The herald-advance. (Milbank, S.D.) 1890-1922, 1913-04-04
CONDITION OF BANKS
AN INTERESTING REPORT MADE
BY THE STATE BANK
EXAMINER.
HAPPENINGS OVER THESTATE
What is Going on Here and There
That is Of interest to the Read.
ers Throughout South Da-
kota and Vicinity.

M1tchell.-State Bank Examiner
Wingtield has issued the statement
showing the condition of the state and
national banks made under the call Of
February 4. The statement covers
practically the years business of 1912.
There Is a decrease of $l,98S,432.09 in
first real estate mortgages, while in
the total of the resources there is a
decrease Of S5,00S, 555.59, the total for
the February call being s1o7 ,276,-
08S.11. In the liabilities there is a de-
crease in deposits subject to check of
Sl,614,317, while there is a decrease
OF S1,23l, DROPS in the savings de-
poslts.
In discussing the financial condi-
tons as prevail throughout the state,
the state bank examiner makes the
following staetment:
The reserve condition of the banks
at this time is normal and shows a
slight decline of thirty-two-one-hun-
dredths of / per cent, but remained
strong at 29,10 per cent, notwithstand-
ing the decline in deposits Of S3,490,-
000, and a distribution of dividends TO
stockholders CT $850,000.
Deposits showed the heaviest aver
age decline for any similar period for
many months, due in large part To
interest and tax payments and the
March ! settlements. A large amount
is required for settlements and real
estate loans hat mature around Feb
ruary l to March /. most of which
money goes out of the state. The
country in general has in the past
three years been depleted in the mat,
ter Of live stock, but early spring ship
ments nave begun and cattle are again
being put back on the ranges, ranch
es and farms, Notwithstanding that
they are going higher in price. The
money that is used for buying grazing
cattle IS a prime factor in the reduc.
ton of deposits in the state.
To take care Of the demands of bus.
mess and Offset the heavy withdraw.
ais of funds, banks increased their
bills payable and rediscounts $3.50, 00C
and reduced loans $4,000. 600, thus pro
viding $2,450,000 of funds whereby tc
liquidate $4,325, 900 actual withdraw
ais. The balance of the funds neces
sary TO take care of Withdrawals was
realized from liquidation Of bank bal
ances, bonds. warrants and other Sc
curities. The natural conclusion is
that the demand for money is strong
with good Offering for security at rath
er advanced rates.
This call. as compared with that OF
November 26. 1912, shows the result
ed profits was reduced $2,283,172.51
This is accounted for by the following
items being credited out of the &C
count: Expenses, $1,441.526.73; ad
yanced TO surplus, $179.565. Is; stock
dividends increase in capital from
profit accOunt), S6S, 800; for bonds and
securities 10 secure savings deposits
and circulation, 1893 1868. The net
earnings OF an aggregate capital stock
investment of $12,255, 900 for the one
half year is $3.50. 600. Most banks pay
semiannual dividends, so that the
showing of an earning of $850,000 rep
resents approximately one-half year
The report shows that two banks
have suspended business since the cal
was made in November, and that there
are now CPS national and state banks
with private banks and trust compa
MES doing business in the state.