Daily Kennebec journal., 1902-01-20
BANKS OF MAINE
Report Of Their Condition for
the Year 1901.
Gain in Assets Amounts to the Sum
Of $5,462, ,084. "a.
Able and Comprehensive Report Of Hon. E. E.
Undertake. Bank Examiner.

The annual report Of Hon. r. L. Tim
4 lake. State bank examiner. has beer
I submitted to the Governor and Council
L, is the 45th annual report and covers
the fiscal year ending Dec. !. 1901. lr
! part the report says:
There are 81 savings banks with as
sets of 1853. 11l.03: IS trust and bank
l ing companies, l5,207 .325.5J, and 81 loar
and building associations, S2S65, .9s
making lo3 institutions with combined
assets Of $92 695. S71.56.
This is a gain Of two in the number
o. institutions reported, and of $S,i62.
66i.4i in their assets. as against gain
of $.,334. .621 81 in 1900. This increase in
banking capital is much in excess of
| the average, even in the most prosper
Gus years. AS Il matter of fact here
Is but one year in the history of these
institutions in our State in which the
gain exceeds that of the present year.
The total increase in such assets dur
ing the past IL years has been $50, 456, =
i3:.3S, and the average annual gain
dur that time s3497. .1I955.
II The total assets of these State in
sututions make a per capita of SI33.47
for each inhabitant of the State. The
assets of the savings banks and loan
and building associations, which be-
long 10 depositOrs and shareholders
alone. and the deposits in trust COM
panies. make pro rata to each of
these patrons of $780,. .5S. If the increase
in assets had been derived wholly from
the receipts from new depositOrs, the
average to each would have been but
$423.62. As the larger portion of this
- the natural increase from earnings
II can be seen that the average amount
received from new depOsitOrs is much
less than the present average amount
standing to the credit of all depOsitors.
1t follows then that the average
amount from new depositors is much
less than that naturally deposited by
people of wealth, Indicating that this
increase could not have come from
| such source.
The depositors in savings banks and
trust companies and shareholders in
loan and building associations now
number G.Sl3 as against 2l3,9S last
| years.--a gain of Il. .S33. Thus it appears
that 1888 more of the people of the
State are beginning to accumulate Il
competence against times Of need.
During the year the various kinds
Of State banking institutions have paid
deposItors and stockholders in interest
end dividends. $3.50, 1864 as against
s26l7 .sl3.S5 last year. While this is
gain Of $i19,563.29 in the amount of
profits distributed. 1t Is proportionately
less than heretofore. This result has
been no different from what was ex-
pected. and predicted in previous re-
ports of this department. AS hereto
!. fore stafed fbic ra1nofinp in poy ~
ings does not Indicate any lack of pros
perity In these institutions. but is sim
ply the result of a general reduction in
interest rates.
"The average percentage of profits
paid by savings banks. based upon the
total assets. has been 2.95 per cent;
that paid by trust companies. 2.43 per
cent, while that paid by loan and
! building associations has been 5.41 per
cent"
| The examiner says this comparison is
misleading. unless the demand deposits
IN trust companies be eliminated. Then
the profits would approximate 3.12 per
cent.
AT the present time" says Mr.. Tim
!. beriake. 'all classes of State banking
institutions are required by law to set
1
earnings as a reserve or surplus to in
SIRE their patrons against future losses
and contingencies. They also have al
!. ways on hand certain amount Of un-
divided profits which should be includ-
ed in applying this test. The total
amount of their reserve and undivided
profits is now $5.397 $685.. being a gain
OF $663. l.l0 during the year. Their re-
| .,Ja
apart under the provisions Of law.
crease Of $171.fS2.sl."
Through the courtesy of the comp
troiler Of the currency. Mr. Timberlake
Is able to present statement Of the
;. ltesourees and liabilities OF the 81 ma
| tiunal banks OF the State en- the 10th
day Of December 1901. The total re-
sources amount to 81, 163. 1880.
: srhis shows an increase of $l.176.671.1
il. the assets OF this class of banks dur
Ing the year. The'total assets Of all
kinds OF authorized banks within the
State Is; now $i39, ,S5a 337.06. as against
$l33. 222l, Isl. .46 at the date of the last res
port increase Of $6,63S, 1850 dur
ing the year An equal distribution OF
this capital would give to each inhab-
4. liant Of the State s20l.3s. a gain Of $3.50
: during the past year in this very ma :
terial portion Of our per capita wealth.
Il The report again calls attention. as
was done In the reports OF 1899 and 1900
To the fact that private banks and
bankers are under no restrictions Of
law or supervision whatever, and says:
Attention is. therefore. again called
Ia this matter that our people may un-
derstand. when depositing therein, tina,
they are giving credit to private indi.
viduals. the same as II they loaned
their money upon ordinary notes OF
hand: and that they take the same
chances and have the same security
and remedy as upon ordinary persona
loans. They have no protection beyond
the liability Of the Individual or indi
viduals conducting the business
The number of depositors in saving.
banks Is 1888, and the number whose
balance is less than $4,000 is 1S9.162 TIL,
number of depositors whose balance j:
$1,000 or more is 6761. The average rate
of dividend is O33O, the amount of divi