Milford chronicle., 1929-10-25
ALL NEW MONEY
BY JANUARY FIRST
National Banks To Have Their Own
Bills BY That Date

All banking institutions of the
country will have new-sized curren-
cy in sufficient quantity by January
l to enable the payment of all new
money after that time, according to
an announcement by the Treasury.
Continued concentration by the de-
partment on the currency production
program has resulted in accelera-
ton of the output until at this time
the officials in charge feel safe in
saying that after the New Year
there will be all new money avail
able.
Due to the fact that the Bureau
of Engraving and Printing has been
able to circumvent some of the
major problems and has increased
its daily production far beyond the
hopes of month ago, the flow of
new currency from Washington is
now said to be at a rate that will
restore the departments program to
something near the original basis.
Instead of dragging two or three
months behind the plans laid when
/ bhC nov CuA 40 4C1CcoCO July
10, department figures that the dis
tribution and production basis by
the opening of the new year will be
only few weeks behind schedule.
Included in this speeding up has
been the production of National
Bank notes, and it was the assertion
of officials that every national bank
issuing currency, will have supplies
of the new bills bearing the name of
the issuing bank by November 1.
Until the last few weeks there were
many national banks without their
own new notes. Half a dozen diff
culties had arisen from time to time
to retard the production and delay
the plans further not the the least
of which was the lethargy of some
of the bankers themselves to supply
the Treasury with properly and au-
thenticated signatures for reproduc-
ton in metal But these are now
problems of the past, it was declared
and shipments are moving out at a
rate that is regarded by the Treas
ury as entirely satisfactory.
While the Treasury has no accu-
rate figures it is the understanding
that approximately half of the cur
rency outstanding - that is the
amount in actual circulation-is now
new money The Federal Reserve
banks have new bills in large guam
titles, which are being fed out into
circulation as fast as the old bills,
which are worn, are turned in for
replacement.
The Treasury is about ready to ex-
pand its redemption machinery to
take care of the increased receipt of
worn-out bills. Heretofore, the re-
demotion division of the department
has been compelled to sort as well
as count the old money for there
was not enough of the new money
available and the better bills were
turned back into circulation.
All of that soon will be ended, and
when old bills are shipped to the
Treasury they will be counted out
and finally passed into the hands of
the departments destruction COM
mittee.
When the redemption corps of the
department has reached it's maxi
mum under the plans now being
worked out and placed in operation
as fast as they can be made effective,
the capacity for handling money will
be almost triple the normal amount
that existed before the new currency
was placed in circulation.
1t was disclosed that one of the
problems with which the department
was confronted and which serves as
an illustration of the causes for de-
lay in production was the failure of
a private firm to supply logotype in
quantities which it had agreed to
supply. The Treasury placed agents
in the plant where the logotypes
were being produced and offered it
every possible assistance, but with
labor trouble to complicate the stu
alton the total output was only
about one-third what had been ex-
pected.
Bureau of Engraving officials, how
ever, have now overcome that short
age by their own ingenuity, it was
declared, and sufficient logotypes are
now available to permit full twenty
four hour operation on the national
banknotes, that being the only cur
rency effected.
The period of transition from old
to new money this time bids fair to
be longest in history, because, first,
there is more of it to exchange than
ever before in the annals of any ma
tion, and, second, because of the de-
lays incident to production. The
type of the new money going out
still is regarded by the Treasury as
being the best available in size and
design, but that fact apparently is
not going to hasten the end of tran
sition.
1t is shown by Treasury records
that even now it receives many of
the "postage-stamp" bills of Civil
War days, and officials expect that
the big bills in size will continue to
drift into the department for the
next few years in considerable guam
titles.