The Montgomery advertiser., 1907-10-30
IN FINE CONDITION
BANKS or STATE DECLARED SOUND
 AND STRONG.
state Treasurer Seed Issnes statement Pointing Out That It Is Fortu- nate Trouble Did Not Come
 EarIfeP.

State Treasurer Seed, in a statement given out last evening, declares that the banks of the State of Alabama according to the reports that are com ing in. are in the soundest and strong est condition they have ever been al this time of year. He points out facts that preve there Is no ground. so far as AlabamS banks are concerned, for any of the nervousness that Is felt in New York and other Northern cities
 Mir. sSeed suggests that 1t is fortu- nate the present crisis did not come a few years ago, nor even earlier in the present year, as the country and State were not then so well prepared to avoid trouble as now.
 As an aid to the banks of the State to maintain q quiet condition of affairs financially. and to allay any nervous ness that might be felt, he has author ized those banks that are State depos- itaries, which includes practically all the banks of the State. either national or State. to withdraw the portion of their securities which are not needed to cover the present deposits.
 The various banks were required, up- on becoming depositaries. to put up enough securities to cover the entire deposit desired from the State Treas ury. These deposits have since how ever, been greatly reduced. in paying the various appropriations of the Leg islature, and smaller amounts of se- curities will serve now for the protec- ton of the State. 1t Is the surplus securities that are to be permitted to be withdrawn and utilized by the banks.
 The statement by Treasurer Seed is in full as follows:
 ''rhe reports to the State Treasurer showing the condition of the State banks at the close of business on octo- Der 15. are In with one or two excep- tions.
 "coliectiveiy. these reports show tie State banks to be in the soundest and strongest condition they have ever been at the same season of the year. Nor is this dif1fcult to explain. Tho high rates demanded for money in the Northern and Eastern financial centres during the current year has resulted in Southern bankers declining loans that would have been accepted in previous years
 "Foiiowing several years from which the South received the largest returns from It's cotton crop ever before known, the necessities for loans have fortu- nateiy been less urgent with the result that the hundred and eighty-two State banks no whave the largest per cent age of cash in vault that has ever ex- tSLGQ at LHS same tituC OL thc Jrhh. \ hc National banks living under the same conditions. are, of course. equally we'll provided for.
 Ut is indeed fortunate for Alabama that the present crisis in New York should have not occurred several years earlier or even aarlier in this season. Our banks are Aot only less depend- ent on New York, but as whole prac- tically independent The State Treas- ury has within the last few weeks dis bursed three quarters of million of dollars. This money is now in circu- latfon.
 T announced yesterday that all banks having bonds on deposit with the State Treasurer may withdraw the bonds that are in excess of the amount to the credit of the State Treasury with each bank. Should all the banks avail themselves of this opportunity, three quarters of a million of Alabama bonds would be released.
 "PractIcally the face value Of these bonds can be realized from many sources, including the Government it. self. by depositing the bonds as col- lateral.
 .sThe returns from the sale of cotton are daily assisting the situation.
 T desire to congratulate the banks of Alabama upon being in such sound and prosperous condition.
 "Walter D. Seed.
 s "State Treasurer.
 Montgomery Ala. Oct. 20. 1907. :"