The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1903-06-30

and the record has been made up. An
lother year has passed and we are here
assembled for our seventh annua con-
IventiOn. What a delight to the busy
banker to get away from his desk and
spend a few days on the shore OF the
| great Atlantic. No more delightful
place could have been selected and we
Iall feel grateful to our Wilmington
hosts for this opportunity of enjoying
the cooling breezes of old ocean.
1t is a matter OF congratulation that
I'VE ind the affairs OF the association
i'm such healthy condition with the
largest membership in our history. The
report OF the secretary and treasurer
viii give full and detailed information
land viii not be repeated here. Dur
ling the past year it has been necessary
Ito have two meetings of the executive
committee and several very important
recommendations were made to the leg
Iislature, one Of which was adopted:
but the most important, failed, during
the rush of legislation following the
IIesthy prohibition discussion which oc-
icupied practically the whole time of
the legislature. The repeal Of the Iaw
following three days of grace" was
I~strenuousIy urged by your committee,
but it lacked sufficient support to be
Ierased from our statute books. | would
urge upon the incoming president and
executive committee that they keep
this subject before the people and edu-
Icate them up to its successful passage
lat the next session of our legislature.
The lawmakers, as a class are not
friendly 10 our interests ''popu-
ilism" and "populistic' ideas have not
jbeen eradicated from our legislative
halls. so We had best take courage
land thank God the laws are no worse
THAN they are.
While We had tight money. more or
less, throughout the year no panicky
Feeling has existed except in some
localities where it pays to have a little
lpanic and u squeeze" now and then.
Money is getting to d more level rate
Throughout the country and country
bankers may as we'll face the fact that
.isoOner or later they Will have TO COM
pete with metropolitan bankers on all
first class commercial paper. More
and more each year the city banker is
offering Inducements to the town de-
positor to fOrsake home institutions
land come along and DO business where
Recommendations are unlimited and
rates pretend TO be always low. Most
tof such offers are refused but it results
Iin better accommodations and lower
rates by the home bank.
In North Carolina prosperity seems
TO be the rule and not the exception.
Our factories and industries OF all kinds
bear the ear mark OF the advance. The
great majority OF banks are mixing
money and paying satisfactory divi-
idenGs. Most Of them are conducted
safe and conservative methods
iJhoEh IN some communities. compe-
iJiciOu is so gCeat-accounts are taken
from which 4 profit i Impossible and
(which Oftenti-neS show a loss by reason
iof the large volume OF out Of town
checks handled without charge. An
Iother practice. 7 regret 10 note ! on
the increase. ! refer to the paying Of
Interest on time deposits. l can't see
how such deposits al the prevailing
rate can be anything but a loss. Sup
pose a bank has 500. 600 upon which
they ara paying / per cent. interest.
ICOUnting your average- reserve at 20
per cent. you VIII have $50. 600 to a
lat 8 per cent. which would give you
an income Of $4,000. You would pay
in interest $4,000. and our expense
IS al least I'll per cent. on your
loans which would De $500. Thus on
income OF $4,000 You haze an outlay
of $500 or a net loss Of 81. 900. In esti-
Irnating the expense feature I have fig
Iured low. for statistics Of several hun
banks with loans from 800. 600
Ito 81. 900. 600 show the average 10 be in
Of this. l believe this rate on
thine certificates should be reduced to
IS per cent. as a maximum and even
lat this rate there is only a small mar
Igin OF profit. In the above calculation
i have made no allowance for the loss