, 1921-07-07

4 I'hi on MS owes ana may nave
his ranches somewhat inCumbCred.
Such a man whose ewes We will say
iie worth So. has rather a hopeless
proposition to consider. The other
example is ih" man who owes. we
viii say. SO a head on his ewes that
are worth Sc and may W have
some REMEMBRANCE on his ranch. For
such a man. there is hope. and. even
though. he may have no margin. or
very little margin. il seems to us. it
Is the duty of financial interests to
overlook the fact that his margin is
gone and &c down the road with
him to the limit: that is, finance him
sufficiently - that his ranches and
range may be fully stocked; then.
under the new basis of values. he
may have some opportunity to
create a margin and work out.
Perhaps Governor Harding OF the
Federal Reserve Board, will return
to Washington with Il little different
impression of the situation than he
had prior to his recent visit to the
West. Certainly. we were glad to
meet him, and many of us formed
the impression from his statements.
that the Federal Reserve Bank
"OIll SullltN Hdl tdSt uD us EtSlIlc-
tons and rules and handle live stock
paper on a more liberal basis. 1t is
uur conviction that the Federal Re-
serve Banks are fully equipped and
ready to handle any financial situa-
ton that concerns the live stock
growers. that may arise. and If they
will moderate somewhat their rules
or requirements to meet the unusual
~t,I,~ hot No.
banks a little more leeway. no new
outlets or artificial e will be
necessary. 1t was for just such
conditions as the present hat the
Federal Reserve Bank was created.
Possibly. when Governor Harding
has completed his long trip of in
vestigatiOn, he will agree with this
point of view. Furthermore. in con
sidering this matter of financing the
live stock interests, It seems that the
matter is approached with but little
conception of the magnitude and i'm
portance of the industry and you SCI
Associated Press dispatches thai
some bankers are going to provide
100000, 900 to take car of the live
stock industry" or, the War Fl
nance Corporation is going to de
something like that while. as :
matter of fact, $4,000, 900 could no
go very far, although it would hell
us; and when you consider tina
some of the private corporations sucf
as the Goodyear Rubber Compan!
and others were able to raise fabul
GUS sums of money, from 5000.
900 to 500. 900 900 to finance thei
individual needs. without much fuss
it certainly seems strange that
great fundamental industry ,th'
ramifications of which enter into
great part of the prosperity of tn
Western country should have an.
difficulty. We have said many time
that we repeat here that unless tn
livestock business is properly takel
care Of that railroad securities, tn
stocks OF local banks. the business o
small merchants and other enter
priSes out in this western cOuntr,
won't be worth very much: and i
were a big banker in some larg
financial center. it would concern m
very much indeed to see that IN
friends gut west of the 10th Mer
dian, where live stock is bred, wer
being given the consideration thu
their enterprise justified: and tn
lNca also pplleS 10 tne TallrOduS Una
have. in the last month or six week
been making such a big effort t
prevent even a small decrease in tn
cry high freight rates charged o
the very low priced product of tn
~stOckman.
Let il be well understood regarf
ing Il attitude in connection wit
these financial matters that this con
pany will give its unqualified sur
port TO any plan worked out in CHI
cago. or elsewhere. for the purpoS
of financing the stockGrowerS. an
that our remarks in this letter o
elsewhere. regarding the Federal Re
serve Bank. are. in no sense un
friendly. for we fully realize that
it had not been for the Federal Re
serve Bank our industry. along wit
others would have been in eve
greater difficulties than at present
In fact, the Federal Reserve Ban
has saved the day.
Yours truly.
THE AMERICAN LIVE STOCK AM
LOAN COMPANY
py A l. 1aRirulp