Ralph Stone Elected Director and VicePresident Detroit Trust Company

Three officers who have long served the Detroit Trust Company have been recently promoted. Former Secretary, Ralph Stone, was made a director and third vice-president. Mr. Stone, who will be in active charge of the office of the company, is regarded as one of the leading financial men in Detroit. His ability in the handling of embarrassed business concerns, many of which have been saved by his efforts, is well known. Mr. Charles P. Spicer, assistant secretary, has been elected to the position of secretary and Lawrence K. Butler becomes treasurer.

Fidelity Trust Company of Newark, N. J.,

Celebrates Twenty-fifth Anniversary

Occupying a foremost position among the largest and most ably conducted trust companies of the country, the Fidelity Trust Company of Newark, New Jersey, recently passed the quarter century mark since commencing business. The original capital was $200,000. According to the latest report the combined capital, surplus and undivided profits of the Fidelity Trust Company aggregate $9,650,000. The officers of this successful trust company are Uzal H. McCarter, president; Anthony R. Kuser, first vicepresident; Frederick W. Egner, second vicepresident; Samuel W. Beldon, general counsel; Jerome Taylor, trust officer; Edward A. Pruden and Theodore Hampson, assistant trust officers; James H. Shackleton, secretary and treasurer; Paul C. Downing and Edward W. Campbell, assistant secretaries and treasurers; Charles G. Titsworth, title officer; Simon P. Northrup, assistant title officer and Clarence G. Appleton, comptroller.

sonal interview with

- $8,000,000.00 you. $56,415,000.00

California Banks and Trust Companies
Prosperous

According to the reports rendered by banks and trust companies, California is not afflicted with apathy or backward conditions in business. Aggregate bank figures and clearings have never been higher. In 1891 there were only 246 banks of all kinds in the State with total deposits of $238,678,784. There are now 732 banks and trust companies with deposits of $769,926,108, representing an increase of over 300 per cent. in number and 322 per cent. in deposits.

Virginia Bankers' Association Convention

The nineteenth annual convention of the Virginia Bankers' Association was held June

20, 21 and 22 at the Chamberlin Hotel, Old

Point Comfort. Some excellent addresses were delivered. J. H. Peters, cashier of the Peoples' National Bank, Gate City, spoke on "Co-operation in Banking"; W. C. Cornwell of New York on "Control of the National Reserve Association by the County Banks and the Benefits They Derive"; E. St. Elmo Lewis, publicity manager of Burroughs Adding Machine Company spoke ably on "Advertising to the Man in the Mirror."

Hillyer Trust Company Declares Dividend

The directors of the Hillyer Trust Company declared the regular semi-annual dividend of 2 per cent. and an extra dividend of one-half of one per cent., payable to stockholders of record June 29. 1912. This makes the annual dividend rate 5 per cent. per annum. The dividend paid last year was 4 per cent.

This extra dividend reflects a continued prosperity of the Hillyer Trust Company.

Wholesome Effect of Corporation Regulation

The net result of six years of ceaseless agitation, of legislative enactments and of court interpretations, has been to strengthen the government's position in relation to corporate regulation and to restrict the unwholesome influence of great enterprises. It is frankly conceded that much of the newer legislation is helpful and not harmful. This has been demonstrated in the stock market and the constantly widening distribution of securities among investors of small means is merely another testimony thereto. It is taken for granted that the inquisitorial and supervisory power of the government will eventually be extended to industrial and public utility companies in about the same manner as now exercised over the railroads. The theory of such regulation has met with unqualified approval of interests most directly affected. Despite all the unfavorable incidents occurring since the beginning of 1911, the public has steadfastly refused to be frightened and has been increasing its commitments in stocks and bonds, which contrasts significantly with the movement of prices in days when speculative cliques conducted their nefarious practices at will. -(From special bulletin issued by H. P. Taylor & Co.)

Tenth Anniversary of Plainfield Trust Company

The Plainfield Trust Company of Plainfield, New Jersey, celebrated recently its tenth anniversary. The latest report shows a capital and surplus of $350,000, with deposits aggregating over $4,000,000. The company also has in its custody $1,500,000 in trust funds which are segregated from the other assets. The annual dividend rate of this progressive company is 10 per cent.

At the last regular monthly meeting of the board of directors Mr. H. H. Pond was elected a director of the company. Mr. Fond has been connected with the institution as secretary and treasurer since May, 1910, and his election to the board is a recognition of the valuable services which he has rendered the company.

The officers of the company are: O. T. Waring, president; A. V. Heely, Henry A. McGee and J. H. Case, vice-presidents; H. H. Pond, secretary and treasurer and DeWitt Hubbell, assistant secretary and treas

urer.

Francis Henderson, vice-president of the Columbia-Knickerbocker Trust Company, has resigned to become vice-president of the Empire Trust Company.

Trust Companies

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New York City

Politics Not an Important Factor

Although the dullness which has prevailed on the Stock Exchange largely reflected the dominant influence of politics, there is every assurance that business and industrial conditions at large, throughout the country, are on the mend. The speculative element in the stock market is of course very susceptible to the developments in the various political camps. But this group is distinctly in the minority and exerts no very important influence. Among financial and banking interests in this city the victory of Taft over Roosevelt is regarded as the vindication of that safe and sane spirit which has made the Republican party distinctly a constructive force in government affairs.

It is gen

erally believed that the disgraceful action of the Third Term Candidate has alienated from his ranks the great bulk of Republican voters who will not follow his leadership in the efforts to create a third party. The political history of the country justifies the prediction that the efforts to create a new party will be unavailing and can have no other possible effect than to materially decrease the chances of a Taft victory in favor of the Democratic candidate.

The most remarkable development in local financial circles is the record-breaking output of new capital. Of the new stock and. bond issues amounting to over $1,400,000,000 since January 1, hardly more than 25 per cent. may be utilized for refunding. some quarters the belief prevails that this enormous increase in new capital may bring

In

about congestion and the dangers which attend over-expansion of credit. But there

is this one great difference as compared with credit expansion periods which usually preceded panic conditions in past years: the new issues represent actual improvements, legitimate new enterprise and are based upon actual underlying physical wealth. A higher standard of financial morals and more rigid requirements now exist which work against over-capitalization or creation of watered stock. This change has been Idue to the attitude of the investor and the greater reliance of banking houses upon the smaller investors. The old speculative groups which were formerly so prominent in Wall Street have practically disappeared. The masters of finance are hard-headed, honest men who realize that the day of "high finance" is past and regulate their conduct accordingly.

After all, the fate of the various politicalcandidates and the turmoil caused by the conventions or the presidential campaign, do not exert such an important influence on business. The country is marching forward at a pace which belies all gloomy or pessimistic thoughts. The steel output is greater than ever with prices increasing for plates, bars and structurals. The copper market is in a flourishing condition. Our export trade gains volume with every succeeding mcnth. Crop conditions favor a normal yield despite the "scares" which are systematically nursed by professionals. Railroads in June gained over $52,000,000 in gross earnings which is gratifying notwithstanding a loss of $8,000,coo in net earnings. The demand for new capital extends throughout the United States, Canada, England, Germany and France. What is most significant is that this country is still in position to make the bulk of advances for such requirements, as indicated by the recent resumption of gold exports to Paris of $2.000.000, making the total movement to that city since January 1, $14.000.000 and $10.000.000 shipped to South America. It is also reassuring to note that the half yearly requirements were safely negotiated, following the prompt absorption of large railroad and corporation issues, the subscription to the $300,000,000 bonds for subway extension and vast amount of new public utility issues.

Money rates continue below normal but are bound to respond to the demand for fall crop requirements. Although there is a great foreign balance to fall back upon, the banks and trust companies are adopting, as customary, a conservative loan policy, in

SURPLUS (earned), Two Million Dollars

order to be in a strong position to meet the crop movement demands. The surplus over legal requirements is well maintained by the National banks. Naturally, the presidential campaign will exert a repressive influence upon business and financial activities in general. But this will not be so serious as some people fear.

The "Money Trust" inquiry has been wisely postponed until Fall and it is to be hoped that the Pujo committee will die a natural death. Its investigations thus far have been farcical and reflect no credit upon those who advocated this move. If reforms are needed in banking control and Stock Market operations, they should be obtained through properly considered legislation based upon information which may be obtained through regular channels without bombastic methods, such as have characterized the Pujo inquiry. It is very doubtful if the Senate Finance Committee will report favorably the amendment to the National Banking Act which the Pujo committee deems necessary in order to have sufficient authority to compel banks to submit required information. In any event the State banks and trust companies are not exposed to annoyances from the committee, and are not subject to any amendments to the National Banking Act.

O. H. Cheney Elected President Pacific Bank

Former State Superintendent of Banking, Orion H. Cheney, has been elected presiIdent of the Pacific Bank which was organized in 1850. When Mr. Cheney retired from the position of Superintendent of Banking, he accepted the office of vicepresident of the Pacific Bank, and as president he succeeds H. B. Brundett.

Weekly Bank Statements

For the first time this year the greater part of the last excess cash reserve shows a deficit of $5,413,000. Deposits have also decreased heavily. This condition is not alarming, however, for the very heavy payments on interest and dividends have brought about a readjustment of money conditions. Within a very short time the interest and dividends will again be found in the bank totals. It is of interest to trust companies to note that the losses reported come almost entirely from banks and that the separate trust company statement shows that those institutions have gained almost $2,000,000 in cash and that their loans have expanded $10,000,000 and their deposits over $21,000,000.

The following statement shows the important weekly changes in Clearing House bank and trust company figures: