Evening star., 1938-07-15
BANKS SEEK WAYS
TO LIFT EARNINGS
Loans, Service CHARGES,
Costs and Interest Rates
Due for Study.
By EDWARD c. STONE.

The practical effect of political, So
cial and economic developments, both
In the United States and abroad on
the earning power of banks will be
revealed in studies now being made
by the Research Council of the Ameri-
can Bankers Association. to be re-
ported at the annual convention in
Houston. Tex, November IA to II.
In this field of bank earnings the
council is making a survey of profits
and losses arising from various de-
partments in banks, possibilities of
developing new sources of income
through personal loan departments
and adequate service charge pro-
cedures, and the development of bank
operating economies; also the ques-
tion of competition with banking by
Government lending agencies and
means for meeting such competition.
A detailed study of earnings and
expenses for 1887 of all commercial
banks in the United States is being
compiled by the Bank Management
Commission through arrangements
with the office of the controller of
the currency, Federal Deposit In
surance Corp. and Federal Reserve
Board. The study will include
breakdown by States and by sizes
Of banks. showing for each group the
detailed sources of their expenses and
earnings.
Under the council there is being
prepared a survey on the worldwide
fall that has occurred in interest rates
on bank loans and yields on bank
investments, together with analyses of
the changes which are taking place
In the composition of commercial
bank earning assets. The survey also
comprises an analysis of earnings,
expenses and net profits Of CONNER
cial banks in over score of nations
and a study of the yield on banking
capital.
Baltz Heads U. S. Delegates.
Considerable interest has hen
aroused among local building and
loan officials over the forthcoming
congress of building societies and
which will be held at Zurich, Switzer-
land, September 1915.
According to Robert E. Buckley,
president of the National Permanent
Building Association, a large Ameri-
can delegation will sail from New
York August IL. including strong
representation from Washington and
nearby communities.
Edward C. Baltz. secretary of Per-
petual Building Association. will head
the American delegation, due to his
position as president of the United
States Building and Loan League.
H. F.. Cellarius, Chicago headquar-
ters, has been named as chairman
Of the American convention group.
Ayres Stresses Auto Outlook.
Leonard P. Ayres, in his monthly
survey out today, says that it seems
probable that the volume and dura-
ton of business improvement in the
second half of this year and next
year will be mostly determined by
the demand for new automobiles.
That industry led the way in the last
recovery, and there does not now ap-
pear to be any other industry ready
and able to assume that kind Of
effective leadership. Unfortunately 80
many millions of automobiles bought
In the last great wave of motor pros
perity are still relatively new that
another comparably large wave OF
demand for automobiles appears i'm
probable.
Brokers Completing Changes.
Tomorrow, July Is, is the date OF
the official termination of the Wash
ington office of G. Mp. Murphy &
Co., the New. York Stock Exchange
firm which had done business here for
many years.
George A. Garrett, who has become
. resident partner in Fenner & Beane,
another stock exchange house, remains
at 815 Fifteenth street, where the
Murphy ONCE has been located, keep
ing with him John Caswell and other
members of the staff who were with
Hartman g. Keech for long time.
As soon as the market closes tomorrow
1t will be moving day for Fenner &
Beane from their present office to Mr..
CARROTS Office The change will be
completed over the week end and
Mondays opening of the exchange will
find all the Fenner & Beane forces
under one roof.
John E. Parker, who has become a
partner in the stock exchange firm of
Auchincloss. Parker g. Redpath. is al
ready practically settled in the Ma
tional Savings & Trust Building Of
ficers. A. Chester Father, manager,
and other members of the Murphy
staff have also moved to their new To-
cation. Monday will find the re-
alignment completed in every detail.
Weekly D. C. Clearings Higher.
Bank clearings in Washington for
the week ending July 13 amounted to
s23,s63 3,051.5S against $23.586, ,65944
for the previous week, a gain of $376,-
1924. Compared with the like week
year ago. clearings in the Capital
were of 54 per cent.
Some 10000 holders of American
Telephone stock in washington re-
ceived their quarterly dividend checks
Of $2.25 per share in the morning
mail. The letter gave the half year
and quarterly reports. Wall Street
comment on the reports today was
favorable. While the number of new
stations was disappointing. it is be-
lieved that better business in the last
half year will materially increase the
total.
Members Of the Investment Bank
srs' Association here are much in
terested in the conference between
Francis E. FrothinRham, president of
the organization, and Chairman VIII
liam o. Douglas Of the Securities and
Exchange Commission, on the Maloney
Act regulating over-the-counter trad
ing. The meeting was set for late this
afternoon.
Bonds Listed on Exchange.
The 100000 issue of Terminal Re-