The Evansville daily journal. [volume] (Evansville, Ia. [i.e. Ind.]) 1848-1862, 1857-05-04
The Evansville Branch of the Old
State Bank.

/
szDucrros or LOANS IRON HAT, 1856, to xAr, 1857.
I" 1a, is5I................. 1900
Less now than year ago. -. $4,000
SEDUCTION or 10 ANS FROM JANUARY TO NAY i,ls5s.
Amount of loans' Dec 81, isS6, when Bank ooo
Amount Of loans, May Isl, ls5s....-....... 1900
Loans called tJ'5,COO
REDUCTION or CIRCULATION IRON JANUARY TO
MAY I, 1851.
Notes in circulation Dec. 3l t3ssll
May ], ls5'.....-.-...--..-. I9e.i"
Amount redeemed tio4,sS4
ORIGINAL CAPITAL AND SURPLUS FUNDS
Capital Of the Branch paid In .sl52,0o0
surplus Fund, profits undivided .. 90
The above exhibit is equally creditable to
the Bank and the community who have been
its customers. 1t appears that the loans have |
been reduced over one quarter Of million |
from the amount due the Bank one year ago; |
that the Bank has called in since the frs. day |
of January last, of the large sum which then |
was in the hands Of our business men. $685.
600. In the same period, the Bank has re-
734. All this has been done in the period OF
four months. That our merchants have sus-
tanned this severe curtailment of their regular
facilities of doing business, without serious
embarrassment, is the strongest evidence of
their financial strength and ability The
loans of the Branch have constituted two
thirds of the Bank accommodations enjoyed
by the community. That nearly fve-sixths
of these loans could be returned to the Bank
in the space of four months-without any re-
sources to supply the drain but their own
pockets-witlout any serious embarrassment
to a single individual debtor, is the highest
testimony that can be given of the soundness
and safety of our entire business community.
In less than sixty days, the balance due the
old Bank, win be called in and pail, making
the entire amount distracted from the active
means of the community, s454, 700. This is
an amount that few communities, even in
older and Weather States ofthe size ofEvans-
vile, could liquidate in SO short period,
without suffering serious pecuniary distress.
During this rapid collection of her debts,
by the old Bank, there has been no substitute
to supply the vacuum she has been creating
in the currency. The Free Banks were, be-
fore the process began, extended to the proper
limits of their means, ind could, therefore,
grant no additional favors. The new Bank
is not yet in operation; and the private ssso-
citation of Messrs. Rathbone 81 Co., was de-
signed only for a collecting and exchange
agency to preserve ad interim the cOrrespon-
dence of the old Bank. The money collected
by the old Bank has been gathered into her
vault, and is now held there, ready to be used
in redeeming her circulation as 1t may come
in, and to be paid over to her stock holders
when the division shah be made. She has
now on hand, in her vaults, enough to meet
her whole circulation, and pay her stockhold-
ers the original par amount of their stock
and from her future collections, she viii real
ize a surplus fund for the stockoldsss Of abou,
so per cent. This is, indeed, most success
full settlement of the affairs Of an institution
that has passed through all the financial vi
cissitudes ofthe last twenty years. The direct
ors may. confidently challenges d comparison
with any similar institution that has terIni-
mated in its career in the country.
The exhibit shows, in conclusive manner
the power of the systcm off Banking undel
which the old bank operated, to combine anc
multiply the pecuniary resources Of the com-
munity. On an actual capital Of $4,000
and her surplus profits, she loaned $3.50, 900
that is she, by her credit, multiplied ever,
dollar of her capital by three, and gave III
community the use of three dollars of curren
cy for every one it had before. As her capita
was, in great measure, subscribed or obtain
cd from abroad it may be said, in estimating
the advantages of the Bank to the communi
ty, that she created-by her establishment il
the Statc-nearly the whole aggregate amour
of her loans, for the use and benefit of ou
citizens. The Bank has been richly paid fo
tho benefits she has conferred. On the othe
hand, though the commerce al community hav
paid large profits TO the Bank, they have beef
better and more cheaply accommodated thai
they could have been in any other way. TIL
mutual benefits have been the legitimate re
suits of the system. The same advantage
can be continued by the new Bank, founde
upon the same basis and principles, if it sha
be as ably and prudently managed; and thos
who are acquainted with the managers of tn
new Bank, know. that they are worthy sue
cessors of the old Board. aGE8 ~ ~
"