Evening star., 1941-03-19
Capital Banks Report
Better Demand for
Defense Loans
Most Of Money Needed
To Buy Supplies for
Nearby Camps
BY EDWARD C. STONE,

BY EDWARD c. STONE.
Marked improvement in the
demand for national defense loans
was reported by several Washington
banks today.
Bank officials state that a
majority of the applications show
that the money is wanted for the
purchase of supplies which eventu-
ally will find their way into the
army camps around Washington,
Very few instances are on record
where Government contracts have
been turned over to the banks as
collateral for the loans.
AS the Capital is not an industrial
city, few loans to large manufac-
turing concerns have been expected.
When the loans were first an
nounced, it was said that supply
firms would naturally be the banks
best customers. Such has proved
to be the rule.
Some Washington banks have
gone in together on defense loans.
Others have been making loans
through New York or other cor
respondent banking institutions. So
far the loans have not been large
but In the long run they are ex-
pected to put to work a good deal
OF idle money.
Demand Pleases Bankers.
Wilmer j. Waller, vice president
OF the Hamilton National Bank. who
Is in charge of the American
Bankers Associations efforts to OBJ
tain defense loans in this territory,
said today that no figures are yet
available here as to the amount of
defense credit which the banks have
already granted. He said bankers
are much pleased over the increased
activity in this field.
Banks in the Capital are anxious
to extend defense loans for two
main reasons. They are eager to
take part in defense loyalty and at
the same time increase earnings.
A recent report from 1876 banks
in important cities all over the
country indicated that defense
loans have now reached a huge
total. Banks in industrial centers
are pouring their money into de-
tense channels.
The Federal Reserve Bank of
Richmond has specialists assigned
to furnish loan information at the
Richmond office, as we'll as the
Baltimore and Charlotte branches.
Banks are making special efforts
TO furnish money to great number
OF comparatively small firms in
order that they may share in
present efforts to speed up produc-
tion to a still faster pace, it was
said today.
A. 1. B. Speakers Announced.
Fifteen hundred members of the
American Institute of Banking.
educational arm of the American
Bankers Association, are expected
to attend the Institutes seth annual
convention to be held in San
Francisco, June 2-6, it is announced
by j. Leroy Dart, national presi-
dent.
The program for the convention
Is being arranged by special COM
mlttee under the chairmanship of
George T. Newell, vice president of
the institute, who is vice president
OF the Manufacturers Trust Co.,
New York City.
The f1ve-day meeting will give
the Institutes members who attend
the convention an opportunity to
hear P. D. Houston, president of
the American Bankers Association:
DR.. Robert G. Sproul, president of
the University of California: DR.
Harold Stonier, executive manager
OF the American Bankers Associa-
ton, and DR.. William A. Irwin, ma
tional educational director of the
A. l. B.; all Of whom will address
the opening session. In addition
Robert Strickland. president of the
Trust Co. of Georgia, Atlanta.
Georgia, will speak at the conven-
tion's final business session.
Two Banks Declare Dividends.
Directors OF the American Security
& Trust Co. declared the regular
quarterly dividend of 2 per cent at
the monthly meeting yesterday, pay
able April 10 to stockholders of
record March 81, it was announced
today.
Thaddeus M. Jones, treasurer of
the Prince Georges Bank & Trust
Co., announced today that the Board
OF Directors have declared the regu-
lar semi-annual dividend of 5 per
cent, payable April to stockholders
Of record March 26.
Bond Offering Stirs Interest.
Washington bankers expressed
much interest today in the Treasury
offering of s500,ooO0OO II to 13 year
bonds, the new issue to be dated
March 81. The 211a per cent rate
compares with per cent rate in
connection with the March financ-
Ing, and is the longest term financing
by the Treasury since last October
For the benefit of small investors
preferential allotment will be given
to cash subscribers up to $4,000 Of
the bonds.
In the first two months of this
year the Chesapeake & Ohio Rail-
way earned 81 cents per share on
the common stock in comparison
with GA cents in the like period a
year ago.
S6,000,000 for Paper Money.
New paper money in the year be-
ginning with July is officially ex-
pecteo to entail a production cost
of se,600,000 The quantity sched-
uled for production is % per cent
over the quantitXy produced in the
present year.
Neither in postage stamps nor in
revenue stamps required by the
country next year do the increases
run to so high percentage as for
currency, although the numbers are
huge.
1t is estimated that 1905, $50 900
postage stamps will be needed, and
1887 1886 900 revenue stamps.
Short-Term Securities
Reported by Smith. Barney L. Coz
Bid. Offer
Ala ct South "A" IS 43 109A