The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1929-11-14
MERCHANTS AND
FIRST COMBINE
Change Effective This Thurs
day Morning; Merger Came
AS Surprise
$1,000, 900 INSTITUTION
Combines With First Bank
Stock COrp.-ResOurces
of $44O,0OO,OOO

Va P9FO,VVVsOoV
AS result of the purchase of
the First National bank by the Mer-
chants National and the affiliation
of the combined institution with
the First Bank Stock corporation,
the great holding company headed
by the First National banks of
Minneapolis and st. Paul, Sank
Centre today obtained million dol
lar depository backed by the ire
mendous resources of the group
which now numbers "a banks in
the Ninth Federal Reserve district.
Combined resources of the affiliat-
ed banks of the First Bank Stock
corporation system total $40, OO0,-
600.
The merger of the two Sank
Centre banks was accomplished
during the night and at o'clock
this morning customers of both
institutions were being served from
the banking quarters of the Mer-
chants National.
In announcing the transaction,
ID. b. Caughrens president of the
Merchants National, said that he
believed Sank Centre would profit
greatly through the merger and the
affiliation. The First Bank Stock
corporation obtains control of the
bank through exchange of stock of
the holding company for shares of
the bank. Stockholders of the Mer-
chants National retain their invest
ment interest, but it is now repre-
scented by stock of the Firt Bank
Stock corporation.
The combined bank enters the
holding company on a partnership
basis with such institutions as the
First Nationals of the Twin Cities,
the two largest banks in the Ninth
Federal Reserve district, each with
the resources in excess of one hun
bred million dollars, and the Metals
Bank & Trust company of Butte,
the largest bank in Montana and
for many years identified with the
interests of John D! Ryan, chair
man of the board of the Anaconda
Copper Mining company. The First
Bank Stock Corporation group in
cludes 35 banks in Minnesota, 10
in Montana, ii in North Dakota,
nine in South Dakota and three on
the upper peninsula of Michigan.
Operations Of the holding company
are designed to extend to the small
Ter cities of the Northwest the
same security and service that is
enjoyed by the customers of the
metropolitan, commercial banks of
the big cities.
The combined bank will continue
to be home institution Differed
and managed by local men and de-
votin. Its resources and facilities to
the development of this city and it's
trade area. Adequate banking ia
cilities to meet any legitimate need
in furthering the business of Sank
Centre are assured.
The merged bank retains the cap
ital structure of the Merchants Ma
tional, which is: capital, $4,000;
surplus, $4,000; undivided profits.
$4,000, a total of $71sO00. Purchase
of the assets of the First Nation
al and assumption Of deposit liza
bilities gives the merged bank de
posts of $1,100O00 and total re-
sources of $1,318.0OO. The deposits
represent $886,OOO from the Mer-
chants National and $4,000 from
the First National.
For the time being officers Of
both banks will continue to serve
the customers of the merged bank.
The Merchants National organi-
cation is as follows: D. B. Caugh-
rem, president; c. r. Bruce, vice
president; A. F. Strebel, vice pres
ident and cashier; J. H. Hansen, as
sistant cashier; j. L. McDermond,
assistant cashier; e. F. Nathe, as
sistant cashier. Directors: c. r.
Bruce, treasurer, Farmers Mutual
Insurance company; Mrs. H. A.
Caughren; A. F. Strebel, S. c.,
Bione, merchant; d. B. Caughren.
First National organization: H.
S. Halverson, president; G. Hill
lerud, vice president; G. w. Steiner,
vice president; H. j. Sauer, cashier;
G. s. Bjone, assistant cashier. Di-
rectors: H. s. Halverson. G. Hille-
rud, G. w. Steiner and H. ]. Sauer.
The executive group yof the Mer-
chants National will continue in the
present capacities in charge of the
banks operations. Plans for abb
sorbing the First National staff
have not been completed. Checks
on First National stationery will be
accepted until new has been issued
to the banks customers.
The following statements on be-
half of D. B. Caughren, president
of the Merchants National, and P.
J. Leeman, of Minneapolis, vice
president and general manager of
the First Bank Stock corporation.
were given the Sank Centre Herald
at gives me great deal of salts
faction to announce the affiliation
of the Merchants National with the
First Bank Stock corporation" Mr..
Caughren said. "Our entrance into
the group assures the perpetuation
Of strong bank, capably managed.
no matter what changes are
wrought by time.
I'VE have studied this group
CONTINUED on Page Six)