The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1931-11-11
RESOURCES OF
NATIONAL BANK
ARE INCREASED
Fletcher American Capital
Structure Now Largest
in State.

Additional capital of $1.56o,OOO
has been voted by directors Of the
Fletcher American National hank,
it was announced today OF this
total 81 100000 will be added to the
resources of the bank and S360,000
to the Fletcher American Company.
With this added money the banks
capitalization will total more than
S., 900 600, consisting of S3,600.O00 of
capital stock and more than
$4,000 900 suprlus, undivided profits
and reserves, thus making for the
largest capital structure of any bank
in the state, according to the di-
rectorS.
The entire sum already has been
subscribed by the large stockholders
and the right of other stockholders
to participate in proportion to their
holdings of stock has been pre-
served.
Provision has been made to
charge off all losses due to BUSINESS
depression and shrinkage in value
of securities, according to the pres
ent day standards of valuations.
The charged-off items will remain
the property of the bank, and 1t is
known by officers that there will be
substantial recoveries on these.
Commenting on the step, Elmer
w. Stout, president of the bank, de-
clared:
-, L,1~,, - orrovrcn 4het thc
recommendation which | made to our
directors to provide additional cash re-
acted upon favorably by a unanimous
vote.
A representative of the controller has
approved our action and the owners OF
more than two-thirds of our stock have
given assent. which assures formal ap-
proval at the stockholders meeting to be
the form of capital amounting to $780,
600 for the bank and S360000 for the
company has been provided. This entire
sum has been subscribed by large stock
holders who recognize the value of this
investment, though. of course. the
to 1 exercise 6s right to
amount.
will have capital. surplus. undivided profits
and reserves in excess of $500. 600. of
which amount, sS,6Oo.OOO will be capital
and an amount in excess of 900 VIII
represent surplus. undivided profits and
reserves after the charge-off of all losses.
Such losses include every item on our
books that has been so classified accord
ing to present-day standards of valuation,
though the charged-of items will still
remain the property of the bank and from
them there will be substantial recoveries
These charge-offs result largely from
the depression and shrinkage in value of
securities. and the practice of making such
reduction is being followed by leading
financial institutions throughout the
country.
We want our customers and friends to
know our exact condition at all times so
that we NAV continue to enjoy their con-
fidence to the same extent that we have
in the past. The rapid growth Of our
proves that we have this confidence.
1t is self-evident that the Fletcher
American National bank has among its Ill
rectors and stockholders men who have
the financial strength and vision to take
whatever steps are warranted to meet pres
ent-day conditions. The deposits of this
institution have. approximately doubled
during the past ten years. and during the
same time there has been a correspond
ing increase of capital investment.