New-York tribune., 1920-10-21
of $500, 100000 for the year ending
June 80, 1920.
Bankers Optimistic

Further the Secretary dissented from
suggestions for canceling any or all
Of the Allied debt of $4,000, ,OOO,0 900 to
the United States Treasury.
Men of finance who are gathered here
believe for the most part that the
country is returning to normal econom-
lcally, and that the process, though
painful, is bringing the country toward
sounder basis
camille Trust Company, of San Fran
cisco, whom the nominating committee
Will recommend to the convention to-
morrow morning for president of the
ASSOCIATION, discussed the situation on
the Pacific Coast with the Tribune
correspondent tonight at the Shore
ham,
The situation in respect to credit
control In California" he said, "is
much the same as elsewhere in the
nation, with this important exception:
we begin marketing our crops in the
late spring and continue through thc
fall instead of bringing them all TO the
market at once around this time OF
year.
Thus the credit released from the
early marketing helps to finance the
later movements | am hopeful re-
garding the general outlook, although
! am not prepared to predict how long
the period of readjustment Will last.
Out IN California we think the process
IS under control and without alarming
features"
Although many Southern bankers are
wrought up over the disappointment
or cotton growers resulting from a
shrlnkage in market value of tho cron
some financiers from below the Mason
and Dixon Line are envisaging tho
matter in the broad light of economies.
Thomas B. McAdams, vice. president
of the Merchants National Bank of
Richmond, is one of these. In an in
terview he said:
1.-The great backlog Of financial re-
serve strength which was built UP in
our section during the last fifteen wears
and particularly the last three will
carry us safely through the readiust-
ment period The worst of the fnan-
clal strain is already over. Further
lowering of commodity prices will case
the demand for funds.
Trade in South Dull
Retail and wholesale trade in our
state, Georgia and the Carolinas is
exceedingly dull at present, because
the farmers are retaining their cotton
and tobacco crops instead of selling
them at present deprecated levels
| DClnG
liquidated at this period of the year
when as result bank deposits cx-
pand about 40 per cent. This fall de-
poslts are remaining stationary and
farmers keep renewing their loans from
: month to month.
"However | believe that by the next
planting season in the spring an ex-
tremely large share of these bank loans
will have been liquidated. Instead of
the usual fast marketing of the crop,
the process will be slow this year. al
ter the farmers begin to decide not to
pay interest and storage charges in the
belief that high prices may come later.
The crops are not going to yield the
cost of production this year, but the
prudent man will be in a position to
average up this year with the last
three, which were abnormally prosper
Gus. Sound times are ahead and we are
already in the recuperative stage"
Robert Maddox, of Atlanta, former
president of the association, takes the
view that emergency steps should be
taken to help the farmers export half
of the cotton crop. Regarding the re-
port pod ood that he was sponsoring $25,
0O0 900 Edge law corporation, he said:
81 think it unlikely that this plan
Will be carried to execution, although
we have informally discussed it here"
Perhaps it will be possible to do
something if the 100000, 900 Edge law
corporation. formation of which the
commerce and marine committee will
recommend, is formed, he said Mr.. Mad
doX Will confer again with Southern
bankers tomorrow afternoon
Eugene Meyer jr., former managing
director of the War Finance Corpora
tion, gave his ideas on financing ex
ports to group at the Raleigh to-
night.
John II. Puelicher, president of the
Marshall Ilsey Bank of Milwaukee,
who will be nominated tonight for sec
ond vicc-prcsident of the association
IN conversng about the business out