0

Unit banks........................................... 13,531 12,340 1,191 13,066 12,205 4,738 1,504 5,963 782 79 465 135 330 91.2 93.4 29.0

Head offices......................................... 1,180 1,114 66 1,100 1,065 302 191 572 34 1 80 49 31 94.4 96.8 61.2

Branches............................................... 3,935 3,838 97 3,799 3,743 1,742 1,049 952 55 1 136 95 41 97.5 98.5 69.9

Possessions 105 5 100 105 5 5 95 5 4.8 4.8

Unit banks 30 3 27 30 3 3 22 5 10.0 10.0

Head offices 10 1 9 10 1 1 9 10.0 10.0

Branches 65 1 64 65 1 1 64 1.5 1.5

State

Alabama 243 238 5 243 238 91 19 128 5 97.9 97.9

Unit banks 207 202 5 207 202 59 17 126 5 97.6 97.6

Head offices 9 9 9 9 7 1 1 100.0 100.0

Branches 27 27 27 27 25 1 1 100.0 100.0

Arizona . . . . 44 42 2 44 42 29 2 11 2 95.5 95.5

Unit banks . . . 9 7 2 9 7 3 2 2 2 77.8 77.8

Head offices • 5 5 5 5 2 3 100.0 100.0

Branches 30 30 30 30 24 6 100.0 100.0

Arkansas ........................ 245 225 20 245 225 55 12 158 17 3 91.8 91.8

Unit banks 205 185 20 205 185 47 12 126 17 3 90.2 90.2

Head offices 19 19 19 19 4 15 100.0 100.0

Branches .......................... 21 21 21 21 4 17 100.0 100.0

California . ............................ 1,066 1,051 15 1,066 1,051 796 139 116 6 9 98.6 98.6

Unit banks ..................... .. 170 157 13 170 157 84 12 61 4 9 92.4 92.4

Head offices • . 32 31 1 32 31 9 7 15 1 96.9 96.9

Branches • • • 864 863 1 864 863 703 120 40 1 99.9 99.9

Colorado . . . ........... 153 139 14 153 139 82 15 42 14 90.8 90.8

Unit banks . .. 143 129 14 143 129 72 15 42 14 90.2 90.2

Head offices • . • 5 5 5 5 5 100.0 100.0

5 1 ' 5 5 5 5 100.0 100.0

FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Connecticut.................

Unit banks..................

Head offices................

Branches......................

Delaware........................

Unit banks.................

Head offices................

Branches......................

District of Columbia

Unit banks.................

Head offices................

Branches.....................

Florida............................

Unit banks.................

Head offices................

Branches.....................

Georgia..........................

Unit banks.................

Head offices................

Branches.....................

Idaho..............................

Unit banks.................

Head offices................

Branches.....................

Illinois............................

Unit banks.................

Head offices................

Branches.....................

Indiana..........................

Unit banks.................

Head offices................

Branches.....................

Iow a................................

Unit banks.................

Head offices................

Branches.....................

Kansas............................

Unit banks.................

Head offices................

Branches.....................

Kentucky......................

Unit banks.................

Head offices................

Branches.....................

Louisiana......................

Unit banks.................

Head offices................

Branches.....................

110 97 135 108 57

95 88 111 93 47 6 1 7 6 4

9 8 17 9 6

52 4 53 52 13

34 2 35 34 13 6 1 6 6

12 1 12 12

55 55 55 26

10 10 10

4

12 12 12

5

33 33 33 17

179 7 186 179 65

155 5 160 155 47

11 1 12 11 8

13 1 14 13 10

311 75 386 311 72

260 71 331 260 39

15 2 17 15

8

36 2 38 36 25

88 1 89 88 56

39 1 40 39 10

7 7 7 6

42 42 42 40

820 16 836 820 348

814 16 830 814 342

3 3 3 3 3 3 __ 3_ 3

546 26 568 543 137

432 24 452 429 117

44 1 45 44

8

70

1 71 70 12

739 70 809 739 101

477 61 538 477 101

111 4 115 111

151 5 156 151

453 176 629 453 179

449 176 625 449 175

2 2 2 2

2 2 2 2

400 30 430 400 115

348 28 376 348 90

17

1 18 17 4

35 1 36 35 21

210 1 211 210 60

114 1 115 114 23

32 32 32

7

64 64 64 30

207 8

1837

17

56

367

13

55

10

12

33

186

160

12

14

386

331

17

38

89

407

42

836

83033

572

456

45

71

809

538

115

156

629

62522

430

376

18

36

211

115

32

64 I

119

119

109

942

13

61

61

39 25 2 72 2 70

36 16 2 72 2 70

1 1

2 8

33

1

3

3

19 1 1 1 4 1 1

10 1 1 5311

109 4 3

103 2 3 3 1 3 1

214 75

208 71

3 2

3 2

22

1

19

1

12

353 11 5

353 11 5

297 21 4 4 3 1

218 194 4 3 1

34

1

45

1

577 70

315 61

111

4

151

5

238 174 2

238 174

2

263 24

6

243 24

4

10

1

10

1

137

1

85

1

23

29

53.1

51.9

85.7

52.9

92.9

94.4

85.7

92.3

100.0

100.0

100.0

100.0

96.2

96.9

91.7

92.9

80.6

78.5

88.2

94.7

98.9

97.5

100.0

100.0

98.1

98.1

100.0

100.0

95.5

94.7

97.8

98.6

91.3

88.7

96.5

72.0

71.8

100.0

100.0

93.0

92.6

94.4

97.2

99.5

99.1

100.0

100.0

80.0

83.8

85.7

52.9

98.1

97.1

100.0

100.0

100.0

100.0

100.0

100.0

96.2

96.9

91.7

92.9

80.6

78.5

88.2

54.7

98.9

97.5

100.0

100.0

98.1

98.1

100.0

100.0

95.6

94.9

97.8

98.6

91.3

88.7

96.5

72.0

71.8

100.0

100.0

93.0

92.6

94.4

97.2

99.5

99.1

100.0

100.0

2.8

2.8

75.0

75.0

NUMBER AND DEPOSITS OF OPERATING BANKS

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Table 102. N u m b e r o p O p e r a t in g B a n k in g O f f ic e s, D e c e m b e r 31, 1943— Continued

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK AND BY TYPE OF OFFICE IN EACH STATE AND POSSESSION

-3

to

All banking offices Commercial bank and trust company offices

Mutual savings banking

offices

Insured banking offices

as percentages of—

Insured Noninsured

Commercial

banking

offices

Mutual

savings

banking

offices

Total Insured Noninsured Total

Total

Members F. R.

System

Not

members

Banks

of deTrust

comTotal Insured Noninsured

All

banking

offices

National State F. R.

System

posit panies1

162 118 44 128 112 40 33 39 16 34 6 28 72.8 87.5 17.6

74 45 29 44 39 31 1 7 5 30 6 24 60.8 88.6 20.0

25

63

18 7 23 18 4 4 10 5 2 2 72.0 78.3

55 8 61 55 5 28 22 6 2 2 87.3 90.2

Maryland .............................................. 283 270 13 258 255 75 57 123 2 1 25 15 10 95.4 98.8 60.0

Unit banks........................................... 157 147 10 148 145 59 10 76 2 1 9 2 7 93.6 98.0 22.2

Hc3(l offices • 29 28 1 27 27 4 6 17 2 1 1 96.6 100.0 50.0

97 95 2 83 83 12 41 30 14 12 2 97.9 100.0 85.7

545

323

66

156

623

312

148

233 323 312 192 76 44 11 222 222 57.2 96.6

175 156 148 105 14 29 8 167 167 45.8 94.9

41 25 42 41 19 16 6 1 24 24 62.1 97.6

123

581

33 125 123 68 46 9 2 31 31 78.8 98.4

42 623 581 140 232 209 34 8 93.3 93.3

401 370 31 401 370 64 140 166 23 8 92.3 92.3

47 44 3 47 44 11 12 21 3 93.6 93.6

175 167

644

8 175 167 65 80 22 8 95.4 95.4

Minnesota * 679 35 678 643 191 24 428 34 1 1 1 94.8 94.8 100.0

Unit brinks 671 636 35 670 635 183 24 428 34 1 1 1 94.8 94.8 100.0

2 2 2 2 2 100.0 100.0

6

251

6

246

6 6 6 100.0 100.0

5 251 246 24 3 219 5 98.0 98.0

173 168 5 173

28

50

168

28

50

20 3 145

26

48

5 97.1

100.0

100.0

97.1

100.0

100.0 28

50

600

593

28

50

568

561

3

4

110

110

2

2

32

32

600

593

3

4

110

110

568

561

3

4

110

110

86

79

3

4

41

41

85

85

397

397

30

30

2

2

94.7

94.6

100.0

94.7

94.6

100.0 3

4

110

110

28

28

41

41

100.0

100.0

100.0

100.0

100.0

100.0

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Nebraska.............

Unit banks. . . .

Head offices. . .

Branches...........

Nevada.................

Unit banks. . . .

Head offices. . .

Branches...........

New Hampshire

Unit banks. . . .

Head offices. . .

Branches...........

New Jersey.........

Unit banks. . . .

Head offices. . .

Branches...........

New Mexico. . . .

Unit banks. . . .

Head offices. . .

Branches...........

New Y ork............

Unit banks

Head offices. . .

Branches...........

North Carolina.

Unit banks. . . .

Head offices. . .

Branches...........

North Dakota. .

Unit banks. . . .

Head offices. . .

Branches...........

O hio......................

Unit banks. . . .

Head offices. . .

Branches...........

Oklahoma...........

Unit banks. . . .

Head offices. . .

Branches...........

Oregon.................

Unit banks. . . .

Head offices. . .

Branches...........

Pennsylvania. . .

Unit banks. . . .

Head offices. . .

Branches...........

353 62 415 353 131

347 62 409 347 127

3 3 3 2

3 3 3 2

25 25 25 1 18 5 5 5 3

5 5

5

3

15 15 15 12

58 52 67 58 53

56 48 63 56 51 1 2 2 1 1

1 2 2 1 1

487 19 478 472 260

304 16 299 293 201

56 1 54 54 21

127 2 125 125 38

47 47 47 22

35 35 35 22

6 6

6

6

6

6

1,529 13 1,353 1,340 589

682 10 600 590 371

144 2 106 104 38

703 1 647 646 180

364 9 373 364 52

173 6 179 173 40

46 1 47 46 4

145 2 147 145

8

168 12 180 168 42

133 8 141 133 42

14 2 16 14

21

2 23 21

836 18 851 833 279

627 18 642 624 233

39 39 39 8

170 170 170 38

379 12 391 379 205

369 12 381 369 195 5 5 5 5

5 5 5 5

141

4 144 140 94

62 4 65 61 23

6 6 6 2

73 73 73 69

1,141 25 1,145 1,120 718

971 18 986 968 642

53 3 52 49 25

117 4 107 I 103 51

41511

409 | 3

3 I

2555

15

110

10433

506

320

57

129

47

3566

1,542

692

146

704

373

179

47

147

180

141

16

23

854

645

39

170

391

38155

145

666

73

1166

989

56

121

16

16

132

46

24

6255

589

128

49

412

2082

10

284

155

18

111

13

13

134

84

14

206

204113

1 

1 144

162

91

17

54

292

125

40

127

126

91

14

21

270

236

13

21

161

161

39

3144

268

242

10

16

54

54

88

85.1

84.8

100.0

85.1

84.8

100.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

9 43 43 52.7 86.6 7 41 41 53.8 88.9

1 1 1 33.3 50.0

1 1 1 33.3 50.0 3 3 28 15 13 96.2 98.7 53.6 3 3 21 11 10 95.0 98.0 52.4 3 2 1 98.2 100.0 66.7

4 2 2 98.4 100.0 50.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

13 189 189 99.2 99.0 100.0

10 92 92 98.6 98.3 100.0 2 40 40 98.6 98.1 100.0 1 57 57 99.9 99.8 100.0 8 1 97.6 97.6

5 1 96.6 96.6 1 97.9 97.9 2 98.6 98.6

11 1 93.3 93.3 7 1 94.3 94.3 2 87.5 87.5 2 91.3 91.3

18

.............3.............3 97.9 97.9 100.0

18 3 3 97.2 97.2 100.0

100.0 100.0

100.0 100.0

10

2 96.9 96.9

10

2 96.9 96.9

100.0 100.0

100.0 100.0

2

2 1 1 97.2 97.2 100.0

2 2

1

1 93.9 93.8 100.0

100.0 100.0

100.0 100.0

23

2 21 21 97.9 97.8 100.0

16 2 3

3 98.2 98.2 100.0

3 4 4 94.6 94.2 100.0 4 14 14 96.7 96.3 100.0

—3

CONUMBER AND DEPOSITS OF OPERATING BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 102. N umber OF Operating Banking Offices, D ecember 31, 1943— Continued

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK AND BY TYPE OF OFFICE IN EACH STATE AND POSSESSION

All banking offices

Total Insured Noninsured

Rhode Island......................................... 73 42 31

22 9 13

Head offices.......................................... 12 6 6

Branches............................................... 39 27 12

South Carolina..................................... 176 147 29

Unit banks........................................... 138 109 29

Head offices ....................................... 8 8

Branches............................................. 30 30

South Dakota....................................... 208 207 1

Unit banks........................................... 138 137 1

Head offices......................................... 24 24

Branches............................................... 46 46

Tennessee............................................... 352 339 13

Unit banks........................................... 276 263 13

Head offices......................................... 22 22

Branches............................................... 54 54

Texas......................................................... 876 808 68

Unit banks........................................... 831 763 68

Head offices ....................................... 22 22

Branches . .................................... 23 23

Utah .......................... 78 78

Unit banks .......................... 50 50

Head offices .......................... 7 7

Branches............................................. 21 21

Vermont ........................................... 97 96 1

Unit banks ...................................... 73 72 1

Head offices ................................ 7 7

Branches ................................ 17 17

Virginia ................................ 400 400

Unit banks .............................. . 267 267

Head offices ................................ 46 46

87 87

Commercial bank and trust company offices

Total

Insured

Total

National State

62 42 19

14 9 8

11 6 3

37 27 8

176 147 48

138 109 18

8 8 4

30 30 26

208 207 58

138 137 32

24 24 4

46 46 22

352 339 91

276 263 62

22 22 7

54 54 22

876 808 462

831 763 417

22 22 22

23 23 23

78 78 28

50 50 9

7 7 3

21 21 16

80 79 41

66 65 37

6 6 2

8 8 2

400 400 154

267 267 120

46 46 10

87 87 24

Members F. R.

System

Not

members

F. R.

System

20

126

82

20

24

231

195

14

22

252

252

27

20

169

91

29

49

Noninsured

Banks

of deposit

10

29

29

67

67

Trust

companies1

Mutual savings banking

offices

Total

11

Insured Noninsured

11

Insured banking offices

as percentages of—

All

banking

offices

57.5

40.9

50.0

69.2

83.5

79.0 

100.0

100.0

99.5

99.3 

100.0

100.0

96.3

95.3 

100.0

100.0

92.2

91.8

100.0

100.0

100.0

100.0

100.0

100.0

99.0

98.6

100.0

100.0

100.0

100.0

100.0

100.0

Commercial

banking

offices

67.7

64.3

54.5

73.0

83.5

79.0

100.0

100.0

99.5

99.3 

100.0

100.0

96.3

95.3

100.0 

100.0

92.2

91.8 

100.0

100.0

100.0

100.0

100.0

100.0

98.8

98.5 

100.0 

100.0

100.0

100.0

100.0

100.0

Mutual

savings

banking

offices

100.0

100.0

100.0

100.0

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
WfMfhingtfHl........................ 226 222 4 223 219 132 16 71 3 1 3 3 98.2 98.2 100.0

120 116 4 119 115 34 14 67 3 1 1 1 96.7 96.6 100.0

11 11 10 10 7 1 2 1 1 100.0 100.0 100.0

95 95 94 94 91 1 2 1 1 100.0 100.0 100.0

180 175 5 180 175 77 28 70 4 1 97.2 97.2

180 175 5 180 175 77 28 70 4 1 97.2 97.2

Wisconsin............................................... 699 687 12 695 684 112 57 515 9 2 4 3 1 98.3 98.4 75.0

477 467 10 473 464 93 46 325 7 2 4 3 1 97.9 98.1 75.0

85 84 1 85 84 4 4 76 1 98.8 98.8

137 136 1 137 136 15 7 114 1 99.3 99.3

W yom ing................................................. 57 56 1 57 56 26 10 20 1 98.2 98.2

57 56 1 57 56 26 10 20 1 98.2 98.2

Branches...............................................

Possessions

Alaska2...................................................... 18 2 16 18 2 2 16 11.1 11.1

Unit banks........................................... 16 2 14 16 2 2 14 12.5 12.5

Head offices.......................................... 1 1 1 1

Branches............................................... 1 1 1 1

Hawaii3..................................................... 51 1 50 51 1 1 45 5 2.0 2.0

Unit banks........................................... 7 1 6 7 1 1 1 5 14.3 14.3

Head offices......................................... 2 2 2 2

Branches............................................... 42 42 42 42

Puerto Rico................................... ; . . . 33 33 33 33

Unit banks........................................... 6 6 6 6

Head offices.......................................... 6 6 6 6

Branches............................................... 21 21 21 21

Virgin Islands4...................................... 3 2 1 3 2 2 1 66.7 66.7

Unit banks........................................... 1 1 1 1

Head offices.......................................... 1 1 1 1 1 100.0 100.0

Branches............................................... 1 1 1 1 1 100.0 100.0

1 Not engaged in deposit banking.

2 Includes 4 national banks (all unit banks), 2 among insured banks not members of the Federal Reserve System, and 2 among noninsured banks.

8 Includes, among noninsured banks, 1 national bank operating 20 branches.

4 Includes, among insured banks not members of the Federal Reserve System, 1 national bank operating 1 branch.

Back figures— See the following Annual Reports: 1942, p. 70; 1941, p. 102; 1940, p. 96; 1939, p. 90; 1938, p. 126; 1937, p. 73; 1936, p. 105; 1935, pp. 122-131.

or NUMBER AND DEPOSITS OF OPERATING BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 103. NUMBER AND DEPOSITS OP OPERATING COMMERCIAL AND MUTUAL SAVINGS BANKS, DECEMBER 31, 1943

BANKS GROUPED ACCORDING TO INSURANCE STATUS IN EACH STATE AND POSSESSION

Number of banks

All

banks

Commercial banks

Total Insured1

Noninsured

Banks

of deposit

Trust

companies2

Mutual savings banks

Total Insured

Noninsured

Deposits (in thousands of dollars)

All

banks

Commercial banks

Total Insured Noninsured

Mutual savings banks

Total Insured Noninsured

United States and

possessions. . . .

United States___

Possessions..........

State

Alabama.............

Arizona...............

Arkansas.............

California...........

Colorado.............

Connecticut. . . .

Delaware............

Dist. of Columbia

Florida...

Georgia. .

Idaho.. . .

Illinois. . .

Indiana. .

Iowa........

Kansas...

Kentucky

Louisiana.

Maine. . .

Maryland

Massachui

Michigan..

Minnesota.

Mississippi

Missouri. .

Montana. .

14,751

14,711

40

216

14

224

202

148

190

43

22

172

348

47

833

501

653

627

394

147

99

186

448

673

201

110

14,206

14,166

40

216

14

224

202

148

118

41

22

172

348

47

833

497

653

627

147

67

175

198

448

672

201

596

110

J

| 13,274

13,270

4

211

12

204

188

134

99

40

22

166

275

46

817

473

588

451

365

146

57

172

189

414

637

196

564

110

847

816

31

545 A ^184

545 fl 184

361

361

73

1

11

20

65

174

24

1

10

2

9

26

34

5

30

32 1

11 I 191

26

8

191

118,099,719

117,636,872

462,847

841,584

229,203

485,243

8,847,727

722,378

2,169,676

427,123

707,688

1,061,562

1,194,541

257,891

8,522,680

1,996,603

1,42S,914

1,029,707

1,021,800

1,061,774

499,773

1,538,936

5,923,935

3,760,706

1,961,495

485,962

2,902,186

319,041

106,349,452

105,886,605

462,847

841,584

229,203

485,243

8,847,727

722,378

1,291,646

372,640

707,688

1,061,562

1,194,541

257,891

8,522,680

1,969,624

1,429,914

1,029,707

1,021,800

1,061,774

346,463

1,276,018

3,584,278

3,760,706

1,875,341

485,962

2,902,186

319,041

104,115,777

104,094,027

21,750

836,167

229,203

482,214

8.810.140

718,329

1,135,691

371,937

707,688

1,057,090

1,177,230

252,079

8,499,804

1,947,567

1,366,544

926,667

1,006,979

1.061.141

319,343

1,227,556

3,494,794

3,687,383

1,851,406

480,350

2,890,789

319,041

2,233,675

1,792,578

441,097

5,417

11.750.267

11.750.267

7.534.060

7.534.060

4.216.207

4.216.207

3,029

37,587

4,049

155,955

703

878,030

54,483

16,620 861,410

54,483

4,472

17,311

5,812

22,876

22,057

63,370

103,040

14,821

633

27,120

48,462

89,484

73,323

23,935

5,612

11,397

26,979 19,158 7,821

153,310

262,918

2,339,657

16,939

44,773

136,371

218,145

2,339,657

86,154 86,154

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Nebraska............ 412 1I 412

Nevada............... 1 0 1 0 New Hampshire. 107 65

New Jersey......... 377 353

New Mexico.. . . 41 41

New York........... 838 706

North Carolina.. 226 226

North Dakota... 157 157

Ohio..................... 684 681

Oklahoma........... 386 386

Oregon................. 72 71

Pennsylvania. . . 1,045 1,038

Rhode Island. . . 34 25

South Carolina.. 146 146

South Dakota... 162 162

Tennessee........... 298 298

Texas................... 853 853

Utah..................... 57 57

Vermont............. 80 72

Virginia............... 313 313

Washington........ 131 129

West Virginia.. . 180 180

Wisconsin........... 562 558

Wyoming............ 57 57

Possessions

Alaska................. 17 17

Hawaii................. 9 9

Puerto Rico. . . . 1 2 1 2

Virgin Islands.. . 2 2

54 8

8 42 42

3 3 24 13 1 1

1 2 132 132

6 1

9 1

18 3 3

1 0 2

2 2 1 1

19 2 7 7

7 3 9 9

29

1

9 4

67 1

1 8 8

3 1 2 2

4 1

8 2 4 3 1

1

15

3 5

1 2

1

350

1 0

57

347

41

694

219

147

663

374

67

1,017

15

117

161

285

785

57

71

313

125

175

548

56

2

1

1 Includes 11 trust companies not engaged in deposit banking.

2 Not engaged in deposit banking.

Back figures— See the following Annual Reports: 1942, p. 76; 1941, p. 108.

833,935 833,935 809,271

99,098 99,098 99,098

371,870 163,021 152,591

3,428,122 3,096,317 3,091,680

162,239 162,239 162,239

34,299,759 28,124,733 27,421,375

1,136,201 1,136,201 1,125,094

301,927 301,927 243,897

5,220,163 5,073,437 5,063,642

915,105 915,105 911,503

908,855 903,800 898,588

8,199,905 7,488,590 7,460,813

745,855 550,308 468,121

394,110 394,110 383,153

240,626 240,626 239,336

1,297,960 1,297,960 1,290,845

3,667,210 3,667,210 3,599,436

384,032 384,032 384,032

219,773 159,298 159,298

1,254,564 1,254,564 1,254,564

1,579,433 1,472,548 1,460,753

544,528 544,528 537,694

1,896,465 1,889,412 1,883,863

136,009 136,009 136,009

52,146 52,146 8,637

336,720 336,720 9,403

70,191 70,191

3,790 3,790 3,710

24,664

10,430

4,637

208,849

331,805

208,849

138,282 193,523

703,358

11,107

58,030

9,795

3,602

5,212

27,777

82,187

10,957

1,290

7,115

67,774

6,175,026 6,175,026

146,726 146,726

5,055

711,315

195,547

5,055

711,315

195,547

60,475 60,475

11,795

6,834

5,549

106,885 106,885

7,053 6,652 401

43,509

327,317

70,191

80

-3NUMBER AND DEPOSITS OF OPERATING BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
ASSETS AND LIABILITIES OF OPERATING BANKS 

T able 104. SUMMARY OF ASSETS AND LIABILITIES OF OPERATING BANKS IN THE UNITED STATES AND POSSESSIONS, JUNE 30, 1943

BANKS GROUPED ACCORDING TO INSURANCE STATUS AND TYPE OF BANK

(Amounts in thousands of dollars) 00

Ail

banks

Commercial banks Mutual savings banks

Total Insured Noninsured Total Insured Noninsured

ASSETS

Cash, balances with other banks, and cash items in process of col26,771,369 26,049,517 25,537,614 511,903 721,852 169,811 552,041

Securities— total.......................................................................................................... 65,827,541 59,160,654 57,890,123 1,270,531 6,666,887 1,690,650 4,976,237

United States Government obligations, direct and guaranteed..................... 57,912,891 52,627,666 51,541,848 1,085,818 5,285,225 1,263,760 4,021,465

Obligations of States and political subdivisions................................................ 3,748,199 3,508,918 3,441,027 67,891 239,281 82,769 156,512

Other bonds, notes, and debentures..................................................................... 3,539,771 2,561,136 2,520,385 40,751 978,635 338,645 639,990

Not classified, including corporate stocks........................................................... 626,680 462,934 386,863 76,071 163,746 5,476 158,270

Loans, discounts, and overdrafts (including rediscounts)...................... 22,294,293 17,704,857 ^17,392,157 312,700 4,589,436 A , 013,369 3,576,067

2,090,378 1,640,118 1,585,570 54,548 450,260 135,120 315,140

Bank premises owned, furniture and fixtures..................................................... 1,153,466 1,041,499 1,022,511 18,988 111,967 32,989 78,978

Other real estate— direct and indirect................................................................. 533,355 267,120 256,794 10,326 266,235 81,807 184,428

All other miscellaneous assets................................................................................ 403,557 331,499 , 306,265

^102,405,464

25,234 72,058 / 20,324 51,734

Total assets........................................................................................................... 116,983,581 104,555,146 2,149,682 12,428,435 J3,008,950 9,419,485

LIABILITIES

794,582,458

53,423,385

16,897,124

4,674,476

Deposits— total............................................................................................................ J2,738,908

Demand deposits of individuals, partnerships, and corporations.................

Time deposits of individuals, partnerships, and corporations.......................

States and political subdivisions............................................................................

107,621,968 96,475,864

54,179,572

17,226,852

4,783,323

1,893,406

756,187

329,728

108,847

11,146,104 8,407,196

Other banks.................................................................................................................

Certified and officers’ checks, cash letters of credit, etc.................................

Not classified, including postal savings...............................................................

[l07,621,968 8,070,395

10,887,482

1,141,498

186,742

7,764,936

10,680,944

1,132,339

9,254

305,459

206,538

9,159

177,488

11,146,104 2,738,908 8,407,196

Miscellaneous liabilities— total............................................................................ 657,726 617,011 593,666 23,345 40,715 12,419 28,296

Rediscounts and other borrowed money............................................................. 28,047 28,047 24,470 3,577

All other miscellaneous liabilities.......................................................................... 629,679 588,964 569,196 19,768 ...........40,715 ...........12,419 ...........28,296

Total liabilities (excluding capital accounts)........................................ 108,279,694 97,092,875 95,176,124 1,916,751 11,186,819 2,751,327 8,435,492

CAPITAL ACCOUNTS

Capital accounts— total.................................................................... ...................... 8,703,887 7,462,271 7,229,340 232,931 1,241,616 257,623 983,993

Capital stock, notes, and debentures................................................................... 2,953,843 2,948,200 2,841,304 106,896 5,643 5,643

3,858,912 2,969,066 2,886,829 82,237 889,846 207,944 ........ 681,902

Undivided profits, including all other capital accounts................................... 1,891,132 1,54.5,005 1,501,207 43,798 346,127 44,036 302,091

Total liabilities and capital accounts....................................................... 116,983,581 104,555,146 102,405,464 2,149,682 12,428,435 3,008,950 9,419,485

Total number of operating banks.............................................................................. 14,790 14,245 13,302 / 943

r 819

124

545 61 484

Number of banks included1..............................................................................

Number of banks not included2 .............................................................................

14,666

124

14,121

124

13,302* 545 J 61 484

1 Includes 10 insured trust companies not engaged in deposit banking. Back figures-—See the following Annual Reports: 1942, pp. 78 and 79;

2 Includes 8 8 noninsured trust companies not engaged in deposit banking. 1941, pp. 122-125.

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 105. SUMMARY OF ASSETS AND LIABILITIES OF OPERATING BANKS IN THE UNITED STATES AND POSSESSIONS, DECEMBER 31, 1943

BANKS GROUPED ACCORDING TO INSURANCE STATUS AND TYPE OF BANK

(Amounts in thousands of dollars)

All

banks

Commercial banks Mutual savings banks

Total Insured Noninsured Total Insured Noninsured

ASSETS

Cash, balances with other banks, and cash items in process of collection ....................................................................................................... 28,570,225 27,766,100 27,191,292 574,808 804,125 559,031 245,094

Securities—total................................................................................................ 73,600,656 66,204,506 64,678,099 1,526,407 7,396,150 4,452,016 2,944,134

United States Government obligations, direct and guaranteed.................... 66,156,026 60,059,086 58,693,549 1,365,537 6,096,940 3,843,995 2,252,945

Obligations of States and political subdivisions................................................ 3,552,844 3,343,587 3,287,646 55,941 209,257 141,241 68,016

Other bonds, notes, and debentures.................................................................... 3,338,425 2,380,387 2,342,211 38,176 958,038 452,028 506,010

Not classified, including corporate stocks.......................................................... 553,361 421,446 354,693 66,753 131,915 14,752 117,163

Loans, discounts, and overdrafts (including rediscounts).................... 23,652,670 19,170,886 J 18,843,488 327,398 4,481,784 J 3,073,350 1,408,434

Miscellaneous assets—total........................................................................... 1,970,908 1,592,666 1,533,112 59,554 378,242 279,468 98,774

Bank premises owned, furniture and fixtures.................................................... 1,112,663 1,010,472 984,269 16,203 102,191 76,762 25,429

Other real estate— direct and indirect................................................................. 420,288 215,092 207,013 8,079 205,196 154,209 50,987

All other miscellaneous assets................................................................................ 437,957 367,102 I 331,880 35,272 70,855 48,497 22,358

Total assets................................................................................................. 127,794,459 114,734,158 Jll2,245,991 2,488,167 13,060,301 j 8,363,865 4,696,436

LIABILITIES

— ■—

118,099,719 106,349,452 A 04,115,777 2,233,675 11,750,267 J l , 534,060 4,216,207

Demand deposits of individuals, partnerships, and corporations................. 59,202,930 58,346,160 856,770'

Time deposits of individuals, partnerships, and corporations....................... 18,923,072 18,572,406 350,666

States and political subdivisions........................................................................... 4,847,517 4,748,556 98,961

United States Government..................................................................................... [118,099,719 10,426,394 10,067,917 358,477 11,750,267 7,534,060 4,216,207

11,000,064 10,704,765 295,299

Certified and officers’ checks, cash letters of credit, etc................................. 1,678,753 1,668,876 9,877

Not classified, including postal savings.............................................................. 270,722 7,097 263,625

Miscellaneous liabilities—total..................................................................... 733,447 697,676 676,488 21,188 35,771 21,893 13,878

Rediscounts and other borrowed money............................................................ 49,268 49,219 45,679 3,540 49 2 47

All other miscellaneous liabilities......................................................................... 684,179 648,457 630,809 17,648 35,722 21,891 13,831

Total liabilities (excluding capital accounts).................................... 118,833,166 107,047,128 104,792,265 2,254,863 11,786,038 7,555,953 4,230,085

CAPITAL ACCOUNTS

Capital accounts—total................................................................................... 8,961,293 7,687,030 - 7,453,726 233,304 1,274,263 P «./ 807,912 466,351

Capital stock, notes, and debentures.................................................................. 2,985,343 2,980,160 2,874,548 105,612 5,183 4,874 309

4,131,370 3,172,427 3,089,817 82,610 958,943 632,409 326,534

Undivided profits, including all other capital accounts.................................. 1,844,580 1,534,443 1,489,361 45,082 310,137 170,629 139,508

Total liabilities and capital accounts................................................. 127,794,459 114,734,158 112,245,991 2,488,167 13,060,301 8,363,865 4,696,436

Total number of operating banks............................................................................. 14,751 14,206 13,274 , 932 545 184 f 361

Number of banks included1 .................................................................................... 14,637 14,092 13,274- r 818 545 184* 361

Number of banks not included2 ........................................................................... 114 114 114

1 Includes 11 insured trust companies not engaged in deposit banking. Back figures— See table 104 and the following Annual Reports: 1942, pp. 78

2 Includes 85 noninsured trust companies not engaged in deposit banking. and 79; 1941, pp. 122-125.

ASSETS AND LIABILITIES OF OPERATING BANKS

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Federal Reserve Bank of St. Louis
Table 106. ASSETS AND LIABILITIES OF OPERATING INSURED COMMERCIAL BANKS, CALL DATES, DECEMBER 31, 1943, TO DECEMBER 31, 1942

(Amounts in thousands of dollars)

Dec. 31,

1943

June 30,

1943

Dec. 31,

1942

27,191,292

1,447,018

12,834,452

25,537,614

1,449,901

12,092,461

27,593,375

1,306,806

13,071,533

8,382,577

68,615

20,398

4,438,232

8,360,056

76,252

19,381

3,539,563

8,984,740

100,282

13,255

4,116,759

58,693,549 51,541,848 40,711,697

4,636,858

13,220,074

7,673,192

316,032

5,790,533

16,775,686

6,159,925

1,619,819

2,501,430

6,557,043

10,315,660

5,716,747

295,585

5,497,169

11,214,936

7,782,107

1,501,296

2,661,305

4,462,419

6,728,512

5,800,208

284,259

2,864,750

10,046,540

6,469,547

1,337,064

2,718,398

5,984,550

3,287,646

2,342,211

6,348,275

3,441,027

2,520,385

6,632,557

3,533,486

2,680,163

153,983

200,710

148,530

238,333

145,791

273,117

64,678,099 57,890,123 47,344,254

18,843,488 17,392,157 18,906,869

7,777,748 6 ,8 8 8 , 1 2 2 7,757,567

598,466 364,155 746,261

906,787 952,238 895,514

0 0

o

ASSETS

Cash, balances with other banks, and cash

items in process of collection— total.

Currency and coin.................................................

Reserve with Federal Reserve banks...............

Demand balances with banks in the United

States (except private banks and American branches of foreign banks)................

Other balances with banks in the United States

Balances with banks in foreign countries. . . .

Cash items in process of collection...................

Obligations of the United States Governm ent— total.................................................

Direct:

Treasury bills.....................................................

Treasury certificates of indebtedness...........

Treasury notes...................................................

United States savings bonds..........................

Other bonds maturing in 5 years or less. . .

Other bonds maturing in 5 to 10 years. . . .

Bonds maturing in 10 to 20 years................

Bonds maturing after 20 years......................

Guaranteed obligations........................................

Other securities— total......................... ..

Obligations of States and political subdivisions

Other bonds, notes, and debentures1 ...............

Corporate stocks:

Federal Reserve banks.....................................

Other corporate stocks.....................................

Total securities...........................................

Loans, discounts, and overdrafts (including

rediscounts)— total....................

Commercial and industrial loans (including

open market paper)............................

Loans secured by agricultural commodities,

covered by purchase agreements of the

Commodity Credit Corporation...............

Other agricultural loans (excluding loans on

farm land)............................................

Deposits of individuals, partnerships, and

corporations—total...............................

Demand...................................................................

Time.........................................................................

Certified and officers’ checks, cash letters

of credit and travelers’ checks outstanding, and amounts due to Federal Reserve banks.................................

Government deposits—total...........................

United States Government— demand:

War loan and Series E bond accounts.........

Other accounts...................................................

United States Government—time....................

Postal savings.........................................................

States and political subdivisions— demand. . .

States and political subdivisions— time...........

LIABILITIES AND CAPITAL

Interbank deposits—total...........................

Banks in the United States— demand.........

Banks in the United States— time...............

Banks in foreign countries— demand...........

Banks in foreign countries— time.................

Total deposits.

Demand..........

Time................

Miscellaneous liabilities—total.....................

Bills payable, rediscounts, and other liabilities

for borrowed money.....................................

Acceptances outstanding.....................................

Dividends declared but not yet payable.........

Income collected but not earned.......................

Expenses accrued and unpaid............................

Other liabilities......................................................

Total liabilities (excluding capital

accounts)..................................................

Dec. 31,

1943

76,918,566

58,346,160

18,572,406

1,668,876

14,823,570

9,665,368

285,343

117,206

7,097

4,353,497

395,059

10,704,765

9,743,462

63,861

893,382

4,060

104,115,777

8^,956,088

19,159,689

676,488

45,679

55,006

41,695

45,449

197,759

290,900

104,792,265

June 30,

1943

70,320,509

53,423,385

16,897,124

1,132,339

12,448,666

7,441,288

258,383

65,265

9,254

4,262,454

412,022

10,680,944

9,768,487

73,600

834,043

4,814

94,582,458

77,120,379

17,^62,079

593,666

24,470

61,260

41,732

49,198

166,515

250,491

95,176,124

Dec. 31,

1942

62,834,608

47,128,273

15,706,335

1,219,141

12,622,191

} 8,167,459

47,875

13,364

3,996,701

396,792

11,144,487

10,234,297

91,892

813,479

4,819

87,820,427

71,559,350

16,261,077

582,450

9,748

46,478

39,915

58,030

127,390

300,889

88,402,877

FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Consumer loans to individuals:

Retail automobile instalment paper.............

Other retail, repair and modernization in160,456

191,913

310,389

1,205,670

1,414,365

921,583

448,577

3,203,587

785,826

57,939

860,182

180,184

230.548

334.549

1,192,109

1,134,191

671,023

470,505

3,230,433

847,922

31,295

864,883

280,434

329,306

404,138

1,256,594

950,213

597,225

476,738

3,263,112

907,343

27,000

1,015,424

Capital accounts— total......................................

Capital stock, notes, and debentures..............

7,453,726

2,874,548

3,089,817

1,006,406

482,955

7,229,340

2,841,304

2,886,829

1,039,182

462,025

7,056,234

2,848,630

2,801,594

2972,256

Personal instalment cash loans..................... 2433,754 Single-payment loans to individuals............

Undivided profits..................................................

Total liabilities and capital accounts.

Loans to brokers and dealers in securities___

Other loans for the purpose of purchasing or 112,245,991 102,405,464 95,459,111

Real estate loans:

On farm land......................................................

On residential properties.................................

On other properties..........................................

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

All other loans (including overdrafts).............

Loans and securities— tota l..................

Bank premises, furniture and fixtures, and

other real estate— tota l..........................

Bank premises........................................................

Furniture and fixtures..........................................

Real estate owned other than bank premises.

Investments and other assets indirectly representing bank premises or other real estate

Miscellaneous assets— tota l..............................

Customers’ liability on acceptances outstanding ...........................................................

Income accrued but not collected.....................

Prepaid expenses...................................................

Other assets .. . ...............

MEMORANDA

Pledged assets and securities loaned— total

United States Government obligations, direct and guaranteed, pledged to secure

liabilities

18,541,870

17,570,199

655,191

275,981

40,499

15,177,519

14,162,607

707,803

245,878

61,231

13,296,816

12,258,515

782,197

228,575

27,529

83,521,587 75,282,280 66,251,123

1,201,282

914,292

79,977

122,728

84,285

1,279,305

936,628

85,883

164,306

92,488

1,348,246

959,147

88,388

198,800

101,911

Other assets pledged to secure liabilities.........

Assets pledged to qualify for exercise of fiduciary or corporate powers, and for purposes other than to secure liabilities. ..

Securities loaned...................................................

Secured and preferred liabilities— to ta l.. . .

Deposits secured by pledged assets pursuant

to requirements of law................................

Deposits preferred under provisions of law

but not secured by pledge of assets.........

Borrowings secured by pledged assets.............

Other liabilities secured by pledged assets....

14,852,101

13,936,664

897,046

16,901

1,490

212,344,974

211,473,263

856,542

12,767

2,402

12,647,668

11,653,217

982,060

9,704

2,687

331,830

44,625

179,435

11,920

95,850

306,265

54,207

153,958

12,160

85,940

266,367

40,808

133,493

12,498

79,568

Total assets..................................................

Number of banks 13,274 13,302 13,347

112,245,991 102,405,464 95,459,111

Number of banks....................................................... 13,274 13,302 13,347

1 Includes obligations of United States government corporations and agencies not guaranteed by the United States government.

2 Revised.

Back figures— See the following Annual Reports: 1942, p. 80; 1941, p. 126; 1940, p. 144; 1938, p. 164.

00ASSETS AND LIABILITIES OF OPERATING BANKS

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ANALYSIS OF EXAMINATIONS OF INSURED COMMERCIAL BANKS 

T able 107. ANALYSIS OF ASSETS, CAPITAL, AND LIABILITIES OF INSURED COMMERCIAL BANKS EXAMINED IN 1943

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS 0 0

(Amounts in thousands of dollars)

Banks with deposits of—

All

banks $250,000

or less

$250,000

to

$500,000

$500,000

to

$1 ,0 0 0 , 0 0 0

$1 ,0 0 0 , 0 0 0

to

$2 ,0 0 0 , 0 0 0

$2 ,0 0 0 , 0 0 0

to

$5,000,000

$5,000,000

to

$1 0 ,0 0 0 , 0 0 0

$1 0 ,0 0 0 , 0 0 0

to

$50,000,000

More than

$50,000,00C

Total assets—book value................................................. 102,021,738 121,792 807,389 2,649,125 4,978,609 8,434,825 6,366,953 14,613,858 64,049,187

Examiners’ deductions— net................................................ 70,798 209 308 1,047 4,477 10,029

8,424,796

7,919 20,188 26,621

Appraised value....................................................................... 101,950,940 121,583 807,081 2,648,078 4,974,132 6,359,034

118,1*1*6

14,593,670 64,022,566

Substandard.......................................................................... 1,260,097 8,185 15,736 1*6,833 93,205 162,126 218,111 602,505

Not criticized......................................................................... 100,690,81*3 118, 1*1*8 791,31+5 2,601,21*5 }*,880,927 8,262,670 6,21*0,588 11*,375,559 63,1*20,061

Gash and due from banks............................................... 25,342,868 53,036 311,385 929,382 1,606,297 2,500,812 1,759,108 3,962,864 14,219,984

Total securities—book value.......................................... 56,122,560 32,471 284,145 1,069,234 2,213,444 4,142,253 3,335,076 7,910,391 37,135,546

Examiners’ deductions— net................................................ 8,024 -35 -445 -1,177 -782 327 1,127 1,740 7,269

Appraised value....................................................................... 56,114,536 32,506 284,590 1,070,411 2,214,226 4,141,926 3,333,949 7,908,651 37,128,277

Substandard.......................................................................... 1*62,151* 731 1*,385 lb,336 27,066 1*9,896 37,230 61,515

7,81*7,136

266,995

Not criticized......................................................................... 55,652,882 31,775 280,205 1,056,075 2,187,160 1*,092,030 3,296,719 36,861,282

Loans—book value............................................................. 18,290,697 33,970 200,228 611,769 1,073,398 1,630,321 1,136,757 2,403,460 11,200,794

Examiners’ deductions.......................................................... 39,579 139 615 1,791 3,740 5,791 4,409 9,591 13,503

Appraised value....................................................................... 18,251,118 33,831 199,613 609,978 1,069,658 1,624,530 1,132,348 2,393,869 11,187,291

Substandard.......................................................................... 5 hi,117 1,901* 9,750 27,1*18 51,632 83,1*63 56,755 98,188 212,007

Not criticized........................................................................ 17,710,001 31,927 189,863 582,560 1,018,026 1,51*1,067 1,075,593 2,295,681 10,975,281*

Fixed and miscellaneous assets—book value............ 2,265,613 2,315 11,631 38,740 85,470 161,439 136,012 337,143 1,492,863

Examiners’ deductions— net................................................ 23,195 105 138 433 1,519 3,911 2,383 8,857 5,849

Appraised value....................................................................... 2,242,418 2 , 2 1 0 11,493 38,307 83,951 157,528 133,629 328,286 1,487,014

Substandard.......................................................................... 256,826 500 1,601 5,079 lb,507 28,767 21*, 1*61 58,1*08 123,503

Not criticized......................................................................... 1,985,592 1,710 9,892 33,228 69,1*1*1* 128,761 109,168 269,878 1,363,511

Capital accounts—book value........................................ 7,139,222 17,896 86,145 242,159 429,181 695,733 517,816 1,027,043 4,123,249

R.F.C.— book value............................................................. 21*8,565 1,186 1*,395 10,110 19,018 31,878 27,815

1*90,001

60,11*7 91*,016

Private— book value............................................................. 6,890,657 16,710 81,750 232,01*9 1*10,163 663,855 966,896 1*,029,233

Examiners’ deductions— net................................................ 75,289 234 397 1,247 4,771 10,404 8,198 22,305 27,733

Net sound capital— total...................................................... 7.063,933 17,662 85,748 240,912 424,410 685,329 509,618 1,004,738 4,095,516

R.F.C.— retirable value...................................................... y 298,113 1,186 1*,1*82 10,1*81 19,91*0 31*,7H 29,196 81,668 116,1*1*9

Private— net sound capital................................................. 6,765,820 16,1*76 81,266 230,1*31 1*01*,1*70 650,618 1*80,1*22 923,070 3,979,067

Adjusted liabilities (exclusive of capital accounts)—

total............................................................................... 94,887,007 103,921 721,333 2,407,166 4,549,722 7,739,467 5,849,416 13,588,932 59,927,050

Deposits.................................................................................... 94,087,113 103,272 719,911 2,401,771 4,538,191 7,715,652 5,827,507 13,517,540 59,263,269

Other liabilities........................................................................ 799,894 649 1,422 5,395 11,531 23,815 21,909 71,392 663,781

Number of banks........................................................................ 13,207 543 1,899 3,300 3,208 2,501 851 682 223

N o t e : For banks included and explanation of terms, see pages 63-65.

Back figures— See the following Annual Reports: 1942, p. 82; 1941, pp. 133, 141, and 143; 1940, pp. 160, 169, and 171; 1939, pp. 151, 159, and 161.

FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Table 108. A s s e t AND NET S ou n d CAPITAL RATIOS OP INSURED COMMERCIAL BANKS EXAMINED IN 1943

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS

(Amounts per $100 of book value)

Banks with deposits of—

All

banks $250,000

or less

$250,000

to

$500,000

$500,000

to

$1 ,0 0 0 , 0 0 0

$1 ,0 0 0 , 0 0 0

to

$2 ,0 0 0 , 0 0 0

$2 ,0 0 0 , 0 0 0

to

$5,000,000

$5,000,000

to

$1 0 ,0 0 0 , 0 0 0

$1 0 ,0 0 0 , 0 0 0

to

$50,000,000

More than

$50,000,000

Total assets—book value................................................. $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0

Examiners’ deductions— n et.................................................... .07 .17 .04 .04 .09 . 1 2 . 1 2 .14 .04

Appraised value............................................................................. 99.93 99.83 99.96 99.96 99.91 99.88 99.88 99.86 99.96

Substandard.......................................................................... 1.23 2.57 1.95 1.77 1.87 1.92 1.86 1.U9 .9U

Not criticized........................................................................ 98.70 97.26 98.01 98.19 98.0U 97.96 98.02 98.37 99.02

Cash and due from banks.............................................. 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Securities—book value..................................................... 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 .0 ©

Examiners’ deductions— net.................................................... . 0 2 - . 1 1 -.16 - . 1 1 -.04 . 0 1 .03 .0 2 .0 2

Appraised value............................................................................. 99.98 1 0 0 . 1 1 100.16 1 0 0 . 1 1 100.04 99.99 99.97 99.98 99.98

Substandard.......................................................................... .82 2.25 1.5U 1.SU 1.22 1.20 1.12 .78 .72

Not criticized........................................................................ 99.16 97.86 98.62 98.77 98.82 98.79 98.85 99.20 . 99.26

Loans—book value............................................................ 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Examiners’ deductions............................................................... . 2 2 .41 .31 .29 .35 .36 .39 .40 . 1 2

Appraised value............................................................................. 99.78 99.59 99.69 99.71 99.65 99.64 99.61 99.60 99.88

Substandard.......................................................................... 2.96 5.60 U.87 U.U8 U.81 5.12 U.99 U.09 1.89

Not criticized........................................................................ 96.82 93.99 9U.82 95.23 9U.8U 9U.52 9U.62 95.51 97.99

Fixed and miscellaneous assets—book value............ 1 0 0 . 0 0 loo.eo 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Examiners’ deductions— n et.................................................... 1 . 0 2 4.54 1.19 1 . 1 2 1.78 2.42 1.75 2.63 .39

Appraised value............................................................................. 98.98 95.46 98.81 98.88 98.22 97.58 98.25 97.37 99.61

Substandard.......................................................................... 11.3U 21.60 13.76 13.11 16.97 17.82 17.98 17.32 8.27

Not criticized........................................................................ 87.6U 73.86 85.05 85.77 81.25 79.76 80.27 80.05 91.3 U

Capital accounts—book value....................................... 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

R.F.C.— book value............................................................ 8.U8 6.63 5.10 U.17 U.U3 U.58 5.37 5.86 2.28

Private— book value............................................................ 96.52 93.37 9U.90 95.83 95.57 95.U2 9U.63 9U.1U 97.72

Examiners’ deductions— net.................................................... 1.05 1.31 .46 .51 1 . 1 1 1.50 1.58 2.17 .67

Net sound capital— total........................................................... 98.95 98.69 99.54 99.49 98.89 98.50 98.42 97.83 99.33

R.F.C.— retirable value..................................................... U.18 6.63 5.20 U.33 U.65 U.99 5.6U 7.95 2.82

Private— net sound capital................................................ 9U.77 92.06 9U.3U 95.16 9U.2U 93.51 92.78 89.88 96.51

Net sound capital per $100 of—

Appraised value of assets.......................................................... 6.93 14.53 10.62 9.10 8.53 8.13 8 . 0 1 6 . 8 8 6.40

Deposits................................................ ........................................... 7.51 17.10 11.91 10.03 9.35 8 . 8 8 8.75 7.43 6.91

Number of banks............................................................................... 13,207 543 1,899 3,300 3,208 2,501 851 682 223

N ote: For banks included and explanation of terms, see pages 63-65.

Back figures—See the following Annual Reports: 1942, p. 83; 1941, pp. 135, 145, and 147; 1940, pp. 163, 173, and 175; 1939, pp. 153, 163, and 165.

ANALYSIS OF EXAMINATIONS OF INSURED BANKS

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Federal Reserve Bank of St. Louis
Table 109. ANALYSIS OF ASSETS, CAPITAL, AND LIABILITIES OF INSURED COMMERCIAL BANKS EXAMINED IN 1943

BANKS GROUPED ACCORDING TO NET SOUND CAPITAL RATIO

(Amounts in thousands of dollars)

Banks with net sound capital per $100 of appraised value of assets of—

All

banks $0 . 0 1

to

$4.99

$5.00

to

$9.99

$1 0 . 0 0

to

$14.99

$15.00

to

$19.99

$2 0 . 0 0

to

$24.99

$25.00

to

$29.99

$30.00

to

$34.99

$35.00

or more

102,021,738 9,907,939 75,339,728 13,448,793 2,084,904 597,562 544,249 51,186 47,377

70,798 5,813 42,912 18,997 7,689 1,896 -6,671 141 21

101,950,940 9,902,126 75,296,816 13,429,796 2,077,215 595,666 550,920 51,045 47,356

1,260,097 35,056 787,002 290,612

13,139,18k

97,759 23,11*3 18,666 1*,775 3,081*

100,690,81*3 9,867,070 71*,509,81 1* 1,979,1*56 572,523 532,251* 1*6,270 1*1*,27 2

Gash and due from banks............................................... 25,342,868 2,834,549 18,238,464 3,481,569 510,998 134,339 124,705 6,752 11,492

Total securities—book value.......................................... 56,122,560 5,660,423 41,594,609 7,106,673 1,083,496 322,451 295,690 33,123 26,095

8,024 858 1,839 4,439 410 257 127 97 -3

Appraised value....................................................................... 56,114,536 5,659,565 41,592,770 7,102,234 1,083,086 322,194 295,563 33,026 26,098

Substandard.......................................................................... 1*62,151* 10,870 282,251 111, 1*11* 30,607 7,916 11*,971 1,702 2,1*23

55,652,382 5,61*8,695 1*1 ,310,519 6,990,820 1,052,1*79 311*, 278 280,592 31,321* 23,675

18,290,697 1,308,958 13,787,167 2,546,589 397,564 120,022 113,868 8,011 8,518

Examiners’ deductions.......................................................... 39,579 2,581 24,077 9,322 2,304 1,097 151 28 19

18,251,118 1,306,377 13,763,090 2,537,267 395,260 118,925 113,717 7,983 8,499

5 hi ,117 16,665 31*8,1*52 126,002 31*,91*5 11,051 2,850 752 1*00

17,710,001 1,289,712 13,1*11*,638 2 M l ,265 360,315 107,871* 110,867 7,231 8,099

Fixed and miscellaneous assets—book value............ 2,265,613 104,009 1,719,488 313,962 92,846 20,750 9,986 3,300 1,272

23,195 2,374 16,996 5,236 4,975 542 -6,949 16 5

2,242,418 101,635 1,702,492 308,726 87,871 20,208 16,935 3,284 1,267

256,826 7,521 156,299 53,196 32,207 1*,176 81*5 2,321 261

1,985,592 91*,111* 1,51*6,193 255,530 55,661* 16,032 16,090 963 1,006

Capital accounts—book value........................................ 7,139,222 383,532 4,767,971 1,392,195 320,373 120,560 127,217 17,339 10,035

R.F.C.— book value............................................................. 21*8,565 22,1*33 165,960 1*1*,722 11,1*91* 2,568 696 271* 1*18

Private— book value............................................................. 6,890,657 361,099 1*,602,Oil 1,31*7,1*73 308,879 117,992 126,521 17,065 9,617

75,289 6,028 45,486 19,443 8,862 1,978 -6,671 141 2 2

7,063,933 377,504 4,722,485 1,372,752 311,511 118,582 133,888 17,198 10,013

R.F.C.— retirable value...................................................... 298,113 25,723 193,1*02 62,279

1,310,1*73

12,1*53 2,868

115,711*

696 271* 1*18

Private— net sound capital................................................. 6,765,820 351,781 1*,529,083 299,058 133,192 16,921* 9,595

Adjusted liabilities (exclusive of capital accounts)— 477,084 417,032 33,847 37,343 total............................................................................... 94,887,007 9,524,622 70,574,331 12,057,044 1,765,704

94,087,113 9,495,167 69,880,266 12,004,996 1,748,555 474,185 413,925 33,263 36,756

799,894 29,455 694,065 52,048 17,149 2,899 3,107 584 587

13,207 367 7,226 4,206 1,037 266 63 15 27

N o t e : For banks included and explanation of terms, see pages 63-65.

Back figures— See the following Annual Reports: 1942, p. 84; 1941, pp. 132, 140, and 142; 1940, pp. 160, 168, and 170; 1939, pp. 150, 158, and 160.

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 110. ASSET AND NET SOUND CAPITAL RATIOS OF INSURED COMMERCIAL BANKS EXAMINED IN 1943

BANKS GROUPED ACCORDING TO NET SOUND CAPITAL RATIO

(Amounts per $100 of book value)

Banks with net sound capital per $100 of appraised value of assets of—

All

banks $0.01

to

$4.99

$5.00

to

$9.99

$10.00

to

$14.99

$15.00

to

$19.99

$20.00

to

$24.99

$25.00

to

$29.99

$30.00

to

$34.99

$35.00

or more

Total assets—book value....................................... $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 Examiners’ deductions—net.................................. .07 .06 .06 .14 .37 .32 -1.23 .28 .04 Appraised value.......................................................

Substandard.........................................................

99.93 99.94 99.94 99.86 99.63 99.68 101.23 99.72 99.96

1.28 .85 1.0U 2.16 A.69 8.87 8.US 9.88 6.51 Not criticized......................................................... 98.70 99.59 98.90 97.70 94.94 95.81 97.80 90.89 98.45

Cash and due from banks..................................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Securities—book value........................................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 Examiners’ deductions—net.................................. .02 .02 .00 .06 .04 .08 .04 .29 -.01 Appraised value......................................... ...............

Substandard..........................................................

99.98 99.98 100.00 99.94 99.96 99.92 99.96 99.71 100.01

.82 .19 .68 1.57 2.82 2.45 5.06 5.14 9.28 Not criticized.......................................................... 99.16 99.79 99.82 98.87 97.U 97.^7 94.90 9U.57 90.78

Loans—book value..................................................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 Examiners* deductions............................................ .22 .20 .17 .37 .58 .91 .13 .35 .22 Appraised value.........................................................

Substandard............................................................

99.78 99.80 99.83 99.63 99.42 99.09 99.87 99.65 99.78

2.96 1.27 2.58 4. 95 8.79 9.21 2.50 9.89 4.70 Not criticized.......................................................... 96.82 98.58 97.80 91*.68 90.68 89.88 97.87 90.26 95.08

Fixed and miscellaneous assets—book value 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 Examiners’ deductions—net.................................... 1.02 2.28 .99 1.67 5.36 2.61 -69.59 .48 .39 Appraised value.........................................................

Substandard............................................................

98.98 97.72 99.01 98.33 94.64 97.39 169.59 99.52 99.61

U.84\ 7.28 9:09 16.94 84.69 20.18 8.U6 70.8U 20.52 Not criticized.. ....................................................... 87.64 90.U9 89.92 81.89 59.95 77.26 161.18 29.18 79.09

Capital accounts—book value............................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 R .F.C.—book value................................................ 8.48 5.85 8.U8 8.21 8.59 2.18 .55 1.58 4.17 Private— book value................................................ 96.52 9U.15 96.52 96.79 96.41 97.87 99.U5 98.U2 95.88 Examiners’ deductions—net.................................... 1.05 1.57 .95 1.40 2.77 1.64 -5.24 .81 .22 Net sound capital—total.......................................... 98.95 98.43 99.05 98.60 97.23 98.36 105.24 99.19 99.78 R.F.C.—retirable value......................................... U.18 6.71 U.06 4.47 8.89 2.88 .55 1.58 4.17 Private— net sound capital..................................... 9U.77 91.72 9U.99 94.18 98.8^ 95.98 10U.69 97.61 95.61

Net sound capital per $100 of—

Appraised value of assets......................................... 6.93 3.81 6.27 10.22 15.00 119.91 124.30 33.69 121.14 Deposits.................................................................... 7.51 3.98 6.76 11.43 17.82 25.00 32.35 51.70 27.24

Number of banks.......................................................... 13,207 367 7,226 4,206 1,037 266 63 15 27

xFor explanation of the apparent irregularity in this item, see page 65.

N o t e : For banks included and explanation of terms, see pages 63-65.

Back figures— See the following Annual Reports: 1942, p. 85; 1941, pp. 134, 144* and 146; 1940, pp. 162, 172, and 174; 1939, pp. 152, 162, and 164.

ANALYSIS OP EXAMINATIONS OP INSURED BANKS

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 111. ANALYSIS OF ASSETS, CAPITAL, AND LIABILITIES OF INSURED COMMERCIAL BANKS EXAMINED IN 1943

BANKS GROUPED ACCORDING TO FIXED AND SUBSTANDARD ASSETS RATIO

(Amounts in thousands of dollars)

00

<Ji

Banks with fixed and substandard assets per $100 of appraised value of assets of—

All

banks $0 . 0 0

$0 , 0 1

to

$4.99

$5.00

to

$9.99

$1 0 . 0 0

to

$14.99

$15.00

to

$19.99

$2 0 . 0 0

to

$24.99

$25.00

to

$29.99

$30.00

or more

102,021,738 2,325,595 89,220,171 8,539,341 1,414,845 303,608 113,069 33,415 71,694

70,798 1,671 25,507 25,167 9,027 3,770 1,850 1,296 2,510

101,950,940 2,323,924 89,194,664 8,514,174 1,405,818 299,838 111,219 32,119 69,184

1,260,097 8,601 720,136 327,972 120,148 38,247 18,274 6,857 19,862

100,690,843 2,315,323 88,474,528 8,186,202 1,285,670 261,591 92,945 25,262 49,322

Gash and due from banks................................................... 25,342,868 643,260 22,248,906 2,058,938 283,462 65,121 21,559 7,823 13,799

Total securities— book value.............................................. 56,122,560 1,171,765 49,546,273 4,434,246 750,463 134,639 50,289 13,091 21,794

8,024 -176 3,280 3,373 789 433 46 260 19

56,114,536 1,171,941 49,542,993 4,430,873 749,674 134,206 50,243 12,831 21,775

462,154 2,528 298,102 103,012 S6,954 11,146 4,254 1,130 5,028

55,652,382 1,169,US 49,244,891 4,327,861 712,720 123,060 45,989 11,701 16,747

18,290,697 483,218 15,638,941 1,727,673 306,370 81,798 27,329 7,921 17,447

Examiners’ deductions......................................................... 39,579 49 21,613 1 1 , 0 1 1 4,103 1,689 541 191 382

Appraised value....................................................................... 18,251,118 483,169 15,617,328 1,716,662 302,267 80,109 26,788 7,730 17,065

541,117 2,518 309,311 144,411 51,688 17,458 6,157 3,201 6,373

Not criticized......................................................................... 17,710,001 480,651 15,308,017 1,572,251 250,579 62,651 20,631 4,529 10,692

Fixed and miscellaneous assets— book value.............. 2,265,613 27,352 1,786,051 318,484 74,550 22,050 13,892 4,580 18,654

Examiners’ deductions—net................................................ 23,195 1,798 614 10,783 4,135 1,648 1,263 845 2,109

Substandard..........................................................................

2,242,418 25,554 1,785,437 307,701 70,415 20,402 12,629 8,735 16,545

256,826 3,555 112,723 80,549 31,506 9,643 7,863 2,526 8,461

1,985,592 21,999 1,672,714 227,152 38,909 10,759 4,766 1,209 8,084

7,139,222 120,553 5,957,879 802,819 180,406 42,679 15,690 4,739 14,457

248,565 276 164,848 57,095 16,715 5,354 2,507 1,278 492

6,890,657 120,277 5,793,031 745,724 163,691 37,325 13,183 3,461 13,965

75,289 1,685 27,668 25,868 9,509 3,793 1,857 1,296 3,613

7,063,933 118,868 5,930,211 776,951 170,897 38,886 13,833 3,443 10,844

298,113 276 184,088 81,724 21,129 5,694 3,017 1,578 607

6,765,820 118,592 5,746,123 695,227 149,768 33,192 10,816 1,865 10,237

Adjusted liabilities (exclusive of capital accounts)—

94,887,007 2,205,056 83,264,453 7,737,223 1,234,921 260,952 97,386 28,676 58,340

94,087,113 2,195,554 82,521,505 7,706,635 1,229,557 258,604 96,968 28,560 49,730

799,894 9,502 742,948 30,588 5,364 2,348 418 116 8,610

13,207 2 1 1 10,511 1,939 388 95 37 1 2 14

N o t e : For banks included and explanation of terms, see pages 63-65.

Back figures—See the following Annual Reports: 1942, p. 86; 1941, pp. 132, 140, and 142; 1940, pp. 160, 168, and 170; 1939, pp. 150, 158, and 160.

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 112. A s s e t AND N et SOUND CAPITAL RATIOS OF INSURED COMMERCIAL BANKS EXAMINED IN 1943

BANKS GROUPED ACCORDING TO FIXED AND SUBSTANDARD ASSETS RATIO

(Amounts per $100 of book value)

Banks with fixed and substandard assets per $100 of appraised value of assets of—

All

banks $0 . 0 0

$0 . 0 1

to

$4.99

$5.00

to

$9.99

$1 0 . 0 0

to

$14.99

$15.00

to

$19.99

$2 0 . 0 0

to

$24.99

$25.00

to

$29.99

$30.00

or more

Total assets— book value..................................................... $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0

Examiners’ deductions— net................................................ .07 .07 .03 .29 .64 1.24 1.64 3.88 3.50

Appraised value................................................................ ..

Substandard....... ............................................................

99.93 99.93 99.97 99.71 99.36 98.76 98.36 96.12 96.50

1.23 .87 .81 3.8 A 8.U9 12.60 16.16 20.52 27.70

Not criticized.................................................................. 98.70 99.56 99.16 95.87 90.87 86.16 82.20 75.60 68.80

Gash and due from banks................................................... 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Securities— book value.......................................................... 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Examiners’ deductions— net................................................ .0 2 - . 0 2 . 0 1 .08 . 1 1 .32 .09 1.99 .09

Appraised value...................................................................... 99.98 1 0 0 . 0 2 99.99 99.92 99.89 99.68 99.91 98.01 99.91

Substandard.................................................................... .82 .22 .60 2.82 U.92 8.28 8.A6 8.63 28.07

Not criticized.................................................................. 99.16 99.80 99.89 97.60 9J>.97 91.AO 91 .A5 89.38 76.8 A

Loans— book value.................................................................. 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Examiners’ deductions......................................................... . 2 2 . 0 1 .14 .64 1.34 2.06 1.98 2.41 2.19

Appraised value......................................................................

Substandard....................................................................

99.78 99.99 99.86 99.36 98.66 97.94 98.02 97.59 97.81

2.96 .52 1.98 8.86 16.87 21.3 A 22.53 A0.U1 36.53

Not criticized.................................................................. 96.82 99.1*7 97.88 91.00 81.79 76.60 75.A9 57.18 61.28

Fixed and miscellaneous assets— book value.............

Examiners’ deductions— net................................................

1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

1 . 0 2 6.57 .03 3.39 5.55 7.47 9.09 18.45 11.31

Appraised value......................................................................

Substandard....................................................................

98.98 93.43 99.97 96.61 94.45 92.53 90.91 81.55 88.69

11.SU 18.00 6.SI 25.29 A2.26 AS.73 56.60 55.15 A5.S5

Not criticized.................................................................. 87.6k 80. AS 93.66 71.32 52.19 A8.80 3 A.31 26. AO AS.3 A

Capital accounts— book value........................................... 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

R.F.C.—book value....................................................... S.A8 .23 2.77 7.11 9.27 12.5 A 15.98 26.97 3. AO

Private— book value....................................................... 96.52 99.77 97.23 92.89 90.73 87.A6 8A.02 73.03 96.60

Examiners’ deductions— net................................................ 1.05 1.40 .46 3.22 5.27 8.89 11.84 27.35 24.99

Net sound capital— total...................................................... 98.95 98.60 99.54 96.78 94.73 91.11 88.16 72.65 75.01

R .F.C .—retirable value................................................. U.18 .28 S.09 10.18 11.71 18.S A 19.23 S3.SO A-20

Private— net sound capital............................................ 9U.77 98.S7 96.1>5 86.60 83.02 77.77 68.93 39.35 70.81

Net sound capital per $100 of—

Appraised value of assets..................................................... 6.93 5.11 6.65 9.13 12.16 12.97 12.44 10.72 15.67

Deposits.................................................................................... 7.51 5.41 7.19 10.08 13.90 15.04 14.27 12.06 21.81

Number of banks........................................................................ 13,207 2 1 1 10,511 1,939 388 95 37 1 2 14

N o te : For banks included and explanation of terms, see pages 63-65.

Back figures— See the following Annual Reports: 1942, p. 87; 1941, pp. 134, 144, and 146; 1940, pp. 162, 172, and 174; 1939, pp. 152, 162, and 164.

ANALYSIS OF EXAMINATIONS OF INSURED BANKS

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 113. ANALYSIS OF ASSETS, CAPITAL, AND LIABILITIES OF INSURED COMMERCIAL BANKS EXAMINED IN 1943

BANKS GROUPED ACCORDING TO FEDERAL DEPOSIT INSURANCE CORPORATION DISTRICT

(Amounts in thousands of dollars)

Federal Deposit Insurance Corporation District—

1 2 3 4 5 6 7 8 9 10 11 12

Total assets— book value.......................... 5,810,044 32,261,049 12,291,034 5,161,472 4,387,825 5,537,509 6,984,185 9,795,979 2,535,668 3,353,919 3,786,781 10,116,273

8,773 35,153 16,264 2,460 1,924 1,619 566 44 -298 -584 845 4,032

Appraised value.......................................

Substandard.....................................

5,801,271 32,225,896 12,274,770 5,159,012 4,385,901 5,535,890 6,983,619 9,795,935 2,535,966 3,354,503 3,785,936 10,112,241

102,819 420,251 805,479 50,186 51,683 69,706 47,080 58,441 18,147 15,281 16,806 109,268

Not criticized......................................... 5,698,452 81,805,645 11,969,291 5,108,826 4,884,218 5,466,184 6,936,589 9,737,494 2,522,819 3,339,272 3,769,130 10,002,973

Cash and due from banks....................... 1,280,052 6,077,853 3,112,976 1,507,887 1,508,416 1,717,703 1,869,416 2,515,444 727,981 1,283,007 1,428,848 2,313,285

Total securities— book value.................. 3,207,795 19,483,169 6,688,364 2,643,529 2,108,628 2,716,568 3,993,717 5,667,513 1,285,085 1,441,001 1,619,653 5,267,538

Examiners* deductions—net................... 1,165 5,673 3,721 171 56 -319 -690 -746 -843 -749 -292 877

Appraised value........................................

Substandard...........................................

3,206,630 19,477,496 6,684,643 2,643,358 2,108,572 2,716,887 3,994,407 5,668,259 1,285,928 1,441,750 1,619,945 5,266,661

SI,788 188,912 107,142 19,798 21,872 88,935 14,683 28,647 3,885 2,664 5,214 14,164

Not criticized......................................... 8,174,842 19,298,584 6,577,501 2,623,560 2,086,700 2,682,952 3,979,724 5,644,612 1,282,593 1,439,086 1,614,731 5,252,497

Loans— book value....................................... 1,187,610 5,764,888 2,167,296 907,507 683,225 1,029,398 1,029,909 1,510,718 489,094 590,961 676,039 2,254,052

Examiners' deductions........................... 5,513 14,012 8,945 1,957 1,481 1,631 887 961 503 887 860 1,942

Appraised value.......................................

Substandard...........................................

1,182,097 5,750,876 2,158,351 905,550 681,744 1,027,767 1,029,022 1,509,757 488,591 590,074 675,179 2,252,110

50,844 147,179 114,528 21,527 19,818 26,177 23,948 27,488 8,894 11,887 8,333 80,999

Not criticized......................................... 1,181,758 5,608,697 2,048,828 884,028 661,926 1,001,590 1,005,074 1,482,269 479,697 578,187 666,846 2,171,111

Fixed and miscellaneous assets— book

value.......................................................... 134,587 935,139 322,398 102,549 87,556 73,840 91,143 102,304 33,508 38,950 62,241 281,398

Examiners* deductions—net................... 2,095 15,468 3,598 332 387 307 369 -171 42 -722 277 1,213

Appraised value.......................................

Substandard...........................................

132,492 919,671 318,800 102,217 87,169 73,533 90,774 102,475 33,466 39,672 61,964 280,185

20,687 89,160 83,814 8,861 9,993 9,594 8,449 7,306 918 680 3,259 14,105

Not criticized......................................... 111,805 830,511 234,986 93,856 77,176 63,939 82,325 95,169 32,548 38,992 58,705 266,080

469,702 2,399,200 1,162,677 355,685 268,959 340,817 404,081 562,296 162,445 216,226 220,526 576,608

15,690 68,351 48,522 14,400 14,921 15,288 83,504 6,276 4,U 4 4,475 8,312 14,762

Private— book value.............................. 454,012 2,830,849 1,114,155 841,285 254,038 325,579 370,577 556,020 158,331 211,751 212,214 561,846

Examiners’ deductions—net................... 8,779 38,426 16,363 2,572 2,148 1,724 783 199 -262 -378 880 4,055

Net sound capital—total........................ 460,923 2,360,774 1,146,314 353,113 266,811 339,093 403,298 562,097 162,707 216,604 219,646 572,553

R .F.C.—retirable value........................ 17,748 114,940 48,668 14,459 14,921 15,752 83,594 6,276 4,129 4,558 8,312 14,761

Private— net sound capital................... 443,180 2,245,884 1,097,646 338,654 251,890 823,841 S69,704 555,821 158,578 212,046 211,384 557,792

Adjusted liabilities (exclusive of capital accounts)—total......................... 5,340,348 29,865,122 11,128,456 4,805,899 4,119,090 5,196,797 6,580,321 9,233,838 2,373,259 3,137,899 3,566,290 9,539,688

Deposits.................................................... 5,309,452 29,343,569 11,077,408 4,782,837 4,094,956 5,178,902 6,564,646 9,200,545 2,365,421 3,131,222 3,556,501 9,481,654

30,896 521,553 51,048 23,062 24,134 17,895 15,675 33,293 7,838 6,677 9,789 58,034

484 1,073 1,677 1,012 977 1,417 1,420 1,392 1,057 1,369 855 474

N o t e : For banks included and explanation of terms, see pages 63-65. For States included in FDIC districts, see page vi.

Back figures— See the following Annual Reports: 1942, p. 88; 1941, pp. 136, 148, and 150; 1940, pp. 164, 176, and 178; 1939, pp. 154, 166, and 168.

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 114. ASSET AND NET SOUND CAPITAL RATIOS OF INSURED COMMERCIAL BANKS EXAMINED IN 1943

BANKS GROUPED ACCORDING TO FEDERAL DEPOSIT INSURANCE CORPORATION DISTRICT

(Amounts per $100 of book value)

Federal Deposit Insurance Corporation District—

Total assets—book value....................

Examiners' deductions—net...............

Appraised value...................................

Substandard.......................................

Not criticized....................................

Cash and due from banks.................

Securities—book value........................

Examiners’ deductions—net..............

Appraised value...................................

Substandard......................................

Not criticized.....................................

Loans—book value...............................

Examiners’ deductions.......................

Appraised value...................................

Substandard......................................

Not criticized......................... ...........

Fixed and miscellaneous assets—book

value.................................................

Examiners’ deductions—net...............

Appraised value...................................

Substandard......................................

Not criticized....................................

Capital accounts—book value..........

R .F.C.— book value..........................

Private— book value..........................

Examiners' deductions—net..............

Net sound capital—total....................

R.F.C.— retirable value....................

Private— net sound capital...............

Net sound capital per $100 of—

Appraised value of assets...................

Deposits................................................

Number of banks................................... .

$100.00

.15

99.85

1.77

98.08

100.00

100.00

.04

99.96

.99

98.97

100.00

.46

99.54

b.2b

95.80

100.00

1.56

98.44

15.87

88.07

100.00

8.8 b

96.66

1.87

98.13

8.78

9 b.85

7.95

8 . 6 8

484

$100.00

.11

99.89

1.80

98.59

100.00

100.00

.03

99.97

,9U

99.03

100.00

.24

99.76

2.55

97.21

100.00

1.65

98.35

9.5b

88.81

100.00

2.85

97.15

1.60

98.40

U.79

98.61

7.33

8.05

1,073

$100.00

.13

99.87

2.U9

97.88

100.00

100.00

.06

99.94

1.60

98.8b

100.00

.41

99.59

5.29

9b.SO

100.00

1.12

98.88

26.00

72.88

100.00

h.17

95.83

1.41

98.59

U.19

9b.b 0

9.34

10.35

1,677

$100.00

.05

99.95

.97

98.98

100.00

100.00

.01

99.99

.75

99.2 b

100.00

.22

99.78

2.87

97.1*1

100.00

.32

99.68

8.6b

91 .Ob

100.00

b-05

95.95

.72

99.28

b-07

95.21

6.84

7.38

1,012

$100.00

.04

99.96

1.18

98.78

100.00

100.00

.00

100.00

1.0 b

98.96

100.00

. 2 2

99.78

2.90

96.88

100.00

.44

99.56

11.bl

88.15

100.00

5.55

9b.b5

.80

99.20

5.55

98.65

6.08

6.52

977

$100.00

.03

99.97

1.26

98.71

100.00

100.00

-.01

100.01

1.25

98.76

100.00

.16

99.84

2.5 b

97.80

100.00

.42

99.58

12.99

86.59

100.00

b.b7

95.58

.51

99.49

b.62

9b.87

6.13

6.55

1,417

$100.00

.01

99.99

.67

99.82

100.00

100.00

-.02

100.02

.87

99.65

100.00

.08

99.92

2.88

97.59

100.00

.40

99.60

9.27

90.83

100.00

8.29

91.71

.19

99.81

8.82

91.b9

5.77

6.14

1,420

$100.00

.00

100.00

.60

9940

100.00

100.00

-.01

100.01

.b2

99.59

100.00

.06

99.94

1.82

98.12

100.00

-.17

100.17

7.1b

98.08

100.00

1.12

98.88

.03

99.97

1.12

98.85

5.74

6 . 1 1

1,392

$100.00

-.01

100.01

.52

99.b9

100.00

100.00

-.07

100.07

.26

99.81

100.00

.10

99.90

1.82

98.08

100.00

.13

99.87

2.7b

97.18

100.00

2.58

97.b7

-.16

100.16

2.5 b

97.62

6.42

6.88

1,057

10

$100.00

-.01

100.01

.b5

99.56

100.00

100.00

-.05

100.05

.18

99.87

100.00

.15

99.85

2.01

97.8b

100.00

-1.85

101.85

1.7b

100.11

100.00

2.07

97.98

-.18

100.18

2.11

98.07

6.46

6.92

1,369

11

$100.00

.02

99.98

99.5 b

100.00

100.00

-.02

100.02

.82

99.70

100.00

.13

99.87

1.23

98.6b

100.00

.45

99.55

5.28

9b.82

100.00

8.77

96.28

.40

99.60

8.77

95.88

5.80

6.18

855

12

$100.00

.04

99.96

1.08

98.88

100.00

100.00

.02

99.98

.27

99.71

100.00

.09

99.91

8.59

96.82

100.00

.43

99.57

5.01

9b.56

100.00

2.56

97.bb

.70

99.30

2.56

96.7b

5.66

6.04

474 00

CD

N ote: For banks included and explanation of terms, see pages 63-65. For States included in FDIC districts, see page vi.

Back figures— See the following Annual Reports: 1942, p. 89; 1941, pp. 138, 152, and 154; 1940, pp. 166, 180, and 182; 1939,fpp. 156, 170, and 172.

ANALYSIS OF EXAMINATIONS OF INSURED BANKS

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 115. A n a ly s i s OP SECURITIES HELD BY INSURED COMMERCIAL BANKS EXAMINED IN 1942 AND 1943

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS

Am ounts 1943 (thousands of dollars)

U. S. Government obligations— book value1............

Other securities— book value.

Examiners’ deductions*............

Appraised value........................

Substandard...........................

Not criticized.........................

Am ounts 1942 (thousands of dollars)

U.S. Government obligations— book value1 ...........

Other securities— book value.

Examiners' deductions4............

Appraised value........................

Substandard...........................

Not criticized.........................

Per $100 of book value 1943

U.S. Government obligations.

Other securities— book va lu e..

Examiners’ deductions..............

Appraised value..........................

Substandard.............................

Not criticized............................

Per $100 of book value 1942

U.S. Government obligations.

Other securities— book value..

Examiners’ deductions®..............

Appraised value6........................

Substandard.............................

Not criticized............................

Number of banks 1943.

Number of banks 1942.

Banks with deposits of—

All

banks $250,000

or less

$250,000

to

$500,000

$500,000

to

$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

$50,000,000

More than

$50,000,000

50,067,210 27,083 237,405 873,095 1,797,490 3,355,997 2,779,310 6,922,206 34,074,624

6,055,350 5,388 46,740 196,139 415,954 786,256 555,766 988,185 3,060,922

14,453 25 120 408 1,062 1,868 1,558 2,049 7,363

6,040,897 5,363 46,620 195,731 414,892 784,388 554,208 986,136 3,053,559

462,154 731 4,385 14,336 27,066 49,896 37,230 61,515 266,995

5,578,748 4,632 42,235 181,395 387,826 734,492 516,978 924,621 2,786,564

26,799,729 39,547 184,008 487,902 842,422 1,550,405 1,371,164 3,227,882 19,096,399

6,682,798 19,046 97,052 283,095 499,172 795,629 576,034 912,934 3,499,836

30,847 99 449 1,378 3,547 5,108 4,495 5,425 10,346

6,651,951 18,947 96,603 281,717 495,625 790,521 571,539 907,509 3,489,490

617,898 2,695 10,038 25,464 44,698 72,217 51,772 77,740 332,769

6,034,558 16,252 86,565 256,253 450,927 718,304 519,767 829,769 3,156,721

$100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00

100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

.24 .46 .26 .21 .25 .24 .28 .21 .24

99.76 99.54 99.74 99.79 99.75 99.76 99.72 99.79 99.76

7.6S 13.57 9.38 7.31 6.51 6.35 6.70 6.22 8.72

92.13 85.97 90.36 92.48 93.24 93.41 93.02 93.57 91.04

100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

.46 .52 .46 .49 .71 .64 .78 .59 .29

99.54 99.48 99.54 99.51 99.29 99.36 99.22 99.41 99.71

9.24 14.15 10.34 8.99 8.96 9.08 8.99 8.52 9.51

90.30 85.33 89.20 90.52 90.33 90.28 90.23 90.89 90.20

13,207 543 1,899 3,300 3,208 2,501 851 682 223

13,303 1,425 2,697 3,408 2,600 1,857 645 492 179

i Appraised value for all banks was $6,429,000 in excess of book value due to the excess of redemption value of U. S. Savings bonds not shown on the books over examiners’

deducUoiis^unam^rtizedoP^emjuma^on^U. ln TaMe9 107. 1M due to the difference between book and appraised value of

U. S. Government obligations refeired to in footnote 1.

8 For all ’ ’ J ^ ' ‘ TT ° °

obligations

* Includes examiners aeuucuous ui uuauiunwcu uicmiuiuo ^ ■ *-'• —------—------- - - r -- - -— ,------» t * 7 ■ • _ ,,__,___ ,

ander total securities for all banks in Tables 107-114 of the Annual Report for 1942 due to redemption value of U. S. Savings bonds not shown on the books.

* Ratios are not significantly affected by inclusion of examiners* deductions of unamortized premiums on U. S. Government obligations.

CD

OFEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 116. ANALYSIS OP SECURITIES HELD BY INSURED COMMERCIAL BANKS EXAMINED IN 1942 AND 1943

BANKS GROUPED ACCORDING TO NET SOUND CAPITAL RATIO

All

banks

Banks with net sound capital per $ 1 0 0 of appraised value of assets of—

$0 . 0 1

to

$4.99

$5.00

to

$9.99

$1 0 . 0 0

to

$14.99

$15.00

to

$19.99

$2 0 . 0 0

to

$24.99

$25.00

to

$29.99

$30.00

to

$34.99

$35.00

or

more

Am ounts 1943 (thousands of dollars)

U.S. Government obligations— book value1 ............. 50,067,210 5,205,414 37,496,978 5,977,168 855,163 249,502 241,789 20,772 20,424

Other securities— book value........................................... 6,055,350 455,009 4,097,631 1,129,505 228,333 72,949 53,901 12,351 5,671

14,453 1,059 5,710 6,391 758 303 132 97 8

Appraised value.................................................................... 6,040,897 453,950 4,091,921 1,123,114 227,575 72,646 53,769 12,254 5,668

Substandard.................................................................. U62,15U 10,870 282,251 111 MU 30,607 7,916 1U,971 1,702 t,U23

Not criticized................................................................ 5,578,7US UU3,080 3,809,670 1,011,700 196,968 6U.780 38,798 10,552 St2U5

Amounts 1942 (thousands of dollars)

U.S. Government obligations— book value*............. 26,799,729 732,157 18,386,969 6,518,339 620,031 266,290 240,759 32,109 3,075

Other securities— book value........................................... 6,682,798 91,644 4,284,060 1,754,041 355,508 110,959 62,396 18,284 5,906

Examiners’ deductions4....................................................... 30,847 777 10,635 14,104 3,739 824 415 346 7

Appraised value.................................................................... 6,651,951 90,867 4,273,425 1,739,937 351,769 110,135 61,981 17,938 5,899

617,393 U,632 329,117 191,577 55,999 13,292 16,995 2,95U 2,827

Not criticized................................................................ 6,08 U ,558 86,235 S,9UU,308 1,5U8,360 295,770 96,8 US UU,986 1U,98U 3,072

Per $100 of book value 1943

U.S. Government obligations........................................ $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0

Other securities— book value........................................... 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Examiners' deductions........................................................ .24 .23 .14 .57 .33 .42 .24 .79 .05

Appraised value....................................................................

Substandard..................................................................

99.76 99.77 99.86 99.43 99.67 99.58 99.76 99.21 99.95

7.63 2.39 6.89 9.86 is.uo 10.85 27.77 13.79 U2.7U

Not criticized................................................................ 92.13 97.38 92.97 89.57 86.27 88.7S 71.99 85.U2 57.21

Per $100 of book value 1942

U.S. Government obligations........................................ 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Other securities— book value........................................... 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Examiners’ deductions5 ....................................................... .46 .85 .25 .80 1.05 .74 .67 1.89 . 1 2

99.54 99.15 99.75 99.20 98.95 99.26 99.33 98.11 99.88

9.2U 5.05 7.68 10.92 15.75 11.98 27.2U 16.16 U7.87

Not criticized................................................................ 90.30 9U.10 92.07 88.28 83.20 87.28 72.09 81.95 52.01

Number of banks 1943................................................................ 13,207

13,303

367

64

7,226

4,315

4,206

6 , 0 0 2

1,037

2,058

266

577

63

191

15

60

27

36

1 Appraised value for all banks was $6,429,000 in excess of book value due to the excess of redemption value of U. S. Savings bonds not shown on the books over examiners'

deductions of unamortized premiums on U. S. Government obligations purchased above par.

* Exceeds, by $6,429,000, “examiners’ deductions—net” under total securities for all banks in Tables 107-114 due to the difference between book and appraised value of

U. S. Government obligations referred to in footnote 1.

8 For all banks redemption value of U. S. Savings bonds not shown on the books was $8,126,000. Examiners’ deductions of unamortized premiums on U. S. Government

obligations purchased above par were not reported separately and are included in “examiners’ deductions” from book value of other securities.

4 Includes examiners’ deductions of unamortized premiums on U. S. Government obligations purchased above par. Exceeds, by $8,126,000, “examiners’ deductions—net”

under total securities for all banks in Tables 107-114 of the Annual Report for 1942 due to redemption value of U. S. Savings bonds not shown on the books.

8 Ratios are not significantly affected by inclusion of examiners’ deductions of unamortized premiums on U. S. Government obligations.

ANALYSIS OP EXAMINATIONS OF INSURED BANKS

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 117. ANALYSIS OP SECURITIES HELD BY INSURED COMMERCIAL BANKS EXAMINED IN 1942 AND 1943

BANKS GROUPED ACCORDING TO FIXED AND SUBSTANDARD ASSETS RATIO

Banks with fixed and substandard assets per $100 of appraised value of assets of—

All

banks $0.00

$0.01

to

$4.99

$5.00

to

$9.99

$10.00

to

$14.99

$15.00

to

$19.99

$20.00

to

$24.99

$25.00

to

$29.99

$30.00

or

more

Amounts 1943 (thousands of dollars)

U.S. Government obligations— book value1............ 50,067,210 1,103,474 44,604,516 3,627,129 576,772 96,983 34,947 9,673 13,716

Other securities—book value........................................ 6,055,350 68,291 4,941,757 807,117 173,691 37,656 15,342 3,418 8,078

Examiners’ deductions2................................................... 14,453 1 8,844 3,973 886 433 41 252 23

Appraised value...............................................................

Substandard..................................................................

6,040,897 68,290 4,932,913 803,144 172,805 37,223 15,301 3,166 8,055

4-62,151* 2,528 298,102 103,012 36,95k ll,lk 6 k,25k 1,130 5,028

Not criticized................................................................. 5,578,71*3 65,762 k, 63k,811 700,132 135,851 26,077 ll,0 k 7 2,036 3,027

Amounts 1942 (thousands of dollars)

U.S. Government obligations— book value1............ 26,799,729 50,840 22,296,507 3,283,143 830,354 266,316 38,066 16,524 17,979

Other securities—book value........................................ 6,682,798 7,159 4,662,545 1,379,899 423,823 142,739 39,378 13,664 13,591

Examiners' deductions4................................................... 30,847 1 11,128 9,523 5,689 2,374 1,140 447 545

Appraised value...............................................................

Substandard..................................................................

6,651,951 7,158 4,651,417 1,370,376 418,134 140,365 38,238 13,217 13,046

617,393 291,677

k,359,7k0

lk9,375 93,136 58,581 12,032 5,k78 7,11k

Not criticized................................................................. 6,03k,558 7,158 1,221,001 32 k, 998 81,78k 26,206 7,739 5,932

Per $100 of book value 1943

U.S. Government obligations...................................... $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00

Other securities—book value........................................ 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Examiners’ deductions.................................................... .24 .00 .18 .49 .51 1.15 .27 7.37 .28

Appraised value...............................................................

Substandard..................................................................

99.76 100.00 99.82 99.51 99.49 98.85 99.73 92.63 99.72

7.63 3.70 6.03 12.76 21.28 29.60 27.72 33.09 62.26

Not criticized................................................................. 92.13 96.30 93.79 86.75 78.21 69.25 72.01 59.5k S7.k6

Per $100 of book value 1942

U.S. Government obligations...................................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Other securities—book value........................................ 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Examiners’ deductions5................................................... .46 .01 .24 .69 1.34 1.66 2.90 3.27 4.01

Appraised value8..............................................................

Substandard............................................................ .

99.54 99.99 99.76 99.31 98.66 98.34 97.10 96.73 95.99

9.2 k

90.30

6.25 10.83 21.98 kl.0k

57.30

30.55 k0.09

56.6k

52.3k

................................................................. 99.99 93.51 88.k8 76.68 66.55 k3.65Not criticized

Number of banks 1943........................................................... 13,207 211 10,511 1,939 388 95 37 12 14

Number of banks 1942........................................................... 13,303 59 8,226 3,516 1,025 293 118 32 34

CD

to

1 Appraised value for all banks was $6,429,000 in excess of book value due to the excess of redemption value of U. S. Savings bonds not shown on the books over examiners'

deductions of unamortized premiums on U. S. Government obligations purchased above par.

s Exceeds, by $6,429,000, “examiners' deductions—net" under total securities for all banks in Tables 107-114 due to the difference between book and appraised value of

TJ. S. Government obligations referred to in footnote 1.

* For all banks redemption value of U. S. Savings bonds not shown on the books was $8,126,000. Examiners' deductions of unamortized premiums on U. S. Government

obligations purchased above par were not reported separately and are included in “examiners’ deductions” from book value of other securities.

* Includes examiners’ deductions of unamortized premiums on U. S. Government obligations purchased above par. Exceeds, by $8,126,000, “examiners* deductions—net"

under total securities for all banks in Tables 107-114 of the Annual Report for 1942 due to redemption value of U. S. Savings bonds not shown on the books.

* Ratios are not significantly affected by inclusion of examiners’ deductions of unamortized premiums on U. S. Government obligations.

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 118. ANALYSIS OF SECURITIES HELD BY INSURED COMMERCIAL BANKS EXAMINED IN 1942 AND 1943

BANKS GROUPED ACCORDING TO FEDERAL DEPOSIT INSURANCE CORPORATION DISTRICT

Federal Deposit Insurance Corporation District—

1 2 3 4 5 6 7 8 9 1 0 1 1 1 2

Am ounts 1943 (thousands of dollars)

U.S. Gov’t, obligations— book value1.. 2,950,835 17,909,392 5,622,222 2,397,030 1,802,314 2,382,124 3,498,937 4,991,161 1,170,728 1,256,403 1,462,565 4,623,499

Other securities— book value................. 256,960 1,573,777 1,066,142 246,499 306,314 334,444 494,780 676,352 114,357 184,598 157,088 644,039

Examiners’ deductions2 .............................. 1,295 5,826 4,082 498 429 398 291 440 43 39 8 6 1,026

Appraised value........................................... 255,665 1,567,951 1,062,060 246,001 305,885 334,046 494,489 675,912 114,314 184,559 157,002 643,013

Substandard.............................................. 31,788 183,912 107,1 k2 19,798 21,872 33,935 Ik,683 23,6k7 3,335 2,66k 5,21k lk,16k

Not criticized............................................. 223,877 1,38k,039 95k,918 226,203 28 k,013 300,111 k79,806 652,265 110,979 181,895 151,788 628,8k9

Amounts 1942 (thousands of dollars)

U.S. Gov’t, obligations— book value3.. 1,395,798 11,317,807 3,091,626 1,160,360 659,410 1,033,462 1,716,768 2,570,285 477,792 465,358 561,736 2,349,327

Other securities— book value................. 293,715 2,081,309 1,273,583 237,017 292,889 334,471 486,051 652,994 118,348 179,639 166,337 566,445

Examiners’ deductions4 .............................. 3,613 12,574 9,551 1,084

235,933

721 459 792 515 123 89 170 1,156

Appraised value........................................... 290,102 2,068,735 1,264,032 292,168 334,012 485,259 652,479 118,225 179,550 166,167 565,289

Substandard.............................................. US ,337 21k,158 163,391 25,k88 19,910 60,9k5 22,219 26,623 k,872 3,76k 7,621 25,065

Not criticized............................................. 2U6,765 1,85 k,577 1,100,6kl 210,kk5 272,258 273,067 k63,0k0 625,856 113,353 175,786 158,5k6 5k0,22k

Per $100 of book value 1943

U.S. Government obligations............... $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0

Other securities— book value................. 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Examiners’ deductions.............................. .50 .37 .38 . 2 0 .14 . 1 2 .06 .07 .04 . 0 2 .05 .16

Appraised value........................................... 99.50 99.63 99.62 99.80 99.86 99.88 99.94 99.93 99.96 99.98 99.95 99.84 Substandard.............................................. 12.37 11.69 10.05 8.03 7.1k 10.15 2.97 3.50 2.92 l.kk 3.32 2.20 Not criticized............................................. 87.13 87.9k 89.57 91.77 92.72 89.73 96.97 96.k3 97.0k 98.5 k 96.63 97.6k

Per $100 of book value 1942

U.S. Government obligations............... 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Other securities— book value................. 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0 1 0 0 . 0 0

Examiners’ deductions5 .............................. 1.23 .60 .75 .46 .25 .14 .16 .08 . 1 0 .05 . 1 0 . 2 0 Appraised value5 ..........................................

Substandard..............................................

98.77 99.40 99.25 99.54 99.75 99.86 99.84 99.92 99.90 99.95 99.90 99.80

1U.75 10.29 12.83 10.75 6.80 18.22 k.57 k-08 k.12 2.10 k.58 k-k2

Not criticized............................................. 8U.02 89.11 86.k2 88.79 92.95 81.6 k 95.27 95.8 k 95.78 97.85 95.32 95.38

Number of banks 1943....................................... 484 1,073 1,677 1 , 0 1 2 977 1,417 1,420 1,392 1,057 1,369 855 474

Number of banks 1942....................................... 481 1,093 1,705 1 , 0 1 2 970 1,437 1,421 1,401 1,056 1,383 836 508

1 Appraised value for all banks was $6,429,000 in excess of book value due to the excess of redemption value of U. S. Savings bonds not shown on the books over examiners’

deductions of unamortized premiums on U. S. Government obligations purchased above par.

2 Exceeds, by $6,429,000, “ examiners’ deductions—net” under total securities for all banks in Tables 107-114 due to the difference between book and appraised value of

U. S. Government obligations referred to in footnote 1.

3 For all banks redemption value of U. S. Savings bonds not shown on the books was $8,126,000. Examiners' deductions of unamortized premiums on U. S. Government

obligations purchased above par were not reported separately and are included in “examiners’ deductions” from book value of other securities.

4 Includes examiners’ deductions of unamortized premiums on U. S. Government obligations purchased above par. Exceeds, by $8,126,000, “examiners' deductions—net”

under total securities for all banks in Tables 107-114 of the Annual Report for 1942 due to redemption value of U. S. Savings bonds not shown on the books.

6 Ratios are not significantly affected by inclusion of examiners’ deductions of unamortized premiums on U. S. Government obligations.

ANALYSIS OF EXAMINATIONS OF INSURED BANKS

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T able 119. DISTRIBUTION OF INSURED COMMERCIAL BANKS EXAMINED IN 1943 ACCORDING TO NET SOUND CAPITAL RATIO

BANKS GROUPED BY FIXED AND SUBSTANDARD ASSETS RATIO, RATE OF NET EARNINGS, AND AMOUNT OF DEPOSITS CD

All

banks

Banks wi!Lh net sound capital per $ 1 0 0 of appraised value of assets of—

$0 . 0 1

to

$4.99

$5,00

to

$9.99

$1 0 = 0 0

to

$14.99

$15.00

to

$19.99

$2 0 * 0 0

to

$24.99

$25.00

to

$29.99

$30,00

to

$34.99

$35,00

or

more

13,207 367 7,226 4,206 1,037 266 63 15 27

Banks with fixed and substandard assets per $100

of appraised value of assets of—

« 0 0 0 ............. 2 1 1 2 1 115 58 1 2 4 1

$0.01 to $4.99............................................................................ 10,511 330 6,302 3,076 615 139 33 6 1 0

$5.00 to $9.99............................................................................ 1,939 1 1 681 858 274 85 18 4 8

$10.00 to $14.99........................................................................ 388 3 91 162 98 2 2 6 2 4

$15 00 to $19 99 ............. 95 19 36 24 1 0 4 2

$20 00 to $24.99 .............................. 37 9 13 1 0 3 1 1

$25 00 to $29 99 1 2 1 4 2 2 2 1

$30 00 or more ............. 14 1 5 1 2 1 1 3

Banks with net current operating earnings per

$ 1 0 0 of total assets of—

$—0 50 or less 16 1 7 6 1 1

$-0 01 to $-0 49 . . . 123 8 69 37 4 4 1

$0.00 to $0.49............................................................................ 2,780 185 1,745 674 131 35 6 1 3

$0.50 to $0.99............................................................................ 6,400 152 3,728 1,981 433 82 19 2 3

$1.00 to $1.49............................................................................ 2,806 17 1,300 1,072 307 81 19 4 6

$1.50 to $1.99............................................................................ 742 2 277 297 109 40 1 2 4 1

$2.00 to $2 49 ....................................................................... 203 62 95 28 8 5 1 4

$2.50 to $2.99............................................................................ 65 1 15 25 1 1 9 2 1 1

$3 00 or more .............................................................. 43 9 14 8 2 1 9

XTnf qvqiIqIiIp 29 1 14 5 5 4

Banks with deposits of—

543 4 6 6 214 159 56 24 4 16

$250,000 to $500,000............................................................... 1,899 7 600 946 255 72 1 1 4 4

$500,000 to $1,000,000............................................................ 3,300 23 1,820 1,140 245 51 13 4 4

$1 ,0 0 0 , 0 0 0 to $2 ,0 0 0 , 0 0 0 ........................................................ 3,208 73 1,915 976 192 46 3 2 1

$2 000 000 to $5 000 000 ............. 2,501 99 1,623 619 124 26 9 1

non non <iiin ooo ooo 851 46 563 186 45 9 2

$10 000 000 to $50 000,000 .................................. 682 73 482 106 14 5 1 1

Mnro <6 ^ 0 OOO 0 0 0 223 42 157 19 3 1 1

N o t e : For banks included and explanation of terms, see pages 63-65.

Back figures— See the following Annual Reports: 1942, p. 90; 1941, p. 156; 1940, p. 184; 1939, p. 174.

FEDERAL DEPOSIT INSURANCE CORPORATION

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T able 120. DISTRIBUTION OF DEPOSITS OF INSURED COMMERCIAL BANKS EXAMINED IN 1943 

BANKS GROUPED ACCORDING TO NET SOUND CAPITAL RATIO AND BY FIXED AND SUBSTANDARD ASSETS RATIO,

RATE OF NET EARNINGS, AND AMOUNT OF DEPOSITS

(Amounts in thousands of dollars)

All banks...................................................................................

Banks with fixed and substandard assets per $ 1 0 0

of appraised value of assets of—

$0 . 0 0 ........................................................................................

$0.01 to $4.99........................................................................

$5.00 to $9.99........................................................................

$10,00 to $14.99...................................................................

$15.00 to $19.99...................................................................

$20.00 to $24.99...................................................................

$25.00 to $29.99...................................................................

$30.00 or more......................................................................

Banks with net current operating earnings per

$ 1 0 0 of total assets of—

$-0.50 or less.........................................................................

$-0.01 to $-0.49...................................................................

$0.00 to $0.49........................................................................

$0.50 to $0.99........................................................................

$1.00 to $1.49........................................................................

$1.50 to $1.99........................................................................

$2.00 to $2.49.......................................................................

$2.50 to $2.99........................................................................

$3.00 or more........................................................................

Not available.........................................................................

Banks with deposits of—

$250,000 or less....................................................................

$250,000 to $500,000...........................................................

$500,000 to $1,000,000.......................................................

$1 ,0 0 0 , 0 0 0 to $2 ,0 0 0 , 0 0 0 ...................................................

$2,000,000 to $5,000,000...................................................

$5,000,000 to $10,000,000.................................................

$10,000,000 to $50,000,000...............................................

More than $50,000,000.......................................................

All

banks

94,087,113

2,195,554

82,521,505

7,706,635

1,229,557

258,604

96,968

28,560

49,730

13,376

289,190

35,458,109

49,931,536

6,798,056

1,202,909

209,688

72,652

56,789

54,808

103,272

719,911

2,401,771

4,538,191

7,715,652

5,827,507

13,517,540

59,263,269

Banks with net sound capital per $100 of appraised value of assets of-

$0 . 0 1

to

$4.99

9,495,167

555,168

1,760,026

157,531

12,664

4,828

4,950

48,617

7,276,487

2,121,633

39,406

4,734

2,538

1,066

714

2,556

17,679

104,894

315,239

338,479

1,592,828

7,122,778

$5.00

to

$9.99

69,880,266

1,556,549

63,650,037

4,140,344

421,880

49,363

35,257

12,593

14,243

6,424

193,151

25,972,462

39,964,314

3,036,076

521,306

96,782

11,552

30,060

48,139

13,796

241,150

1,346,821

2,704,095

5,033,936

3,852,414

9,717,700

46,970,354

$1 0 . 0 0

to

$14.99

12,004,996

72,151

8,763,161

2,665,654

353,731

124,934

19,597

4,464

1,304

5,093

20,050

1,887,084

6,922,568

2,711,196

338,467

85,846

16,186

15,018

3,488

43,255

352,463

810,575

1,388,872

1,893,606

1,258,555

1,814,686

4,442,984

$15.00

to

$19.99

1,748,555

9,237

719,350

586,812

321,637

45,057

40,320

1,517

24,625

1,040

25,805

258,504

811,764

482,598

132,252

17,836

9,232

8,311

1,213

29,906

90,778

175,668

267,653

369,061

299,425

252,317

263,747

$20.00

to

$24.99

474,185

2,436

249,815

108,016

81,499

27,671

1,175

3,311

262

133

1,166

34,572

92,219

150,306

187,188

2,592

4,639

468

902

9,595

25,947

36,297

63,504

73,165

65,027

88,451

112,199

$25.00

to

$29.99

413,925

373,027

18,864

9,974

9,706

507

1,847

2,531

17,297

374,771

13,436

4,844

1,046

3,664

4,064

9,264

4,526

27,593

13,607

351,207

$30.00

to

$34.99

33,263

1,950

2,865

25,928

1,873

647

401

647

843

2,087

2,474

573

25,838

400

387

1,400

2,612

3,026

25,838

$35.00

or

more

36,756

13

4,139

26,549

2,244

1 1 2

3,699

25,822

898

1,616

3,052

1,215

1,621

2,532

1,955

1,553

2,855

1,621

3,052

25,720

Ol

N o t e : For banks included and explanation of terms, see pages 63-65.

Back figures— See the following Annual Reports: 1942, p. 91; 1941, p. 157; 1940, p. 185; 1939, p. 175.

ANALYSIS OF EXAMINATIONS OF INSURED BANKS

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Federal Reserve Bank of St. Louis
CO

o*

EARNINGS OF INSURED BANKS

Table 121. EARNINGS, EXPENSES, AND DIVIDENDS OF INSURED BANKS, 1943

BY CLASS OF BANK

(Amounts in thousands of dollars)

Insured commercial banks

Insured

mutual

savings

banks3

All insured

commercial banks

Total

Banks not submitting

reports to FDIC

State banks submitting

reports to FDIC

Operating

throughout

the year

Operating

less than

full year4

Members F. R. System

Other1 On par list2 Other

National State

Current operating earnings— total....................................

Interest and dividends on securities....................................

Interest and discount on loans..............................................

Service charges and other fees on bank’s loans................

Service charges on deposit accounts................................

Other service charges, commissions, fees, and collection

Trust department ••••••••••••••••••••••

1,959,481

861,412

692,305

13,513

95,332

67,533

104,710

124,676

1,057,459

501,999

364,388

6,538

53,282

29,425

34,295

67,532

591,623

263,413

187,248

4,307

23,073

15,685

62,027

35,870

1,248

199

627

8

182

173

243,444

78,391

112,335

2,302

14,886

8,510

8 , 2 0 1

18,819

65.707

17,410

27.707

358

3,909

13,740

187

2,396

273,479

101,117

139,191

321

1,954,131

860,370

691,544

13,504

95,134

67,309

102,132

124,138

5,350

1,042

761

9

198

224

2,578

Other current operating earnings 538 .........................................

Current operating expenses, excluding taxes— to ta l..

Salaries— officers.......................................................................

Salaries and wages— employees........................................

Fees paid to directors and members of executive, discount, and other committees.........................................

Interest on time deposits (including savings deposits). .

Interest and discount on borrowed money........................

Recurring depreciation on banking house, furniture and

Other current operating expenses.........................................

59 32,850

1,156,110

225,142

356,958

11,775

163,900

502

40,008

357,825

611,883

114,179

193,173

5,865

83,734

169

23,703

191,060

341,824

60,522

118,792

2,836

39,736

184

9,754

1 1 0 , 0 0 0

896

149

294

9

157

2 1

266

159,839

36,441

37,725

2,290

33,520

138

5,420

44,305

41,668

13,851

6,974

775

6,753

1 1

1 , 1 1 0

12,194

70,832

9,467

19,792

1,704

(B)

3,046

36,823

1,152,287

224,233

355,857

11,738

163,639

500

39,942

356,378

3,823

909

1 , 1 0 1

37

261

2

6 6

1,447

Net current operating earnings, before taxes.............. 803,371 445,576 249,799 352 83,605 24,039 202,647 801,844 1,527

FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Taxes— total.......................................................................

Other than on net income...........................................

On net income.................................................................

Net current operating earnings, after taxes.. . .

Recoveries and profits— total....................................

Recoveries on securities...............................................

Profits on securities sold or redeemed......................

Recoveries on loans.......................................................

All other...........................................................................

Losses and charge-offs— total...................................

On securities....................................................................

On loans...........................................................................

All other...................................................................j * ’ ’

Non-operating profit.....................................................

Net profits after taxes...................................................

Dividends and interest on capital— total.......................

Dividends declared on preferred stock and interest paid

on capital notes and debentures......................

Cash dividends declared on common stock............

Net additions to capital from profits....................

Number of active officers, December 31 .................

Number of other employees, December 31.............

Number of banks...............................................................

227,780 131,194 68,512 149 21,658 6,267 17,360 227,224 556

(8) (6) (8) (•) 12,592 3,041 17,015 (8) (8) (8) (8) (8) (6) 9,066 3,226 345 (8) (8)

575,591 314,382 181,287 203 61,947 17,772 185,287 574,620 971

353,015 186,998 124,979 63 34,654 6,321 129,160 352,534 481

91,891 59,524 22,167 14 9,133 1,053 40,402 91,828 63

103,143 54,042 39,738 14 7,980 1,369 31,376 103,085 58

85,664 52,786 19,676 32 10,724 2,446 11,094 85,590 74

72,317 20,646 43,398 3 6,817 1,453 46,288 72,031 286

290,645 151,875 98,846 83 34,747 5,094 168,891 289,980 665

116,383 65,786 35,591 33 12,764 2,209 32,818 116.044 339

75,223 43,031 20,284 40 10,321 1,547 74,327 75,116 107

99,039 43,058 42,971 1 0 11,662 1,338 61,746 98,820 219

62,370 35,123 26,133 -20 -93 1,227 -39,731 62,554 -184

637,961 349,505 207,420 183 61,854 18,999 145,556 637,174 787

233,490 131,107 77,219 99 19,243 5,822 118,279 232,857 633

14,324 6,141 4,673 1 1 3,076 423 294 14,315 9

219,166 124,966 72,546 8 8 16,167 5,399 7117,985 218,542 624

404,471 218,398 130,201 84 42,611 13,177 27,277 404,317 154

55,309 25,788 10,600 38 12,669 6,214 1,209 54,986 323

225,647 121,092 69,244 188 28,190 6,933 9,581 224,563 1,084

13,274 5,040 1,695 7 4,185 2,347 184 13,191 83

i National banks in the possessions and State banks in the District of Columbia, not members of the Federal Reserve System

’ For explanation of banks on par list, see page 6 6 .

* Includes 3 mutual savings banks, members of the Federal Reserve System.

n?? r.ep?rts covering less than the full year’s operations or materially affected by mergers. Also includes 11 trust companies not engaged in deposit banking.

Includes, in addition, data for national banks which reported for the first half of the year only.

6 Interest and dividends paid depositors of mutual savings banks are included as a deduction from net profits.

• Income taxes published separately only for banks submitting reports to FDIC.

’Interest and dividends paid depositors. See footnote 5.

N ote: Minus (-) indicates non-operating loss.

Back figures— See the following Annual Reports: 1942, p. 92; 1941, p. 162; 1940, p. 194; 1939, p. 182; 1938, p. 214; 1937, p. 141 and p. 144; 1936, p. 165; 1935, p. 198.

- 3EARNINGS OF INSURED BANKS

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Federal Reserve Bank of St. Louis
Table 122. RATIOS OF EARNINGS, EXFENSES, AND DIVIDENDS OF INSURED COMMERCIAL BANKS, 1943

BY CLASS OF BANK

Insured commercial banks

Banks not submitting

reports to FDIC

State banks submitting

reports to FDIC Insured

mutual

Total Members F. R. System

Other1 On par list2 Other

savings

banks3

National State

Amounts per $100 of current earnings

Current operating earnings—total ............................. $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00

Interest and dividends on securities........................................ 43.96 47.47 44.52 15.95 32.20 26.50 36.97

Interest and discount on loans ............................................... 35.33 34.46 31.65 50.24 46.14 42.17 50.90

69 .62 .73 .64 .95 .54

Service charges on deposit accounts....................................

Other service charges, commissions, fees, and collection

4.87

3.45

5.04

2.78

3.90

2.65

14.58

13.86

6 . 1 2 5.95

3.50 20.91 . 1 2

5.34 3.24 10.48 3.37 .28

Other current operating earnings............................................. 6.36 6.39 6.07 4.73 7.72 3.65 1 2 . 0 1

Current operating expenses, excluding taxes—total. . . 59.00

11.49

57.86

10.80

57.78

10.23

71.79

11.94

65.66

14.97

63.41

21.08

25.90

3.46

18.22 18.27 20.08 23.56 15.50 10.61 7.24

Fees paid to directors and members of executive, discount,

.60 .55 .48 .72 .94 1.18 .62

Interest on time deposits (including savings deposits)------ 8.36

.03

2.04

7.92

. 0 2

6.72

.03

12.58 13.77

.06

10.28

. 0 2

(4)

Interest and discount on borrowed money............................

Recurring depreciation on banking house, furniture and

2.24 1.65 1 . 6 8 2.23 1.69 1 . 1 1

Other current operating expenses............................................. 18.26 18.06 18.59 21.31 18.19 18.55 13.47

Net current operating earnings, before taxes................. 41.00 42.14 42.22 28.21 34.34 36.59 74.10

11.62 12.41 11.58 11.94 8.90 9.54 6.35

Net current operating earnings, after taxes.................... 29.38 29.73 30.64 16.27 25.44 27.05 67.75

FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Amounts per $100 of total assets5

Current operating earnings— total...............................................

Current operating expenses, excluding taxes— total...............

Net current operating earnings, before taxes...........................

Net current operating earnings, after taxes..............................

Non-operating profit........................................................................

Net profits after taxes.....................................................................

1.90

1.12

.78

. 2 2

.56

.06

.62

1.78

1.03

.75

. 2 2

.53

.06

.59

1.82

1.05

.77

. 2 1

.56

.08

.64

3.54

2.54

1 . 0 0

.42

.58

-.06

.52

2.71

1.78

.93

.24

.69

. 0 0

.69

2 . 6 8

1.70

.98

.25

.73

.05

.78

3.44

.89

2.55,

.2 2 ;

.33.

-.50

1.83?

Amounts per $100 of total capital accounts5

Current operating earnings— total............................................... 27.10 27.60 24.21 50.77 31.42 37.01 34.67

Current operating expenses, excluding taxes— total................ 15.99 15.97 13.99 36.45 20.63 23.47 8.98

Net current operating earnings, before taxes........................... 1 1 . 1 1 11.63 1 0 . 2 2 14.32 10.79 13.54 25.69

3.15 3.42 2.80 6.06 2.80 3.53 2 .2 0 .

Net current operating earnings, after taxes.............................. 7.96 8 . 2 1 7.42 8.26 7.99 1 0 . 0 1 23.49

Non-operating profit........................................................................ .8 6 .91 1.07 -.81 - . 0 1 .69 -5.03

Net profits after taxes..................................................................... 8.82 9.12 8.49 7.45 7.98 10.70 18.46

Cash dividends declared................................................................. 3.23 3.42 3.16 4.03 2.48 3.28 615.00

Net profits after dividends............................................................. 5.59 5.70 5.33 3.42 5.50 7.42 3.46

Special ratios5

Income on loans per $ 1 0 0 of loans............................................... 3.85 3.78 3.24 6 . 0 0 5.51 5.73 4.44

Income on securities per $ 1 0 0 of securities................................ 1.52 1.53 1.44 1.47 1.78 1.78 2.54

Income on service charges per $ 1 0 0 of demand deposits........ . 1 2 . 1 2 .09 1.04 .29 . 2 2

Interest paid per $ 1 0 0 of time and savings deposits............... .93 .89 .8 6 1.05 1 . 1 1 1.39 1.65

Assets and liabilities per $100 of total assets5

Assets—total............................................................................. 100.00 100.00 100.00 100.00 100.00 1 0 0 . 0 0 100.00

Cash and due from banks.......................................................... 25.91 26.65 23.64 30.03 25.60 39.11 6 . 2 2

U. S. Government securities..................................................... 48.70 49.47 50.89 36.38 40.37 31.87 41.80

Other securities............................................................................. 6 . 1 1 5.91 5.65 1.91 8.62 7.96 8.35

Loans and discounts.................................................................... 17.75 16.59 18.19 30.00 23.20 2 0 . 0 0 39.43

All other assets.............................................................................. 1.53 1.38 1.63 1 . 6 8 2 . 2 1 1.06 4.20

Liabilities and capital—total.............................................. 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Demand deposits.......................................................................... 75.39 77.02 77 6 8 49.59

42.55

57.19

33.75

72.64

Time deposits................................................................................. 17.00 15.84 14.24 19.90 89.79

Total deposits........................................................................ 92.39 92.86 91.92 92.14 90.94 92.54 89.79

Borrowings and other liabilities............................................... .60 .67 .55 .89 .42 .2 1 .28

Total capital accounts................................................................ 7.01 6.47 7.53 6.97 8.64 7.25 9.93

Number of banks.............................................................................. 13,274 5,040 1,695 7 4,185 2,347 184

1 National banks in the possessions and State banks in the District of Columbia, not members of the Federal Reserve System.

2 For explanation of banks on par list, see page 6 6 .

3 Includes 3 mutual savings banks; members of the Federal Reserve System.

4 Interest and dividends paid depositors of mutual savings banks are included as a deduction from net profits.

B Asset and liability items are averages of figures reported at beginning, middle, and end of year.

• Interest and dividends paid depositors. See footnote 4.

N ote: Minus (-) indicates non-operating loss.

EARRINGS OP INSURED BANKS

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o

o

Table 123. RATIOS OF EARNINGS, EXPENSES, AND DIVIDENDS OP INSURED COMMERCIAL BANKS, 1943

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS

Banks with deposits of— 1

All

banks $250,000

or

less

$250,000

to

$500,000

$500,000

to

$1 ,0 0 0 , 0 0 0

$1 ,0 0 0 , 0 0 0

to

$2 ,0 0 0 , 0 0 0

$2 ,0 0 0 , 0 0 0

to

$5,000,000

$5,000,000

to

$1 0 ,0 0 0 , 0 0 0

$1 0 ,0 0 0 , 0 0 0

to

$50,000,000

More than

$50,000,000

Amounts per $100 of current earnings

Current operating earnings—total.............................

Interest and dividends on securities....................................

Service charges and other fees on bank’s loans................

Service charges on deposit accounts..............................

Other service charges, commissions, fees, and collection

$100.00

44.03

35.39

.69

4.87

3.44

5.23

6.35

$100.00

17.11

58.12

2.48

4.13

12.43

1.24

4.49

$100.00

22.83

56.12

.90

4.96

11.70

.05

3.44

$100.00

27.78

51.70

.67

5.96

9.95

. 1 0

3.84

$100.00

31.79

48.71

.63

6.36

7.75

.37

4.39

$100.00

36.71

44.69

.62

7.55

5.26

.98

5.19

$100.00

39.41

39.18

.51

7.78

3.98

2.65

6.49

$100.00

41.03

35.15

.59

6.95

3.04

5.05

8.19

$100.00

49.76

30.45

.76

3.11

2.17

7.34

6.41

Current operating expenses, excluding taxes—total. .

Salaries— officers.......................................................................

Fees paid to directors and members of executive, discount, and other committees ............................_.........

Interest on time deposits (including savings deposits) . .

Interest and discount on borrowed money. . . . ...............

Recurring depreciation on banking house, furniture and

$58.97

11.47

18.21

.60

8.37

.03

2.04

18.25

$71.79

32.43

6.93

1.51

8.30

.14

2.48

2 0 . 0 0

$67.38

27.58

7.26

1.45

10.69

. 0 1

2.24

18.15

$66.56

24.28

8.34

1.51

12.69

.0 2

2.28

17.44

$65.18

20.38

10.73

1.42

13.21

.0 1

2.30

17.13

$65.10

16.61

14.29

1.24

13.02

.0 1

2.59

17.34

$65.59

13.73

17.39

.95

12.51

.0 2

2.71

18.28

$64.37

11.59

20.09

.6 6

10.14

.06

2.38

19.45

$54.01

8.18

20.06

.26

5.59

.03

1.70

18.19

Net current operating earnings, before taxes............ $41.03 $28.21 $32.62 $33.44 $34.82 $34.90 $34.41 $35.63 $45.99

$11.63 $ 9.40 $ 9.09 $ 8.58 $ 8.72 $ 8.94 $ 8.83 $ 9.88 $13.58

Net current operating earnings, after taxes.............. $29.40 $18.81 $23.53 $24.86 $26.10 $25.96 $25.58 $25.75 $32.41

Amounts per $100 of total assets*

Current operating expenses, excluding taxes— total...........

Net current operating earnings, before taxes........................

Net current operating earnings, after taxes..........................

$ 1.74

1.03

.71

. 2 0

.51

.05

.56

$ 3.06

2 . 2 0

.8 6

.28

.58

.16

.74

$ 2.60

1.75

.85

.24

.61

.15

.76

$ 2.39

1.59

.80

.2 1

.59

. 1 1

.70

$ 2.24

1.46

.78

.19

.59

.07

.6 6

$ 2.15

1.40

.75

.19

.56

.04

.60

$ 2.06

1.35

.71

.18

.53

. 0 2

.55

$ 1.94

1.25

.69

.19

.50

.0 2

.52

$ 1.54

.83

.71

.21

.50

.07

.57

FEDERAL DEPOSIT INSURANCE CORPORATION

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Am ounts per $100 of total capital accounts1

Current operating earnings— total...........................................

Current operating expenses, excluding taxes— total...........

Net current operating earnings, before taxes.......................

Net current operating earnings, after taxes..........................

Non operating profit....................................................................

Net profits after taxes.................................................................

Cash dividends declared.............................................................

Net profits after dividends.........................................................

$26.33

15.53

10.80

3.06

7.74

.84

8.58

3.13

5.45

$22.33

16.03

6.30

2 . 1 0

4.20

1 . 2 1

5.41

1.73

3.68

$26.06

17.56

8.50

2.37

6.13

1.47

7.60

2.47

5.13

$28.50

18.97

9.53

2.44

7.09

1.31

8.40

2.70

5.70

$28.73

18.73

1 0 . 0 0

2.50

7.50

.92

8.42

2.67

5.75

$28.65

18.65

1 0 . 0 0

2.56

7.44

.53

7.97

2.63

5.34

$28.30

18.56

9.74

2.50

7.24

.28

7.52

2.54

4.98

$29.26

18.83

10.43

2.90

7.53

.23

7.76

2.59

5.17

$24.65

13.31

11.34

3.35

7.99

1.08

9.07

3.51

5.56

Special ratios1

Income on loans per $100 of loans........................................... $ 3.75 $ 7.95 $ 6.94 $ 6.40 $ 5.93 $ 5.67 $ 5.24 $ 4.53 $ 2.84

Income on securities per $100 of securities........................... 1.33 1.55 1.46 1.43 1.43 1.43 1.42 1.38 1.29

Income on service charges per $100 of demand deposits. . . .1 1 .18 .18 .2 1 . 2 2 .26 .26 . 2 0 .06

Interest paid per $100 of time and savings deposits........... .8 6 1.63 1.40 1.24 1 . 1 0 .97 .8 6 .82 .75

Assets and liabilities per $100 of total assets1

Assets— total................................................................................ $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0

Cash and due from banks...................................................... 24.22 41.72 36.94 33.03 30.13 27.51 25.78 25.08 22.52

U. S. Government securities................................................. 52.30 29.81 35.98 40.33 42.95 45.81 49.60 51.57 54.93

Other securities......................................................................... 5.33 3.98 4.80 6.14 7.09 8.13 7.47 6.23 4.36

Loans and discounts................................................................ 16.78 23.37 21.35 19.55 18.68 17.21 15.60 15.33 16.89

AH other assets.......................................................................... 1.37 1 . 1 2 .93 .95 1.15 1.34 1.55 1.79 1.30

Liabilities and capital— total............................................... $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0 $1 0 0 . 0 0

Demand deposits...................................................................... 75.73 70.29 70.00 67.08 65.14 63.24 62.60 68.99 81.53

Time deposits............................................................................ 17.04 15.60 19.88 24.38 26.90 29.06 29.89 24.00 11.41

Total deposits................................................................... 92.77 85.89 89.88 91.46 92.04 92.30 92.49 92.99 92.94

Borrowings and other liabilities........................................... .60 .39 .15 .16 .15 .18 .23 .36 .82

Total capital accounts............................................................ 6.63 13.72 9.97 8.38 7.81 7.52 7.28 6.65 6.24

Number of banks2 ......................................................................... 13,191 317 1,522 3,107 3,414 2,831 984 774 242

1 Asset and liability items are as of December 31. For ratios computed from average asset and liability items, for all insured commercial banks, see the total column in

Table 122.

2 For banks excluded see footnote 4 of Table 121.

EARNINGS OF INSURED BANKS

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SUSPENSIONS, RECEIVERSHIPS, AND MERGERS

Table 124. NUMBER AND DEPOSITS OF BANKS SUSPENDING OPERATIONS, PLACED IN RECEIVERSHIP, AND MERGED WITH THE FINANCIAL AlD §

of t h e F ed er al D eposit I nsurance C o rporation, 1934-1943

BANKS GROUPED BY CLASS, YEAR, AMOUNT OF DEPOSITS, AND STATE

All banks.

Class of bank

National banks.................. ....................

State banks members F. R. System.

Banks not members F. R. System. .

Calendar year

193 4 

193 5 

193 6 

193 7 

193 8

1939.

1940.

1941.

1942.

1943.

Banks with deposits of-

$1 0 0 , 0 0 0 or less......................

$100,000 to $250,000............

$250,000 to $500,000............

$500,000 to $1,000,000...

$1 ,0 0 0 , 0 0 0 to $2 ,0 0 0 ,0 0 0 .

$2 ,0 0 0 , 0 0 0 to $5 ,0 0 0 ,0 0 0 .

$5,000,000 to $10,000,000. .

$1 0 ,0 0 0 , 0 0 0 to $50,000,000.

More than $50,000,000........

Banks suspending operations

Number

Total

337

22

6

309

128

109

51

26

10

9

2

2

Insured

247

22

6

219

9

26

41

53

49

32

19

8

6

4

Noninsured2

90

90

48

8

3

6

7

10

4

1

3

40

25

17

Deposits (in thousands of

dollars) 1

Total

154,739

22,990

26,548

105,201

36,937

9,852

11,412

19,722

13,172

34,997

5,958

14,705

1,710

6,274

7,367

17,084

17,567

18,898

13,774

30,275

17,116

32,658

Insured

113,425

22,990

26,548

63,887

1,952

9,005

10,820

19,242

11,969

32,558

5,600

14,626

1,379

6,274

5,213

13,283

11,549

16,554

13,774

20,394

32,658

Noninsured2

41,314

41,314

34,985

847

592

480

1,203

2,439

358

79

331

2,154

3,801

6,018

2,344

’ 9,881

17,116

Banks involving FDIC disbursement

Number

Total

395

64

20

311

109

106

57

48

35

24

Placed in

receivership

244

21

6

217

86

84

35

23

10

4

Merged

151

1

27

25

24

28

24

7

14

1

23

22

22

25

25

20

Deposits (in thousands of

dollars) 1

Total

495,149

93,179

179,089

222,881

1,952

12,931

27,323

33,100

59,550

157,599

142,331

29,617

18,574

12,172

6,422

16,827

20,021

35,770

49,884

75,295

51,793

239,137

Placed in

receivership

106,964

19,396

26,548

61,020

1,952

8,702

11,037

14,715

10,121

32,558

5,600

14,626

1,379

6,274

5,010

13,136

11,827

16,554

13,774

14,005

32,658

Merged

388,185

73,783

152,541

161,861

4,229

16,286

18,385

49,429

125,041

136,731

14,991

17,195

5,898

1,412

3,691

8,194

19,216

36,110

61,290

51,793

206,479

FEDERAL DEPOSIT INSURANCE CORPORATION

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State

Alabama

Arkansas. .. .

California. . .

Colorado

Connecticut.

Florida..

Georgia.

Illinois..

Indiana.

Iowa___

Kansas..............

Kentucky.........

Louisiana..........

Maryland.........

Massachusetts.

Michigan...

Minnesota..

Mississippi.

Missouri. . .

Montana. ..

Nebraska............

New Hampshire.

New Jersey.........

New York...........

North Carolina. .

North Dakota.

Ohio...................

Oklahoma.........

Oregon...............

Pennsylvania. .

South Carolina.

South Dakota..

Tennessee.........

Texas.................

Vermont...........

Virginia...........

Washington...

West Virginia.

Wisconsin. . . .

286

1,081

84

8

1,514

140

1,013

4,624

5,704

4,805

944

6,445

1,697

828

294

640

332

7,081

213

1,009

53,031

20,335

850

1,524

2,964

1,614

14,537

347

2,759

1,679

3,724

3,341

1,025

* 1,649

6,618

100

1,081

1,514

140

967

4,382

3,416

4,097

552

4,639

1,654

828

81

640

332

5,033

213

532

30,917

13,276

850

1,509

2,242

1,550

14,070

136

2,759

1,389

3,071

3,341

558

‘ 1,649

5,899

186

’ ' 84

46

242

2,288

708

392

1,806

43

213

2,048

477

22,114

7,059

15

722

64

467

211

290

653

467

’ 719

1 1 528 1 0 0 428

5 1,081 1,081

1 1,078 1,078

1 8 8

2 1,514 1,514

1 1 414 140 274

7 1 996 967 29

6 8 6,359 1,587 4,772

14 3 9,192 3,415 5,777

3 3 5,522 503 5,019

5 4 1,247 552 695

18 4 8,431 4,434 3,997

3 1,654 1,654

2 3 4,569 828 3,741

2 3,019 3,019

3 4 12,388 145 12,243

5 640 640

3 332 332

34 1 1 6,917 5,032 1,885

3 1 296 213 83

4 532 532

1 296 296

1 1 26 184,514 *30,917 153,597

3 2 2 138,816 13,276 125,540

2 4 1,719 850 869

18 1 1 3,788 1,509 2,279

2 2,242 2,242

5 2 2,032 1,465 ........ 567

1 1,114 1,114

8 16 65,700 14,070 51,630

1 136 136

2 2 1 2,885 2,759 126

8 4 1,867 1,545 322

16 1 3,148 3,071 77

2 1 3,691 3,341 350

3 3 4,664 558 4,106

1 1,538 1,538

3 1,649 1,649

2 0 1 0 8,633 5,899 2,734

1 Deposits of insured banks are as of date of suspension or merger; deposits of noninsured banks are as of latest report prior to suspension. Figures for each bank are rounded

to thousands of dollars.

2 Excludes noninsured banks operating under restrictions or moratoria which were placed in receivership or liquidation.

N ote: For reconcilement of figures relating to number of suspensions, receiverships, and mergers, see the Annual Report for 1941, p. 99.

SUSPENSIONS. RECEIVERSHIPS, AND MERGERS 103

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o

Table 125. ASSETS AND LIABILITIES OF INSURED BANKS PLACED IN RECEIVERSHIP, 1934-1943

AS SHOWN BY BOOKS OF BANK AT DATE OF SUSPENSION

Assets j Liabilities and capital accounts

Cash and

due from

banks

U. S.G overnment

obligations

Other

securities

Loans,

discounts,

and

overdrafts

Banking

house,

furniture &

fixtures

Other

real

estate

Other

assets

Total

Total

deposits

Other

liabilities

R .F . C.

capital

Private

capital

stock

Other

capital

accounts1

Total $22,424,162 $10,036,378 $15,905,472 $65,485,187 $5,373,316 $12,293,686 $8,325,073 $139,843,274 $106,969,354 $10,121,892 $5,891,646 $12,226,999 $4,633,383

Year

1934

1935

1936

1937

1938

185,056

1,974,181

2,194,712

2,238,648

1,610,297

603,519

698,440

902,215

1,293,683

451,570

273,638

510,479

1,955,104

2,307,696

2,215,638

1,329,865

6,842,116

6,454,624

11,107,699

6,574,061

79,365

459,055

459,700

486,995

412,911

120,319

242,274

734,874

837,966

2,125,022

69,565

1,597,403

273,559

1,010,689

530,408

2,661,327

12,323,948

12,974,788

19,283,376

13,919,907

1,951,992

8,700,485

11,039,098

14,715,286

10,124,255

104,963

2 ,1 1 1 , 8 8 6

93,695

1,132,758

1,213,354

90,000

223.000

788.000

755,250

1,052,900

432,100

950,000

1,069,350

2,498,815

1,059,200

82,272

338,577

-15,355

181,267

470,198

1939

1940

1941

1942

1943

3,329.557

1,018,215

6,462,157

500,513

2,910,826

1,052,424

452,574

3,493,431

119,650

968,872

4,855,519

1,519,677

1,810,346

52,364

405,011

21,839,422

3,314,762

5,398,218

777,953

1,846,467

1,845,901

694,900

91,311

70,685

772,493

7,221,558

435,526

106,615

55,222

414,310

3,781,385

523,899

449,458

25,030

63,677

43,925,766

7,959,553

17,811,536

1,601,417

7,381,656

32,557,805

5,599,438

14,627,158

1,379,526

6,274,311

4,695,820

455,788

298,526

1,520

13,582

2,249,996

422,750

195,500

81,750

32,500

2,775,001

1,045,533

1,582,000

140.000

675.000

1,647,144

436,044

1,108,352

-1,379

386,263

1943

Case

number

241

242

, 243

205,875

412,270

99,158

187,300

77,309

284,132

14,863

56,107

490,806

264,361

52,838

9,726

3,112

2,655

6,450

6,149

4,165

35,403

72

919,185

854,711

438,855

5,168,905

862,458

767,197

474,085

4,170,571

1,104

1,415

447

25,000

7,500

25.000

25.000

25.000

600,000

5,623

53,599

-60,677

244 2,193,523 420,131 334,041' 1,038,462 757,000 401,711 24,037 10,616 387,718

i Includes surplus, undivided profits, and reserve funds minus operating deficit, if any, as shown by books. Minus (-) indicates net operating deficit.

N ote: Two banks placed in receivership in 1943 were national banks and two were commercial banks not members of the Federal Reserve System. The FDIC is receiver

for cases 241, 242, and 244; the Illinois State banking authority for case 243. Case 241—The Poultney National Bank, Poultney, Vermont; 242— Bank of Black Mountain, North

Carolina; 243— Farmers State Bank of Cullom, Illinois; 244— First National Bank and Trust Company of Easton, Pennsylvania.

Back figures— See the Annual Report for 1942, p. 98, and earlier reports.

FEDERAL DEPOSIT INSURANCE CORPORATION

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Table 126. DEPOSITORS AND DEPOSITS OF INSURED BANKS PLACED IN RECEIVERSHIP, 1934-1943

AS SHOWN BY BOOKS OF FDIC, DECEMBER 31, 1943

Number of depositors Amount of deposits

Eligible for insurance protection Insured4 Uninsured, unsecured,

not preferred, and not

subject to offset' Not eligible Secured

and

preferred5

Subject

to

offset

Total Paid by

FDIC

Fully paid

by other

methods1

Unpaid

for

insurance

protection2

Total3

Total Paid Unpaid In excess

of

insurance

maximum

Other6

Total 378,019 286,298 35,811 17,875 38,035 $109,078,626 $86,849,919 $86,007,991 $841,928 $4,801,569 $6,264,863 $9,802,687 $1,359,588

Year

5851934 15,545 11,262 937 2,761 1,966,373 944,764

6,042,799

941,008 3,756 831,832 91,005 30,607 68,165

1935 32,273 23,420 2,985 4,614 1,254 9,088,525 6,024,617 18,182 539,559 561,289 1,933,585 11,293

1936 41,831 30,924 4,677 23 6,207 11,240,970 8,055,840 8,055,563 277 659,382 660,362 1,048,034 817,352

1937 74,151 56,812 7,761 85 9,493 14,961,270 12,049,319 12,044,528 4,791 1,140,812 1,084,311 642,707 44,121

1938 43,699 31,765 7,389 24 4,521 10,295,741 9,087,562 9,032,444 5,118 340,557 525,663 252,043 89,916

1939 90,191 72,210 6 , 2 2 1 3,951 7,809 32,739,801 26,273,452 26,183,983 89,469 573,176 1,910,809 3,951,245 31,119

1940 20,671 15,680 2,935 1 1 2,045 5,656,748 4,895,819 4,893,487 2,332 182,440 341,745 221,323 15,421

1941 282,201

1942

1943

1943

Case

number

241

38,591

5,715

15,352

2,677

2,683

29,883

4,203

10,139

1,960

2,192

1 , 6 6 8

560

678

295

919

952

4,535

422

6 , 1 2 1 14,729,744

1,816,309

6,583,145

895,764

12,280,788

1,614,848

5,604,728

825,061

813,317

12,275,773

1,611,574

4,895,014

814,395

5,015

3,274

. 709,714

1 0 , 6 6 6

11,507

375,883

59,809

98,119

793,058

80,961

215,660

64,365

73,959

997,814

60,691

664,638

6,338

242 286 205 1,011,971 801,810 61,323 63,372

243

244

876

9,116

763

5,224

50

47

63

3,845

502,442

4,172,968

395,314

3,571,036

377,964

2,900,845

17,350

670,191

11,796

25,000

12,777

64,559

82,555

512,373

* Includes all depositors whose claims have been fully paid by counterclaim, by sale of security, or directly by the receiver because of preferred status.

a Includes depositors holding only uninsured deposits. See footnote 6 .

3 Includes deposits discovered or reclassified subsequent to date of suspension, and for this reason the figures differ from those in Table 125.

4 Includes all deposits paid or to be paid by FDIC.

6 Includes only the portions of secured deposits met or to be met by sale of security and of preferred deposits paid by the receiver.

« Includes (a) deposits barred from insurance because not claimed before the expiration of the period set by law, (b) restricted and deferred deposits not eligible for insurance,

and (c) deposits made after termination of insured status in 1 bank which suspended after its insured status had been terminated.

N ote: See Note to Table 1 2 B.

Bach figures— See the Annual Report for 1942, p. 99, and earlier reports.

SUSPENSIONS, RECEIVERSHIPS, AND MERGERS

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Ci

Table 127. A s s e t s AND LIABILITIES OF INSURED BANKS MERGED WITH THE FINANCIAL AlD

o f t h e F e d e r a l D e p o s it In s u r a n c e C o r p o r a t io n , 1935-1943

AS SHOWN BY BOOKS OF BANK AT DATE OF MERGER

Assets Liabilities and capital accounts

Cash and

due from

banks

U. S. Government

securities

Other

securities

Loans,

discounts,

and

overdrafts

Banking

house,

furniture &

fixtures

Other

real

estate

Other

assets

Total

Total

deposits

Other

liabilities

R. F. C.

capital

Private

capital

stock

Other

capital

accounts1

Total $82,588,788 $64,183,789 $57,300,736 $163,311,523 $16,850,000 $47,178,876 $4,998,141 $436,411,853 $388,183,484 $1,346,751 $19,234,218 $24,691,662 $2,955,738

Year

1935 404,834 233,395 1,403,807 2,256,417 608,467 10,808 4,917,728

18,966,364

21,086,180

4,228,816

16,287,262

18,384,923

140 315,000

1,664,000

1,808,400

373,772

685,333

21,006

1936

1937

3,109,830

4,717,074

2,071,296

2,495,254

2,080,059

3,520,186

8,917,554

8,678,629

1,277,605

562,181

1,184,658

926,359

325,362

186,497

19,769

262,651

310,000

609,200

1938

1939

1940

8,133,887

27,451,442

30,227,874

7,018,796

27,929,162

17,183,076

10,377,037

16,266,036

17,987,527

20,896,236

44,289,765

60,687,428

2,873,257

5,142,882

4,553,388

3,913,009

15,459,743

22,840,095

2,380,489

1,049,600

458,831

55,592,711

137,588,630

153,938,219

49,428,383

125,038,946

136,731,549

168,674

679,659

157,766

3,726,463

6,103,500

7,186,655

2,697,650

6,381,000

8,666,162

-428,459

-614,475

1,196,087

1941

1942

1943

3,167,243

4,159,617

1,216,987

801,273

3,547,766

2,903,771

2,835,309

2,275,392

555,383

8,178,623

7,731,137

1,675,734

798,028

759,861

274,331

1,014,582

1,824,586

15,844

197,669

354,362

34,523

16,992,727

20,652,721

6,676,573

14,990,768

17,195,146

5,897,691

57,508

584

289,000

913,400

96,000

1,111,250

1,748,200

300,000

544,201

795,391

382,882

1 Includes surplus, undivided profits, and reserve funds minus operating deficit, if any, as shown by books. Minus (-) indicates net operating deficit.

N ote: On September 25, 1943, The Jefferson County National Bank of Watertown, New York, with 10,455 accounts, was absorbed by The Watertown National Bank

with the aid of a disbursement by FDIC amounting to $1,672,101. For names of banks merged prior to 1943, with number of accounts and amount of disbursement by FDIC,

see the Annual Report for 1942, p. 100, and earlier reports. Power to make loans or purchase assets was contained in Banking Act of 1935.

FEDERAL DEPOSIT INSURANCE CORPORATION

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INDEX

Page

Absorption of exchange charges. See Exchange charges, absorption of.

Absorptions, consolidations, and mergers:

Of Insured banks, 1934-43. See Mergers of insured banks with financial 

aid of the Corporation; Terminations of insurance.

Of operating banks, 1943....................................................................................... 68-69

Adjusted capital account. See Capital of banks.

Adjusted value of assets. See Appraised value of assets.

Admissions to insurance:

Applications approved and disapproved............................................................ 17

By class of bank, 1943............................................................................................ 69

Applications from banks:

For admission to insurance................................................................................... 17

For approval of assumption of deposit liabilities of other banks................ 18

For approval of capital retirement or reduction.............................................. 18

For approval of establishment of branches....................................................... 17-18

For approval of repayment or release of restricted, subordinated, or

waived deposits..................................................................................... 18

Appraised value of assets. See Assets of insured banks, analysis of examinations of.

Assessments on insured banks for deposit insurance:

Amount.......................................................................................................................23, 27

Basis o f ....................................................................................................................... 61

Assets and liabilities of closed banks. See Receivership, insured banks 

placed in.

Assets and liabilities of operating banks (see also Assets of insured banks, 

analysis of examinations of; Capital of banks; Deposits; Loans 

of insured commercial banks; Securities):

All banks, June 30 and December 31, 1943...................................................... 78, 79

Commercial banks, June 30 and December 31, 1943...................................... 78, 79

Insured commercial banks:

Call dates, December 31, 1943, to December 31, 1942............................ 80

Changes during 1943......................................................................................... 33

Reports o f .......................................................................................................18, 61, 66

Mutual savings banks, June 30 and December 31, 1943............................... 78, 79

Noninsured banks, June 30 and December 31, 1943...................................... 78, 79

Sources of data......................................................................................................... 61-62

Types o f ..................................................................................................................... 33

Assets and liabilities of the Federal Deposit Insurance Corporation............... 24-27

Assets of banks purchased by the Federal Deposit Insurance Corporation:

From banks in receivership to facilitate liquidation....................................... 26

From banks merged with financial aid of the Corporation. See Mergers 

of insured banks with financial aid of the Corporation.

Liquidation o f ........................................................................................................... 14-15

Assets of insured banks, analysis of examinations of (see also Fixed and 

substandard assets of insured commercial banks; Loans of 

insured commercial banks; Securities):

Definitions of terms used:

Appraised value................................................................................................. 63

Book value.......................................................................................................... 63

Criticized.............................................................................................................. 64

Examiners* net deductions.............................................................................. 64

109

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Assets of insured banks, analysis of examinations of (see also Fixed and 

substandard assets of insured commercial banks; Loans of 

insured commercial banks; Securities):— Continued 

Definitions of terms used (continued):

Fixed and substandard..................................................................................... 64

Substandard........................................................................................................ 64

Uncriticized......................................................................................................... 64

Insured commercial banks, 1943:

Grouped by amount of deposits.................................................................... 82

Grouped by Federal Deposit Insurance Corporation District...............88, 89

Grouped by fixed and substandard assets ratio........................................ 86, 87

Grouped by net sound capital ratio.............................................................. 84, 85

Number included, by month of examination............................................. 63

Sources of data......................................................................................................... 62

Assets of insured banks, quality of (see also Assets of insured banks, analysis

of examinations o f ) ............................................................................... 32

Assets pledged to secure bank obligations............................................................... 81

Bank management. See Management of banks, quality of.

Bank supervision (see also Examinations of banks):

Purposes and objectives......................................................................................... 12

State legislation regarding, during 1943 .................................................20-21, 49-56

Supervisory activities of the Federal Deposit Insurance Corporation:

Actions to terminate insured status of banks engaged in unsafe or

unsound practices or violations of law or regulations................. 11-12

Actions on applications from banks. See Applications from banks.

Reports required from banks.......................................................................... 18

Bankers’ directories, data obtained fro m ....................................................59, 61, 62, 63

Banking offices, establishment o f:

Banks beginning operations, 1943....................................................................... 68

Branches, establishment approved by Corporation........................................ 17-18

Branches opened, 1943........................................................................................... 69

Banking offices, number of. See Number of operating banking offices.

Banking practices. See Bank supervision; Unsafe and unsound banking 

practices.

Banks beginning operations. See Banking offices, establishment of.

Banks ceasing operations, 1943................................................................................... 68

Banks closed because of financial difficulties (see also Mergers of insured 

banks with financial aid of the Corporation; Receiverships, 

insured banks placed in ):

Depositors protected by the Federal Deposit Insurance Corporation:

Fully protected, in insured banks placed in receivership, or merged

with the financial aid of the Corporation....................................... 13-14

Number o f ........................................................................................................... 14

Number of, in insured banks merged with financial aid of the

Corporation............................................................................................ 14,106

Number of, in insured banks placed in receivership................................ 14,105

Insured banks placed in receivership or merged with financial aid of the 

Corporation:

Deposits protected......................................................................................13-15, 105

Disbursements by the Corporation in connection w ith...........14-15, 105, 106

Loss to depositors.............................................................................................. 14

Loss to Federal Deposit Insurance Corporation........................................ 8, 15

Number and deposits of, 1934-43:

By amount of deposits............................................................................... 102

By class of bank.......................................................................................... 102

By State......................................................................................................... 103

By year........................................................................................................... 102

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Banks closed because of financial difficulties (see also Mergers of insured 

banks with financial aid of the Corporation; Receivership,

insured banks placed in ):— Continued 

Suspensions:

Number and deposits, 1934-43:

By amount of deposits............................................................................... 102

By class of bank.......................................................................................... 102

By State......................................................................................................... 103

By year.......................................................................................................... 102

Number, 1943..................................................................................................... 68,102

Of banks charged with unsafe and unsound banking practices............. 16-17

Banks operating branches. See Banking offices, establishment of; Number 

of offices of banks operating branches.

Board of Directors of the Federal Deposit Insurance Corporation................... 21

Board of Governors of the Federal Reserve System:

Data obtained from ................................................................................................. 59, 61

Review of examination reports submitted b y ................................................... 16

Ruling by. See Exchange charges, absorption of.

Book values of banks assets and liabilities. See Assets and liabilities of operating banks; Assets of insured banks, analysis of examinations of; 

Capital of banks.

Branches. See Banking offices, establishment of; Classification of banks and 

banking offices; Number of offices of banks operating branches.

Capital of banks (see also Assets and liabilities of operating banks; Capital 

ratios; Earnings, expenses, and dividends of insured banks):

Adequacy o f................................................................................................... 31-32, 34-35

Analysis of examinations:

Definition of terms used:

Book value.................................................................................................... 63

Examiners' net deductions........................................................................ 64

Net sound capital........................................................................................ 64-65

Private capital.............................................................................................. 65

R. F. C. capital........................................................................................... 65

Total capital accounts............................................................................... 64

Insured commercial banks, 1943:

Grouped by amount of deposits.............................................................. 82, 83

Grouped by Federal Deposit Insurance Corporation District......... 88, 89

Grouped by fixed and substandard assets ra tio.................................. 86, 87

Grouped by net sound capital ratio....................................................... 84, 85

Of insured banks placed in receivership............................................................. 104

Reductions and retirements approved by the Corporation.......................... 18

Total capital accounts:

Commercial and mutual savings banks, insured and noninsured,

June 30 and December 31, 1943....................................................... 78, 79

Insured commercial banks:

Examined in 1943....................................................................................... 82-89

Call dates, December 31, 1942, to December 31, 1943..................... 81

Definition...................................................................................................... 64

Discussion o f ................................................................................................ 35

Unsafe and unsound practices................................................................... 11-12, 16-17

Capital ratios:

Net sound capital to assets:

Insured commercial banks, 1943. See Capital of banks, analysis of 

examinations.

Insured commercial banks grouped by, 1943:

Analysis of examinations of capital and liabilities, amounts and

ratios........................................................................................................ 84, 85

Appraised values of total assets, securities, loans, and fixed and

miscellaneous assets— amounts and ratios...................................... 84, 85

Deposits o f .................................................................................................... 95

Number o f..................................................................................................... 94

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112 FEDERAL DEPOSIT INSURANCE CORPORATION

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Capital ratios:— Continued

Net sound capital to deposits...................................................................83, 85, 87, 89

Total capital accounts to loans, investments other than U. S. Government

obligations, and miscellaneous assets............................................... 35

Cash depositories............................................................................................................ 59

Charge-offs on bank assets........................................................................................... 36, 97

Class of bank, banking data presented by:

Admissions to and terminations of insurance................................................... 68-69

Assets and liabilities................................................................................................78, 79

Banks which suspended operations..................................................................... 102

Deposits..........................................................................................................76-77, 78, 79

Earnings of insured banks..................................................................................... 96, 98

Insured banks placed in receivership or merged with financial aid of the

Corporation............................................................................................ 102

Number of banking offices..................................................................................... 68-75

Number of banks..................................................................................................... 68-77

Classification of banks and banking offices.............................................................. 59, 60

Closed banks. See Banks ceasing operations; Banks closed because of financial 

difficulties; Receivership, insured banks placed in.

Commercial banks. See Assets and liabilities of operating banks; Assets of 

insured banks, analysis of examinations of; Capital of banks; 

Deposits; Earnings, expenses, and dividends of insured banks; 

Number of operating banks.

Commercial banking offices. See Number of operating banking offices.

Comptroller of the Currency:

Data obtained from ........................................................................................... 59, 62, 63

Director of Corporation......................................................................................... 21

Examination of insured banks b y ........................................................................ 11

Insured banks not members of the Federal Reserve System reporting t o . . 61 

Review of reports of examinations made b y ..................................................... 16

Consolidations. See Absorptions, consolidations, and mergers.

Consumer loans. See Instalment loans.

Criticized assets. See Assets of insured banks, analysis of examinations of.

Demand deposits. See Assets and liabilities of operating banks; Deposits, 

classified by type of deposit.

Depositors (see also Insurance coverage):

Claims against closed insured banks. See Receivership, insured banks 

placed in.

Losses. See Banks closed because of financial difficulties; Receivership, 

insured banks placed in.

Protected in insolvent or hazardous banks suspended or merged. See Banks 

closed because of financial difficulties.

Deposits:

Adjusted..................................................................................................................... 65, 82

Amount of, banks grouped by:

Banks which received financial aid from the Corporation...................... 102

Banks which suspended operations............................................................... 102

Insured commercial banks examined in 1943.................................82, 83, 94, 95

Insured commercial banks operating throughout 1943............................ 100

Claims barred............................................................................................................ 14,15

Classified by type of deposit:

Commercial banks, June 30 and December 31, 1943............................... 78, 79

Insured banks placed in receivership, 1934-43........................................... 105

Insured commercial banks, call dates, December 1943 to December 1942 80

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Deposits:—Continued 

Definition:

For assessment purposes.................................................................................. 61

For reports of assets and liabilities............................................................... 62

In reports of examinations.............................................................................. 65

Demand. See Deposits, classified by type of deposit.

Growth....................................................................................................................... 31

Insured and otherwise protected:

In banks merged with financial aid of the Corporation................... 14-15, 106

In banks placed in receivership.............................................................. 14-15, 105

Interbank. See Deposits, classified by type of deposit.

Interest on. See Time and savings deposits.

Of individuals, partnerships, and corporations. See Deposits, classified 

by type of deposit.

Paid and unpaid in closed insured banks..........................................................14,105

Payments of, to insured depositors. See Receivership, insured banks 

placed in.

Postal savings deposits. See Deposits, classified by type of deposit.

Preferred. See Deposits, secured and preferred.

Protected by the Corporation. See Deposits, insured and otherwise 

protected.

Public funds. See Deposits, classified by type of deposit.

Savings. See Time and savings deposits.

Secured and preferred:

Insured banks placed in receivership, 1934-43...........................................14,105

Insured commercial banks, call dates, December 31,1943 to December

31, 1942................................................................................................... 81

Sources of data......................................................................................................... 61

Subject to offset. See Receivership, insured banks placed in.

Time. See Time and savings deposits.

Uninsured deposits of insured banks placed in receivership..................14-15, 105

United States Government. See Deposits, classified by type of deposit. 

Unsecured. See Receivership, insured banks placed in.

Deposits in:

All banks:

June 30, 1943...................................................................................................... 78

December 31, 1943............................................................................................ 76, 79

All patvimnr/^iq 1 Vioyilrcs*

Call dates, December 31, 1943 to December 31, 1942............................. 80

December 31, 1943............................................................................................ 76, 79

June 30, 1943...................................................................................................... 78

All insured banks:

June 30, 1943...................................................................................................... 78

December 31, 1943............................................................................................ 76, 79

All mutual savings banks:

December 31, 1943............................................................................................ 76, 79

June 30, 1943...................................................................................................... 78

Banks located in each State and possession, December 31, 1943................ 76-77

Banks for which the Corporation is receiver.................................................... 15

Banks which received financial aid from the Corporation.............13-15, 102,106

Insured banks merged with financial aid of the Corporation. . . . 14-15, 102, 106

Insured banks placed in receivership..................................................14-15, 102, 105

Insured commercial banks:

At time of examination, 1943. See Deposits, adjusted.

Call dates, December 31, 1943 to December 31, 1942............................. 80

December 31, 1943............................................................................................ 76, 79

June 30, 1943...................................................................................................... 78, 80

Insured mutual savings banks:

December 31, 1943............................................................................................ 76, 79

June 30, 1943...................................................................................................... 78

Noninsured banks:

December 31, 1943............................................................................................ 76, 79

June 30, 1943...................................................................................................... 78

Suspended banks...................................................................................................... 102

Depreciation. See Earnings, expenses, and dividends of insured banks.

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114 FEDERAL DEPOSIT INSURANCE CORPORATION

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Dividends:

To depositors in mutual savings banks......................................................... . 38, 97

To stockholders of operating insured banks:

Amount of. See Earnings, expenses, and dividends of insured banks.

Rates o f................................................................................................................ 101

Relative to net earnings and net profits...................................................... 36

Earnings, expenses, and dividends of insured banks:

Insured commercial banks, 1934-1943:

Am ounts............................................................................................................... 37

Discussion o f ....................................................................................................... 35-37

Interest received and paid............................................................................... 37

Rates of income received and interest paid................................................ 37

Rates of net earnings and net profits........................................................... 36, 37

Insured commercial banks, 1943:

Amounts, by class of bank.............................................................................. 96

Discussion o f ....................................................................................................... 35-37

Ratios to total assets, by size of bank......................................................... 100

Ratios to total current earnings.................................................................... 98

Insured commercial banks examined in 1943, grouped by rate of net

earnings................................................................................................... 94, 95

Insured mutual savings banks:

Amounts, 1943.................................................................................................... 96

Discussion o f ....................................................................................................... 38

Sources of data......................................................................................................... 65

Employees:

Federal Deposit Insurance Corporation............................................................. 21

Insured commercial banks, December 31, 1943............................................... 97

Insured mutual savings banks, December 31, 1943........................................ 97

Examinations of banks (see also Assets of insured banks, analysis of examinations o f; Capital of banks):

Banks cited for unsafe and unsound practices................................................. 16-17

Banks examined by the Federal Deposit Insurance Corporation.. .11, 15-16, 61

Date from reports of examination............................................................33-35, 82-95

Definition of terms.................................................................................................. 63, 65

Effect of war on ............ ........................................................................................... 15-16

Review of examinations made by Comptroller of Currency and Federal

Reserve banks........................................................................................ 16

Tabulation of reports, 1943................................................................................... 63

Uniform examination procedure.......................................................................... 62

Examiners:

Analysis of bank examinations made by. See Assets of insured banks, 

analysis of examinations of; Capital of banks.

Employed by the Corporation. See Employees, Federal Deposit Insurance 

Corporation.

Exchange charges, absorption of:

Effect on small country banks.............................................................................. 9

L egislation............................................................................................................... 19

Ruling of Board of Governors of the Federal Reserve System...............18-19, 48

Expenses of banks. See Earnings, expenses, and dividends of insured banks.

Expenses of the Federal Deposit Insurance Corporation. See Federal Deposit 

Insurance Corporation.

Failures of banks. See Banks closed because of financial difficulties.

Federal bank supervisory authorities. See Bank supervision; Board of 

Governors of the Federal Reserve System; Comptroller of the 

Currency; Federal Deposit Insurance Corporation; Federal 

Reserve banks.

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Federal Deposit Insurance Corporation:

Actions by:

On applications from banks. See Applications from banks.

To terminate insured status of banks.......................................................... 16-17

Assessments on insured banks..................................................................23, 24, 26, 27

Assets and liabilities................................................................................................ 24-27

Audit........................................................................................................................... 25-27

Balance sheet............................................................................................................ 25-27

Banks examined by, and submitting reports t o ............................................... 61

Bank supervision by. See Bank supervision.

Board of Directors................................................................................................... v, 21

Borrowing pow er..................................................................................................... 26-27

Capital...................................................................................................................25, 27, 24

Claims held against suspended and merged banks..........................................25, 26

Depositors protected by. See Banks closed because of financial difficulties.

Disbursements for protection of depositors........................................... 13-15, 23-24

Districts......................................................................................................................vi, vii

Divisions..................................................................................................................... 22

Employees....................................... .......................................................................... 22

Examination of banks. See Examinations of banks.

Expenses..................................................................................................................... 23-24

Incom e........................................................................................................................ 23-24

Insured banks receiving financial aid from. See Banks closed because of 

financial difficulties.

Insured deposits. See Deposits, insured and otherwise protected.

Investments...............................................................................................................25, 26

Liquidation of assets of insured banks in financial difficulties..................... 14

Loans to and purchase of assets from insured banks. See Mergers of 

insured banks with financial aid of the Corporation.

Losses incurred:

During 1943........................................................................................................ 23

During 1934-43................................................................................................7,15, 23

Prevention of, by supervisory activity......................................................... 12

Reserve fo r.......................................................................................................... 25,26

Officers........................................................................................................................ v, 21

Operations.................................................................................................................3, 7, 27

Organization and staff........................................................................................ iv, 21-22

Payments to insured depositors...........................................................................14,105

Policies........................................................................................................................ 7-10

Powers...................................................................................................................... 3, 11-18

Protection of depositors. See Banks closed because of financial difficulties. 

Purchase of assets to facilitate completion of liquidation of banks in

receivership............................................................................................. 14,26

Receiver for insured banks..............................................................................14-15, 104

Recoveries from banks in financial difficulties................................................. 14

Regulations................................................................................................................ 48

Repayments to .......................................................................................................... 15

Reports from banks................................................................................................. 18,61

Reserves for losses................................................................................................... 25, 26

State legislation affecting operations, 1942............................................ 20-21, 49-56

Supervisory activities. See Bank supervision.

Surplus.............................................................................................................. 8, 24-25, 27

Federal Deposit Insurance Corporation Districts:

Banks classified b y .................................................................................................. 88, 89

States and possessions served............................................................................... vi, vii

Federal Reserve banks:

Data obtained from ................................................................................................. 62

Review of bank examinations made b y .............................................................. 16

Fixed and miscellaneous assets. See Assets and liabilities of operating banks;

Assets of insured banks, analysis of examinations of; Receivership, insured banks placed in.

Fixed and substandard assets of insured commercial banks (see also Assets of 

insured banks, analysis of examinations of; Capital of banks):

Banks classified by ratio to assets.................................................... 86, 87, 90, 91, 92

Banks classified by ratio to net sound capital.................................................. 35

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Fixed and substandard assets of insured commercial banks (see also Assets of 

insured banks, analysis of examinations of; Capital of banks):

— Continued

Banks with substandard assets............................................................................ 33, 34

Definition................................................................................................................... 64

Discussion o f ............................................................................................................. 34

Head offices of branch systems. See Number of offices of banks operating 

branches.

Insolvent or hazardous banks. See Bank supervision; Banks closed because 

of financial difficulties.

Instalment loans, how reported.................................................................................. 62

Institutions excluded from figures of operating banks......................................... 60

Insurance coverage. See Deposits, insured and otherwise protected.

Insurance status, banks classified by:

Assets and liabilities o f........................................................................................... 78, 79

Deposits o f ................................................................................................................. 76-77

Number o f................................................................................................................. 68-77

Suspensions o f.........................................................................................................102-103

Insured banks. See:

Absorptions, consolidations, and mergers;

Admissions to insurance;

Assets and liabilities of operating banks;

Assets of insured banks, analysis of examinations of;

Assets of insured banks, quality of;

Banking offices, establishment of;

Banks ceasing operations;

Banks closed because of financial difficulties;

Capital of banks;

Classification of banks and banking offices;

Class of bank, banking data presented by;

Deposits;

Deposits in;

Earnings, expenses, and dividends of insured banks;

Employees;

Examinations of banks;

Loans of insured commercial banks;

Mergers of insured banks with financial aid of the Corporation;

Mutual savings banks;

Number of offices of banks operating branches;

Number of operating banking offices;

Number of operating banks;

Number of unit banks;

Receivership, insured banks placed in;

Securities;

States, banking data classified by;

Terminations of insurance;

Unsafe and unsound banking practices.

Insured commercial banks not members of the Federal Reserve System.

See Class of bank, banking data presented by.

Insured commercial banks submitting reports to the Federal Deposit Insurance Corporation............................................................................. 61

Insured deposits. See Deposits, insured and otherwise protected.

Insured mutual savings banks. See Mutual savings banks.

Insured State banks members of the Federal Reserve System. See Class of 

bank, banking data presented by.

Interbank deposits. See Deposits, classified by type of deposit.

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Interest:

Amounts. See Earnings, expenses, and dividends of insured banks.

Rate on loans............................................................................................................ 37

Rate on securities, 1934-43.................................................................................... 37

Rate on time and savings deposits...................................................................... 37

Investments of banks. See Assets and liabilities of operating banks; Securities;

United States Government obligations; Unsafe and unsound 

banking practices.

Investments of the Federal Deposit Insurance Corporation.............................. 23-25

Law, violations of by insured banks......................................................................... 16-17

Legislation in 1943 related to deposit insurance and banking:

Federal:

Deduction of reserve for bad debts in determining tax liability...........20, 48

Overtime compensation to government employees....................... 19-20, 46-47

War Loans:

Deposits......................................................................................................... 19, 45

War housing insurance fund.................................................................... 20

State:

Affecting insured banks................................................................................... 21

Amendment of banking codes........................................................................ 49-56

Liquidation, banks placed in ....................................................... 14-15, 68, 102-103, 104

Loans of insured commercial banks (see also Unsafe and unsound banking 

practices):

Amounts.................................................................................................. 31, 78, 79, 80-81

Analysis of examinations of insured commercial banks, 1943:

Appraised and book values, examiners* net deductions, substandard,

and not criticized......................................................................82, 84, 86, 88

Ratios of appraised value to book value.........................................83, 85, 87, 89

Changes, 1943........................................................................................................... 32

Interest on. See Earnings, expenses, and dividends of insured banks.

Rate of income on ................................................................................................... 37

Types.......................................................................................................................... 32

War financing........................................................................................................... 13

Loans to insolvent or hazardous insured banks by Federal Deposit Insurance 

Corporation. See Mergers of insured banks with financial aid 

of the Corporation.

Losses:

Of banks:

Charged off. See Charge-offs on bank assets.

Reserves permitted as deductions for tax liabilities................................. 20, 48

Of depositors. See Banks closed because of financial difficulties; Receivership, insured banks placed in.

Of the Federal Deposit Insurance Corporation. See Federal Deposit 

Insurance Corporation.

Management of banks, quality of. See Unsafe and unsound banking practices.

Mergers. See Absorptions, consolidations, and mergers; Mergers of insured 

banks with financial aid of the Corporation.

Mergers of insured banks with financial aid of the Corporation (see also Banks 

closed because of financial difficulties):

Banks cited for unsafe and unsound practices............................................ 11, 16-17

Classification of banks merged............................................................................. 60-61

Collections by Corporation on assets purchased or held as collateral........ 15

Deposits protected................................................................................................... 14

Disbursements by Corporation............................................................................ 15,106

Loans and assets purchased by the Corporation........................................ 15, 25-26

Losses incurred by Corporation..................................................................8, 15, 25-26

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Mergers of insured banks with financial aid of the Corporation (see also Banks 

closed because of financial difficulties):— Continued

118 FEDERAL DEPOSIT INSURANCE CORPORATION

Names and location of banks merged, 1943..................................................... 106

Number of banks merged.................................................................................... 102-103

Procedure................................................................................................................... 13-16

Protection afforded depositors.............................................................................. 3, 13

Repayments to Corporation.................................................................................. 15

Morris Plan banks, classification o f.......................................................................... 59, 60

Mutual savings banks:

Advisory council on savings banks established July 1, 1943........................ 38

Insured:

Assets and liabilities, June 30 and December 31, 1943............................ 78-79

Classification........................................... ........................................................... 60

Deposits:

By State, December 31, 1943.................................................................. 76-77

June 30 and December 31, 1943.............................................................. 78-79

Discussion o f ....................................................................................................... 38

Earnings, expenses, and dividends...........................................................38, 96, 98

Number:

By State, December 31, 1943.................................................................. 76-77

By type of office, December 31, 1943.................................................... 70-75

Changes during 1943.................................................................................. 68-69

Insured and noninsured:

Assets and liabilities, June 30 and December 31, 1943............................ 78, 79

Classification....................................................................................................... 60

Deposits, by State, December 31, 1943....................................................... 76-77

Number:

By State, December 31, 1943.................................................................. 76-77

By type of office, December 31, 1943.................................................... 70-75

Changes during 1943.................................................................................. 68-69

National banks. See Class of bank, banking data presented by; Comptroller 

of the Currency; Losses of banks.

Net earnings of insured commercial banks. See Earnings, expenses, and 

dividends of insured banks.

Net profits of insured commercial banks. See Earnings, expenses, and dividends of insured banks.

Net sound capital of insured commercial banks. See Capital of banks; Capital 

ratios.

New banks. See Banking offices, establishment of.

Noninsured banks. See:

Absorptions, consolidations, and mergers;

Admissions to insurance;

Assets and liabilities of operating banks;

Banks closed because of financial difficulties;

Capital of banks;

Class of bank, banking data presented by;

Classification of banks and banking offices;

Deposits;

Number of offices of banks operating branches;

Number of operating banking offices;

Number of operating banks;

Number of unit banks.

Number of offices of banks operating branches:

rj pVi aq•

Changes during 1943......................................................................................... 69

December 31, 1943, by class of bank and States and possessions........ 70-75

Definition............................................................................................................. 59, 60

Head offices, (banks operating branches):

December 31, 1943, by class of bank and States and possessions............... 70-75

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Number of operating banking offices:

All offices...............................................................................................................68, 70-75

Changes during 1943............................................................................................... 68

Classification............................................................................................................. 59-60

December 31, 1943, by class of bank and States and possessions............... 70-75

Number of operating banks:

All banks:

Admissions to insurance................................................................................... 17,68

Approved for admission to insurance........................................................... 17-18

Changes during 1943........................................................................................ 68-69

Classification...................................................................................................... 59-60

December 31, 1943, by class of bank and States and possessions........ 76-77

June 30 and December 31, 1943.................................................................... 78-79

Terminations of insurance..........................................................................16, 68-69

Commercial banks:

Admissions to insurance................................................................................... 68-69

Changes during 1943........................................................................................ 68-69

Classification...................................................................................................... 59-60

December 31, 1943, by class of banks and States and possessions. . . . 76-77

June 30 and December 31, 1943.................................................................... 78, 79

Insured commercial banks:

Applications approved and disapproved..................................................... 17-18

Call dates, December 31, 1943, to December 31, 1942............................ 80

Changes during 1943........................................................................................ 68-69

Classification...................................................................................................... 59-60

December 31, 1943, by States and possessions.......................................... 76-77

Operating throughout 1943:

By amount of deposits.............................................................................. 101

Reports of examinations in 1943 tabulated:

By amount of deposits.................................................................. 82, 83, 94, 95

By Federal Deposit Insurance Corporation District..................... 88, 89, 93

By month of examination......................................................................... 63

By rate of net earnings.............................................................................. 94-95

By ratio of fixed and substandard assets to net sound capital. . . . 34 

By ratio of fixed and substandard assets to total assets 86, 87, 92, 94, 95

By ratio of net sound capital to total assets..................... 84, 85, 91, 94, 95

By ratio of substandard assets to total assets..................................... 34

Mutual savings banks. See Mutual savings banks.

Noninsured banks:

Changes during 1943........................................................................................ 68-69

Classification....................................................................................................... 59-60

December 31, 1943, by class of bank and States and possessions........ 76-77

June 30 and December 31, 1943.................................................................... 78, 79

Unit banks:

December 31, 1943, by class of bank and States and possessions........ 70-75

Definition............................................................................................................. 60

Officers, active, of insured banks. See Employees.

Officers and employees of the Federal Deposit Insurance Corporation...........21-22

Operating banks. See Number of operating banks.

Par list, definition o f...................................................................................................... 66

Payments to depositors in closed insured banks. See Receivership, insured 

banks placed in.

Polk’s Bankers Encyclopedia, data obtained from ................................................ 59

Possessions, bank and branches located in:

Deposits o f ................................................................................................................ 76-77

Number o f ......................................................................................................70-75, 76-77

Post-war policies in banking................... ...................................................... 12-13

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Postal savings deposits. See Deposits, classified by type of deposit.

Preferred deposits. See Deposits, secured and preferred.

Profits. See Earnings, expenses, and dividends of insured banks.

Protection of depositors. See Banks closed because of financial difficulties; 

Deposits, insured and otherwise protected.

Public funds. See Deposits, classified by type of deposit.

Purchase of bank assets by Corporation. See Assets of banks purchased by 

the Federal Deposit Insurance Corporation.

Rand McNally Bankers Directory, data obtained from ...................................... 59

Real estate, loans on. See Assets and liabilities of operating banks.

Receivership, insured banks placed in (see also Banks closed because of 

financial difficulties):

Activities of Corporation as receiver o f............................................................. 15,104

Assets and liabilities of, at dates of suspension, 1934-43............................... 104

Depositors:

Extent of protection by insurance......................................................... 13-15, 105

Method of protection....................................................................................... 13-15

Number eligible for protection, paid and unpaid...................................... 105

Payments to ................................................................................................. 14-15, 105

Deposits:

Insured, paid and unpaid by December 31, 1943..................................... 14,105

Not eligible for insurance protection............................................................14,105

Paid and unpaid, December 31, 1943...........................................................14,105

Secured, preferred, and subject to offset..................................................... 14,105

Unclaimed accounts..........................................................................................14,105

Uninsured............................................................................................................ 14,105

Liquidation o f ........................................................................................................... 15

List of banks, 1943...................................... ^......................................................... 104

Losses by Corporation on depositors’ claims paid........................................... 15

Names and location of, during 1943................................................................... 104

Number of banks..................................................................................................... 102

Payments to depositors..........................................................................................14,105

Purchase of assets from .......................................................................................... 15

Receivers....................................................................................................................15,104

Sources of data.................................................................................................... 59, 60-61

Reconstruction Finance Corporation, capital of insured banks held by:

Amount. See Capital of banks.

Retirements............................................................................................................... 18

Recoveries:

By banks on assets charged off. See Charge-offs on bank assets.

By Federal Deposit Insurance Corporation on disbursements in closed

banks........................................................................................................ 15

Regulations. See Federal Deposit Insurance Corporation.

Repayments to the Corporation................................................................................. 15

Reports from banks....................................................................................................... 18

Reserves::

Deductions in determining tax liabilities...........................................................20, 48

In bank assets and liabilities. See Assets and liabilities of operating banks.

Of Federal Deposit Insurance Corporation.......................................................25, 26

Risk bearing and the financing of private enterprise............................................ 12-13

Savings and time deposits. See Time and savings deposits.

Secured and preferred deposits. See Deposits, secured and preferred; Receivership, insured banks placed in.

120 FEDERAL DEPOSIT INSURANCE CORPORATION

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Securities (see also Assets and liabilities of operating banks; United States 

Government obligations):

Examiners’ appraisal of, method used................................................................ 63, 64

Held by Federal Deposit Insurance Corporation...................................... 24, 25, 26

Held by insured banks placed in receivership, 1934-1943............................. 104

Held by insured commercial banks:

Amounts, call dates, December 31, 1943, to December 31, 1942......... 80-81

Analysis of examinations:

Appraised and book values, examiners’ net deductions, substandard, and not criticized...................................................82, 84, 86, 88

Ratios of appraised to book values............................................ 83, 85, 87, 89

Interest on. See Earnings, expenses, and dividends of insured banks.

Rate of income on ............................................................................................. 37

U. S. Government obligations and other securities, book and appraised

values, examinations in 1942 and 1943...................................... 91, 92, 93

War financing............................................................................................................ 13

Size of banks, banks classified by. See Deposits, amount of, banks grouped by.

State banks members of the Federal Reserve System. See Class of bank, 

banking data presented by.

State banks not members of the Federal Reserve System. See Class of bank, 

banking data presented by.

State bank supervisory authorities:

Data obtained from ............................................................................................59, 61, 62

State legislation regarding functions o f .............................................................. 20-21

State legislation regarding deposit insurance and bank supervision............ 20-21, 49

States, banking data classified by:

Deposits, December 31, 1943:

Commercial banks, insured and noninsured............................................... 76-77

Mutual savings banks, insured and noninsured........................................ 76-77

Number of operating banks or offices, December 31, 1943:

All banking offices, by class of bank and type of office........................... 70-75

All banks.............................................................................................................. 76-77

Commercial banks, insured and noninsured............................................... 76-77

Mutual savings banks, insured and noninsured........................................ 76-77

Suspensions, receiverships, and mergers............................................................ 103

Stockholders of banks:

Losses of. See Banks closed because of financial difficulties.

Net profits of insured commercial banks, available for. See Earnings, 

expenses, and dividends of insured banks.

Substandard assets. See:

Assets of insured banks, analysis of examinations of;

Fixed and substandard assets of insured commercial banks;

Loans of insured commercial banks;

Securities.

Supervision. See Bank supervision.

Suspensions. See Banks closed because of financial difficulties; Receivership, 

insured banks placed in.

Subrogated claims of depositors.................................................................................25, 26

Taxes paid by insured banks. See Earnings, expenses, and dividends of 

insured banks.

Terminations of insurance:

For unsafe and unsound banking practices and violations of law or

regulations.............................................................................................. 16-17

Number, 1943...................................................................................................... 16, 68-69

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Time and savings deposits:

Amount, insured commercial banks, call dates, December 31, 1943, to

December 31, 1942............................................................................... 80

Interest paid on:

Amounts. See Earnings, expenses, and dividends of insured banks.

Rates o f................................................................................................................ 37

Trust companies:

Classification o f ........................................................................................................ 59

Number not engaged in deposit banking...............................................76-77, 78, 79

Trust departments, assets o f....................................................................................... 62

Unit banks. See Deposits in; Number of unit banks.

United States Government obligations (see also Assets and liabilities of 

operating banks; Securities):

Held by Federal Deposit Insurance Corporation............................................ 25, 26

Held by insured commercial banks, December 31, 1943, to December 31,

1942.......................................................................................................... 80-81

Purchase of, by insured commercial banks, 1943............................................ 31-32

Unsafe and unsound banking practices:

Actions of Corporation...................................................................................................16

Number of banks cited...................................................................................................17

Types of, for which banks were cited.........................................................................17

Unsecured deposits. See Receivership, insured banks placed in.

Violations of law or regulations.................................................................................. 16-17

War:

Bank supervision and the war.............................................................................. 15-16

Effects of wartime changes on the banks......................................................... 9, 31

Growth in bank assets and deposits................................................................... 9, 31

Overtime pay act of 1943 .................................................................................19-20, 46

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