The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1919-01-08
FEDERAL BANK
PR0SPERED IN
YEAR OF 1918
Pays All Expenses and Dividends
and Transfers Substan-
tial Sum
Monthly Report Crop and Business
Conditions in the Ninth Federal Re-
serve District.
JOHN n. RICH
Federal Reserve AQent.

At the end Of a successful year the
Federal Reserve bank OF Minneapolis,
after the payment of expenses and
dividends, has been able to transfer
a very substantial sum to its surplus
account, while setting aside for the
franchise tax fund, as provided by
law, an equal sum. Proper deprecia-
ton charges have been made, and
the current statement of the institu-
ton will show a very considerably i'm
proved position.
The statement does not reveal.
however, that the year has brought
a large increase in the protective
value Of the institution through the
strength of the combined gold hold
ings of the bank and the federal re-
serve agent These holdings amount
ed at the close of 1916 to $36,323, 900.
At the close of 1917, the sum had in
creased to s7o,334 900; and at the
close of 1918, the gold holdings were
approximately $96.400,00. showing
roughly about s26,OOO,00O increase
during the year. This extremely salts
factory result has been brought about
by the active cooperation of the banks
Of the district, both member and non
memer, which have assisted in the &C
emulation of this substantial reserve
of the money metal, thereby adding
greatly to the strength OF the instr
tuition. -.,.s
While there was a very active call
upon the reserve bank throughout 1913
it did not at any point reach suffi-
cient volume to jut real strain up
on its resources. The demand during
the new year will likewise be active.
Whatever call may result, however,
from conditions in this district, we
have the assurance that the strength
shown in 1918 has been largely aug
mented, and that the supporting pow
er OF the institution to the whole
banking structure in these states has
been increased wei beyond what
would ordinarily be taken as the safe
ty point.
Business men and bankers are look
ing for good year. No conditions to
cause apprehension have developed
and except for some phases OF the
agricultural cituation, there is moth
ing to indicate that the prosperity OF
the prosperity which the district has
been experiencing Will not continue.
Moisture conditions throughout the
western half Of the district are not
entirely satisfactory and will have
to show considerable Improvement be-
fore the spring planting season, in
order to present guarantee OF gooo
crop. The hope of satisfactory SOIL
conditions has rested upon the amount
of winter snowfall, and there is still
ample time to obtain the moisture that
viii, be needed to put the ground III
proper, condition, especially in view
of the TACT that the, winter, until "A
very. recent date, has been unusually
mild and in view of the fact th''
heavy ,snowfalls. which may ordlnar
lily be expected, are yet to come.
The district as whole has wealth
cred the unexpected conditions
brought on by the war in very sat
isfactorv manner Business men anC
the public would be ungrateful il they
did no. recognize at the close OF the
old yea" the immense service that mas
been rendered by the commercial
banks in all parts Of the great area
composing this district and the ex
cellent efficiency that they have
shown in taking on very large
amount of new and unaccustomed bus
mess with the public, resulting from
the demands of government financing
This business has represented no pro
fit. but has been wholly in the ma
ture of service to the public. In
stead, Of a. profit, it has Involved very
considerable expense of such a char
acter that no reimbursement could oe
made 1t has meant long hours anc
steady application by the officers ant