Evening star., 1942-07-05
Capital Banks
Report Busy
Half Year
Six-Month Earnings
Equal or Better
Than Year Ago
BY EDWARD c. STONE.

By EDWARD c. STONE.
Washington bank officials declared
yesterday that the first half of 1941
was one of the best six month
periods in years in their institutions
due to the great rush of war bust
ness in the Capital and to other fac
tors. In general, bank earnings
were up TO or better than ih the
first half of 1941, deposits continu-
ally reached new all-time peaks
while the demand for loans held UP
fairly well.
In the case of loans, however. in
terest on new loans have been lower
than interest on long term loans
which have been paid off. Loans
on war supplies have helped make
up the lag in demand for other
commercial loans. officials stated
In the half year. Capital banks de-
clared their regular dividends. some
extras, and in some instances added
to surplus accounts.
Bank officers and many other
employees devoted great deal Of
time to pushing the sale of War
bonds and stamps. meeting marked
success in increasing purchases by
the public.
Clearings Smash Old Records.
The citys unprecedented business
activity, due to the war, was clearly
nty i,, Ia l,o1 ~
clearings which reached 1898 oil ,374,
a jump of $l02,714, ,655 over the first
six months of 1941. and the highest
mark in the Capitals history. Every
one of the six months showed sub
stantially higher clearings than a
year ago.
Trading on the Washington Stock
Exchange was ahead of last year
volume; department store sales were
up % per cent in the first five
months over the like 1941 period:
postal revenues were up nearly
$1,000, 900 in the half year.
Express shipments moved up sub
stantially and the output of gas and
electricity moved rapidly upward
although higher taxes and other eX-
pense increases we're curbs on net
earnings. Telephone stations and
average daily calls made new records.
Insurance Sales Slow Up.
Life insurance agents found many
Of their clients buying War savings
bonds, new policies written here in
the first half year being only per
cent ahead of the like 1941 period.
Washington's building and loan
associations experienced wide pros
perity in the half year. Officials re-
port a steady climb in assets and
large increases in new accounts.
Limits on home construction have
slowed up loans and the demand for
money for property repair work has
also slackened. Building and loan
leaders have done their full share in
pressing the sale of War bonds, re-
porting some excellent volume totals.
Financing Lowest On Record.
According to the Daily Bond Buy
er, State and municipal financing
during June amounted to only $32.-
$50 ,621, the lowest June total record
ed since this compilation was begun
in 1926. Total for June, 194l, was
$144.so5,574.
The total for the first six months
of 1912, 1888 ,904, ,038, is less than half
Of the total for the corresponding
period of 1941.
The revised figure for May, 1912,
was $2s ,696, 1873.
Financial District Comment.
Deposits in Washington's % ac-
tive banks gained more than $73,-
o00, 900 from June 80, 1941, to June
80, 1912, In reaching the new total
Of s524,615,2 ,2o3.
The Institute of Life Insurance
reported yesterday that benefit pay
ments to policyhoiders and bene-
hciaries in the first five months of
this year totaled s1,04l, ,787 900.
May payments were more than
$1S8 ,000, ,o00
The new Washington Gas IS pre-
ferred stock, selling on the Wash
ington Exchange at 1914. yields
494 per cent. The $3.50 preferred,
which closed the week at SO, yields
4.83 per cent.
w. J. Murray, general agent in
Washington of the Erie Railroad,
announced yesterday that Carl
Howe has been appointed resident
vice president in charge Of all de-
partments at Chicago. In railroad
ing So years, he is widely known
among railroad men and shippers.
He has been in Cleveland.
New Federal Reserve Member.
Hugh Leach, president Of the Fed
eral Reserve Bank Of Richmond, an
nounced yesterday that the Peoples
Bank, Beaufort, S. c., has been ad-
mitted to the Federal Reserve Sys-
TEN. The list of new fifth district
members is growing rapidly.