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Lawyers Title Insurance & Trust Company

Member of The New York Clearing House Association

160 Broadway, New York

188 Montague St., Brooklyn RECEIVES DEPOSITS subject to check or on certificate, allowing interest thereon. Depository for moneys paid into Court and for money of bankrupt estates. LENDS ON APPROVED STOCKS and Corporation Bonds as collateral. ACTS AS TRUSTEE, Guardian, Executor, Administrator, Assignee, or Receiver, Transfer Agent or Registrar of Stocks of Corporations. Takes Charge of Personal Securities.

SELLS FIRST MORTGAGES, straight or guaranteed, as to principal and irtetest and guaranteed mortgage certificates from $50.00 up.

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It is a somewhat anomalous condition of affairs which confronts bankers as well as business men. The banks and trust companies with their abnormally large cash supplies have never been so well equipped to finance a prosperous return of business. The merchant and the manufacturer have no difficulty in securing proper accommodation. But when it comes to laying out plans for permanent expansion there is a chilly reserve in the attitude of the banker. He looks at the future from two distinct angles. In the first place he is still "up in the air," so to speak as regards the immediate or ultimate outcome of the establishment of the Federal Reserve banking system. Such broad powers are vested in the Federal Reserve Board and no inkling has come from the White House as to the character of men to be selected for that body, that the banker is clearly within his right in following the example of the State Department toward Mexico, namely of "watching and waiting." The same Sphinx-like stolidity is called for because of the uncertain status of business on the eve of anti-trust legislation. The paralysis affects not only big business but the small business man as well.

A New Chart of Railroad Earnings The Bond Department of the Guaranty Trust Company of New York has issued a concise chart showing the comparative railroad earnings of the principal railroads of the country for the years ending June 30, 1912 and 1913. This chart was originally compiled for use within the office of the Guaranty Trust Company, but will no doubt prove of considerable value to everybody interested in such figures. Copies may be secured by TRUST COMPANIES Magazine readers by addressing Publicity Department of the Guaranty Trust Company, New York.

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BROADWAY TRUST COMPANY

EIGHTH STREET OFFICE Broadway and Eighth Street

FLATBUSH OFFICE

839 Flatbush Avenue, Brooklyn

WOOLWORTH BUILDING
NEW YORK CITY

ÆETNA OFFICE

West Broadway and Chambers St. NEW UTRECHT OFFICE

New Utrecht Avenue and 54th Street, Brooklyn

CAPITAL AND SURPLUS, $2,250,000

Member New York Clearing House Association

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Excellent Statement by Seaboard
National Bank, New York

Aggregate deposits of $36,525.856 reported by the Seaboard National Bank under date of March 4th represents a gain of $2,062,310 since January 13th. The total resources of $40,588,856 include $24.129,608 loans and discounts and $14,032,089 cash and exchange. Capital is $1,000,000, surplus fund $2,000,000 and undivided profits $616,154.

Corn Exchange Bank Statement Remarkable growth has been reflected in the recent official reports of the Corn Exchange Bank of New York. There was a substantial increase in deposits and resources as a result of the recent absorption of the business of the Washington Trust Company. The statement of March 2d, shows aggregate resources of $105.567.684. with capital of $3,500,000, surplus $6,868,194 and deposits of $93,274,498.

Charles E. Meek, vice-president of the Fourth National Bank of New York, was the guest of honor at the annual dinner of the Louisville Credit Men's Association and delivered an address on "The Federal Reserve Act."

Trust Company Clause in Vanderbilt Will

The will of the late George W. Vanderbilt, who died recently at his home in Washington, D. C., makes provision for the appointment of the Union Trust Company of New York as successor trustee and executor in the event of incapacity or death of the executors and trustees which have been named and where no successors have been designated. The estate is estimated at $50,000,000 the bulk of which is left to the wife of the deceased, Mrs. Edith Stuyvesant Vanderbilt. and to the thirteen-year-old daughter, Cornelia Vanderbilt. Mr. Vanderbilt named as his executors his wife and his brother, William K. Vanderbilt. Besides personal property, real estate, including the magnificent Biltmore estate in North Carolina and other valuables the will devises to the widow a life estate of a trust fund of $1,000,000. To the daughter is left the principal of a trust fund of $5,000,000.

It is significant that nearly all of the wills recently probated which cover large individual fortunes, provide for either direct custody by trust companies or their alternative appointment as executor and trustee in case of disqualification or failure of original appointees to act.

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An increase of $4.489.557, or nearly 54 per cent., in total deposits since its report of December 9th, is shown in the latest statement of the condition of the Mutual Alliance Trust Company of New York. On March 2d deposits totaled $12,834,089, and total resources of $14,412,866.

The deposits of the Guaranty Trust Company of New York, as reported to the Superintendent of Banks on March 2d, are $203,922,452.40, a gain of over $25,000,000 since the report of one year ago. This is the largest amount of deposits ever reported by any trust company in this country. The total resources of this institution now exceed $265,000,000.

The Mechanics & Metals National Bank reports a gain of over $11,000,000 deposits since January 13th, making the aggregate $81,163,100. Undivided profits were increased during the same period by $131,964.

Seymour Van Santvoord of Troy, who was formerly president of the New York Trust Companies' Association, has been appointed chairman of the up-State Public Service Commission.

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Notable Expansion of Trust Company

Deposits and Resources

Remarkable gains are reported by the trust companies of New York City in various items in the official returns to the State Banking Department of March 2, as compared with the statements rendered December 9, 1913, and with March 7, 1913, one year ago. The combined figures shows an increase of $126,709,100 in deposits since December 9th, of which increase $84,221,600 consisted of deposits (not preferred); $39,896,900 due to trust companies, banks and bankers and $2,590,600 preferred deposits. Total deposits amounted to $1,203,784,200, compared with $1,160,772,700 reported March 7, 1913. A decrease of $500,000 in combined capital was due to the absorption of the Washington Trust Company by the Corn Exchange Bank, leaving the total capital $67,900,000. Surplus and undivided profits aggregate $164,517,300, representing an increase of $916,800 since last December.

An interesting item is the increase of $19,178,300 bills purchased since last December, making the total $173,834,900. Mortgages owed amounted to $67,409,800, a decrease of $2,333,000; public securities $70,750,900, a decrease of $509,000; other securities $252,975.700, a slight decrease of $950,000. Small decreases are shown in loans secured on real estate and other collateral. There was an increase of $85,214,300 in the amount due from trust companies, banks and bankers.

The substantial gain in deposits is reflected throughout the list of trust companies.

A new business department has been inaugurated by the Bankers Trust Company of New York in connection with the advertising department, both of which will be under the direction of Advertising Manager Edwin B. Wilson. "New Business Memoranda" blanks have been prepared which are distributed among employees inviting suggestions as to possible new business.

New York National banks have assented to the request of the Clearing House Association to pass resolutions vesting the Clearing House examiner with general authority to examine their respective institutions and make known their condition if necessary to the Clearing House Committee. This assent is required to meet the conditions of Section 22 of the Federal Reserve Act regarding examinations.

Philadelphia

Special Correspondence
Preparing for Inauguration of New

Reserve Bank System

The unprecedented accumulation of surplus cash and the maintenance of call rates at 4 per cent. are clear indications that the National banks propose to be in good shape to meet the changed conditions which will come with the establishment of the new Federal Reserve banks. There is little if any doubt that the Organization Committee will locate one of the regional banks in this city. That assurance goes far toward encouraging bankers to believe that the ultimate effect of the new law will be beneficial to this city and will enhance the earning powers of banks. At the same time it is being questioned whether the policy of piling up reserves is not being carried While somewhat too far in this city. some banks have loaned recently at the 32 per cent. rate which is the lowest quotation since January, 1912, the bulk of business is being transacted at rates from 4 to 51⁄2 per cent. according to maturities.

Some of our ablest bankers realize that easy money just at this time with the fall trade opening up, would serve as a decided tonic to business. The marked change in business which prevailed well through the month of January was not sustained during February, and business interests have been inclined to hold off somewhat on the ground of prospective lower rates. It is also well to bear in mind that a great deal of railway and corperation financing will have to be taken care of during the coming months, especially where short-term obligations ma

ture.

There is considerable talk of refinancing on long-term basis because of the improvement in the investment demand. There has been a ready absorption of high-grade bonds and especially of municipals. During the first week in March the surplus reserves of the National banks stood at nearly $34,000,000, the largest on record for this season of the year. Despite the prevalence of a 4 per cent. call rate, business has been fairly active as shown by the fact that clearings for February aggregated $645,218,850 as compared with $639,873,000 during the same month last year.

The Fourth Street National Bank on March 4th reported aggregate resources of $58.536.892 and deposits of $48,147.668.

Is There a Real Need for Additional Official Reports?

Considerable interest was created among State banks and trust companies because of the unusual call for official statements as of February 20. Since 1894 with but few exceptions the Banking Department has required only two calls a year from trust companies and State banks, namely in May and November, Under the amended banking laws which went into effect in 1892 four calls a year were required. But in 1895 this requirement was rescinded and only two calls were made, although the Banking Commissioner has authority to increase the number of calls.

In explanation of the recent call of February 20, the Commissioner of Banking stated: "The step had no connection with the new currency law but was taken under full authority of the department in order that we may be kept in touch with conditions subject to our supervision."

There appears no reason on the surface why the number of calls should be increased. The trust companies in addition to reporting the condition of their banking assets and liabilities are required to report also on the volume of individual and corporate trust business. Because of the enormous amount of trust funds held this requirement would make additional calls somewhat unduly burdensome. Furthermore, trust companies are examined by committees of the Orphans Court and the character of supervision is now such as to meet all the reasonable requirements. At the same time the trust company interests are in thorough sympathy with the purpose of the Commissioner of Banking to bring supervision in Pennsylvania up to the highest possible standard.

Charles F. Wignall, assistant cashier of the Girard National Bank, has resigned owing to ill health.

The Commercial Trust Company has been appointed the agent in this city of the depositary of the Stockholders Protective Committee of the Rock Island Company.

The Fourth Street National Bank has been appointed reserve agent for the Florida National Bank of Gainesville, Fla

The Girard National Bank has been made reserve agent for the First National Bank of Williamstown, N. J.

Franklin National Review

The Franklin National Bank, in its March "Digest of Trade Conditions," says: "The improved condition is felt in a greater or less degree in almost every line of trade. The railroad situation has not improved. Net earnings declined for a considerable period, and now gross earnings have been declining. The freer movement of metals and general nferchandise will help the railroad situation in a measure, but genuine relief cannot come to the railroads until the 1914 crops begin to come in. Even good crops may not wholly remedy the present unsatisfactory conditions unless some method is found by the railroads or the Interstate Commerce Commission to enable the roads to get a higher rate per ton per mile on freight."

New Municipal Financing and Interest on Deposits

Three loans bills have been recently acted on in city councils, representing a total of $26,400,000. Both chambers authorized the Mayor to advertise the sale of $8,600,000 bonds, approved at the November election, and an additional loan of $12,800,000 has been reported to be voted on at a special election March 31, for various improvements. Another bill, authorizing a $5,000,000 loan, which will have to be voted on by the people, has been introduced, and will be for the proposed Broad street subway.

Local bank and trust company officials have presented some strong arguments against the proposal to require depositories of city funds to pay 212 instead of 2 per cent. on such funds. In the first place the profit on city funds allows for but a narrow margin. The banks also render valuable services to the city in connection with temporary loans which are often taken at such low rates as to exclude any profit whatever.

John H. Mason, vice-president of the Commercial Trust Company, and A. J. Hemphill, president of the Guaranty Trust Company of New York, conferred at Washington recently with Senator Underwood in reference to proposed amendments to the Federal income tax law. Mr. Mason is chairman of the Executive Committee of the Trust Company Section of the American Bankers' Association.

Commercial Trust Company

At the annual meeting of the stockholders of the Commercial Trust Company, the following directors were re-elected: Robert K. Cassatt, E. W. Clark, Morris L. Clothier, Rudolph Ellis, Arthur E. Newbold and Charlton Yarnall. At a subsequent meeting of the board, Thomas DeWitt Cuyler was re-elected president; John H. Mason, vice-president; W. A. Obdyke, vice-president and treasurer; C. P. Lineaweaver, secretary and trust officer; H. W. Stehfest, assistant treasurer; and Samuel A. Crozier, assistant secretary.

Latest Philadelphia Trust Company

Returns

As

The Philadelphia trust companies continue to report excellent growth in the amount of trust funds held as executors, trustees, administrators, etc. Inasmuch as there has been a departure in calling for official statements semi-annually in May and November, the recent statements of February 20 permit of no comparison with a corresponding date last year. compared with reports of May 1, 1913, the trust companies report increase in trust funds from $817,658,604 to $870,193, 445. This, of course, is exclusive of corporate trusts. The Feb. 20 summary of reports of trust companies, including several State banks, shows total capital of $44,671,038, an increase of $1,156,195 since last May; surplus and undivided profits of $66,780,458; aggregate deposits of $237,232,280, an increase of $4,619,223 since last May, and $432,831,796 aggregate resources.

an

Henry B. Bartow, cashier of the Farmers & Mechanics National Bank, since 1904, who was formerly trust officer of the Northern Trust Company and the Trust Company of North America, died recently after ten days' illness. Mr. Bartow was well known in financial circles.

C. Percy Willcox has been appointed assistant trust officer of the Merchants' Union Trust Company.

The Franklin National Bank reports under date of March 4th, total resources of $43,785.794 with capital of $1.000.000, surplus ,and net profits of $3,297,186.

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