Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1904-11-28
CATTLE LOANS DESIRABLE.
Livestock Bankers Believe cattl
Feeders Will Make Money This Yea

Livestock Bankers Believe Cattle
Feeders Will Make Money This Year.
Chicago, Nov. 26.-Talking on the
present attitude of the banking inter-
est toward cattle paper, s. r. Flynn,
president Of the National Livestock
Bank, said:
'In recent years. the banker in maxi
ing cattle loan knew almost to
certainty that the average borrower
had to lose money. The credit man
has natural and deep-seated aversion
to sanctioning a transaction where loss
Is almost certain. This year the feed
err, provided he knows anything about
his business, ought to make some
money, consequently the credit man re-
CARDS his paper as good security. one
Of the greatest safe guards Of the
credit business is anticipation Of bor-
rowers' profits. In making a loan the
credit man ought to feel reasonable as
surance that before it is repaid there
will be an accretion. II the borrower
loses, unsatisfactory conditions are
created for all parties.
At present the banker stands In this
position: He is not only ready but
anxious to finance cattle feeding oper-
atoms, being confident that the bor-
rover will be able, not only to repay the
loan, but make money for himsel1,
result achieved only in a few instan-
ces in recent years. Then we were
facing almost absolute certainty OF
declining market for finished cattle;
now the outlook Is for maintenance OF
present prices If not further appre-
citation.
1t is true that feeders have been
somewhat backward this fall In pc
ginning beef making operations. we
have been looking for consider
able offerings Of cattle paper IN
consequence of the wide margin now
existing between feeding and finished
cattle, but country adyices are to the
effect that while some feeding has been
begun the volume Is not nearly as
heavy as in recent years. This may
be attributed to human nature. When
values are booming everybody displays
a desire to stock up but when the PEN
dulum swings the, other way and prices
go below the cost Of production the
crowd INDUCES in a mad rush to get
out. AS a rule, the man who makes
the money Is the one who gets out
when others get in and when the bot
tom is reached avails himself of those
opportunities always within reach
when the bargain counter is over
loaded.
"My opinion is that those who are
displaying possession of good judg-
ment at this juncture by buying and
feeding cattle will make money. Be-
fore long we will have repetition
of conditions prevailing three years
ago when mere handful of finished
cattle was available. do not look for
an abnormally high market. but ! do
believe that the experienced feeder, the
man who understands his business
can fill his feed lot under present and
prospective market conditions with as
surance Of reasonable profit for his
time and risk. OF course he must buy
his raw material right. Feeders who
stock up wrong and feed wrong are
not likely to sell to advantage. 1t is
now evident that large number OF So
called small cattle feeders, smarting
under losses Of the past few seasons.
will not feed this year. They bought
thin, cattle high, fed corn of poor quail
ity and in many cases lost not only
their seasons work, but their crop.
AS a rule such men do not look for
causes; they see only results, and draw
conclusions accordingly.