Oxford eagle. (Oxford, Lafayette Co., Miss.) 1876-current, 1922-05-11
CLEARING
MILLIONS
ANNUALLY
Digest of the Annual Report of the
Federal Reserve Bank of ST. Louis
For the Year Ended December
81, 1921.

the Federal Reserve Bank of ST.
Louis. issued by William McC. Mar
tin. Federal Reserve Agent ana
Chairman of the Board, greatly re-
duced business volume, lower com
,,oditv nrices and smaller credit
needs were reflected in sharp de-
clines in items representing the rou-
tine activities of the bank during the
period under review.
Gross earnings were S5,loo'ol'
and current expenses $1,9ol,2oo' leaV-
ing net earnings of $3,205,oo5'
decrease of $2,O50,596 as compared
with the wear before. Dividends am
ounting to S27O,253 were paid dur
inp the wear, and $1,639,1O9 were
paid into the United States Treasury
as a franchise tax. The amount
transferred to surplus was Sl,04Z'-
564.
The chief source Of revenue was
paper discounted for memOre banks.
and this item showed radical slump
as compared with the total Of l92O-
During the year S0,820 items totaling
S1,6O9,OZ3 1913 Of paper was discount
ed by the St. Louis institution and
it's branches, a decrease Of $S2S,Olo,-
TIA under the amount discounted IN
the preceding year
The total resources of the Fedora
Reserve Bank of ST. Louis decreased
from 1868. 100000 on December 81.
1920 to S213,487,0 on December
81, 1921. Between these dates the
earning assets decreased from $685.
30S.000 to ST 900 and Federal
Reserve notes in circulation fell
from 35,7S5, 900 to $95, 246000.
These movements were accompani
ed by a heavy gain in reserves, this
item standing at $88,876,000 on De-
cember 81. 1920 and at $106,641 900
on the last day of 1921. Throughout
the year the reserve position was
progressively strong, December marx
ing the period Of its greatest strength
On January 3, 1921. 1hc reserve car
RED again t Federal note a.d de-
post liabilities was AS per cent,
while on December u it had reached
69.5 per cent.
At no time during the year did
the normal discount rates Of The
bank exceed per cent. On May p
the progressive discount rate was
modified and on June % completely
abolished.
While figures representing finan-
cial movements disclose a heavy de
crease, statistics rejecting services
of the bank to its member banks
show gains. For instance, during
1921 the Federal Reserve Bank of
St. Louis handled 33,997,778 checks
through its. clearing department,
representing $5,605, 464,5 sol, an in
crease of 2.307, 210 in number, but
decline of S2,039, ,641 in amount
as comparde with the yea before.
The average number Of items hand
led daily was 1885. In point Of
number of checks handled 1921 es-
tablished a new high record.
The Reserve Bank during 1921 al
60 handled 130,952 collection items,
snch as notes, drafts, etc. amounting
70 $3.50. ,903 in 1920. The aver
age item handled in 1921 was APP
proximately $1,451 against Sl'9oO IN
1920 and 1888 in 1919. Transfers
Of funds ,amde for member banks
totaled 1,119,204, $50.
Supplying of meber banks with pa
nor currency and coin constituted an
important part of the banks actlVl-
ties. Paving out, receiving and re-
deeming paper currency during the
twelve months involved the count OF
approximately 50000,000 individual
notes. Paying out and receiving gold
and silver coin, which service was
formerly performed largely by the
Sub Treasury, is now entirely III the
hands of the Federal Reserve Bank.
All the duties of fiscal agent of
the United States in this district
were performed by the Federal Re-
serv Bank of St. Louis, it having
completed the process of taking over
the st. Louis Sub-Treasury on Jan
uary s. In addition to routine gov
ornamental disbursements, tie hand
ling of checks, warrants and coupons,
the fiscal agency department handled
all details of the issuance of u. S.
Treasury certificates of indebtedness,
the delivery and exchange of Liber-
ty Bonds, the sale of Treasury saw
ings certificates, etc. The wrok of