Evening star., 1922-01-20
LOAN LIQUIDATION
PROCEEDS RAPIDLY
Shrinkage in Commercial
Deals Most Striking Dur
inq Past Year.

ing Past Year.
Reports from leading banks that
make weekly returns to the Federal
Reserve Board indicate that liquida-
ton of loans is again proceeding
rapidly.
For the five weeks ended November
80 total loans and discounts held by
these banks were reduced $86.034.000.
For the five weeks. ended January l.,
they were reduced s129.190.000.
Two or three times during 1921 1t
looked as If liquidation had been
about completed, but each time these
periods of more orderly reduction in
volume of loans was followed by re-
newed liquidation on large scale.
Shrinkage in commercial loans has
been by far the most striking during
the past year. There was a reduction
of S1.S03,1S4.000. Liquidation in this
account shows no evidence of any
immediate cessation. Since october 5
it has declined approximately $780,
100000. 1t shows Shrinkage or
slightly more than 20 per cent during
the past year.
decreased sS7o, $4,000 during the
year.
Loans secured by stocks and bonds
increased $76,446.OO0. These loans
have shown a surprising resistance to
general liquidating tendency, espe-
cially since September Z. 1921. Since
that time the increase has been
owners to part with these securities
explains, in some measure. the strong
investment market that has prevailed
since September.
Not only has there been an increase
In loans on stocks and bonds. but the
amount of these investments owned
by member banks shows an upward
trend. They have apparently been
buying more heavily of these securi-
ties than their customers have. The
increase since August 81. 1921 is
$3.50, 0,75S.000.
Merchant Bank Innovation.
When the Merchants Bank and Trust
twenty-five directors will hold one
fourth of the capital stock of $1,000
600, according to Peter A. Drury,
president of the company.
This is a decided innovation in
bank practices and the first time In
the history of Washington's fiscal in
stitutions where it was necessary to
hold not less than 100 shares of stock
to be eligible for a seat on the board
of directors.
Mr.. Drury said today that every
share of stock of the new company
would be sold when the new charter
Is issued January &c.
Hotel Company's Election.
At the annual meeting of the Wash
1ngton Hotel Company, conducting the
Continental Hotel, the following Off
GERS and directors were, elected for
the ensuing year: Appleton P. Clark,
jr., president; Ryneer H. Williams.
vice president; William c. Cox. treas
urer, and Alexander Wolf, secretary.
The above and the following con-
stitute the board of directors: Will
liam T. Galliher, Theodore w. Moves,
Ralph w. Lee, Samuel j. Prescott.
Cuno II. Rudolph, Thomas Somerville
and DR.. w. Z. Reeves. The executive
committee appointed by the company
is composed of Appleton p. Clark, jr.;
Samuel j. Prescott and Alexander
Wolf.
Birthday Congratulations.
The directors of the Park Savings
Bank called in body on their presi-
dent, Thomas Somerville, last even
ing to offer their congratulations
upon the occasion of his birthday.
1T was the intention of the directors
TO have a life-size portrait of him
painted in oil and hung in the bank.
Federal Banks birthday.
The Federal National Bank is cele.
brating its ninth birthday today. This
bank. which has become one of WASH
ington,s most staple. was opened to
posits on that day amounting to
$491,9S2.9S. At the close of business
"Wednesday its total deposits amount
ed to s5.O49.O00.
John Poole, present head Of the
institution, was its first president, and
has been serving in that capacity
ever since. other members of the
original personnel are Cashier
oh "s B. LS dane and Assistan,
Cashiers Frank J. Stryker and
Charles D. Boyer.
Citizens Savings Dinner.
The officers, directors and employees
of the Citizens Savings Bank and
those connected with the institutions S
new mutual savings and insurance
department were entertained by l..
Z. Breuninger. president of the in
stitution, at the City Club last night.
Mr. Breuninger presided and during
the evening William Mather Lewis
spoke of thrift activities now being
conducted throughout the country.
Mr.. Lewis referred to the splendid
saving proclivities of the American
people during the recent war. but
said that it was evident from present
conditions that the majority only de-
prived themselves because they were
working lOr a PURPOSE ne dttTlputeu
hard times to the extravaganza of
many of those who were so frugal
when forced to be, and declared that
it was the duty of every loyal Amer
lean to appreciate the necessity OF
saving at this time. when the coun-
try returns to the same frugality
it displayed during the war" he said
then, and not until then, will pros
perity come back.
Other speakers on the new savings
insurance plan inaugurated by the
Citizens Bank were Judge John w.
Price, counsel. and Roy Neuhauser,
director of the company; Ed Callow.
temporary head of the new insurance
department: Fernand Petit, cashier
of the bank, and Vincent A. Hughes
of the Hughes Financial Corporation.
All were enthusiastic over the sue
cess of the movement.
Among those present were Mrs.
Jeannie Kafka, Judge Mary O'Toole.
Frank j. Hughes, Holland w. jerks,
DIR. Joseph Heller. c. E. Brooks. o.
r. Evans, Mrs. r. E. Coles, John MUIR
rell, James Bailey, Mr.. and Mrs r.
G.. Coldenstroth, Miss ]. NJ. Barding,
c. H. Bowen, Lewis Thayer. w. Wer-
ber. ]. C. Garner. ]. j. Ardan, Mrs.
Annie L. Price, D. ". Chisholm, r.
w. E. Dent, r. NJ. Wolfe. c. c. MUIR
ray, R. L. Lamb, L. F. Moerman,
George Kuttner. H. L. Kuttner. H.
j.. Kilt, j. Eaton, Leo C. Brooks, Mrs.
Reagan, w. Richards, DR.. ]. E. Walsh,
NJ. D. Lamborne, l.. T. Brueninger,
DIR. Griffith, Fred Drew and Frank
Wagner.
Personal Notes.
Ezra Gould. president of the Wash
ington Mechanics Bank, left for
Palm Beach. Fla, today for a two