Republican farmer., 1920-04-23
BR(NG FOREIGN MARKETS CLOSER TO FACTORIES

Through the First Federal Foreign Banking association foreign markets will be brought closer to Bridgeport factories, and the exchange of AmeTi- can goods for European cash and commodities will be much facilitated
 The charter is granted under the Edge Act Application for the first charter was made Jan 15, 1920- The Federal Reserve has approved and issued a permit
 Bridgeport is represented by Wal ter B. Lashar, president of the Amer ican Chain Co., Weed Chain Tire Grip Co-, and Pratt S Cady Go Also by Edmund S. Wolfe, president First Bridgeport National Bank and secre- ta1y and treasurer of the American Fabrics Co.,
 Associated in this organization, the first of it's kind in the United States are eleven of the leading financial or ganizations of New York and New England, and some of the best known bankers nlanufa CtureTs and business men in thee ountry.
 The Association will have a capital of $21Ge, 900, consisting of 1,o0e shares with a par value of $100 a share.
 The facilities of the organization and participation in it's stock will be extended to &ridgeport manufactur- CTS through the F1rst-Bridgeport Ma tionaI bank, the member for this city.
 The scope and objects of the asso- ciation are sufficiently explained in the following letter, sent to those in 1 terested in foreign trade:
 l The American exporter is finding it increasingly more difficult to do busi- ness with Europe because of existing exchange conditions and the insistent needs of Europe for credit American manufacturers who have, over a per 1 iod of years, built up substantial
 markets in Europe at great expense I and as a result of patient effort are l now threatened with the loss of these I markets. While at the moment, due ! to the enormous demands of our do-
 mestic markets, this may not seem a 1 serious matter, nevertheless in view of 1 the increase in the manufacturing ca 1 pacity of this country, brought aboUk l by the war, the time is not far distant I when foreign markets for our surplus l capacity will be a necessity if the il- l dustrfa1 prosperity of the United States 1 is to be maintained l Many American manufacturers have 1 customers in Europe with whom they
 have dealt for years, and whose 1 standing and responsibility are well l known to them These customers are today unable to pay for American 1 goods largely because of excessive cost ] due to depreciation in European cur rencies. Many of them are willing 1 to give notes extending over q shor7 period of time in the belief that with the general betternent of conditions the increase in industrial productivity, l and the revival of their export trade European exchange will improve 1 within a reasonable time. In order l to continue doing business the Amer | 1can manufacturer must either absorn the exchange loss, increase his prizes to cover it, or extend credits.
 The United States has advanced ten billion dollars to Europe, and our 1 government has announced a policy against further advances. The pres ent high prices have affected the cost of doing business, and the banks are | called upon to furnish increasingly 1 larger credits for the legitimate needs of the domestic business of this coun- i try. Our commercial banks are de- 1 posit banks, and sound banking prin- 1 ciples require that these banks do nol l tie up their funds in long term cred it's, but that their investm ents shall be
 in easily liqufdated paper of short maturity.
 l While the manufacturer may be
 able to lock up a certain amount ot
 his capital in extending credits to old I and favored customers abroad, never theless he is in no position to carry an increasing volume of such credits for an indefinite period. Because ot
 the scarcity of credit, due to the