Federal Reserve Bulletin, 1965-01

FEDERAL RESERVE B U LLETIN January Volume 51 * Number 1 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM WASHINGTON Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A copy of the Federal Reserve Bulletin is sent to each member bank without charge; member banks desiring additional copies may secure them at a special $2.00 annual rate. The regular subscription price in the United States and its possessions, Bolivia, Canada, Chile, Colombia, Costa Rica, Cuba, Dominican Republic, Ecuador, Guatemala, Haiti, Republic of Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, El Salvador, Uruguay, and Venezuela is $6.00 per annum or 60 cents per copy; elsewhere, $7.00 per annum or 70 cents per copy. Group subscriptions in the United States for 10 or more copies to one address, 50 cents per copy per month, or $5.00 for 12 months. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN Contents Industrial Production and Prices 1 Law Department 13 Announcements 104 National Summary of Business Conditions 114 Guide to Tabular Presentation 116 Financial and Business Statistics, U. S. (Contents on p. 117) 118 International Financial Statistics (Contents on p. 187) 188 Board of Governors and Staff 206 Open Market Committee and Staff; Federal Advisory Council 207 Federal Reserve Banks and Branches 208 Federal Reserve Board Publications 209 Index to Statistical Tables 211 Map of Federal Reserve System Inside back cover E D I T O R I AL C O M M I T T EE Charles Molony Ealph A. Young Guy E. Noyes Daniel H. Brill Elizabeth B. Sette TVIP Federal Reserve BULLETIN is issued monthly under the direction of the staff editorial niittee. This committee is responsible for opinions expressed, except in official statements m and signed articles. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION AND PRICES Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

I ndustrial activity rose substantially further in 1964, the fourth year of the current business expansion. With both business and consumer demands spurred by the large reduction in Federal income taxes, output increased more than it had in 1963. Meanwhile, industrial prices remained relatively stable. During the autumn, operations were reduced by work stoppages in the automobile industry, but by December output had recovered and the Board's index of industrial production had risen to a level 8 per cent higher than in December 1963. Over the longer period since mid-1961—after output had recovered to its prerecession level—industrial activity has grown at an average annual rate of 5.5 per cent. For the earlier postwar years, growth was at a rate of 4 per cent a year. CHART I Expansion in PRODUCTION continues while PRICES remain relatively stable RATIO SCALE 1957-59=100 INDUSTRIAL PRODUCTION INDUSTRIAL COMMODITY PRICES — 100 1 ! 1 1 1 1960 1962 1964 NOTE.—Seasonally adjusted production index. Price index based on Bureau of Labor Statistics wholesale price data for nonfood commodities. Latest figures shown, December. Consumer demands quickened in late 1963, in advance of the reduction in taxes on personal incomes, and by late summer of 1964 retail sales were up 8 per cent from a year earlier. Subsequently, sales of many types of consumer goods leveled off. The strikes in the auto industry sharply curtailed deliveries of new cars from late September through November, but deliveries rebounded in December. Business demands for capital goods accelerated last year, in response to continued expansion in industrial activity as well as to the direct stimulation provided by Government policies. Output and shipments of machinery and other equipment rose sharply, and order backlogs increased. New orders for equipment remained at an advanced rate during the autumn. Construction for business 1 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN • JANUARY 1965 purposes rose through the year, thus helping to offset a moderate decline in residential construction activity and to maintain demands for construction materials. According to a recent Government survey, businesses plan to increase expenditures for new plant and equipment further in the first half of 1965. Demands from abroad also contributed to expansion in industrial output in 1964. The gain in exports of nonagricultural products was substantial, and it exceeded the increase in imports stimulated by the large rise in domestic activity. Business inventory accumulation in 1964 again was quite small. After midyear, however, inventories held by producers of machinery, autos, and other metal products rose substantially, in part because of hedging against the possibility of a steel strike this spring, and the rate of accumulation in some other manufacturing lines also increased. Sustained expansion in industrial output was accompanied by some increase in resource-utilization rates and by interruptions to the flow of new supplies of some commodities. Upward pressures on prices developed in markets for nonferrous metals and certain other commodities. Competition continued to exert a strong restraining influence, however, and not all of the increases in prices that were announced actually were put into effect. In the fourth quarter of 1964—and over the full year—the price index for industrial commodities as a whole increased by one-half of 1 per cent, about as much as it had increased in the year 1963. INDUSTRIAL Except in the period affected by auto strikes, industrial output PRODUCTION of final products rose almost steadily during 1964. The rise from the end of 1963 through December 1964 amounted to 7 per cent. This compared with an increase of 5 per cent during the preceding year and marked the most sustained advance in output of final products during the postwar years. Growth in production of consumer goods, following the rapid recovery in the spring of 1961, has been relatively steady at a rate of about 5.5 per cent a year. Expansion in output of business equipment has been less stable. Its pace was rapid between mid- 1961 and mid-1962, markedly slower to the spring of 1963, and then very rapid. For industrial materials, the pace of expansion has varied even more. Swings in output of some materials have resulted from shifts in inventory demands that in this period were caused mainly by strikes or threats of strikes. Consumer goods. Stimulated by tax reduction, the rise in consumer disposable income accelerated in the first half of 1964. By Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION AND PRICES CHART 2 INCOME gains spur SALES and OUTPUT of CONSUMER GOODS in 1964 RATIO SCALE 1957-59.100 DISPO5ABI.E INCOME although auto strikes reduce output and sales in the autumn PRODUCTION 4 160 V\ AUTOMOTIVE - PRODUCTS f-140 "\ A /V ..--'"HOME 11-120 /—* \ I J(\ ^ APPAHEl NOTE.—Seasonally adjusted indexes. Income and sales based on Dept. of Commerce data. Latest figures shown: income, fourth quarter; other, December. the fourth quarter of the year, before-tax income had risen 6 per cent from its level in the fourth quarter of 1963. This gain was slightly more than that for the previous year. After-tax income increased by 7.5 per cent during 1964. Most of the difference between these increases occurred in March when lower rates on tax withholding went into effect. Since consumer prices continued to rise by about 1 per cent a year, most of the increase in income represented a real gain in purchasing power. With the added flow of income, consumers increased their spending for goods proportionally more than for services, and for durable goods more than for nondurables. As usual, demands for foods and some other staples responded less than other goods to the change in incomes. Market supplies of meats again increased by about 6 per cent, but total output of consumer staples continued Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN • JANUARY 1965 to expand at an annual rate of about 4 per cent. Meanwhile, over-all output of consumer goods rose more or less steadily until the autumn, when automobile production was first reduced by strikes and later raised to a very high rate in an effort to make up the lost output. Automobiles. Sales of new domestic autos in the 1964 model year, which closed in late September, were a record 7.7 million units, 7 per cent above sales of the 1963 models. This gain followed a rise of 11 per cent from the 1962 to the 1963 model year. Sales of imported cars, which had turned upward again in mid- 1962, totaled nearly half a million units in the calendar year 1964. At the start of the 1965 model year, output and deliveries of domestic cars were cut back by strikes at plants of the two largest producers. Over the strike-affected period, production fell short of original schedules by more than half a million cars, and dealer inventories declined sharply. By December, however, the industry was back in full operation, and auto assemblies rose to a record seasonally adjusted annual rate of more than 9 million units. Although still hampered by lingering supply shortages early in the month, sales of domestic cars advanced to a rate of 9 million units, raising sales for the whole fourth quarter to a 7.3 million rate. Dealers' stocks were being rebuilt, and at the year's end they were only moderately below a year earlier. TABLE 1—PASSENGER AUTOS Number (in millions) Percentage Calendar increase in year Sales less Total registrations Sold Scrapped scrappage registrations 1955 7.5 3.8 3.7 52.1 7.6 1956 5.9 4.3 1.6 54.2 4.0 1957 6.0 3.7 2.3 55.9 3.1 1958 4.7 3.4 1.3 56.9 1.7 1959 6.1 4.6 1.5 59.6 4.7 1960 6.6 4.1 2.5 61.6 3.4 1961 5.9 4.4 1.5 63.4 2.9 1962 7.1 4.8 2.3 66.1 4.3 1963 7.7 5.0 2.7 69.0 4.4 1964 8.1 5.2 2.8 72.1 4.5 NOTE.—Data on total registrations each year through 1963 by the Bureau of Public Roads. Estimates of registrations in 1964 and scrappage in all years by Federal Reserve. Registrations data overstate the number of cars in use partly because of reregistration of some vehicles during each year. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION AND PRICES Over time, a rising trend in automobile sales is to be expected because of expansion in real income per capita, increase in replacement needs, and growth in the driving-age population. Table 1 shows that in each of the last 3 years the number of registered cars increased by more than 4 per cent. With the population aged 18 and older growing at an average rate of 1.3 per cent annually, the number of automobiles per person over the age of 18 has increased by about 3 per cent a year. Home goods and apparel. Retail sales of major home goods and apparel accelerated toward the end of 1963, perhaps stimulated by anticipation of the tax cut, and rose until last summer at a more rapid pace than at any earlier time in this business expansion. In the second half of 1964 sales leveled off. Production of both home goods and apparel rose more or less steadily through 1963 and 1964, as Chart 2 shows, with some acceleration in the fourth quarter of last year. Among home goods the strongest advances last year were shown by room air-conditioners and by some kitchen appliances. Furniture and rug production rose almost steadily ^at a rate that amounted to nearly 10 per cent for the year. After midyear, production of television sets and home radios advanced sharply. Business equipment. Acceleration in the rate of increase in business spending to expand and modernize facilities is reflected in the behavior of output of business equipment. This output measure— which includes machinery and other equipment for government use and for export, but which is dominated by equipment for domestic business use—rose 11 per cent further during 1964 to a point about a third above the advanced levels in 1960 and 1957. The rate of output at the year-end was 148 per cent of the 1957- 59 average, compared with 137 per cent for consumer goods. The expansion in output was above average for industrial equipment, which more than other types is associated with expansion in capacity. Output of industrial equipment rose by 12 per cent during the year—a rate of expansion that had occurred before only in recovery from a sharp recession. At the end of 1964, moreover, output of industrial equipment was nearly a third above the 1960 high; over the business cycle from early 1957 to early 1960, output had shown no growth. Production of commercial equipment, which includes office machines and commercial equipment for defense and business purposes, has shown quite a different pattern. Last year was one of recovery and advance following a downward drift through most of 1963. Production of transportation equipment for business and gov- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN • JANUARY 1965 ernment uses—excluding autos—increased moderately through the summer of 1964. Subsequently production of trucks and of railroad equipment was curtailed by strikes and then was raised to high rates as producers attempted to make up the lost output. It was an important feature of developments last year that industrial output could expand considerably further without exerting widespread pressures on capacity and on supplies of materials. In late 1962 and early 1963 production of new equipment was already at a high rate, and it has increased nearly a fifth since then. Consequently, capacity increased appreciably in 1964, although the increase was somewhat less than that in industrial output. CHART 3 RISE in OUTPUT of BUSINESS EQUIPMENT in 1964 greatest for INDUSTRIAL types RATIO SCAIE 1957-59=100 . \'\ » »\ _„• TRANSPORTATION "' V'* ' AND FARM 1962 1964 NOTE.—Seasonally adjusted indexes. Latest figures shown, December. Materials. Production of industrial materials, up nearly 9 per cent from December 1963 to December 1964, rose more than output of final products mainly because of changes in inventories in response to strikes or the possibility of strikes. At the end of 1964, for example, output of metal stampings and parts for motor vehicles was in unusually large volume as production lost earlier in the autumn was being made up. The amount of the increase in production of iron and steel over the year, moreover, was affected by the fact that in the autumn of 1963 inventories were still being liquidated—following the accumulation against the strike possibility during the previous spring —whereas in the summer and autumn of 1964, inventories were being increased. Output rose sharply in the first half of 1964, and Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION AND PRICES CHART 4 OUTPUT changes for INDUSTRIAL MATERIALS reflect expanding use and inventory shifts RATIO SCALE 1957-59=100 - 190 NONFERROUS i METALS / \ A/ '•**!- PAPER AND PRODUCTS CLAY. GLASS. AND LUMBER J L 1964 1962 1964 NOTE.—Seasonally adjusted indexes. Latest figures shown, December. since midyear it has increased further to the highest level on record except for brief periods just before and after the strike in 1959. Production of nonferrous metals had risen sharply in 1963, and at the year-end it was approaching the limits set by plant capacity or the availability of ores and concentrates. Production increased moderately further in 1964, and it averaged about 10 per cent higher than for 1963 as a whole. Output of aluminum rose somewhat in the second half of 1964. Copper production was reduced by strikes in the summer, and shortages were intensified by labor and political disturbances abroad. Toward the year-end, however, world production of copper regained the highs of last spring and it appeared that inventories were being rebuilt. Expansion in refining of lead and zinc Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN • JANUARY 1965 was limited last year, in part because imports of materials were restricted by quotas. Output of major construction materials followed the general course of activity in the construction industry, which reached a high early in 1964 and then changed little. After rising further early in the year, lumber production declined. Output of clay and glass products increased moderately over the year. The course of textile production was strongly influenced by legislative developments as well as by expansion in demands for apparel, textile housefurnishings, and industrial fabrics. In the early part of the year production was stable, and inventories appear to have declined. After passage of legislation to lower the cost of raw cotton to domestic users, production of textiles increased sharply. In both the paper and chemical industries, output expanded considerably further last year. Growth in industrial chemicals continued to be influenced by development of new production methods and new uses of some products. The annual rate of increase in output since 1960 has been nearly 20 per cent for plastic materials and 15 per cent for manmade fibers. INDUSTRIAL ^he materials group accounted for most of the small rise in in- PRICES dustrial commodity prices in 1964. In fact, materials have accounted for most of the fluctuation in industrial prices over the 5-year period shown in Chart 5. In that period, which included a recession, a recovery, and a sustained expansion, the wholesale price index for industrial products changed little. Sensitive materials. Ordinarily the price index for industrial materials responds more promptly to shifts in demands than does the index for industrial products because of the behavior of the "sensitive" materials. The price index for the group of sensitive commodities, which accounts for about a fourth of all the industrial materials in the wholesale price index, turned up in the summer of 1963 and rose 4 per cent by the end of 1964. The rise began from a level that was barely above the recession low of early 1961. In the 1954-55 period, in contrast, the index for sensitive materials had started to rise in advance of the upturn in industrial activity, and within a year it was up 6 per cent; in 1958-59 the index turned up soon after industrial activity, and a year later it was up 8 per cent. The rise in prices of sensitive materials through 1964 was more selective than in the earlier periods. As shown in the third panel of Chart 5, metals increased sharply while natural fibers declined appreciably. And the third component, which contains textile Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION AND PRICES CHART 5 INDUSTRIAL PRICE CHANGES renaii selective 1957-S9-100 PRODUCTS MATERIALS OTHER SENSITIVE MATERIALS PRODUCTS PRODUCERS1 EOUIPMENt CONSUMER GOODS IM>0 1962 1964 NOTE.—Based on Bureau of Labor Statistics wholesale price data for nonfood commodities. Latest figures shown are December estimates. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

10 FEDERAL RESERVE BULLETIN • JANUARY 1965 yarns and fabrics, lumber and plywood, hides and leather, natural rubber, and fuel oil, remained stable. Prices of nonferrous metals and mill products—which together with steel scrap make up the metals component of the index for sensitive materials—turned up in early 1963 when expansion in domestic production of business equipment and other durable goods was resumed and the rise in production in other industrial countries accelerated. While demands for these materials for both inventories and current consumption were increasing, expansion in output was limited by political disturbances in some countries that are major sources of supply and by work stoppages in the United States. Between early 1963 and late 1964 prices of tin doubled, but after the quantity of the metal being made available from the U.S. stockpile was increased substantially, prices lost about half of the increase. Sales of small quantities of stockpiled lead and zinc also were authorized and effected last year, with the approval of many domestic producers who have been concerned about the effects of price increases on longer-run competition from other materials. Producers of primary copper also seemed to be concerned about their competitive position, and they held price increases to moderate proportions—compared with the 1955-56 experience— despite interruptions to supplies and large price increases on the London and New York exchanges. In December prices in these markets fell sharply—reflecting recovery in production and thus progressive improvement in the supply situation—but they were still well above prices maintained by the primary producers. The decline in market prices of natural fibers in 1964 resulted mainly from a reduction of 7.5 per cent in Federal price-support levels for cotton. Prices for yarns and fabrics—included in the "other" group of sensitive materials—were also affected by the enactment of "one price cotton" legislation, which reduced the cost of cotton for domestic use to the level of export prices. The effective cost of raw cotton to domestic users, therefore, was reduced to a level about a fifth below current market prices. In late 1964, as a result, the effective cost was more than a fourth below market prices of a year earlier. Prior to enactment of this legislation in early 1964 buyers of cotton yarns and fabrics had sharply reduced their purchases and their inventories in anticipation of lower prices for such products. Soon after the enactment prices did decline, but the rebuilding of inventories and heavy forward buying into 1965 resulted in some price increases in the autumn. Prices of lumber and plywood—also included in the "other" Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION AND PRICES group—declined in the summer and autumn, when residential construction activity weakened. At the year-end the decline was arrested as supplies of these products were threatened by floods in the northwestern region of the country. Other materials, The index for other industrial materials (other than sensitive), which accounts for three-fourths of the industrial materials in the wholesale index, remained stable in 1964. At the year-end it was slightly lower than just before the recovery in business activity began in early 1961, and slightly lower than just before the recession began in early 1960. For many of these materials, as for some finished products, actual prices in transactions differ from the prices reported by the amount of competitive discounts or concessions. Since the magnitude of such concessions fluctuates cyclically, it is likely that prices in actual transactions are higher now than they were in early 1961, but it is also likely that they are no higher than in the early part of 1960. The price index for steel mill products, the most important material in this group, edged up in late December when increases of 2 to 3 per cent were effected for prices of some galvanized products. Prices for some other products had been reduced earlier in the year, and at the end of 1964 the steel index was no higher than it was in December 1963. Prices of fuel oils declined sharply through the first 9 months of 1964 and then recovered most of the decline. Meanwhile, prices of woodpulp and some paper products, millwork, and plumbing supplies increased. Some nonmetallic minerals rose while others declined. Industrial chemicals were stable at a level about 5 per cent lower than in 1959-60. In markets for labor as well as for industrial materials, developments in 1964 remained relatively favorable for price stability. In manufacturing as a whole, based on the Board's production index, output per manhour continued to rise at least as rapidly as hourly labor costs, including fringe benfits. Total labor costs per unit of manufacturing output were no higher in the autumn of 1964 than they were a year or two earlier. The manhour cost to the auto industry of the 3-year labor contract signed last summer has been estimated to be slightly above the average rate of increase in manufacturing output per manhour over the past 3 years, as implied by the Board's production index. Industrial products. With prices of industrial materials showing little change—or no more change than might have occurred because of reductions in discounts—prices of finished products were not subject to pervasive pressures of costs in 1964. Changes in Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

12 FEDERAL RESERVE BULLETIN • JANUARY 1965 prices continued to be selective in reflection of specific market developments, and the average for all finished products changed little. For consumer goods (other than foods), changes were few and typically small, and the index was unchanged at the level first reached in early 1959. Apparel edged up further, reflecting primarily the 1963 rise in prices for wool in world markets. Household furniture also increased, but floor coverings declined at the year-end after having risen in 1963 along with carpet wool. Prices of tires, which had increased in the summer of 1963, declined in the spring of 1964. Wholesale prices for autos and other major consumer durable goods were stable during 1964. The 1965 model autos were introduced last autumn at prices little changed from a year earlier, but according to the wholesale price index, auto prices were 4 per cent below the peak of 6 years ago. Prices in the appliance and in the television and radio groups stabilized last year after having declined 9 and 12 per cent, respectively, over the preceding four and a half years. The price index for machinery and other producers' equipment increased only slightly in late 1963 and early 1964. It then leveled off although new orders received by manufacturers of such equipment rose to an advanced rate and remained high into the fourth quarter of the year. Most of the rise in the price average reflected increases in metalworking machinery and equipment. Price indexes for several types of machinery and equipment are appreciably higher now than in early 1960, prior to the last recession. This is true of the indexes for metalworking, agricultural, and construction equipment. However, the index for the electrical equipment group is down and the group of general purpose machinery is unchanged. The index for the whole equipment category, therefore, was about 2 per cent higher at the end of 1964 than it was 5 years earlier. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Law Department Administrative interpretations, new regulations, and similar material REGULATION F: SECURITIES OF MEMBER STATE BANKS Pursuant to authority conferred by the 1964 chartered banks that are members of the Fedamendments to the Securities Exchange Act of eral Reserve System, the filing of reports by 1934, the Board of Governors of the Federal such banks, solicitation of stockholder proxies, Reserve System has issued a new Regulation F, and disclosure of transactions in bank stocks effective January 1, 1965. This regulation re- by so-called "insiders." The regulation and the lates to the registration of stock of certain State- related forms are shown below. CONTENTS Page Page Sec. 206.1—Scope of Part 14 (d) Requirements as to proxy 24 (e) Presentation of information in Statement 25 Sec. 206.2—Definitions 14 (f) Material required to be filed 25 (g) Mailing communications for security holders 26 Sec. 206.3—Inspection and Publication of Informa- (h) False or misleading statements 27 tion Filed Under the Act 17 (i) Special provisions applicable to election con- (a) Filing of material with the Board 17 tests 28 (b) Inspection 17 (j) Prohibition of certain solicitations 30 (c) Nondisclosure of certain information filed... 18 Sec. 206.6—"Insiders' " Securities Transactions and Sec. 206.4—Registration Statements and Reports of Reports Under Section 16 of the Act 30 Banks 19 (a) Filing of statements by directors, officers, (a) Requirement of registration statement 19 and principal stockholders 30 (b) Registration effective as to class or series.... 19 (b) Ownership of more than 10 per cent of an (c) Acceleration of effectiveness of registration.. 19 equity security 30 (d) Exchange certification 19 (c) Disclaimer of beneficial ownership 30 (e) Requirement of annual reports 19 (d) Ownership of securities held in trust 30 (f) Exception from requirement for annual report 19 (e) Certain transactions subject to section 16(a).. 31 (g) Current reports 20 (f) Exemption from section 16 of securities pur- (h) Quarterly reports 20 chased or sold by odd-lot dealers 31 (i) Additional information 20 (g) Exemption of small transactions from section (j) Information not available 20 16(a) 32 (k) Disclaimer of control 20 (h) Temporary exemption of certain persons from (1) Incorporation by reference 20 sections 16(a) and (b) 32 (m) Summaries or outlines of documents 20 (i) Exemption from section 16(b) of transactions (n) Omission of substantially identical documents 21 that need not be reported under section (o) Incorporation of exhibits by reference 21 16(a) 32 (p) Extension of time for furnishing information. 21 (j) Exemption from section 16(b) of certain (q) Number of copies; signatures; binding 21 transactions by registered investment com- (r) Requirements as to paper, printing, and panies 32 language 22 (k) Exemption from section 16(b) of certain (s) Preparation of statement or report 22 transactions effected in connection with a (t) Riders;inserts 22 distribution 32 (u) Amendments 22 (1) Exemption from section 16(b) of acquisitions (v) Title of securities 22 of shares of stock and stock options under (w) Interpretation of requirements 22 certain stock bonus, stock option, or (x) When securities are deemed to be registered.. 23 similar plans 33 (m) Exemption from section 16(b) of long-term Sec. 206.5—Proxies, Proxy Statements, and State- profits incident to sales within six months of ments Where Management Does Not the exercise of an option 34 Solicit Proxies 23 (n) Exemption of certain securities from section (a) Requirement of Statement 23 16(c) 35 (b) Exceptions 23 (o) Exemption from section 16(c) of certain trans- (c) Annual report to security holders to accom- actions effected in connection with a dispany Statements 23 tribution 35 13 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

14 FEDERAL RESERVE BULLETIN • JANUARY 1965 Sec. 206.6—Continued Page Page (p) Exemption of sales of securities to be acquired 35 (9) General notes to balance sheets 38 (q) Arbitrage transactions under section 16 35 (10) General notes to statements of income.. 39 (d) Consolidated financial statements 39 Sec. 206.7—Form and Content of Financial State- (e) Statement of changes in capital accounts 40 ments 36 (f) Schedules to be filed 40 (a) Principles of financial reporting 36 (b) Verification 36 Forms and Related Instructions (1) General 36 Form F-l—Registration Statement for Securities (2) Opinions to be expressed by principal of a Bank. 41 accounting officer and auditor. 36 Form F-2—Annual Report 52 (3) Certification by independent public Form F-3—Current Report 55 accountants 36 (c) Provisions of general application 37 Form F-^—Quarterly Report 60 (1) Requirements as to form 37 Form F-5—Proxy Statement; Statement Where (2) Items not material 37 Management Does Not Solicit (3) Inapplicable captions and omission of Proxies 61 unrequired or inapplicable financial Form F-6—Statement in Election Contest 70 statements 37 Form F-7—Initial Statement of Beneficial Owner- (4) Additional information 37 ship of Equity Securities 72 (5) Changes in accounting principles and Form F-8—Statement of Changes in Beneficial practices and retroactive adjustments Ownership of Equity Securities 74 of accounts 37 Form F-9—Financial Statements 76 (6) Summary of accounting principles and A. Balance Sheet 77 practices 37 B. Statment of Income 82 (7) Foreign currencies 38 C. Statement of Changes in Capital Accounts.. 86 (8) Commitments 38 D. Schedules 87 REGULATION SECTION 206.1—SCOPE OF PART1 (a) The terms "exchange", "director", "person", "security", and "equity security" have the This Part is issued by the Board of Governors meanings given them in section 3(a) of the Act. of the Federal Reserve System (the "Board") (b) The term "affiliate" (whether referred to pursuant to section 12(i) of the Securities Ex- as an "affiliate" of, or a person "affiliated" with, change Act of 1934 (15 U.S.C. 78) (the "Act") a specified person) means a person that directly, and applies to all securities subject to registra- or indirectly through one or more intermedition pursuant to section 12(b) or section 12(g) aries, controls, or is controlled by, or is under of the Act by a bank that is organized under common control with, the person specified. State law and is a member of the Federal Re- (c) The term "amount", when used with reserve System ("bank"). spect to securities, means the principal amount if relating to evidences of indebtedness, the number of shares if relating to shares, and the SECTION 206.2—DEFINITIONS number of units if relating to any other kind of security. For the purposes of this Part, including all (d) The term "associate", when used to indiforms and instructions promulgated for use in cate a relationship with any person, means (1) connection herewith, unless the context other- any corporation or organization (other than the wise requires: bank or a majority-owned subsidiary of the bank) of which such person is an officer or part- 1 This text corresponds to the Code of Federal Regula- ner or is, directly or indirectly, either alone or tions, Title 12, Chapter II, Part 206, cited as 12 CFR together with one or more members of his im- 206. The words "this Part", as used herein, mean Regumediate family, the beneficial owner of 10 per lation F. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 15 cent or more of any class of equity securities, (B) Securities identified as held of record (2) any trust or other estate in which such per- by a corporation, a partnership, a trust whether son has a substantial beneficial interest or as to or not the trustees are named, or other organiwhich such person serves as trustee or in a simi- zation shall be included as so held by one lar fiduciary capacity, and (3) any relative or person. spouse of such person, or any relative of such (C) Securities identified as held of record spouse, who has the same home as such person by one or more persons as trustees, executors, or who is a director or officer of the bank or guardians, custodians, or in other fiduciary caany of its parents or subsidiaries. pacities with respect to a single trust, estate, or (e) The term "charter" includes articles of account shall be included as held of record by incorporation, declarations of trust, articles of one person. association or partnership, or any similar instru- (D) Securities held by two or more perment, as amended, effecting (either with or sons as co-owners shall be included as held by without filing with any governmental agency) one person. the organization or creation of an incorporated (E) Each outstanding unregistered or or unincorporated person. bearer certificate shall be included as held of (f) The term "control" (including the terms record by a separate person, except to the ex- "controlling", "controlled by", and "under tent that the bank can establish that, if such common control with") means the possession, securities were registered, they would be held directly or indirectly, of the power to direct or of record, under the provisions of this paracause the direction of the management and poli- graph (j), by a lesser number of persons. cies of a person, whether through the ownership (F) Securities registered in substantially of voting securities, by contract, or otherwise. similar names, where the bank has reason to (g) The term "employee" does not include a believe because of the address or other indicadirector, trustee, or officer. tions that such names represent the same per- (h) The term "equity capital accounts" son, may be included as held of record by one means capital stock, surplus, undivided profits, person. and reserve for contingencies and other capital (2) Notwithstanding subparagraph (1): reserves. (A) Securities held subject to a voting (i) The term "fiscal year" means the annual trust, deposit agreement, or similar arrangeaccounting period or, if no closing date has ment shall be included as held of record by the been adopted, the calendar year ending on record holders of the voting trust certificates, December 31. certificates of deposit, receipts, or similar evi- (j)(l) For the purpose of determining whether dences of interest in such securities; Provided, the registration requirements of section 12(g) however, that the bank may rely in good faith (1) of the Act are applicable, securities shall be on such information as is received in response deemed to be "held of record" by each person to its request from a nonaffiliated issuer of the who is identified as the owner of such securities certificates or interests. on records of security holders maintained by or (B) If the bank knows or has reason to on behalf of the bank, subject to the following: know that the form of holding securities of rec- (A) In any case where the records of secu- ord is used principally to circumvent the provirity holders have not been maintained in ac- sions of section 12(g)(l) of the Act, the benecordance with accepted practice, any additional ficial owners of such securities shall be deemed person who would be identified as such an to be record owners thereof. owner on such records if they had been main- (k) The term "immediate family" includes a tained in accordance with accepted practice person's (1) spouse; (2) son, daughter, and deshall be included as a holder of record. scendant of either; (3) father, mother, and an- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

16 FEDERAL RESERVE BULLETIN • JANUARY 1965 cestor of either; (4) stepson and stepdaughter; tracts, authorizations, or arrangements, whether and (5) stepfather and stepmother. For the pur- or not set forth in any formal document. pose of determining whether any of the fore- (s) The term "predecessor" means a person going relationships exist, a legally adopted child the major portion of the business and assets of shall be considered a child by blood. which another person acquired in a single suc- (1) The term "listed" means admitted to full cession or in a series of related successions. trading privileges upon application by the bank (t) The terms "previously filed" and "preand includes securities for which authority to viously reported" mean previously filed with, add to the list on official notice of issuance has or reported in, a registration statement under been granted. section 12, a report under section 13, or a defin- (m) The term "majority-owned subsidiary" itive proxy statement or statement where manmeans a subsidiary more than 50 per cent of agement does not solicit proxies under section whose outstanding securities representing the 14 of the Act, which statement or report has right, other than as affected by events of de- been filed with the Board, except that informafault, to vote for the election of directors, is tion contained in any such document shall be owned by the subsidiary's parent and/or one or deemed to have been previously filed with or more of the parent's other majority-owned sub- reported to an exchange only if such document sidiaries. is filed with such exchange. (n) The term "material", when used to qual- (u) The term "principal underwriter" means ify a requirement for furnishing of information an underwriter in privity of contract with the as to any subject, limits the information re- issuer of the securities as to which he is underquired to those matters as to which an average writer. prudent investor ought reasonably to be in- (v) The term "promoter" includes: (1) any formed before buying or selling the security person who, acting alone or in conjunction with registered. one or more other persons, directly or indirectly (o) The term "officer" means a Chairman of takes initiative in founding and organizing the the Board of Directors, Vice Chairman of the bank; (2) any person who, in connection with Board, Chairman of the Executive Committee, the founding and organizing of the bank, di- President, Vice President (except as indicated rectly or indirectly receives in consideration of in the next sentence), Cashier, Treasurer, Sec- services or property or both services and propretary, Comptroller, and any other person who erty 10 per cent or more of any class of securiparticipates in major policy-making functions ties of the bank or 10 per cent or more of the of the bank. In some banks (particularly banks proceeds from the sale of any class of such with officers bearing titles such as Executive securities. A person who receives such securi- Vice President, Senior Vice President, or First ties or proceeds either solely as underwriting Vice President as well as a number of "Vice commissions or solely in consideration of prop- Presidents"), some or all "Vice Presidents" do erty shall not, however, be deemed a promoter not participate in major policy-making func- if such person does not otherwise take part in tions, and such persons are not officers for the founding and organizing the bank. purpose of this Part. (w) The term "proxy" includes every proxy, (p) The term "option" means any option, consent, or authorization within the meaning of warrant, or right other than those issued to section 14(a) of the Act. The consent or authorsecurity holders on a pro rata basis. ization may take the form of failure to object (q) The term "parent" of a specified person or to dissent. is a person controlling such person directly, or (x) The terms "qualified stock option", "reindirectly through one or more intermediaries. stricted stock option", and "employee stock (r) The term "plan" includes all plans, con- purchase plan" have the meanings given them Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 17 in sections 422 through 424 of the Internal business, whether by merger, consolidation, Revenue Code of 1954. purchase, or other direct transfer. The term (y) The term "share" means a share of stock does not include the acquisition of control of in a corporation or unit of interest in an unin- a business unless followed by the direct acquicorporated person. sition of its assets. The term "succeed" and (z) The term "significant subsidiary" means "successor" have meanings correlative to the a subsidiary meeting either of the following foregoing. conditions: (dd) The term "verified", when used with (1) The investments in the subsidiary by its respect to financial statements, means either (1) parent plus the parent's proportion of the in- certified by an independent public accountant, vestments in such subsidiary by the parent's or (2) signed in accordance with section 206.7 other subsidiaries, if any, exceed 5 per cent of (b)(2) by the person principally responsible for the equity capital accounts of the bank. the accounting records of the bank (the "princi- (2) The parent's proportion of the gross op- pal accounting officer") and by the person prinerating revenues of the subsidiary exceeds 5 cipally responsible for the audit procedures of per cent of the gross operating revenues of the the bank (the "auditor"); except that the term parent. "verified" shall mean certified by an independ- (aa) The terms "solicit" and "solicitation" ent public accountant in any case in which the mean (1) any request for a proxy whether or Board so informs the bank concerned, in writnot accompanied by or included in a form of ing, at least 90 days prior to the end of the proxy; (2) any request to execute or not to fiscal year to which the financial statements will execute, or to revoke, a proxy; or (3) the fur- relate. nishing of a form of proxy or other communi- (ee) The term "voting securities" means secation to security holders under circumstances curities the holders of which are presently enreasonably calculated to result in the procure- titled to vote for the election of directors. ment, withholding, or revocation of a proxy. The terms do not apply, however, to the furnishing of a form of proxy to a security holder SECTION 206.3—INSPECTION AND upon the unsolicited request of such security PUBLICATION OF INFORMATION holder, the performance by the bank of acts FILED UNDER THE ACT required by section 206.5(g), or the performance by any person of ministerial acts on behalf (a) Filing of material with the Board. All of a person soliciting a proxy. papers required to be filed with the Board pur- (bb) A "subsidiary" of a bank is (1) an affili- suant to the Act or regulations thereunder shall ate controlled by the bank, directly or indi- be filed at its office in Washington, D. C. Materectly, through one or more intermediaries, rial may be filed by delivery to the Board, except where the control (A) exists by reason through the mails, or otherwise. The date on of ownership or control of voting securities by which papers are actually received by the Board the bank in a fiduciary capacity or (B) was ob- shall be the date of filing thereof if all of the tained by the bank in the course of securing or requirements with respect to the filing have been collecting a debt previously contracted in good complied with. faith, or (2) a person a majority of whose vot- (b) Inspection. Except as provided in paraing securities are held in trust for the benefit of graph (c), all information filed regarding a the holders of a class of stock of the bank pro security registered with the Board will be availrata. able for inspection at the Federal Deposit In- (cc) The term "succession" means the direct surance Corporation, 550 Seventeenth Street, acquisition of the assets comprising a going N. W., Washington, D. C. In addition, copies Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

18 FEDERAL RESERVE BULLETIN • JANUARY 1965 of the registration statement and reports re- any, with which the statement, report, or docuquired by section 206.4 (exclusive of exhibits), ment is filed. The copies of the confidential porthe statements required by section 206.5(a), tion and the application filed in accordance with and the annual reports to security holders re- this subparagraph shall be enclosed in a sepaquired by section 206.5(c) will be available for rate envelope marked "CONFIDENTIAL inspection at each of the 12 Federal Reserve TREATMENT" and addressed to Secretary, Banks. Board of Governors of the Federal Reserve (c) Nondisclosure of certain information System, Washington, D. C. 20551. filed. Any person filing any statement, report, (3) Pending the determination by the Board or document under the Act may make written as to the objection filed in accordance with objection to the public disclosure of any infor- subparagraph (2), the confidential portion will mation contained therein in accordance with not be disclosed by the Board. the procedure set forth below: (4) If the Board determines that the objec- (1) The person shall omit from the state- tion shall be sustained, a notation to that effect ment, report, or document, when it is filed, the will be made at the appropriate place in the portion thereof that it desires to keep undis- statement, report, or document. closed (hereinafter called the confidential por- (5) If the Board shall have determined that tion). In lieu thereof, it shall indicate at the disclosure of the confidential portion is in the appropriate place in the statement, report, or public interest, a finding and determination to document that the confidential portion has been that effect will be entered and notice of the findso omitted and filed separately with the Board. ing and determination will be sent by registered (2) The person shall file with the copies of or certified mail to the person. the statement, report, or document filed with (6) The confidential portion shall be made the Board: available to the public: (A) As many copies of the confidential (A) upon the lapse of 15 days after the portion, each clearly marked "CONFIDENdispatch of notice by registered or certified mail TIAL TREATMENT", as there are copies of of the finding and determination of the Board the statement, report, or document filed with described in subparagraph (5), if prior to the the Board and with each exchange, if any. Each lapse of such 15 days the person shall not have copy shall contain the complete text of the item filed a written statement that he intends in good and, notwithstanding that the confidential porfaith to seek judicial review of the finding and tion does not constitute the whole of the andetermination; swer, the entire answer thereto; except that in (B) upon the lapse of 60 days after the case the confidential portion is part of a finandispatch of notice by registered or certified mail cial statement or schedule, only the particular of the finding and determination of the Board, financial statement or schedule need be inif the statement described in clause (A) shall cluded. All copies of the confidential portion have been filed and if a petition for judicial reshall be in the same form as the remainder of the statement, report, or document. view shall not have been filed within such 60 days; or (B) An application making objection to (C) if such petition for judicial review the disclosure of the confidential portion. Such shall have been filed within such 60 days, upon application shall be on a sheet or sheets separate from the confidential portion, and shall final disposition, adverse to the person, of the contain (i) an identification of the portion of the judicial proceedings. statement, report, or document that has been (7) If the confidential portion is made availomitted, (ii) a statement of the grounds of ob- able to the public, a copy thereof shall be atjection, and (iii) the name of each exchange, if tached to each copy of the statement, report, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 19 or document filed with the Board and with each such certification. The exchange shall promptly exchange concerned. notify the Board of the partial or complete satisfaction of any such conditions. (3) The certification may be made by tele- SECTION 206.4—REGISTRATION gram but in such case shall be confirmed in STATEMENTS AND REPORTS writing. All certifications in writing and all OF BANKS amendments thereto shall be filed with the Board in duplicate and at least one copy shall (a) Requirement of registration statement. be manually signed by the appropriate ex- Securities of a bank shall be registered under change authority. the provisions of either section 12(b) or section (4) The date of receipt by the Board of the 12(g) of the Act by filing a statement in con- certification approving a security for listing and formity with the requirements of Form F-l. No registration shall be the date on which the cerregistration shall be required under the provi- tification is actually received by the Board or sions of section 12(b) or section 12(g) of the the date on which the registration statement to Act of any warrant or certificate evidencing a which the certification relates is actually reright to subscribe to or otherwise acquire a ceived by the Board, whichever date is later. security of a bank if such warrant or certificate (5) If an amendment to the registration stateby its terms expires within 90 days after the ment is filed with the exchange and with the issuance thereof. Board after the receipt by the Board of the (b) Registration effective as to class or se- certification of the exchange approving the series. Depending upon whether the security is to curity for listing and registration, the certificabe listed on an exchange, registration shall be- tion, unless withdrawn, shall be deemed made come effective as provided in section 12(d) or with reference to the statement as amended. section 12(g)(l) of the Act as to the entire class (6) An exchange may, by notice to the of such security, then or thereafter authorized. Board, withdraw its certification prior to the If, however, a class of security is issuable in time that the registration to which it relates first two or more series with different terms, each becomes effective pursuant to paragraph (b) of such series shall be deemed a separate class for this section 206.4. the purposes of this paragraph. (e) Requirement of annual reports. Every (c) Acceleration of effectiveness of registra- registrant bank shall file an annual report for tion. A request for acceleration of the effective each fiscal year after the last full fiscal year for date of registration shall be made in writing by which financial statements were filed with the either the bank, an exchange, or both and shall registration statement. The report shall be filed briefly describe the reasons therefor. within 120 days after the close of the fiscal year (d) Exchange certification. (1) Certification and shall conform to the requirements of Form that a security has been approved by an ex- F-2. change for listing and registration pursuant to (f) Exception from requirement for annual section 12(d) of the Act shall be made by the report. Notwithstanding paragraph (e) of this governing committee or other corresponding section 206.4, any bank that has filed, within authority of the exchange. the period prescribed for filing an annual report (2) The certification shall specify (A) the pursuant to that paragraph, a registration stateapproval of the exchange for listing and regis- ment that has become effective and is not subtration; (B) the title of the security so approved; ject to any proceeding under section 15(c) or (C) the date of filing with the exchange of the section 19 (a) of the Act, or to an order thereregistration statement and of any amendments under, need not file an annual report if such thereto; and (D) any conditions imposed on statement covers the fiscal period that would be Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

20 FEDERAL RESERVE BULLETIN • JANUARY 1965 covered by such annual report and contains all out unreasonable effort or expense together of the information, including financial state- with the sources thereof, and ments and exhibits, required for annual reports. (2) The bank shall include a statement either (g) Current reports. Every registrant bank showing that unreasonable effort or expense shall file a current report in conformity with the would be involved or indicating the absence of requirements of Form F-3 within 10 days after any affiliation with the person within whose the close of any month during which any of the knowledge the information rests and stating events specified in that form occurs, unless sub- the result of a request made to such person for the information. No such request need be made, stantially the same information as required by however, to any foreign government, or an that form has been previously reported by the agency or instrumentality thereof, if, in the bank. opinion of the bank, such request would be (h) Quarterly reports. Every registrant bank harmful to existing relationships. shall file a quarterly report in conformity with (k) Disclaimer of control. If the existence of the requirements of Form F-4 for each fiscal control is open to reasonable doubt in any inquarter ending after the close of the latest fiscal stance, the bank may disclaim the existence of year for which financial statements were filed control and any admission thereof; in such case, in a registration statement except that no report however, the bank shall state the material facts need be filed for the fiscal quarter which coinpertinent to the possible existence of control. cides with the end of the fiscal year of the bank. (1) Incorporation by reference. (1) Matter Such reports shall be filed not later than 45 contained in any part of a statement or report, days after the end of such quarterly period, other than exhibits, may be incorporated by except that the report for any period ending reference in answer or partial answer to any prior to the date on which a class of securities item of the statement or report. Matter conof the bank first becomes effectively registered tained in an exhibit may be so incorporated to may be filed not later than 45 days after the the extent permitted in paragraph (m) of this effective date of such registration. section 206.4. A registration statement for an (i) Additional information. In addition to the additional class of securities of the bank may information expressly required to be included in incorporate by reference any item contained in a statement or report, there shall be added such a previous registration statement or report. further material information, if any, as may be (2) Material incorporated by reference shall necessary to make the required statements, in be clearly identified in the reference. An exthe light of the circumstances under which they press statement that the specified matter is inare made, not misleading. corporated by reference shall be made at the (j) Information not available. Information particular place in the statement or report where required need be given only insofar as it is the information is required. Matter shall not be known or reasonably available to the bank. If incorporated by reference in any case where any required information is unknown and not such incorporation would render the statement reasonably available to the bank, either be- incomplete, unclear, or confusing. cause the obtaining thereof would involve un- (m) Summaries or outlines of documents. reasonable effort or expense or because it rests Where an item requires a summary or outline peculiarly within the knowledge of another per- of the provisions of any document, only a brief son not affiliated with the bank, the information statement shall be made, in succinct and conmay be omitted, subject to the following con- densed form, as to the most important providitions: sions. In addition to such statement, the sum- (1) The bank shall give such information on mary or outline may incorporate by reference the subject as it possesses or can acquire with- particular items, sections, or paragraphs of any Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 21 exhibit and may be qualified in its entirety by twice since such filing. such reference. Matter contained in an exhibit (p) Extension of time for furnishing informay be incorporated by reference in answer to mation. If the furnishing of any information, an item only to the extent permitted by this document, or report at the time it is required paragraph (m). to be filed is impracticable, the bank may file (n) Omission of substantially identical doc- with the Board as a separate document an apuments. In any case where two or more inden- plication (1) identifying the information, docutures, contracts, franchises, or other documents ment, or report in question, (2) stating why the required to be filed as exhibits are substantially filing thereof at the time required is impractiidentical in all material respects except as to the cable, and (3) requesting an extension of time parties thereto, the dates of execution, or other for filing the information, document, or report details, the bank need file a copy of only one of to a specified date not more than 60 days after such documents, with a schedule identifying the the date it would otherwise have to be filed. The documents omitted and setting forth the mate- application shall be deemed granted unless the rial details in which such documents differ from Board, within 10 days after receipt thereof, the document of which a copy is filed. The shall enter an order denying the application. Board may at any time in its discretion require (q) Number of copies; signatures; binding. the filing of copies of documents so omitted. (1) Except where otherwise provided in a par- (o) Incorporation of exhibits by reference. ticular form, 16 copies of each registration (1) Any document or part thereof previously statement and report (including financial statefiled with the Board pursuant to this Part may, ments) and 4 copies of each exhibit and each subject to the following limitations, be incorpo- other document filed as a part thereof, shall be rated by reference as an exhibit to any registra- filed with the Board. At least one complete copy tion statement or report filed with the Board by of each statement shall be filed with each exthe same or any other person. Any document or change, if any, on which the securities covered part thereof filed with an exchange pursuant to thereby are being registered. At least one copy the Act may be incorporated by reference as an of each report shall be filed with each exchange, exhibit to any registration statement or report if any, on which the bank has securities regisfiled with the exchange by the same or any other tered. person. (2) At least one copy of each statement or (2) Any document incorporated by refer- report filed with the Board and one copy thereence pursuant to this paragraph (o) shall be so of filed with an exchange shall be manually incorporated only by reference to the specific signed. If the statement or report is typewritten, document and to the prior filing in which it was one of the signed copies filed with the Board physically filed, not to another file which incor- shall be an original "ribbon" copy. Unsigned porates it by reference. copies shall be conformed. If the signature of (3) If any modification has occurred in the any person is affixed pursuant to a power of text of any document incorporated by reference attorney or other similar authority, a copy of since the filing thereof, the bank shall file with such power or other authority shall also be filed the reference a statement containing the text of with the statement or report. any such modification and the date thereof. (3) Each copy of a statement or report filed (4) No document which has been on file with the Board or with an exchange shall be with the Board pursuant to this Part for a pe- bound in one or more parts. Copies filed with riod of more than 10 years may be incorporated the Board shall be bound without stiff covers. by reference. This limitation shall not, however, The statement or report shall be bound on the apply to a corporate charter or by-laws if such left side in such a manner as to leave the readdocument has not been amended more than ing matter legible. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

22 FEDERAL RESERVE BULLETIN • JANUARY 1965 (r) Requirements as to paper, printing, and to be omitted. Unless expressly provided otherlanguage. (1) Statements and reports shall be wise, if any item is inapplicable or the answer filed on good quality, unglazed, white paper thereto is in the negative, an appropriate state- 8V2 x 13 inches in size, insofar as practicable. ment to that effect shall be made. Tables charts, maps, and financial statements (t) Riders; inserts. Riders shall not be used. may, however, be on larger paper if folded to If the statement or report is typed on a printed that size. form, and the space provided for the answer (2) The statement or report and, insofar as to any given item is insufficient, reference shall practicable, all papers and documents filed as a be made in such space to a full insert page or part thereof, shall be printed, lithographed, pages on which the item number and caption mimeographed, xerocopied, or typewritten. The and the complete answer are given. statement or report or any portion thereof may, (u) Amendments. All amendments shall however, be prepared by any similar process comply with all pertinent requirements applicathat, in the opinion of the Board, produces cop- ble to statements and reports. Amendments ies suitable for a permanent record. Irrespective shall be filed separately for each separate stateof the process used, all copies of any such mate- ment or report amended. Amendments to a rial shall be clear, easily readable, and suitable statement may be filed either before or after for repeated photocopying. Debits in credit cat- registration becomes effective. egories and credits in debit categories shall be (v) Title of securities. Wherever the title of designated so as to be clearly distinguishable as securities is required to be stated, information such on photocopies. shall be given that will indicate the type and (3) The body of all printed statements and general character of the securities, including: reports shall be in roman type at least as large (1) In the case of shares, the par or stated as 10-point modern type. To the extent neces- value, if any; the rate of dividends, if fixed, and sary for convenient presentation, however, fi- whether cumulative or noncumulative; a brief nancial statements and other statistical or tabu- indication of the preference, if any; and if conlar data and the notes thereto may be in type at vertible, a statement to that effect. least as large as 8-point modern type. All type (2) In the case of funded debt, the rate of shall be leaded at least 2 points. interest; the date of maturity, or if the issue (4) Statements and reports shall be in Eng- matures serially, a brief indication of the serial lish. If any exhibit or other paper or document maturities, such as "maturing serially from 1970 filed with a statement or report is in a foreign to 1980"; if payment of principal or interest is language, it shall be accompanied by a transla- contingent, an appropriate indication of such tion into English. contingency; a brief indication of the priority (s) Preparation of statement or report. Each of the issue; and if convertible, a statement to statement and report shall contain the numbers that effect. and captions of all items of the appropriate (3) In the case of any other kind of secuform, but the text of the items may be omitted rity, appropriate information of comparable provided the answers thereto are so prepared character. as to indicate to the reader the coverage of the (w) Interpretation of requirements. Unless items without the necessity of his referring to the context clearly shows otherwise, the text of the items or instructions thereto. (1) The forms require information only as Where any item requires information to be given to the bank. in tabular form, however, it shall be given in (2) Whenever any fixed period of time in substantially the tabular form specified in the the past is indicated, such period shall be comitem. All instructions, whether appearing under puted from the date of filing. the items of the form or elsewhere therein, are (3) Whenever words relate to the future, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 23 they have reference solely to present intention. (b) Exceptions. The requirements of the (4) Any words indicating the holder of a first sentence of paragraph (a) shall not apply position or office include persons, by whatever to the following: titles designated, whose duties are those ordi- (1) Any solicitation made otherwise than on narily performed by holders of such positions behalf of the management of the bank where or offices. the total number of persons solicited is not more (x) When securities are deemed to be regis- than 10. tered. A class of securities with respect to which (2) Any solicitation by a person in respect an application for registration or a registration to securities carried in his name or in the name statement has been filed pursuant to section 12 of his nominee (otherwise than as voting of the Act shall be deemed to be registered for trustee) or held in his custody, if such person the purposes of sections 13, 14, and 16 of the (A) receives no commission or remunera- Act and this Part only when such appli- tion for such solicitation, directly or indirectly, cation or registration statement has become other than reimbursement of reasonable exeffective as provided in section 12, and securi- penses; ties of said class shall not be subject to sections (B) furnishes promptly to the person so- 13, 14, and 16 of the Act until such application licited a copy of all soliciting material with or registration statement has become effective as respect to the same subject matter or meeting provided in section 12. received from all persons who will furnish copies thereof for such purpose and who will, if requested, defray the reasonable expenses to be SECTION 206.5—PROXIES, PROXY incurred in forwarding such material; and STATEMENTS, AND STATEMENTS (C) in addition, does no more than (i) WHERE MANAGEMENT DOES NOT impartially instruct the person solicited to for- SOLICIT PROXIES ward a proxy to the person, if any, to whom the person solicited desires to give a proxy, or (ii) (a) Requirement of Statement. No solicita- impartially request from the person solicited tion of a proxy with respect to a security of a instructions as to the authority to be conferred bank registered pursuant to section 12 of the by the proxy and state that a proxy will be Act shall be made unless each person solicited given if no instructions are received by a ceris concurrently furnished or has previously been tain date. furnished with a written proxy statement con- (3) Any solicitation by a person with retaining the information required by Form F-5. spect to securities of which he is the beneficial If the management of any bank having such a owner. security outstanding fails to solicit proxies from (4) Any solicitation through the medium of the holders of any such security in such a man- a newspaper advertisement that informs secuner as to require the furnishing of such a proxy rity holders of a source from which they may statement, at least 15 calendar days prior to obtain copies of a proxy statement, form of any annual or other meeting of the holders of proxy, and any other soliciting material and such security at which the holders of such secu- does no more than (A) name the bank; (B) rity are entitled to vote, such bank shall trans- state the reason for the advertisement; and (C) mit to all holders of record of such security a identify the proposal or proposals to be acted statement containing the information required upon by security holders. by Form F-5. A proxy statement or a statement (c) Annual report to security holders to acwhere management does not solicit proxies re- company Statements. (1) Any Statement furquired by this paragraph is hereinafter some- nished on behalf of the management of the bank times referred to as a "Statement". that relates to an annual meeting of security Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

24 FEDERAL RESERVE BULLETIN • JANUARY 1965 holders at which directors are to be elected shall type whether or not the proxy is solicited on be accompanied or preceded by an annual re- behalf of the management of the bank, (B) port to such security holders containing such shall provide a specifically designated blank financial statements for the last fiscal year as space for dating the proxy, and (C) shall idenwill, in the opinion of the management, ade- tify clearly and impartially each matter or group quately reflect the financial position and opera- of related matters that management intends to tions of the bank. The financial statements present for action. No reference need be made, included in the annual report may omit details however, to matters as to which discretionary or summarize information if such statements, authority is conferred pursuant to subparaconsidered as a whole in the light of other in- graph (3). formation contained in the report and in the (2) Means shall be provided in the form of light of the financial statements of the bank filed proxy whereby the person solicited is afforded or to be filed with the Board, will not by such an opportunity to specify by ballot a choice beprocedure omit any material information neces- tween approval or disapproval of each matter sary to a fair presentation or to make the finan- or group of related matters referred to therein cial statements not misleading under the circum- as intended to be acted upon, other than elecstances. Subject to the foregoing requirements tions to office. A proxy may confer discretionwith respect to financial statements, the annual ary authority with respect to matters as to report to security holders may be in any form which a choice is not so specified if the form of deemed suitable by the management. This para- proxy states in bold-face type how the shares graph (c) shall not apply, however, to solicita- represented by the proxy are intended to be tions made on behalf of management before the voted in each such case. financial statements are available if solicitation (3) A proxy may confer discretionary auis being made at the time in opposition to the thority with respect to other matters that may management and if the management's Statement come before the meeting, if (A) the persons on includes an undertaking in bold-faced type to whose behalf the solicitation is made are not furnish such annual report to all persons being aware a reasonable time prior to the time the solicited at least 20 days before the date of the solicitation is made that any such other matters meeting. are to be presented for action at the meeting (2) Sixteen copies of each annual report and (B) a specific statement to that effect is sent to security holders pursuant to this para- made in the proxy statement or in the form of graph (c) shall be sent to the Board not later proxy. than (A) the date on which such report is first (4) No proxy shall confer authority (A) to sent or given to security holders or (B) the date vote for the election of any person to any office on which preliminary copies of the manage- for which a bona fide nominee is not named in ment Statement are filed with the Board pur- the proxy statement, or (B) to vote at any ansuant to paragraph (f), whichever date is later. nual meeting other than the next annual meet- Such annual report is not deemed to be "solicit- ing (or any adjournment thereof) to be held ing material" or to be "filed" with the Board or after the date on which the proxy statement and otherwise subject to this section 206.5 or the form of proxy are first sent or given to security liabilities of section 18 of the Act, except to the holders. extent that the bank specifically requests that it (5) The proxy statement or form of proxy be treated as a part of the proxy soliciting mate- shall provide, subject to reasonable specified rial or incorporates it in the proxy statement by conditions, that the shares represented by the reference. proxy will be voted and that where the person (d) Requirements as to proxy. (1) The solicited specifies by means of a ballot provided form of proxy (A) shall indicate in bold-face pursuant to subparagraph (2) a choice with Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 25 respect to any matters to be acted upon, the modern type. All type shall be leaded at least shares will be voted in accordance with the 2 points. specifications so made. (f) Material required to be filed. (1) Three (e) Presentation of information in State- preliminary copies of each Statement, form of ment. (1) The information included in the proxy, and other item of soliciting material to Statement shall be clearly presented and the be furnished to security holders concurrently statements made shall be divided into groups therewith, shall be filed with the Board by according to subject matter and the various management or any other person making a groups of statements shall be preceded by ap- solicitation subject to this section 206.5 at least propriate headings. The order of items in the 10 calendar days (or 15 calendar days in the form need not be followed. Where practicable case of other than routine meetings, as defined and appropriate, the information shall be pre- below) prior to the date such item is first sent or given to any security holders, or such shorter sented in tabular form. All amounts shall be period prior to that date as the Board may austated in figures. Information required by more thorize. The management of the bank or other than one applicable item need not be repeated. person filing such material may presume that No statement need be made in response to any the Board will have no comments with respect item that is inapplicable. thereto unless such comments are received or (2) Any information required to be included they are otherwise advised before the expiration in the Statement as to terms of securities or of such 10-day, 15-day or shorter period, whichother subject matter that from a standpoint of ever is applicable. For the purposes of this subpractical necessity must be determined in the paragraph (1), a routine meeting means a meetfuture may be stated in terms of present knowling with respect to which no one is soliciting edge and intention. To the extent practicable, proxies subject to this section 206.5 other than the authority to be conferred concerning each on behalf of management and at which mansuch matter shall be confined within limits reaagement intends to present no matters other sonably related to the need for discretionary than the election of directors, election of inauthority. Subject to the foregoing, information spectors of election, and other recurring matthat is not known to the persons on whose be- ters. In the absence of actual knowledge to the half the solicitation is to be made and is not contrary, management may assume that no reasonably within the power of such persons to other such solicitation of the bank's security ascertain or procure may be omitted, if a brief holders is being made. In cases of annual meetstatement of the circumstances rendering such ings, one additional preliminary copy of the information unavailable is made. Statement, the form of proxy, and any other (3) There may be omitted from a proxy soliciting material, marked to show changes statement any information contained in any from the material sent or given to security holders with respect to the preceding annual meetother proxy soliciting material that has been ing, shall be filed with the Board. furnished to each person solicited in connection with the same meeting or subject matter if a (2) Three preliminary copies of any addiclear reference is made to the particular docu- tional soliciting material, relating to the same ment containing such information. meeting or subject matter, furnished to security (4) All printed Statements shall be set in holders subsequent to the proxy statement shall roman type at least as large as 10-point modern be filed with the Board at least two days (exclutype except that to the extent necessary for sive of Saturdays, Sundays, and holidays) prior convenient presentation financial statements to the date copies of such material are first sent and other statistical or tabular matter may be or given to security holders, or such shorter set in roman type at least as large as 8-point period prior to such date as the Board may Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

26 FEDERAL RESERVE BULLETIN • JANUARY 1965 authorize upon a showing of good cause there- request that forms of proxy theretofore solicited for. be signed, dated, and returned need not be filed (3) Sixteen copies of each Statement, form pursuant to this paragraph (f). of proxy, and other item of soliciting material, (7) Notwithstanding the provisions of parain the form in which such material is furnished graphs (f)(l), (f)(2), and (i)(5), copies of to security holders, shall be filed with, or mailed soliciting material in the form of speeches, press for filing to, the Board not later than the date releases, and radio or television scripts may, but such material is first sent or given to any secu- need not, be filed with the Board prior to use or rity holders. Three copies of such material shall publication. Definitive copies, however, shall be at the same time be filed with, or mailed for filed with or mailed for filing to the Board as filing to, each exchange upon which any secu- required by paragraph (f)(3) not later than rity of the bank is listed. the date such material is used or published. The (4) If the solicitation is to be made in whole provision of paragraphs (f)(l), (f)(2), and or in part by personal solicitation, three copies (i)(5) shall apply, however, to any reprints or of all written instructions or other material that reproductions of all or any part of such matediscusses or reviews, or comments upon the rial. merits of, any matter to be acted upon and is (8) Where any Statement, form of proxy, or furnished to the individuals making the actual other material filed pursuant to this paragraph solicitation for their use directly or indirectly in (f) is revised, two of the copies of such revised connection with the solicitation shall be filed material filed pursuant to paragraph (f)(3) with the Board by the person on whose behalf shall be marked to indicate clearly the changes. the solicitation is made at least five days prior If the revision alters the text of the material, to the date copies of such material are first sent the changes in such text shall be indicated by or given to such individuals, or such shorter means of underscoring or in some other approperiod prior to that date as the Board may au- priate manner. thorize upon a showing of good cause therefor. (g) Mailing communications for security (5) All copies of material filed pursuant to holders. If the management of the bank has subparagraphs (1) and (2) shall be clearly made or intends to make any proxy solicitation marked "Preliminary Copies" and shall be for subject to this section 206.5, the bank shall perthe information of the Board only, except that form such of the following acts as may be resuch material may be disclosed to any depart- quested in writing with respect to the same ment or agency of the United States Govern- subject matter or meeting by any security holder ment and the Board may make such inquiries who is entitled to vote on such matter or to vote or investigation with respect to the material as at such meeting and who shall first defray the may be necessary for an adequate review there- reasonable expenses to be incurred by the bank of. All material filed pursuant to subparagraphs in the performance of the act or acts requested: (1), (2), or (3) shall be accompanied by a (1) The bank shall mail or otherwise furstatement of the date upon which copies thereof nish to such security holder the following inare intended to be, or have been, sent or given formation as promptly as practicable after the to security holders. All material filed pursuant receipt of such request: to subparagraph (4) shall be accompanied by (A) A statement of the approximate numa statement of the date upon which copies ber of holders of record of any class of securithereof are intended to be released to the indi- ties, any of the holders of which have been or viduals who will make the actual solicitation. are to be solicited on behalf of the management, (6) Copies of replies to inquiries from secu- or any group of such holders that the security rity holders requesting further information and holder shall designate; copies of communications that do no more than (B) If the management of the bank has Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 27 made or intends to make, through bankers, to the first day on which solicitation is made on brokers, or other persons any solicitation of the behalf of management; beneficial owners of securities of any class, a (C) Neither the management nor the bank statement of the approximate number of such shall be responsible for such proxy statement, beneficial owners, or any group of such own- form of proxy, or other communication. ers that the security holder shall designate; (3) In lieu of performing the acts specified (C) An estimate of the cost of mailing a above, the bank may, at its option, furnish specified proxy statement, form of proxy, or promptly to such security holder a reasonably other communication to such holders, including current list of the names and addresses of such insofar as known or reasonably available, the of the holders of record specified in (1)(A) estimated handling and mailing costs of the above as the security holder shall designate, and bankers, brokers, or other persons specified in a list of the names and addresses of the bankers, (B). brokers, or other persons specified in (1)(B) (2) (A) Copies of any proxy statement, form above as the security holder shall designate toof proxy, or other communication furnished gether with a statement of the approximate by the security holder shall be mailed by the number of beneficial owners solicited or to be bank to such of the holders of record specified solicited through each such banker, broker, or in (1)(A) above as the security holder shall other person and a schedule of the handling and designate. The bank shall also mail to each mailing costs of each such banker, broker, or banker, broker, or other persons specified in other person, if such schedule has been supplied to the management of the bank. The foregoing (1) (B) above, a sufficient number of copies of information shall be furnished promptly upon such proxy statement, form of proxy, or other the request of the security holder or at daily or communication as will enable the banker, other reasonable intervals as it becomes availbroker, or other person to furnish a copy thereof able to the management of the bank. to each beneficial owner solicited or to be solicited through him; (h) False or misleading statements. No solicitation or communication subject to this sec- (B) Any such material that is furnished by tion shall be made by means of any Statement, the security holder shall be mailed with reasonform of proxy, notice of meeting, or other comable promptness by the bank after receipt of a munication, written or oral, containing any tender of the material to be mailed, of envelopes statement that, at the time and in the light of or other containers therefor, of postage or paythe circumstances under which it is made, is ment for postage, and of evidence that such false or misleading with respect to any material material has been filed with the Board pursuant fact, or that omits to state any material fact to paragraph (f). The bank need not, however, necessary in order to make the statements mail any such material that relates to any mattherein not false or misleading or necessary to ter to be acted upon at an annual meeting of correct any statement in any earlier communisecurity holders prior to the earlier of (i) a day cation with respect to the solicitation of a proxy corresponding to the first date on which manfor the same meeting or subject matter that has agement proxy soliciting material was released become false or misleading. Depending upon to security holders in connection with the last particular circumstances, the following may be annual meeting of security holders, or (ii) the misleading within the meaning of this parafirst day on which solicitation is made on behalf graph: predictions as to specific future market of management. With respect to any such mate- values, earnings, or dividends; material that rial that relates to any matter to be acted upon directly or indirectly impugns character, integby security holders otherwise than at an annual rity, or personal reputation, or directly or inmeeting, such material need not be mailed prior directly makes charges concerning improper, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

28 FEDERAL RESERVE BULLETIN • JANUARY 1965 illegal, or immoral conduct or associations, business, lends money or executes orders for without factual foundation; failure so to identify the purchase or sale of securities and who is a Statement, form of proxy, and other soliciting not otherwise a participant; material as clearly to distinguish it from the (vi) any other person who solicits proxsoliciting material of any other person or per- ies. sons soliciting for the same meeting or subject (B) Such terms do not include matter; claims made prior to a meeting regard- (i) any person or organization retained ing the results of a solicitation. or employed by a participant to solicit security (i) Special provisions applicable to election holders, or any person who merely transmits contests. proxy soliciting material or performs ministe- (1) Solicitations to which this paragraph aprial or clerical duties; plies. This paragraph (i) applies to any solicita- (ii) any person employed by a particition subject to this section 206.5 by any person pant in the capacity of attorney, accountant, or or group of persons for the purpose of opposing advertising, public relations, or financial ada solicitation subject to this section by any viser, and whose activities are limited to the other person or group of persons with respect performance of his duties in the course of such to the election or removal of directors at any employment; annual or special meeting of security holders. (iii) any person regularly employed as (2) Participant defined. an officer or employee of the bank or any of (A) For purposes of this paragraph (i) its subsidiaries who is not otherwise a particithe terms "participant" and "participant in a pant; or solicitation" include the following: (iv) any officer or director of, or any (i) the bank; person regularly employed by, any other par- (ii) any director of the bank, and any ticipant, if such officer, director, or employee is nominee for whose election as a director proxnot otherwise a participant. ies are solicited; (iii) any committee or group that solic- (3) Filing of information required by Form its proxies, any member of such committee or F-6. group, and any person whether or not named as (A) No solicitation subject to this paraa member who, acting alone or with one or graph (i) shall be made by any person other more other persons, directly or indirectly, takes than the management of the bank unless at the initiative in organizing, directing, or financ- least five business days prior thereto, or such ing any such committee or group; shorter period as the Board may authorize upon (iv) any person who finances or joins a showing of good cause therefor, there has with another to finance the solicitation of prox- been filed with the Board and with each exies, except persons who contribute not more change upon which any security of the bank is than $500 and who are not otherwise partici- listed, by or on behalf of each participant in pants; such solicitation, a statement in duplicate con- (v) any person who lends money or fur- taining the information specified by Form F-6. nishes credit or enters into any other arrange- (B) Within five business days after a ments, pursuant to any contract or understand- solicitation subject to this paragraph (i) is made ing with a participant, for the purpose of financ- by the management of the bank, or such longer ing or otherwise inducing the purchase, sale, period as the Board may authorize upon a holding, or voting of securities of the bank by showing of good cause therefor, there shall be any participant or other person, in support of filed with the Board and with each exchange or in opposition to a participant, except a bank, upon which any security of the bank is listed, broker, or dealer who, in the ordinary course of by or on behalf of each participant in such Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 29 solicitation, other than the bank, a statement in in such solicitation; (B) no form of proxy is duplicate containing the information specified furnished to security holders prior to the time by Form F-6. the Statement is furnished to security holders, (C) If any solicitation on behalf of man- except that this clause (B) shall not apply agement or any other person has been made, or where a Statement then meeting the requireif proxy material is ready for distribution, prior ments of Form F-5 has been furnished to secuto a solicitation subject to this paragraph (i) in rity holders; (C) at least the information speciopposition thereto, a statement in duplicate con- fied in Items 2(a) and 3(a) of the statement taining the information specified in Form F-6 required by subparagraph (3) of this paragraph shall be filed by or on behalf of each participant (i) to be filed by each participant, or an approin such prior solicitation, other than the bank, priate summary thereof, is included in each as soon as reasonably practicable after the comcommunication sent or given to security holders mencement of the solicitation in opposition in connection with the solicitation; and (D) a thereto, with the Board and with each exchange written Statement containing the information on which any security of the bank is listed. specified in Form F-5 with respect to a solicita- (D) If, subsequent to the filing of the tion is sent or given security holders at the statements required by subparagraphs (A), earliest practicable date. (B), and (C) above, additional persons become (5) Solicitations prior to furnishing required participants in a solicitation subject to this para- Statement—Filing requirements. Three copies graph (i), there shall be filed, with the Board of any soliciting material proposed to be sent and each appropriate exchange, by or on beor given to security holders prior to the furnishhalf of each such person a statement in dupliing of the proxy statement required by section cate containing the information specified by 206.5 (a) shall be filed with the Board in pre- Form F-6, within three business days after liminary form, at least five business days prior such person becomes a participant, or such to the date copies of such material are first sent longer period as the Board may authorize upon or given to security holders, or such shorter a showing of good cause therefor. period as the Board may authorize upon a show- (E) If any material change occurs in the ing of good cause therefor. facts reported in any statement filed by or on behalf of any participant, an appropriate amend- (6) Application of this paragraph to annual ment to such statement shall be filed promptly report. Notwithstanding the provisions of secwith the Board and each appropriate exchange. tion 206.5(c), three copies of any portion of (F) Each statement and amendment the annual report referred to in that paragraph thereto filed pursuant to this paragraph (i) shall that comments upon or refers to any solicitation be part of the official public files of the Board subject to this paragraph (i), or to any particiand shall be deemed a communication subject pant in any such solicitation, other than the to the provisions of paragraph (h) of this sec- solicitation by the management, shall be filed tion 206.5. with the Board as proxy material subject to this (4) Solicitations prior to furnishing required section 206.5. Such portion of the annual report Statement. Notwithstanding the provisions of shall be filed with the Board in preliminary form section 206.5(a), a solicitation subject to this at least five business days prior to the date paragraph (i) may be made prior to furnishing copies of the report are first sent or given to security holders a written Statement containing security holders. the information specified in Form F-5 with re- (7) Application of paragraph (f). The prospect to such solicitation if (A) the statements visions of subparagraphs (3), (4), (5), (6), required by subparagraph (3) of this paragraph and (7) of paragraph (f) of this section 206.5 (i) are filed by or on behalf of each participant shall apply, to the extent pertinent, to soliciting Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

30 FEDERAL RESERVE BULLETIN • JANUARY 1965 material subject to subparagraphs (5) and (6) (2) A person who is already filing stateof this paragraph (i). ments with the Board pursuant to section 16(a) (8 ) Use of reprints or reproductions. In any need not file an additional statement on Form solicitation subject to this paragraph (i), solic- F-7 when an additional class of equity securiiting material that includes, in whole or part, ties of the same bank becomes registered or any reprints or reproductions of any previously when he assumes another or an additional relapublished material shall: tionship to the bank; for example, when an (A) state the name of the author and officer becomes a director. publication, the date of prior publication, and (3) Any bank that has equity securities identify any person who is quoted without be- listed on more than one national securities exing named in the previously published material. change may designate one of them as the only (B) except in the case of a public official exchange with which reports pursuant to section document or statement, state whether or not the 16(a) need be filed. Such designation shall be consent of the author and publication has been filed with the Board and with each national obtained to the use of the previously published securities exchange on which any equity secumaterial as proxy soliciting material. rity of the bank is listed. After the filing of such (C) if any participant using the previ- designation the securities of such bank shall be ously published material, or anyone on his exempted with respect to the filingo f statements behalf, paid, directly or indirectly, for the pursuant to section 16(a) with any exchange preparation or prior publication of the previ- other than the designated exchange. ously published material, or has made or pro- (b) Ownership of more than 10 per cent of poses to make any payments or give any other an equity security. In determining, for the purconsideration in connection with the publica- pose of section 16(a), whether a person is the tion or republication of such material, state the beneficial owner, directly or indirectly, of more circumstances. than 10 per cent of any class of equity security (j) Prohibition of certain solicitations. No of a bank, such class shall be deemed to conperson making a solicitation that is subject to sist of the total amount of such class that has this section 206.5 shall solicit (1) any undated been issued, regardless of whether any part of or post-dated proxy; or (2) any proxy that such amount is held by or for the account of provides that it shall be deemed to be dated as the bank. of any date subsequent to the date on which it (c) Disclaimer of beneficial ownership. Any is signed by the security holder. person filing a statement may expressly declare therein that the filing of such statement shall not be construed as an admission that such SECTION 206.6—"INSIDERS' " person is, for the purpose of section 16, the SECURITIES TRANSACTIONS AND beneficial owner of any equity securities cov- REPORTS UNDER SECTION 16 ered by the statement. OF THE ACT (d) Ownership of securities held in trust. (1) Beneficial ownership of a bank's securities (a) Filing of statements by directors, offi- for the purpose of section 16(a) shall include: cers, and principal stockholders. (1) Initial (A) the ownership of such securities as a statements of beneficial ownership of equity trustee where either the trustee or members of securities of a bank required by section 16(a) his immediate family have a vested interest in of the Act, and statements of changes in such the income or corpus of the trust, beneficial ownership, shall be prepared and filed (B) the ownership of a vested beneficial in accordance with the requirements of Form interest in a trust, and F-7 and Form F-8, respectively. (C) the ownership of such securities as a Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 31 settlor of a trust in which the settlor has the ers. A person having an interest only as a benepower to revoke the trust without obtaining ficiary of a trust shall not be required to file any the consent of all beneficiaries. such report so long as he relies in good faith (2) Except as provided in subparagraph (3) upon an understanding that the trustee of such of this paragraph (d), beneficial ownership of trust will file whatever reports might otherwise securities of registrant banks solely as a settlor be required of such beneficiary. or beneficiary of a trust shall be exempt from (5) In determining, for the purposes of parthe provisions of section 16(a) where less than agraph (a) of this section 206.6, whether a 20 per cent in market value of the securities person is the beneficial owner, directly or inhaving a readily ascertainable market value held directly, of more than 10 per cent of any class by such trust (determined as of the end of the of equity security of a bank, the interest of preceding fiscal year of the trust) consists of such person in the remainder of a trust shall equity securities with respect to which reports be excluded. are required by section 16(a) or would be re- (6) No report shall be required by any perquired but for an exemption by the Securities son, whether or not otherwise subject to the and Exchange Commission, the Comptroller of requirement of filing reports under section the Currency, or the Federal Deposit Insurance 16(a), with respect to his indirect interest in Corporation similar to the exemption provided portfolio securities held by for by this sentence. Exemption from section (A) any holding company registered un- 16(a) is likewise accorded with respect to any der the Public Utility Holding Company Act, obligation that would otherwise be imposed (B) any investment company registered solely by reason of ownership as settlor or bene- under the Investment Company Act, ficiary of a bank's securities held in trust, where (C) a pension or retirement plan holding the ownership, acquisition, or disposition of securities of a bank whose employees generally such securities by the trust is made without are the beneficiaries of the plan, prior approval by the settlor or beneficiary. No (D) a business trust with over 25 beneexemption pursuant to this subparagraph shall, ficiaries. however, be acquired or lost solely as a result (e) Certain transactions subject to section of changes in the value of the trust assets during 16(a). The acquisition or disposition of any any fiscal year or during any time when there transferable option, put, call, spread, or stradis no transaction by the trust in the securities dle shall be deemed such a change in the beneotherwise subject to the reporting requirements ficial ownership of the bank's security to which of section 16(a). such privilege relates as to require the filing (3) In the event that 10 per cent of any class of a statement reflecting the acquisition or disof any equity security of a bank is held in a position of such privilege. Nothing in this paratrust, that trust and the trustees thereof as such graph (e), however, shall exempt any person shall be deemed a person required to file the from filing the statements required upon the reports specified in section 16(a). exercise of such option, put, call, spread, or (4) Not more than one report need be filed straddle. to report any holdings of a bank's securities or (f) Exemption from section 16 of securities with respect to any transaction in such securi- purchased or sold by odd-lot dealers. A bank's ties held by a trust, regardless of the number of securities purchased or sold by an odd-lot officers, directors, or 10-per cent stockholders dealer (1) in odd lots so far as reasonably necwho are either trustees, settlors, or beneficiaries essary to carry on odd-lot transactions, or (2) of a trust if the report filed discloses the names in round lots to offset odd-lot transactions preof all trustees, settlors, and beneficiaries who viously or simultaneously executed or reasonare officers, directors, or 10-per cent stockhold- ably anticipated in the usual course of busi- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

32 FEDERAL RESERVE BULLETIN • JANUARY 1965 ness, shall be exempt from the provisions of appointment and qualification the foregoing section 16 with respect to participation by such persons shall be required to file reports under odd-lot dealer in such transactions section 16(a) with respect to a bank's securities (g) Exemption of small transactions from held by the estates that they administer and section 16(a), (1) Any acquisition of a bank's shall be liable for profits realized from trading securities shall be exempt from section 16(a) in such securities pursuant to section 16(b) where only when the estate being administered is a (A) the person effecting the acquisition beneficial owner of more than 10 per cent of does not within six months thereafter effect any any class of equity security of a bank. disposition, otherwise than by way of gift, of (i) Exemption from section 16(b) of transsecurities of the same class, and actions that need not be reported under section (B) the person effecting such acquisition 16(a). Any transaction that has been or shall does not participate in acquisitions or in dis- be exempted by the Board from the requirepositions of securities of the same class having ments of section 16(a) shall, insofar as it is a total market value in excess of $3,000 for any otherwise subject to the provisions of section six-month period during which the acquisition 16(b), be likewise exempted from section 16(b). occurs. (j) Exemption from section 16(b) of certain (2) Any acquisition or disposition of a transactions by registered investment compabank's securities by way of gift, where the total nies. Any transaction of purchase and sale, or amount of such gifts does not exceed $3,000 in sale and purchase, of any equity security of a market value for any six-month period, shall bank shall be exempt from the operation of be exempt from section 16(a) and may be ex- section 16(b), as not comprehended within the cluded from the computations prescribed in purpose of that section, if the transaction is subparagraph (1)(B) of this paragraph (g). effected by an investment company registered (3) Any person exempted by subparagraph under the Investment Company Act of 1940 (1) or (2) of this paragraph (g) shall include and both the purchase and sale of such security in the first report filed by him after a transac- have been exempted from the provisions of section within the exemption a statement showing tion 17 (a) of the Investment Company Act of his acquisitions and dispositions for each six- 1940 by an order of the Securities and Exmonth period or portion thereof that has change Commission entered pursuant to secelapsed since his last filing. tion 17(b) of that Act. (h) Temporary exemption of certain per- (k) Exemption from section 16(b) of cersons from sections 16(a) and (b). During the tain transactions effected in connection with a period of 12 months following their appoint- distribution. (1) Any transaction of purchase ment and qualification, a bank's securities held and sale, or sale and purchase, of an equity by the following persons shall be exempt from security of a bank that is effected in connection sections 16(a) and 16(b): with the distribution of a substantial block of (1) executors or administrators of the es- such securities shall be exempt from the provitate of a decedent; sions of section 16(b), to the extent specified (2) guardians or committees for an in- in this paragraph (k), as not comprehended competent; and within the purpose of said section, upon the (3) receivers, trustees in bankruptcy, as- following conditions: signees for the benefit of creditors, conserva- (A) The person effecting the transaction tors, liquidating agents, and similar persons is engaged in the business of distributing securiduly authorized by law to administer the estate ties and is participating in good faith, in the or assets of other persons. ordinary course of such business, in the distri- After the 12-month period following their bution of such block of securities; Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

33 LAW DEPARTMENT (B) The security involved in the transac- officer of the bank issuing such stock or stock tion is (i) a part of such block of securities and option shall be exempt from the operation of is acquired by the person effecting the transac- section 16(b) if the plan meets the following tion, with a view to the distribution thereof, conditions: from the bank or other person on whose behalf (1) The plan has been duly approved, disuch securities are being distributed or from a rectly or indirectly, person who is participating in good faith in the (A) by the holders of a majority of the distribution of such block of securities, or (ii) securities of the bank present, or represented, a security purchased in good faith by or for the and entitled to vote at the meeting at which it account of the person effecting the transaction was approved, or by the written consent of the for the purpose of stabilizing the market price holders of a majority of the securities of the of securities of the class being distributed or to bank entitled to vote, or cover an over-allotment or other short position (B) by the holders of a majority of the created in connection with such distribution; securities of a predecessor so entitled to vote, if and the plan or obligations to participate there- (C) Other persons not within the purview under were assumed by the bank in connection of section 16(b) are participating in the distri- with the succession. bution of such block of securities on terms at (2) If the selection of any director or officer least as favorable as those on which such person of the bank to whom stock may be allocated (or is participating and to an extent at least equal to whom qualified, restricted, or employee stock to the aggregate participation of all persons ex- purchase plan stock options may be granted empted from the provisions of section 16(b) by pursuant to the plan) or the determination of this paragraph (k). However, the performance the number or maximum number of shares of of the functions of manager of a distributing stock that may be allocated to any such director group and the receipt of a bona fide payment or officer (or that may be covered by qualified, for performing such functions shall not preclude restricted, or employee stock purchase plan an exemption that would otherwise be available stock options granted to any such director or under this paragraph. officer) is subject to the discretion of any per- (2) The exemption of a transaction pursuant son, then such discretion shall be exercised only to this paragraph (k) with respect to the par- as follows: ticipation therein of one party thereto shall not (A) With respect to the participation of render such transaction exempt with respect to directors (i) by the board of directors of the participation of any other party therein unless bank, a majority of which board and a majorsuch other party also meets the conditions of ity of the directors acting in the matter are disthis paragraph. interested persons; (ii) by, or only in accordance (1) Exemption from section 16(b) of acqui- with the recommendation of, a committee of sitions of shares of stock and stock options un- three or more persons having full authority to der certain stock bonus, stock option, or similar act in the matter, all of the members of which plans. Any acquisition of shares of a bank's committee are disinterested persons; or (iii) stock (other than stock acquired upon the exer- otherwise in accordance with the plan, if the cise of an option, warrant, or right) pursuant to plan specifies the number or maximum number a stock bonus, profit sharing, retirement, incen- of shares of stock that directors may acquire (or tive, thrift, savings, or similar plan, or any that may be subject to qualified, restricted, or acquisition of a qualified or restricted stock employee stock purchase plan stock options option pursuant to a qualified or restricted stock granted to directors) and the terms upon which option plan, or of a stock option pursuant to an and the times at which, or the periods within employee stock purchase plan, by a director or which, such stock may be acquired (or such Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

34 FEDERAL RESERVE BULLETIN • JANUARY 1965 options may be acquired and exercised); or sets that will result in an effective and determinable forth, by formula or otherwise, effective and limitation. Such limitations may be subject to determinable limitations with respect to the any provisions for adjustment of the plan or of foregoing based upon earnings of the bank, stock allocable (or options outstanding theredividends paid, compensation received by par- under) to prevent dilution or enlargement of ticipants, option prices, market value of shares, rights. outstanding shares or percentages thereof out- (m) Exemption from section 16(b) of longstanding from time to time, or similar factors. term profits incident to sales within six months (B) With respect to the participation of of the exercise of an option. (1) To the extent officers who are not directors (i) by the board specified in subparagraph (2) below, transacof directors of the bank or a committee of three tions involving the purchase and sale, or sale or more directors; or (ii) by, or only in accordand purchase, of any equity security of a bank ance with the recommendations of, a committee shall be exempt from the operation of section of three or more persons having full authority 16(b), as not comprehended within the purpose to act in the matter, all of the members of which of that section, if such purchase is pursuant to committee are disinterested persons. the exercise of an option, warrant, or right For the purposes of this subparagraph (2), a either director or committee member shall be deemed (A) acquired more than six months beto be a disinterested person only if such person fore its exercise, or is not at the time such discretion is exercised (B) acquired pursuant to the terms of an eligible and has not at any time within one year employment contract entered into more than prior thereto been eligible for selection as a six months before its exercise. person to whom stock may be allocated (or to whom qualified, restricted, or employee stock (2) With respect to transactions specified in purchase plan stock options may be granted) subparagraph (1) above, the profits inuring to pursuant to the plan or any other plan of the the bank pursuant to section 16(b) shall not bank or any of its affiliates entitling the partici- exceed the difference between the proceeds of pants therein to acquire stock or qualified, re- sale and the lowest market price of any security stricted, or employee stock purchase plan stock of the same class within six months before or options of the bank or any of its affiliates. after the date of sale. Nothing in this paragraph (3) As to each participant or as to all par- (m) shall be deemed to enlarge the amount of ticipants the plan effectively limits the aggre- profit that would inure to the bank in the abgate dollar amount or the aggregate number of sence of this paragraph. shares of stock that may be allocated (or may (3) The disposition of any equity security of be subject to qualified, restricted, or employee a bank shall also be exempt from the operation stock purchase plan stock options granted) pur- of section 16(b), as not comprehended within suant to the plan. The limitations may be estab- the purpose of that section, if purchased in a lished on an annual basis, or for the duration of transaction specified in subparagraph (1) above the plan, whether or not the plan has a fixed pursuant to a plan or agreement for merger or termination date. Such limitations may be de- consolidation, or reclassification of the bank's termined either by fixed or maximum dollar securities, or for the exchange of its securities amounts, fixed or maximum numbers of shares, for the securities of another person that has formulas based upon earnings of the bank, divi- acquired its assets, where the terms of such plan dends paid, compensation received by partici- or agreement are binding upon all stockholders pants, option prices, market value of shares, of the bank except to the extent that dissenting outstanding shares or percentages thereof out- stockholders may be entitled, under statutory standing from time to time, or similar factors provisions or provisions contained in the bank's Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 35 charter, to receive the appraised or fair value and the receipt of a bona fide payment for perof their holdings. forming such functions shall not, however, pre- (4) The exemptions provided by this para- clude an exemption that would otherwise be graph (m) shall not apply to any transaction available under this paragraph. made unlawful by section 16(c) or by any regu- (p) Exemption of sales of securities to be lations thereunder. acquired. (1) Whenever any person is entitled, (5) The burden of establishing market price as an incident to his ownership of an issued of a security for the purpose of this paragraph equity security of a bank and without the pay- (m) shall rest upon the person claiming the ment of consideration, to receive another secuexemption. rity of the bank "when issued" or "when dis- (n) Exemption of certain securities from sec- tributed", the security to be acquired shall be tion 16(c). Any equity security of a bank shall exempt from the operation of section 16(c) if be exempt from the operation of section 16(c) (A) the sale is made subject to the same to the extent necessary to render lawful under conditions as those attaching to the right of such section the execution by a broker of an acquisition, order for an account in which he had no direct (B) such person exercises reasonable dilior indirect interest. gence to deliver such security to the purchaser (0) Exemption from section 16(c) of certain promptly after his right of acquisition matures, transactions effected in connection with a disand tribution. Any equity security of a bank shall be (C) such person reports the sale on the exempt from the operation of section 16(c) to appropriate form for reporting transactions by the extent necessary to render lawful under such persons subject to section 16(a). section any sale made by or on behalf of a (2) This paragraph (p) shall not be condealer in connection with a distribution of a strued as exempting transactions involving both substantial block of the bank's securities, upon a sale of a security "when issued" or "when the following conditions: distributed" and a sale of the security by virtue (1) The sale is made with respect to an overof which the seller expects to receive the "whenallotment in which the dealer is participating issued" or "when-distributed" security, if the as a member of an underwriting group, or the two transactions combined result in a sale of dealer or a person acting on his behalf intends more units than the aggregate of those owned in good faith to offset such sale with a security by the seller plus those to be received by him to be acquired by or on behalf of the dealer as pursuant to his right of acquisition. a participant in an underwriting, selling, or (q) Arbitrage transactions under section 16. soliciting-dealer group of which the dealer is a It shall be unlawful for any director or officer member at the time of the sale, whether or not the security to be so acquired is subject to a of a bank to effect any foreign or domestic prior offering to existing security holders or arbitrage transaction in any equity security of some other class of persons; and the bank unless he shall include such transac- (2) Other persons not within the purview of tion in the statements required by section 16(a) section 16(c) are participating in the distribu- of the Act and section 206.6(a) and shall action of such block of securities on terms at least count to such bank for the profits arising from as favorable as those on which such dealer is such transaction, as provided in section 16(b). participating and to an extent at least equal to The provisions of section 16(c) shall not apply the aggregate participation of all persons ex- to such arbitrage transactions. The provisions empted from the provisions of section 16(c) by of section 206.6(a) and of section 16 shall not this paragraph (o). The performance of the apply to any bona fide foreign or domestic arbifunctions of manager of a distributing group trage transaction insofar as it is effected by any Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

36 FEDERAL RESERVE BULLETIN • JANUARY 1965 person other than such director or officer of (i) The Board will not recognize any the bank issuing such security. person as an independent public accountant who is not registered or licensed to practice as a public accountant by a regulatory authority SECTION 206.7—FORM AND CONTENT of a State and in good standing with such au- OF FINANCIAL STATEMENTS thority as such an accountant. (ii) The Board will not recognize as (a) Principles of financial reporting. Finan- independent a public accountant who is not in cial statements filed with the Board pursuant to fact independent. For example, an accountant this Part shall be prepared in accordance with will be considered not independent with respect generally accepted accounting principles and to any person in which he has, or had during practices applicable to banks. The Board may the period of report, any direct financial interfrom time to time issue releases on accounting est or material indirect financial interest; or principles and practices to be used with respect with which he is, or was during such period, to specific areas. connected as a promoter, underwriter, voting (b) Verification. (1) General. trustee, director, officer, or employee. (A) Every verification with respect to fi- (iii) In determining whether a public nancial statements filed pursuant to this Part accountant is in fact, independent with respect shall be dated, shall be signed manually, and to a particular person, the Board will give apshall identify without detailed enumeration the propriate consideration to all relevant circumfinancial statements covered by the verification. stances, including evidence bearing on all rela- (B) If the person or persons making a tionships between the accountant and that verification considers that he must take excep- person or any affiliate thereof, and will not contions or express qualifications with respect fine itself to the relationships existing in conthereto, each such exception or qualification nection with the filing of reports with the shall be stated specifically and clearly and, to Board. the extent practicable, shall indicate the effect (B) Representations as to the audit. The of the matter on the financial statements to independent public accountant's certificate which it relates. (i) shall state whether the audit was (2) Opinions to be expressed by principal made in accordance with generally accepted accounting officer and auditor. Every verificaauditing standards; and tion by a bank's principal accounting officer (ii) shall designate any auditing proceand auditor shall state: dures generally recognized as normal (cr (A) The opinions of such persons with deemed necessary by the accountant under the respect to the financial statements covered by circumstances of the particular case) that have the verification and the accounting principles been omitted, and the reasons for their omisand practices reflected therein; and sion, but no procedure that independent ac- (B) The opinions of such persons as to countants ordinarily employ in the course of an any material changes in accounting principles audit made for the purpose of expressing the or practices or in the method of applying the opinions required by clause (C) below shall he accounting principles or practices, or adjustomitted. ments of the accounts, required to be set forth (C) Opinions to be expressed. The indeby paragraph (c)(5) of this section 206.7. pendent public accountant's certificate shall (3) Certification by independent public acstate: countants. (A) Qualifications of independent public (i) The opinion of the accountant with accountants. respect to the financial statements covered by Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 37 the certificate and the accounting principles shown need not be adjusted to the nearest doland practices reflected therein; lar or thousand if the failure of the items to add (ii) The opinion of the accountant as to the totals shown is stated in a note as due to to any material changes in accounting princi- the dropping of amounts of less than $1.00 or ples or practices or in the method of applying $1,000, as appropriate. the accounting principles or practices, or ad- (2) Items not material. If the amount that justments of the accounts, required to be set would otherwise be required to be shown with forth by paragraph (c)(5) of this section 206.7; respect to any item is not material, it need not and be separately set forth. (3) Inapplicable captions and omission of (iii) The nature of, and the opinion of unrequired or inapplicable financial statements. the accountant as to, any material differences No caption need be shown in any financial between the accounting principles and pracstatement required by the forms set forth in this tices reflected in the financial statements and Part as to which the items and conditions are those reflected in the accounts after the entry of not present. Financial statements not required adjustments for the period under review. or inapplicable because the required matter is (D) Certification of financial statements not present need not be filed, but the stateby more than one independent public accountments omitted and the reasons for their omisant. If, with respect to the certification of the sion shall be indicated in the list of financial financial statements of any bank, the principal statements required by the applicable form. independent public accountant relies on an ex- (4) Additional information. In addition to amination made by another independent public the information required with respect to any accountant of certain of the accounts of such financial statement, such further information bank or its affiliates, the certificate of such other shall be furnished as is necessary to make the accountant shall be filed (and the provisions of required statements, in the light of the circumthis subparagraph shall be applicable thereto); stances under which they are made, not mishowever, the certificate of such other accountleading. ant need not be filed (i) if no reference is made (5) Changes in accounting principles and directly or indirectly to such other accountant's practices and retroactive adjustments of acexamination in the principal accountant's cercounts. Any change in accounting principle or tificate, or (ii) if, having referred to such other practice, or in the method of applying any acaccountant's examination, the principal accounting principle or practice, made during any countant states in his certificate that he assumes period for which financial statements are filed responsibility for such other accountant's exthat affects comparability of such financial amination in the same manner as if it had been statements with those of prior or future periods, made by him. and the effect thereof upon the net income for (c) Provisions of general application. (1) each period for which financial statements are Requirements as to form. Financial statements filed, shall be disclosed in a note to the approshall be prepared in accordance with the appli- priate financial statement. Any material retrocable requirements of Forms 9A, B, C, and D. active adjustment made during any period for All money amounts required to be shown in which financial statements are filed, and the financial statements may be expressed in even effect thereof upon net income of prior periods, dollars or thousands of dollars. If shown in shall be disclosed in a note to the appropriate even thousands, an indication to that effect financial statement. shall be inserted immediately beneath the cap- (6) Summary of accounting principles and tion of the statement or schedule, or at the top practices. Information required in notes as to of each money column. The individual amounts accounting principles and practices reflected in Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

38 FEDERAL RESERVE BULLETIN • JANUARY 1965 the financial statements may be presented in the date or dates and the amount per share at which form of a single statement. In such a case spe- such shares are callable shall be stated; (ii) cific references shall be made in the appropriate Arrears in cumulative dividends per share and financial statements to the applicable portion of in total for each class of shares shall be stated; such single statement. (iii) Preferences on involuntary liquidation, if (7) Foreign currencies. The basis of conver- other than the par or stated value, shall be sion of all items in foreign currencies shall be shown. When the excess involved is material, stated, and the amount and disposition of the there shall be shown the difference between the resulting unrealized profit or loss shown. Dis- aggregate preference on involuntary liquidation closure should be made as to the effect, insofar and the aggregate par or stated value, a stateas this can be reasonably determined, of foreign ment that this difference (plus any arrears in exchange restrictions upon the consolidated dividends) exceeds the sum of the par or stated financial position and operating results of the value of the junior capital shares, surplus, and bank and its subsidiaries. undivided profits if such is the case, and a state- (8) Commitments. If material in amount, the ment as to the existence (or absence) of any pertinent facts relative to firm commitments for restrictions upon surplus and/or undivided the acquisition, directly or indirectly, of fixed profits growing out of the fact that upon inassets and for the purchase, repurchase, con- voluntary liquidation the preference of the struction, or rental of assets under long-term preferred stock exceeds its par or stated value. leases shall be stated briefly in the balance sheet (D) Pension and retirement plans, (i) A or in footnotes referred to therein. Where the brief description of the essential provisions of rentals or obligations under long-term leases any employee pension or retirement plan shall are material there shall be shown the amounts be given; (ii) The estimated annual cost of the of annual rentals under such leases with some plan shall be stated; (iii) If a plan has not been indication of the periods for which they are funded or otherwise provided for, the estimated payable, together with any important obligation amount that would be necessary to fund or assumed or guarantee made in connection otherwise provide for the past-service cost of therewith. If the rentals are conditional, the the plan shall be disclosed. minimum annual amounts shall be stated, un- (E) Capital stock optioned to officers and less inappropriate in the circumstances. employees. (9) General notes to balance sheets. If pres- (i) A brief description of the terms of ent with respect to the person for which the each option arrangement shall be given, includstatement is filed, the following shall be set ing the title and amount of securities subject to forth in the balance sheet or in notes thereto: the option, the year or years during which the (A) Assets subject to lien. The amounts options were granted, and the year or years of assets mortgaged, pledged, or otherwise sub- during which the optionees became, or will beject to a lien or security interest shall be desig- come, entitled to exercise the options; nated and the obligation secured thereby, if (ii) There shall be stated the number of any, shall be identified briefly. shares under option at the balance sheet date, (B) Intercompany profits and losses. The and the option price and the fair value thereof effect upon any balance sheet item of profits or (per share and in total) at the dates the options losses resulting from transactions with affiliated were granted; the number of shares with recompanies not consolidated shall be stated. If spect to which options became exercisable durimpracticable of accurate determination with- ing the period, and the option price and the out unreasonable effort or expense, an estimate fair value thereof (per share and in total) at the or explanation shall be given. dates the options became exercisable; and the (C) Preferred shares, (i) If callable, the number of shares with respect to which options Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 39 were exercised during the period, and the op- annual amounts; (iii) The accounting treatment tion price and the fair value thereof (per share for maintenance, repairs, renewals, and imand in total) at the dates the options were exer- provements; and (iv) The adjustment of the cised. The required information may be sum- accumulated valuation allowances for depreciamarized as appropriate with respect to each of tion and amortization at the time the properties the categories referred to in this subclause (ii); were retired or otherwise disposed of, including the disposition made of any profit or loss on (iii) The basis of accounting for such sale of such properties. option arrangements and the amount of (d) Consolidated financial statements. (1) charges, if any, reflected in income with re- Consolidated statements generally present more spect thereto shall be stated. meaningful information to the investor than un- (F) Restrictions that limit the availability consolidated statements. Except where good of surplus and/or undivided profits for dividend reason exists, consolidated statements of the purposes. Any such restriction, other than as bank and its majority-owned significant subsidreported in subparagraph (9)(C) of this para- iaries should be filed. graph (c) shall be described, indicating briefly (2) Every majority-owned bank-premises its source, its pertinent provisions, and, where subsidiary and every majority-owned subsidappropriate and determinable, the amount of iary operating under the provisions of section the surplus and/or undivided profits so re- 25 or section 25(a) of the Federal Reserve Act stricted. ("Agreement Corporations" and "Edge Act (G) Contingent liabilities. A brief state- Corporations") shall be consolidated with that ment as to contingent liabilities not reflected in of the reporting bank irrespective of whether the balance sheet shall be made. such subsidiary is a significant subsidiary. (10) General notes to statements of income. (3) If the financial statements of a subsidiary If present with respect to the person for which are as of a date or for periods different from the statement is filed, the following shall be set those of the bank, such statements may be used forth in the statement of income or in notes as the basis for consolidation of the subsidiary thereto: only if the date of such statements is not more (A) Intercompany profits and losses. The than 93 days from the date of the close of the amount of any profits or losses resulting from bank's fiscal year; the closing date of the subtransactions between unconsolidated affiliated sidiary is specified; the necessity for the use of companies shall be stated. If impracticable of different closing dates is explained briefly; and determination without unreasonable effort and any changes in the respective fiscal periods of expense, an estimate or explanation shall be the bank and the subsidiary made during the given. period of report are indicated clearly. (B) Depreciation and amortization. For (4) There shall be set forth in a note to each the period for which statements of income are consolidated balance sheet filed a statement of filed, there shall be stated the policy followed any difference between the investment in subwith respect to: (i) The provision for deprecia- sidiaries consolidated, as shown by the bank's tion of physical properties or valuation allow- books, and the bank's equity in the net assets ances created in lieu thereof, including the of such subsidiaries as shown by the subsidmethods and, if practicable, the rates used in iaries' books. If any such difference exists, there computing the annual amounts; (ii) The provi- shall be set forth the amount of the difference sion for depreciation and amortization of in- and the disposition made thereof in preparing tangibles, or valuation allowances created in the consolidated statements, naming the ballieu thereof, including the methods and, if ance sheet captions and stating the amount inpracticable, the rates used in computing the cluded in each. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

40 FEDERAL RESERVE BULLETIN • JANUARY 1965 (5) Minority interests in the net assets of Government Obligations and Obligations of subsidiaries consolidated shall be shown in States and Political Subdivisions; Schedule II— each consolidated balance sheet. The aggregate Other Securities; Schedule III—Loans; Schedamount of profit or loss accruing to minority ule IV—Bank Premises and Equipment; Schedinterests shall be stated separately in each con- ule V—Investments in, Dividend Income from, solidated statement of income. and Share in Earnings or Losses of Uncon- (6) In general, intercompany items and trans- solidated Subsidiaries; and Schedule VI— actions shall be eliminated. If not eliminated, "Other" Liabilities for Borrowed Money. a statement of the reasons for inclusion and the (2) The following schedules shall be filed methods of treatment shall be made. with each statement of income filed pursuant to (e) Statement of changes in capital accounts. this Part: Schedule VII—Allowance for Possi- A statement of changes in capital accounts shall ble Loan Losses; and Schedule VIII—Occube filed with each statement of income filed pur- pancy Expense of Bank Premises. suant to this Part. (3) Reference to the schedules referred to in (f) Schedules to be filed. (1) The following subparagraphs (1) and (2) shall be made against schedules shall be filed with each balance sheet the appropriate captions of the balance sheet or filed pursuant to this Part: Schedule I—U.S. statement of income. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 41 FORMS AND RELATED INSTRUCTIONS BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM FORM F-l REGISTRATION STATEMENT FOR SECURITIES OF A BANK Pursuant to Section 12(b) or Section 12(g) of the Securities Exchange Act of 1934 (Exact name of bank as specified in charter) (Address of principal office) Title of each class of securities being registered pursuant to section 12(b) of the Act:* Title of class Name of each exchange on which class is being registered Title of each class of securities being registered pursuant to section 12(g) of the Act:* GENERAL INSTRUCTION Item 2. Parents and subsidiaries of the bank. (a) List all parents of the bank, showing the This form is not to be used as a blank form basis of control and, as to each parent, the perto be filled in but only as a guide in the prepacentage of voting securities owned or other basis ration of a registration statement. Particular of control by its immediate parent, if any. attention should be given to the definitions in (b) Furnish a list or diagram of all subsidsection 206.2 and the general requirements in iaries of the bank and, as to each subsidiary, section 206.4 of this Part. Unless otherwise indicate (1) the State or other jurisdiction unstated, the information required shall be given der the laws of which it was organized, and (2) as of a date reasonably close to the date of filing the percentage of voting securities owned or the statement. The statement shall contain the other basis of control by its immediate parent. numbers and captions of all items, but the text Designate (i) subsidiaries for which separate of the items may be omitted if the answers with financial statements are filed; (ii) subsidiaries respect thereto are prepared in the manner included in consolidated financial statements; specified in section 206.4(s). and (iii) subsidiaries for which no financial statements are filed, indicating briefly why state- INFORMATION REQUIRED IN ments of such subsidiaries are not filed. REGISTRATION STATEMENT Instruction. 1. Include the bank and show clearly Item 1. General information. State the year the relationship of each person named to the bank and in which the bank was organized. If organized the other persons named, including the percentage of voting securities of the bank owned or other basis of as a national bank, state the year of conversion control by its immediate parent. The names of particuinto a State bank. Indicate the approximate lar subsidiaries may be omitted if the unnamed subnumber of holders of record of each class of sidiaries considered in the aggregate as a single subsidiary would not constitute a significant subsidiary. equity securities of the bank. 2. In case the bank owns, directly or indirectly, approximately 50 per cent of the voting securities of any * If none, so state. person and approximately 50 per cent of the voting Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

42 FEDERAL RESERVE BULLETIN • JANUARY 1965 securities of such person are owned directly or indi- the principle followed in determining the rectly by another single interest, su h person shall be amount. Identify the persons making the deterdeemed to be a subsidiary for the purpose of this item. mination and state their relationship, if any, Item 3. Description of business. Describe with the bank or any promoter. If the assets briefly the business done by the bank and any were acquired by the promoter within two years significant developments or trends in such busi- prior to their transfer to the bank, state the ness occurring over the preceding five years. cost thereof to the promoter. Information should be furnished as to any mergers, consolidations, or other acquisitions of Item 6. Pending legal proceedings. Describe assets of any other person that were consum- briefly any material pending legal proceedings, mated during such period. State the number of other than ordinary routine proceedings incibanking offices in each city (or county) in the dental to the business, to which the bank or any United States in which the bank has offices and of its subsidiaries is a party or of which any of the number of banking offices located in each their property is the subject. Include the name foreign country or jurisdiction. In describing of the court or agency in which the proceedings the business done by the bank, the business of were instituted, the date instituted, and the its subsidiaries should be included only insofar principal parties thereto. as the same is important to an understanding of Instructions. 1. No information need to be given the character and development of the business with respect to proceedings that involve principally claims for damages if the aggregate amount involved conducted by the total enterprise. does not exceed 10 per cent of the equity capital ac- Item 4. Description of bank premises and counts of the bank. If, however, any proceeding preother real estate. Describe briefly, individually sents in large degree the same issues as other proceedings pending or known to be contemplated, the amount or by categories, (a) properties held in fee, by involved in such other proceedings shall be included the bank and its subsidiaries, in which the bank- in computing such percentage. ing offices are located, indicating any major en- 2. Any material proceedings to which any director, officer, or affiliate of the bank, any security holder cumbrances with respect thereto, and (b) other named in answer to Item 11 (a), or any associate of real estate of material value that is owned by any such director, officer, or security holder, is a party the bank. In the event aggregate annual rentals adverse to the bank or any of its subsidiaries shall also be described. paid during the bank's last fiscal year exceeded 5 per cent of its operating expenses, state the Item 7. Directors and officers. List all direcamount of such rentals and the average term of tors and officers of the bank and all persons the leases pursuant to which such rentals were chosen to become directors or officers. Indicate paid. all positions and offices with the bank held by Item 5. Organization within five years. If the each person named and his principal occupabank was organized within the past five years, tions during the past five years. (The term furnish the following information: "officer" is defined in section 206.2(o).) (a) State the names of the promoters, the Item 8. Indemnification of directors and offinature and amount of anything of value (includ- cers. State the general effect of any charter proing money, property, contracts, options, or vision, by-law, contract, arrangement, or statute rights of any kind) received or to be received under which any director or officer of the bank by each promoter directly or indirectly from is insured or indemnified in any manner against the bank, and the nature and amount of any any liability that he may incur in his capacity assets, services, or other consideration therefor as such. received or to be received by the bank. Item 9. Remuneration of directors and offi- (b) As to any assets acquired or to be ac- cers, (a) Furnish the following information in quired by the bank from a promoter, state the substantially the tabular form indicated below amount at which acquired or to be acquired and as to all direct remuneration paid by the bank Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 43 and its subsidiaries during the bank's latest iaries to each director or officer named in anfiscal year to the following persons for services swer to paragraph (a)(l): in all capacities: (1) Each director, and each of the two high- (A) (B) (C) est paid officers, of the bank whose annual Name A or m a o c u c n ru ts e d s e d t u a r s i i n d g e Es a t n im nu a a te l d of bank's last benefits upon total direct remuneration exceeded $30,000, individual fiscal year retirement naming each such person. (2) All directors and officers of the bank as a group, without naming them, but stating the number of persons included. Instructions. 1. Column (B) need net be answered (A) (B) (C) with respect to amounts computed on an actuarial i N nd a i m vi e d u o a f l C in ap w ac h i i t c ie h s Ag d g ir r e eg ct ate basis under any plan that provides for fixed benefits in or number remuneration remuner- the event of retirement at a specified age or after a of persons was ation in group received specified number of years of service. 2. The information called for by Column (C) may be given in a table showing the annual benefits payable upon retirement to persons in specified salary classifications. 3. In the case of any plan (other than those specified in Instruction 1) where the amount set aside each year depends upon the amount of earnings or profits Instructions. 1. This item applies to any person of the bank or its subsidiaries for such year or a prior who was a director or officer of the bank at any time year (or where otherwise impracticable to state the during said fiscal year. Information need not, however, estimated annual benefits upon retirement) there shall be given for any portion of that period during which be set forth, in lieu of the information called for by such person was not a director or officer. Column (C), the aggregate amount set aside or ac- 2. The information called for by Column (C) may crued to date, unless impracticable to do so, in which basis, if practicable. The tables required by this para- case the method of computing such benefits shall be graph and paragraph (b) may be combined if the bank stated. so desires. 3. Do not include remuneration paid to a partner- (c) Describe briefly all remuneration payship in which any director or officer was a partner. ments (other than payments reported under But see Item 12, below. paragraph (a) or (b) of this item) proposed to 4. If the bank has not completed a full fiscal year be made in the future, directly or indirectly, by since its organization or if it acquired or is to acquire the majority of its assets from a predecessor within the the bank or any of its subsidiaries pursuant to current fiscal year, the information shall be given for any existing plan to (i) each director or officer the current fiscal year, estimating future payments, if named in answer to paragraph (a)(l), naming necessary. To the extent that such remuneration is to be computed upon the basis of a percentage of earn- each such person, and (ii) all directors and offiings or profits, the percentage may be stated without cers of the bank as a group, without naming estimating the amount of such profits to be paid. them. 5. If any part of the remuneration shown in response to this item was paid pursuant to a material Instruction. Information need not be included as to bonus or profit-sharing plan, describe briefly the plan payments to be made for, or benefits to be received and the basis upon which directors or officers particifrom, group life or accident insurance, group hospitalipate therein. zation, or similar group payments or benefits. If impractical to state the amount of remuneration pay- (b) Furnish the following information, in ments proposed to be made, the aggregate amount set substantially the tabular form indicated below, aside or accrued to date in respect of such payments as to all pension or retirement benefits proposed should be stated, together with an explanation of the basis for future payments. to be paid under any existing plan in the event of retirement at normal retirement date, directly Item 10. Options to purchase securities. Furor indirectly, by the bank or any of its subsid- nish the following information as to options to Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

44 FEDERAL RESERVE BULLETIN • JANUARY 1965 purchase securities from the bank or any of its 2. Where the total market value of securities called subsidiaries that are outstanding as of a speci- for by all outstanding options as of the specified date referred to in this item does not exceed $10,000 for fied date within 30 days prior to the date of any officer or director named in answer to paragraph filing. (a)(l) of Item 9, or $30,000 for all officers and (a) Describe the options, stating the material directors as a group or for all option holders as a group, this item need not be answered with respect to provisions including the consideration received options held by such person or group. and to be received for such options by the grantor thereof and the market value of the Item 11. Principal holders of securities. Fursecurities called for on the granting date. If, nish the following information as of a specified however, the options are "qualified stock op- date within 90 days prior to the date of filing in tions" or "restricted stock options" or options substantially the tabular form indicated: granted pursuant to a plan qualifying as an (a) As to the voting securities of the bank "employee stock purchase plan" as those terms owned of record or beneficially by each person are defined in sections 422 through 424 of the who owns of record, or is known by the bank Internal Revenue Code of 1954 only the follow- to own beneficially, more than 10 per cent of ing is required: (i) a statement to that effect, any class of such securities. Show in Column (ii) a brief description of the terms and condi- (C) whether the securities are owned both of tions of the options or of the plan pursuant to record and beneficially, or record only, or benewhich they were issued, and (iii) a statement of ficially only, and show in Columns (D) and (E) the provisions of the plan or options with re- the respective amounts and percentages owned spect to the relationship between the option in each such manner: price and the market price of the securities at the date when the options were granted, or with (A) (B) (C) (D) (E) res ( p b e ) c t S t t o a t t e h e ( i t ) e t r h m e s t i o t f le a n an y d v a a r m ia o b u l n e t p o ri f c t e h o e p s t e io cu n - . N a a d m d e re a s n s d Ti c t l l a e s s of T o y w s p h n e i e p o r- f A o m w o n u ed nt P o e f r c c la e s n s t rities called for by such options; (ii) the purchase prices of the securities called for and the expiration dates of such options; and (iii) the market value of the securities called for by such options as of the latest practicable date. (b) As to each class of equity securities of Instruction. In case a number of options are outstanding having different prices and expiration dates, the bank or any of its parents or subsidiaries, the options may be grouped by prices and dates. If this other than directors' qualifying shares, benefiproduces more than five separate groups then there cially owned directly or indirectly by all direcmay be shown only the range of the expiration dates tors and officers of the bank, as a group, withand the average purchase prices, i.e., the aggregate purchase price of all securities of the same class called out naming them. for by all outstanding options to purchase securities of that class divided by the number of securities of such class so called for. (A) (B) (C) (c) Furnish separately the information called Title of Amount beneficially Per cent of class owned class for by paragraph (b) above for all options held by (i) each director or officer named in answer to paragraph (a)(l) of Item 9, naming each such person, and (ii) all directors and officers as a group without naming them. Instructions. 1. The extension or renewal of options Instructions. 1. The percentages are to be calculated shall be deemed the granting of options within the on the basis of the amount of securities outstanding, meaning of this item. excluding securities held by or for the account of the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

45 LAW DEPARTMENT bank. In any case where the amount owned by direc- suant to an agreement among underwriters the parties tors and officers as a group is less than 1 per cent of to which do not include the bank or its subsidiaries. the class, the per cent of the class owned by them may 6. No information need be given in answer to this be omitted. item as to any transaction or any interest therein 2. If, to the knowledge of the bank, more than 10 where: per cent of any class of voting securities of the bank (i) the rates or charges involved in the transare held or to be held subject to any voting trust or action are fixed by law or determined by competiother similar agreement, state the title of such securi- tive bids; ties, the amount held or to be held, and the duration (ii) the interest of the specified person in the of the agreement. Give the names and addresses of transaction is solely that of a director of another the voting trustees and outline briefly their voting corporation that is a party to the transaction; rights and other powers under the agreement. (iii) the specified person is subject to this Item 12 solely as a director of the bank (or asso- Item 12. Interest of management and others ciate of a director) and his interest in the transacin certain transactions. Describe briefly, and tion is solely that of a director and/or officer of another corporation that is a party to the transacwhere practicable state the approximate amount tion; of, any material interest, direct or indirect, of (iv) the transaction does not involve remunerany of the following persons in any material ation for services, directly or indirectly, and (A) the interest of the specified persons arises from the transactions during the last three years, or in ownership individually and in the aggregate of less any material proposed transactions, to which than a 10 per cent interest in another person that is the bank or any of its subsidiaries was, or is to a party to the transaction, (B) the transaction is in the ordinary course of business of the bank or be, a party: its subsidiaries, and (C) the amount of such trans- (a) any director or officer of the bank; action or series of transactions is less than 10 per cent of the equity capital accounts of the bank; (b) any security holder named in answer to (v) the transaction involves services as a bank Item 11 (a); or depository of funds, transfer agent, registrar, (c) any associate of any of the foregoing trustee under a trust indenture, or other similar service; persons. (vi) the interest of the specified person, in- Instructions. 1. See Instruction 1 to Item 9(a). In- cluding all periodic installments in the case of any clude the name of each person whose interest in any lease or other agreement providing for periodic transaction is described and the nature of the relation- payments or installments, does not exceed $30,000. ship by reason of which such interest is required to be 7. Information shall be furnished in answer to this described. Where it is not practicable to state the apitem with respect to transactions not excluded above proximate amount of the interest, the approximate that involve remuneration, directly or indirectly, to amount involved in the transaction shall be indicated. any of the specified persons for services in any capac- 2. As to any transaction involving the purchase or ity unless the interest of such persons arises solely sale of assets by or to the bank or any subsidiary, from the ownership individually and in the aggregate otherwise than in the ordinary course of business, state of less than a 10 per cent interest in another person the cost of the assets to the purchaser and the cost furnishing the services to the bank or its subsidiaries. thereof to the seller if acquired by the seller within two years prior to the transaction. Item 13. Capital stock being registered. If 3. This item does not apply to any interest arising from the ownership of securities of the bank where capital stock is being registered, state the title of the security holder receives no extra or special benefit the class and furnish the following information: not shared on a pro rata basis by all other holders of the same class. (a) Outline briefly (1) dividend rights; (2) 4. No information need be given in answer to this voting rights; (3) liquidation rights; (4) preitem as to any remuneration not received during the emptive rights; (5) conversion rights; (6) rebank's last fiscal year or as to any remuneration or other transaction reported in response to Item 9 or 10. demption provisions; (7) sinking fund provi- 5. Information should be included as to any mate- sions; and (8) liability to further calls or to rial underwriting discounts and commissions upon the assessment by the bank. sale of securities by the bank where any of the specified persons was or is to be a principal underwriter or (b) If the rights of holders of such stock may is a controlling person or member of a firm that was be modified otherwise than by a vote of a maor is to be a principal underwriter. Information need jority or more of the shares outstanding, voting not be given concerning ordinary management fees paid by underwriters to a managing underwriter pur- as a class, so state and explain briefly. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

46 FEDERAL RESERVE BULLETIN • JANUARY 1965 (c) Outline briefly any restriction on the re- term debt are being registered, outline briefly purchase or redemption of shares by the bank the rights evidenced thereby. If subscription while there is any arrearage in the payment of warrants or rights are being registered, state the dividends or sinking fund installments. If there title and amount of securities called for, the is no such restriction, so state. period during which and the price at which the warrants or rights are exercisable. Instructions. 1. This item requires only a brief summary of the provisions that are pertinent from an in- Instruction. The instructions to Item 13 shall also vestment standpoint. A complete legal description of apply to this item. the provisions referred to is not required and should not be given. Do not set forth the provisions of the governing instruments verbatim; only a succinct Item 16. Recent sales of securities. Furnish resume is required. the following information as to all securities of 2. If the rights evidenced by the securities being the bank sold by the bank within the past three registered are materially limited or qualified by the rights of any other class of securities include such in- years, or presently proposed to be sold. Include formation regarding such other securities as will enable securities issued in exchange for property, servinvestors to understand the rights evidenced by securiices, or other securities. ties being registered. If any securities being registered are to be offered in exchange for other securities, an (a) Give the date of sale, title, and amount of appropriate description of such other securities shall securities sold. be given. No information need be given, however, as (b) Give the names of the principal underto any class of securities all of which will be redeemed and retired if appropriate steps to assure such redemp- writers, if any. As to any securities sold prition and retirement will be taken prior to registration vately, name the persons or identify the class of of the securities being registered. persons to whom the securities were sold. Item 14. Long-term debt being registered. If (c) As to securities sold for cash, state the long-term debt is being registered, outline aggregate offering price and the aggregate unbriefly such of the following as are relevant: derwriting discounts or commissions. As to any (a) Provisions with respect to interest, con- securities sold otherwise than for cash, state the version, maturity, redemption, amortization, nature of the transaction and the nature and sinking fund, or retirement. aggregate amount of consideration received by (b) Provisions restricting the declaration of the bank. dividends or the creation or maintenance of Instructions. 1. Information need not be set forth reserves. as to notes, drafts, bills of exchange, or bank accept- (c) Provisions permitting or restricting the ances that mature not later than 18 months from the date of issuance. issuance of additional securities, the withdrawal 2. If the sales were made in a series of transacof cash deposited against such issuance, the tions, the information may be given by such totals and incurring of additional debt, the modification of periods as will reasonably convey the information required. the terms of the security, and similar provisions. (d) The name of the trustee and the nature Item 17. Financial statements and exhibits. of any material relationship with the bank or List all financial statements and exhibits filed as any of its affiliates; the percentage of securities a part of the registration statement. of the class necessary to require the trustee to (a) Financial statements. take action, and what indemnification the (b) Exhibits. trustee may require before proceeding to enforce the lien. Instruction. The instructions to Item 13 shall also SIGNATURES apply to this item. Pursuant to the requirements of the Securi- Item 15. Other securities being registered. ties Exchange Act of 1934, the bank has duly If securities other than capital stock or long- caused this registration statement to be signed Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 47 on its behalf by the undersigned, thereunto duly 3. Omission of bank's financial statements in authorized. certain cases. Notwithstanding Instructions 1 and 2, the individual financial statements of the (Name of bank) bank may be omitted if consolidated statements of the bank and one or more of its subsidiaries Date_ By are filed. (Name and title of signing officer) B. Consolidated Statements INSTRUCTIONS AS TO FINANCIAL 4. Consolidated balance sheets, (a) There STATEMENTS shall be filed a verified consolidated balance These instructions specify the balance sheets sheet of the bank and its majority-owned (i) and statements of income required to be filed as bank premises subsidiaries, (ii) subsidiaries opa part of a Registration Statement on this form. erating under the provisions of section 25 or Section 206.7 of this Part governs the verifica- section 25 (a) of the Federal Reserve Act tion, form, and content of the balance sheets ("Agreement Corporations" and "Edge Act and statements of income required, including Corporations"), and (iii) significant subsidiarthe basis of consolidation, and prescribes the ies, as of the close of the latest fiscal year of the statement of changes in capital accounts and the bank, unless such fiscal year has ended within schedules to be filed in support thereof. 90 days prior to the date of filing the Registration Statement, in which case this balance sheet A. Financial Statements of the Bank may be as of the close of the preceding fiscal 1. Balance sheets, (a) The bank shall file a year. verified balance sheet as of the close of its (b) If the latest fiscal year of the bank has latest fiscal year unless such fiscal year has ended within 90 days prior to the date of filing ended within 90 days prior to the date of filing the Registration Statement, and the balance the Registration Statement, in which case the sheet required by paragraph (a) is filed as of balance sheet may be as of the close of the the end of the preceding fiscal year, there shall preceding fiscal year. be filed as an amendment to the Registration (b) If the latest fiscal year of the bank has Statement, within 120 days after the date of ended within 90 days prior to the date of filing filing, a verified consolidated balance sheet of the Registration Statement and the balance the bank and such subsidiaries as of the end of sheet required by paragraph (a) is filed as of the latest fiscal year. the end of the preceding fiscal year, there shall 5. Consolidated statement of income, (a) be filed as an amendment to the Registration There shall be filed verified statements of in- Statement, within 120 days after the date of come of the bank and its majority-owned (i) filing, a verified balance sheet of the bank as of bank premises subsidiaries, (ii) subsidiaries the end of the latest fiscal year. operating under the provisions of section 25 or 2. Statements of income, (a) The bank shall section 25 (a) of the Federal Reserve Act file verified statements of income for each of the ("Agreement Corporations" and "Edge Act three fiscal years preceding the date of the bal- Corporations"), and (iii) significant subsidiarance sheet required by Instruction l(a). ies, for each of the three fiscal years preceding (b) There shall be filed with each balance the date of the consolidated balance sheet resheet filed pursuant to Instruction l(b) a veri- quired by Instruction 4(a). fied statement of income of the bank for the (b) There shall be filed with each balance fiscal year immediately preceding the date of the sheet filed pursuant to Instruction 4(b), a veribalance sheet. fied consolidated statement of income of the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

48 FEDERAL RESERVE BULLETIN • JANUARY 1965 bank and such subsidiaries for the fiscal year a footnote or otherwise, a brief explanation of immediately preceding the date of the balance the changes shall be given. sheet. (c) This instruction shall not apply with respect to the bank's succession to the business of any majority-owned subsidiary or to any acqui- C. Unconsolidated Subsidiaries and sition of a business by purchase. Other Persons 8. Acquisition of other businesses, (a) There 6. Separate statements of unconsolidated shall be filed for any business directly or insubsidiaries and other persons. There shall be directly acquired by the bank after the date of filed such other verified financial statements the balance sheet filed pursuant to Part A or B with respect to unconsolidated subsidiaries and above and for any business to be directly or other persons as are material to a proper under- indirectly acquired by the bank, the financial standing of the financial position and results of statements that would be required if such busioperations of the total enterprise. ness were a registrant. (b) The acquisition of securities shall be D. Special Provisions deemed to be the acquisition of a business if such securities give control of the business or 7. Succession to other businesses, (a) If dur- combined with securities already held give such ing the period for which its statements of in- control. In addition, the acquisition of securicome are required, the bank has by merger, ties that will extend the bank's control of a consolidation, or otherwise succeeded to one or business shall be deemed the acquisition of the more businesses, the additions, eliminations, business if any of the securities being registered and other changes effected in the succession hereunder are to be offered in exchange for the shall be appropriately set forth in a note or securities to be acquired. supporting schedule to the balance sheets filed. (c) No financial statements need be filed, In addition, statements of income for each con- however, for any business acquired or to be stituent business, or combined statements, if acquired from a majority-owned subsidiary. In appropriate, shall be filed for such period prior addition, the statements of any one or more to the succession as may be necessary when businesses may be omitted if such businesses, added to the time, if any, for which statements considered in the aggregate as a single subsidof income after the succession are filed to cover iary, would not constitute a significant subthe equivalent of the period specified in In- sidiary. structions 2 and 5 above. 9. Filing of other statements in certain cases. (b) If the bank by merger, consolidation, or The Board may, upon the request of the bank, otherwise is about to succeed to one or more and where consistent with the protection of inbusinesses, there shall be filed for the constitu- vestors, permit the omission of one or more of ent businesses financial statements, combined if the statements herein required or the filing in appropriate, that would be required if they were substitution therefor of appropriate statements registering securities under the Act. In addition, of comparable character. The Board may also there shall be filed a balance sheet of the bank require the filing of other statements in addition giving effect to the plan of succession. These to, or in substitution for, the statements herein balance sheets shall be set forth in such form, required in any case where such statements are preferably columnar, as will show in related necessary or appropriate for an adequate presmanner the balance sheets of the constituent entation of the financial condition of any person businesses, the changes to be effected in the whose financial statements are required, or succession and the balance sheet of the bank whose statements are otherwise necessary for after giving effect to the plan of succession. By the protection of investors. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 49 E. Historical Financial Information counts, and the respective amounts credited thereto. 10. Scope of Part E. The information re- 13. Debt discount and expense written off. quired by Part E shall be furnished for the If any material amount of debt discount and seven-year period preceding the period for expense, on long-term debt still outstanding, which statements of income are filed, as to the was written off earlier than as required under accounts of each person whose balance sheet is any periodic amortization plan, give the followfiled. The information is to be given as to all ing information: (1) title of the securities; (2) of the accounts specified whether they are presdate of the write-off; (3) amount written off; ently carried on the books or not. Part E does and (4) to what account charged. not call for verification, but only for a survey or 14. Premiums and discount and expense on review of the accounts specified. It should not securities retired. If any material amount of be detailed beyond a point material to an long-term debt or preferred shares was retired, investor. and if either the retirement was made at a pre- 11. Revaluation of assets, (a) If there were mium or there remained, at the time of retireany material increases or decreases resulting ment, a material amount of unamortized disfrom revaluing of assets, state (1) in what year count and expense applicable to the securities or years such revaluations were made; (2) the retired, state for each class (1) title of the amounts of such increases or decreases, and securities retired; (2) date of retirement; (3) the accounts affected, including all related enamount of premium paid and of unamortized tries; and (3) if in connection with such revaludiscount and expense; (4) to what account ations any related adjustments were made in charged; and (5) whether being amortized and, reserve accounts, the accounts and amounts if so, the plan of amortization. with explanations. 15. Other changes in surplus or undivided (b) Information is not required as to adjustprofits. If there were any material increases or ments made in the ordinary course of business, decreases in surplus or undivided profits, other but only as to major revaluations made for the than those resulting from transactions specified purpose of entering on the books current valabove, the closing of the income account, or ues, reproduction cost, or any values other than the declaration or payment of dividends, state original cost. (1) the year or years in which such increases or (c) No information need be furnished with decreases were made; (2) the nature and respect to any revaluation entry that was subseamounts thereof; and (3) the accounts affected, quently reversed or with respect to the reversal including all material related entries. Instrucof a revaluation entry recorded prior to the tion ll(c) above also applies here. period if a statement as to the reversal is made. 12. Capital shares, (a) If there were any ma- 16. Predecessors. The information shall be terial restatements of capital shares that re- furnished, to the extent material, as to any predsulted in transfers from capital share liability ecessor of the bank from the beginning of the to surplus, undivided profits, or reserves, state period to the date of succession, not only as to the amount of each such restatement and all the entries made respectively in the books of related entries. No statement need be made as the predecessor or the successor, but also as to to restatements resulting from the declaration the changes effected in the transfer of the assets of share dividends. from the predecessor. No information need be (b) If there was an original issue of capital furnished, however, as to any one or more shares, any part of the proceeds of which was predecessors that, considered in the aggregate, credited to accounts other than capital stock would not constitute a significant predecessor. accounts, state the title of the class, the ac- 17. Omission of certain information, (a) No Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

50 FEDERAL RESERVE BULLETIN • JANUARY 1965 information need be furnished as to any subsid- not being registered hereunder if the total iary, whether consolidated or unconsolidated, amount of securities authorized thereunder does for the period prior to the date on which the not exceed 25 per cent of the equity capital subsidiary became a majority-owned subsidiary accounts of the bank and its subsidiaries on a of the bank or of a predecessor for which infor- consolidated basis and if there is filed an agreemation is required above. ment to furnish a copy of such instrument to (b) No information need be furnished here- the Board upon request, (2) any instrument under as to any one or more unconsolidated with respect to any class of securities if approsubsidiaries for which separate financial state- priate steps to assure the redemption or retirements are filed if all subsidiaries for which the ment of such class will be taken prior to or information is so omitted, considered in the upon delivery by the bank of the securities aggregate, would not constitute a significant being registered, or (3) copies of instruments subsidiary. evidencing scrip certificates for fractions of (c) Only the information specified in In- shares. struction 11 need be given as to any predecessor 4. Copies of all pension, retirement, or other or any subsidiary thereof if immediately prior deferred compensation plans, contracts, or arto the date of succession thereto by a person for rangements. If any such plan, contract, or which information is required, the predecessor arrangement is not set forth in a formal docuor subsidiary was in insolvency proceedings. ment, furnish a reasonably detailed description thereof. Copies of any booklet or other description of any such plan, contract, or arrangement INSTRUCTIONS AS TO EXHIBITS shall also be filed. Subject to provisions regarding incorpora- 5. Copies of any plan setting forth the terms tion by reference, the following exhibits shall be and conditions upon which outstanding options, filed as a part of the Registration Statement. warrants, or rights to purchase securities of the Exhibits shall be appropriately lettered or num- bank or its subsidiaries from the bank or its bered for convenient reference. Exhibits incor- affiliates have been issued, together with speciporated by reference may bear the designation men copies of such options, warrants, or rights; given in the previous filing. Where exhibits are or, if they were not issued pursuant to such a incorporated by reference, the reference shall plan, copies of each such option, warrant, or be made in the list of exhibits in Item 17. right. 1. Copies of the charter (or a composite or 6. Copies of any voting trust agreement rerestatement thereof) and the by-laws (or instru- ferred to in answer to Item 11. ments corresponding thereto) as presently in 7. (a) Copies of every material contract not effect. made in the ordinary course of business that is 2. Copies of any plan of acquisition, re- to be performed in whole or in part at or after organization, readjustment, or succession de- the filing of the Registration Statement or that scribed in answer to Item 3 or 16. was made not more than two years before such 3. (a) Specimens or copies of all securities filing and performance of which has not been being registered hereunder, and copies of all completed. Only contracts need be filed as to constituent instruments defining the rights of which the bank or a subsidiary is a party or has holders of long-term debt of the bank and of succeeded to a party by assumption or assignall subsidiaries for which consolidated or un- ment, and in which the bank or such subsidiary consolidated financial statements are required to has a beneficial interest. be filed. (b) If the contract is such as ordinarily ac- (b) There need not be filed, however, (1) companies the kind of business conducted by any instrument with respect to long-term debt the bank and its subsidiaries, it is made in the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 51 ordinary course of business and need not be per cent of the value of all fixed assets of the filed, unless it falls within one or more of the bank and its subsidiaries. following categories, in which case it should be (3) It is a lease under which a significant part of the property described under Item 4 filed except where immaterial in amount or is held by the bank, or significance: (4) The amount of the contract, or its (1) Directors, officers, promoters, voting importance to the business of the bank and trustee, or security holders named in answer its subsidiaries, is material, and the terms to Item 11 (a) are parties thereto except and conditions are of a nature of which inwhere the contract merely involves purchase vestors reasonably should be informed. or sale of current assets having a determinable market price, at such price. (c) Any bonus or profit-sharing plan, con- (2) It calls for the acquisition or sale of tract, or arrangement shall be deemed material fixed assets for a consideration exceeding 50 and shall be filed. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

52 FEDERAL RESERVE BULLETIN • JANUARY 1965 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM FORM F-2 ANNUAL REPORT Pursuant to Section 13 of the Securities Exchange Act of 1934 For the fiscal year ended (Exact name of bank as specified in charter) (Address of principal office) GENERAL INSTRUCTIONS C. Reports by banks not filing proxy statements or statements where management does A. Preparation of report. This form is not not solicit proxies. Information contained in to be used as a blank form to be filled in but an annual report to security holders furnished only as a guide in the preparation of an annual to the Board pursuant to Instruction D below, report. The report shall contain the numbers by any bank not subject to Instruction B, may and captions of all items required to be anbe incorporated by reference in answer or parswered, but the text of such items may be tial answer to any item of this form. In addiomitted if the answers with respect thereto are tion, any financial statements contained in any prepared in the manner specified in section such annual report may be incorporated by 206.4(s) of this Part. Particular attention reference if such financial statements substanshould be given to the definitions in section tially meet the requirements of this form. 206.2 and the general requirements in section D. Annual reports to stockholders. Every 206.4 of this Part. Except as otherwise stated, bank that files an annual report on this form the information required shall be given as of shall furnish to the Board for its information the end of the bank's fiscal year, or as of the sixteen copies of any annual report to security latest practicable date subsequent thereto. holders covering such registrant bank's latest B. Reports by banks filing proxy statements fiscal year, unless copies thereof are furnished and statements where management does not to the Board pursuant to section 206.5 of this solicited proxies. Items 4 through 6 shall not Part. Such report shall be mailed to the Board be restated or answered by any bank that, since not later than the date on which it is first sent the close of its fiscal year, has filed with the or given to security holders, but shall not be Board, with respect to an election of directors, deemed to be "filed" with the Board or othera proxy statement or statement where managewise subject to the liabilities of section 18 cf ment does not solicit proxies pursuant to section the Act, except to the extent that the bank spe- 206.5(a) of this Part. The incorporation of cifically requests that it be treated as a part of such Statement by reference in answer to such its annual report on this form or incorporates items is not required. Any financial statements it herein by reference. If no annual report is contained in such Statement or in an annual submitted to security holders for the bank's report to security holders furnished to the Board latest fiscal year, the Board shall be so advised. pursuant to section 206.5(c) of this Part may be incorporated by reference if such financial state- INFORMATION REQUIRED IN REPORT ments substantially meet the requirements of this form. Item 1. Securities registered. As to each class Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 53 of securities of the bank that is registered pur- resented by the amount owned by him in each suant to section 12 of the Act, state the title of such manner. such class, the name of the exchange, if any, on Instruction. To the extent that the information rewhich registered, and the number of holders of quired by this item is given in answer to Item 2, a record of such class. reference to such item will suffice. Item 2. Parents and subsidiaries of the bank. Item 5. Directors of bank. Furnish the fol- Furnish a list or diagram showing the relation- lowing information, in tabular form to the ship of the bank to all parents and subsidiaries, extent practicable, with respect to each director and as to each person named indicate the per- of the bank: centage of voting securities owned, or other (a) Name each such director, state the date basis of control, by its immediate parent. on which his present term of office will expire and list all other positions and offices with the Instructions. 1. This item need not be answered if bank presently held by him. there has been no change in the list or diagram as last previously reported. (b) State his present principal occupation or 2. The list or diagram shall include the bank and employment and give the name and principal shall be so prepared as to show clearly the relationship business of any corporation or other organizaof each person named to the bank and to the other persons named. If any person is controlled by means tion in which such employment is carried on. If of the direct ownership of its securities by two or more not previously reported, furnish similar inforpersons, so indicate by appropriate cross reference. mation as to all of his principal occupations or 3. Designate by appropriate symbols (a) subsidiaries for which separate financial statements are filed; employments during the last five years. (b) subsidiaries included in the respective consolidated (c) State, as of the most recent practicable financial statements; and (c) other subsidiaries, indidate, the approximate amount of each class of cating briefly why statements of such subsidiaries are not filed. equity securities of the bank or any of its par- 4. Indicate the name of the country in which each ents or subsidiaries, other than directors' qualiforeign subsidiary was organized. fying shares, beneficially owned directly or in- 5. The names of particular subsidiaries may be directly by him. If he is not the beneficial owner omitted if the unnamed subsidiaries, considered in the aggregate as a single subsidiary, would not constitute of any such securities, make a statement to that a significant subsidiary. effect. 6. A person, approximately 50 per cent of whose (d) If more than 10 per cent of any class of voting securities are owned, directly or indirectly, by the bank, and approximately 50 per cent of whose securities of the bank or any of its parents or voting securities are owned, directly or indirectly, by subsidiaries are beneficially owned by him and another person, shall be considered a subsidiary for his associates, state the approximate amount of the purpose of this item. each class of such securities beneficially owned by such associates, naming each associate whose Item 3. Changes in business. Describe holdings are substantial. briefly any material changes during the fiscal Item 6. Remuneration of director and officers year, not previously reported, in the business and related matters. Set forth the same inforof the bank and its subsidiaries. mation as to remuneration of officers and direc- Item 4. Principal holders of voting securities. tors and their transactions with management If any person owns of record, or is known by and others as is required to be furnished by the bank to own beneficially, more than 10 Item 7 of Form F-5. per cent of the outstanding voting securities of Item 7. Financial statements and exhibits. the bank, name each such person, state the List below all financial statements and exhibits approximate amount of such securities owned filed as a part of the annual report: of record but not owned beneficially, the approximate amount owned beneficially and the (a) Financial statements. percentage of outstanding voting securities rep- (b) Exhibits. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

54 FEDERAL RESERVE BULLETIN • JANUARY 1965 SIGNATURES the close of the fiscal year of the bank and a verified consolidated statement of income for Pursuant to the requirements of the Securisuch fiscal year. ties Exchange Act of 1934, the bank has duly 3. Separate statements of unconsolidated caused this annual report to be signed on its subsidiaries and other persons. There shall be behalf by the undersigned, thereunto duly aufiled such other verified financial statements thorized. with respect to unconsolidated subsidiaries and other persons as are material to a proper under- (Name of bank) standing of the financial position and results of operations of the total enterprise. Date. By. 4. Filing of other statements in certain cases. The Board may, upon the informal written re- (Name and title of signing officer) quest of the bank and where consistent with the protection of investors, permit the omission of INSTRUCTIONS AS TO FINANCIAL one or more of the statements herein required STATEMENTS or the filing in substitution therefor of appro- These instructions specify the balance sheets priate statements of comparable character. The and statements of income required to be filed as Board may also by informal written notice rea part of annual reports on this form. Section quire the filing of other statements in addition 206.7 of this Part governs the verification, to, or in substitution for, the statements herein form, and content of the balance sheets and required in any case where such statements are statements of income required, including the necessary or appropriate for an adequate presbasis of consolidation, and prescribes the state- entation of the financial condition of any person ment of changes in capital accounts and the whose financial statements are required, or schedules to be filed in support thereof. whose statements are otherwise necessary for 1. Financial statements of the bank, (a) the protection of investors. There shall be filed for the bank a verified balance sheet as of the close of the fiscal year and INSTRUCTIONS AS TO EXHIBITS a verified statement of income for the fiscal year. Subject to provisions regarding incorporation (b) Notwithstanding paragraph (a), the indi- by reference, the following exhibits shall be vidual financial statements of the bank may be filed as a part of the report: omitted if consolidated statements of the bank 1. Copies of all amendments or modificaand one or more of its subsidiaries are filed. tions, not previously filed, to all exhibits pre- 2. Consolidated statements. There shall be viously filed (or copies of such exhibits as filed for the bank and its majority-owned (i) amended or modified). bank premises subsidiaries, (ii) subsidiaries op- 2. Copies of all documents of the character erating under the provisions of section 25 or required to be filed as an exhibit to an original section 25 (a) of the Federal Reserve Act form for registration of securities of a bank ("Agreement Corporations" and "Edge Act which have been executed or otherwise put into Corporations"), and (iii) significant subsidiar- effect during the fiscal year and not previously ies, a verified consolidated balance sheet as of filed. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 55 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM FORM F-3 CURRENT REPORT Pursuant to Section 13 of the Securities Exchange Act of 1934 For the month of , 19 (Exact name of bank as specified in charter) (Address of principal office) GENERAL INSTRUCTIONS report to security holders furnished to the Board pursuant to section 206.5(c) of this Part A. Preparation of report. This form is not to may be incorporated by reference in answer or be used as a blank form to be filled in but only partial answer to any item or items of this form. as a guide in the preparation of the report. The In addition, any financial statements contained report shall contain the numbers and captions in any such Statement or annual report may be of all applicable items, but the text of such incorporated by reference provided such finanitems may be omitted if the answers with recial statements substantially meet the requirespect thereto are prepared in the manner speciments of this form. fied in section 206.4(s) of this Part. All items which are not required to be answered in a par- INFORMATION TO BE INCLUDED IN ticular report may be omitted and no reference REPORT thereto need be made in the report. Particular Item 1. Changes in control of bank, (a) If attention should be given to the definitions in any person has become a parent of the bank, section 206.2 and the general requirements in give the name of such person, the date and a section 206.4 of this Part. brief description of the transaction or transac- B. Events to be reported. A report on this tions by which the person became such a parent form is required to be filed upon the occurrence and the percentage of voting securities of the of any one or more of the events specified in bank owned by the parent or other basis of the items of this form. Reports are to be filed control by the parent over the bank. within 10 days after the close of each month (b) If any person has ceased to be a parent during which any of the specified events occurs. of the bank, give the name of such person and However, if substantially the same information the date and a brief description of the transacas that required by this form has been pre- tion or transactions by which the person ceased viously reported by the bank, an additional re- to be such a parent. port of the information on this form need not (c) If securities of a bank or any of its parbe made. ents have been pledged under such circumstances that a default may result in a change of C. Incorporation by reference to proxy statecontrol of the bank, state the names of the ment, statement where management does not pledgor and pledgee and the title and amount solicit proxies, or annual report to security of securities pledged. holders. Information contained in any Statement previously filed with the Board pursuant Instruction. Where, pursuant to a previously reported pledge agreement, additional securities are to section 206.5(a) of this Part or in an annual pledged on the same terms, no report is necessary un- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

56 FEDERAL RESERVE BULLETIN • JANUARY 1965 less there is a significant change in the percentage of disposition of a business whose gross operating revevoting securities pledged. nues for its last fiscal year exceeded 5 per cent of the Item 2. Acquisition or disposition of assets. gross operating revenues of the bank and its consolidated subsidiaries for the bank's latest fiscal year. If the bank or any of its significant subsidiar- 5. Where assets are acquired or disposed of through ies has acquired or disposed of a significant the acquisition or disposition of control of a person, amount of assets, otherwise than in the ordinary the person from whom such control was acquired or to whom it was disposed of shall be deemed the percourse of business, state the date and manner son from whom the assets were acquired or to whom of acquisition or disposition and briefly de- they were disposed of, for the purposes of this item. scribe the assets involved, the nature and Where such control was acquired from or disposed of to not more than five persons, their names shall be amount of consideration given or received given, otherwise it will suffice to indentify in an approtherefor, the principle followed in determining priate manner the class of such persons. the amount of such consideration, the identity 6. Attention is directed to the requirements at the of the persons from whom the assets were ac- end of the form with respect to the filing of financial statements for businesses acquired. quired or to whom they were sold and the nature of any material relationship between Item 3. Legal proceedings, (a) Briefly desuch persons and the bank or any of its affili- scribe any material legal proceedings, other than ates, any director or officer of the bank, or ordinary routine proceedings incidental to the any associate of any such director or officer. business, to which the bank or any of its subsidiaries has become a party or of which any Instructions. 1. No information need be given as to of their property has become the subject. In- (i) any transaction between any person and any wholly-owned subsidiary of such person: i.e., a sub- clude the name of the court or agency in which sidiary substantially all of whose outstanding voting the proceedings were instituted, the date instisecurities are owned by such person and/or its other tuted, and the principal parties thereto. wholly-owned subsidiaries; (ii) any transaction between two or more wholly-owned subsidiaries of any (b) If any such proceeding previously reperson; or (iii) the redemption or other acquisition of ported has been terminated, identify the prosecurities from the public, or the sale or other disposition of securities to the public, by the bank of such ceeding, state the date and nature of such securities. termination and the general effect thereof with 2. The term "acquisition" includes every purchase, respect to the bank and its subsidiaries. acquisition by lease, exchange, merger, consolidation, succession or other acquisition; provided that such Instructions. 1. No information need be given with term does not include the construction or develop- respect to any proceeding which involves primarily a ment of property by or for the bank or its subsidiaries claim for damages if the amount involved, exclusive of or the acquisition of materials for such purpose, and interest and costs, does not exceed 10 per cent of the does not include the acquisition of assets acquired equity capital accounts of the bank. However, if any (i) in collecting a debt previously contracted in good proceeding presents in large degree the same issues as faith or (ii) in a fiduciary capacity. The term "dispo- other proceedings pending or known to be contemsition" includes every sale, disposition by lease, ex- plated, the amount involved in such other proceedings change, merger, consolidation, mortgage, or hypothe- shall be included in computing such percentage. cation of assets, assignment, abandonment, destruction, 2. Any material proceeding to which any director, or other disposition, but does not include disposition officer, or affiliate of the bank, any holder of more of assets acquired (i) in collecting a debt previously than 10 per cent of any class of its equity securities, contracted in good faith or (ii) in a fiduciary capacity. or any associate of any such director, officer, or secu- 3. The information called for by this item is to be rity holder, is a party adverse to the bank or any of given as to each transaction or series of related trans- its subsidiaries, shall also be described. actions of the size indicated. The acquisition or disposition of securities shall be deemed the indirect acqui- Item 4. Changes in securities, (a) If the insition or disposition of the assets represented by such struments defining the rights of the holders of securities if it results in the acquisition or disposition any class of registered securities have been of control of such assets. materially modified, give the title of the class of 4. An acquisition or disposition shall be deemed to involve a significant amount of assets (i) if the net securities involved and state briefly the general book value of such assets or the amount paid or re- effect of such modification upon the rights of ceived therefor upon such acquisition or disposition holders of such securities. exceeded 5 per cent of the equity capital accounts of the bank, or (ii) if it involved the acquisition or (b) If the rights evidenced by any class of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 57 registered securities have been materially lim- viously outstanding securities of the class, furited or qualified by the issuance or modification nish the following information: of any other class of securities, state briefly the (a) Title of class, the amount outstanding as general effect of the issuance or modification of last previously reported, and the amount pressuch other class of securities upon the rights of ently outstanding (as of a specified date). the holders of the registered securities. (b) A brief description of the transaction or Instruction. Working capital restrictions and other transactions resulting in the increase and a limitations upon the payment of dividends are to be statement of the aggregate net cash proceeds or reported hereunder. the nature and aggregate amount of any other Item 5. Defaults upon senior securities, (a) consideration received or to be received by the If there has been any material default in the bank. payment of principal, interest, a sinking or pur- (c) The names of the principal underwriters, chase fund installment, or any other material if any, indicating any such underwriters which default not cured within 30 days, with respect are affiliates of the bank. to any indebtedness of the bank or any of its (d) A reasonably itemized statement of the significant subsidiaries exceeding 5 per cent of purposes, so far as determinable, for which the the equity capital accounts of the bank, identify net proceeds have been or are to be used and the indebtedness and state the nature of the the approximate amount used or to be used for default. In the case of such a default in the payeach such purpose. ment of principal, interest, or a sinking or purchase fund installment, state the amount of the Instructions. 1. This item does not apply to notes, drafts, bills of exchange, or bank acceptances which default and the total arrearage on the date of mature not later than 18 months from the date of filing this report. issuance. No report need be made where the amount not previously reported, although in excess of 5 per Instruction. This paragraph refers only to events cent of the amount previously outstanding, does not which have become defaults under the governing inexceed $100,000 face amount of indebtedness or 1,000 struments, i.e., after the expiration of any period of shares or other units. grace and compliance with any notice requirements. 2. This item includes the reissuance of treasury (b) If any material arrearage in the payment securities and securities held for the account of the of dividends has occurred or if there has been issuer thereof. The extension of the maturity date of indebtedness shall be deemed to be the issuance of any other material delinquency not cured within new indebtedness for the purpose of this item. In the 30 days, with respect to any class of preferred case of such an extension, the percentage shall be stock of the bank which is registered or which computed upon the basis of the principal amount of the indebtedness extended. ranks prior to any class of registered securities, or with respect to any class of preferred stock Item 7. Decrease in amount of securities outof any significant subsidiary of the bank, give standing. If the amount of any class of securities the title of the class and state the nature of the of the bank outstanding has been decreased arrearage or delinquency. In the case of an through one or more transactions and the aggrearrearage in the payment of dividends, state the gate amount of all such decreases not previously amount and the total arrearage on the date of reported exceeds 5 per cent of the amount of filing this report. securities of the class previously outstanding, Item 6. Increase in amount of securities out- furnish the following information: standing. If the amount of securities of the bank (a) Title of the class, the amount outstanding outstanding has been increased through the as last previously reported, and the amount issuance of any new class of securities or presently outstanding (as of a specified date). through the issuance or reissuance of any addi- (b) A brief description of the transaction or tional securities of a class outstanding and the transactions involving the decrease and a stateaggregate amount of all such increases not pre- ment of the aggregate amount of cash or the viously reported exceeds 5 per cent of the pre- nature and aggregate amount of any other con- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

58 FEDERAL RESERVE BULLETIN • JANUARY 1965 sideration paid or to be paid by the bank in of the capital stock account of the bank resultconnection with such transaction or transac- ing in a transfer from capital stock to surplus, tions. undivided profits, or reserves, or vice versa, Instruction. Instruction 1 to Item 6 shall also apply state the date, purpose, and amount of the to this item. This item need not be answered as to restatement and give a brief explanation of all decreases resulting from ordinary sinking fund operarelated entries in connection with the restatetions, similar periodic decreases made pursuant to the terms of the constituent instruments, or decreases re- ment. sulting from the conversion of securities or from the Item 10. Submission of matters to a vote of payment of indebtedness at maturity. security holders. If any matter has been sub- Item 8. Options to purchase securities. If mitted to a vote of security holders, through the any options to purchase securities of the bank solicitation of proxies or otherwise, furnish the or any of its subsidiaries from the bank or any following information: of its subsidiaries have been granted or extended (a) The date of the meeting and whether it and the amount of securities called for by all was an annual or special meeting. such options the granting or extension of which (b) If the meeting involved the election of has not been previously reported exceeds 5 per directors, state the name of each director elected cent of the outstanding securities of the class, at the meeting and the name of each other furnish the following information: director whose term of office as a director con- (a) The dates on which the options were tinued after the meeting. granted or extended; (c) Briefly describe each other matter voted (b) The total amount of securities called for by such options; upon at the meeting and state the number of (c) The consideration for the granting or affirmative votes and the number of negative extension of the options; votes cast with respect to each such matter. (d) The exercise prices; Instructions. 1. If any matter has been submitted to (e) The market value of the securities on a vote of security holders otherwise than at a meeting of such security holders, corresponding information the granting or extension dates; with respect to such submission shall be furnished. (f) The expiration dates of the options; and The solicitation of any authorization or consent (other (g) Any other material conditions to which than a proxy to vote at a security holders' meeting) with respect to any matter shall be deemed a submisthe options were subject. sion of such matter to a vote of security holders within Instruction. This item need not be answered where the meaning of this item. the amount not previously reported, although in ex- 2. Paragraph (a) need be answered only if paracess of 5 per cent of the amount previously outstand- graph (b) or (c) is required to be answered. ing, does not exceed $100,000 face amount of indebt- 3. Paragraph (b) need not be answered if (i) a edness or 1,000 shares or other units of other securi- proxy statement, or statement where management ties. does not solicit proxies, with respect to the meeting was filed with the Board pursuant to section 206.5(a), Item 9. Revaluation of assets or restatement (ii) there was no solicitation in opposition to the manof capital stock account, (a) If there has been a agement's nominees as listed in such Statement, and material revaluation of the assets of the bank or (iii) all of such nominees were elected. 4. Paragraph (c) need not be answered as to proany of its significant subsidiaries involving a cedural matters or as to the selection or approval of write-up, write-down, write-off, or abandon- auditors. ment, state the date of the revaluation, the 5. If the bank has published a report containing all of the information called for by this item, the item amount involved and the accounts affected, may be answered by a reference to the information including all related entries. If any adjustment contained in such report, provided copies of such rewas made in any related reserve account in port are filed as an exhibit to the report on this form. connection with the revaluation, state the ac- Item 11. Other materially important events. count and amounts involved and explain the The bank may, at its option, report under this adjustment. item any events that the bank deems of mate- (b) If there has been a material restatement rial importance to security holders, even though Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 59 information as to such events is not otherwise required shall be verified to the close of the called for by this form. latest full fiscal year. (d) No supporting schedules need be filed. Item 12. Financial statements and exhibits. 3. Filing of other statements in certain cases. List below the financial statements and exhibits, The Board may, upon the informal written reif any, filed as a part of this report: quest of the bank, and where consistent with (a) Financial statements the protection of investors, permit the omission (b) Exhibits of one or more of the statements herein required or the filing in substitution therefor of SIGNATURES appropriate statements of comparable charac- Pursuant to the requirements of the Securi- ter. The Board may also by informal written ties Exchange Act of 1934, the bank has duly notice require the filing of other statements in caused this report to be signed on its behalf by addition to, or in substitution for, the statethe undersigned, thereunto duly authorized. ments herein required in any case where such statements are necessary or appropriate for an adequate presentation of the financial condition (Name of bank) of any person for which financial statements are required, or whose statements are other- Date _ By wise necessary for the protection of investors. (Name and title of signing officer) EXHIBITS FINANCIAL STATEMENTS OF BUSINESSES ACQUIRED Subject to provisions as to incorporation by reference, the following documents shall be 1. Business for which statements are refiled as exhibits to this report: quired. The financial statements specified below 1. Copies of any contract, plan, or arrangeshall be filed for any business the acquisition of ment for any acquisition or disposition dewhich by the bank or any of its majority-owned scribed in answer to Item 2, including any plan subsidiaries is required to be described in anof reorganization, readjustment, exchange, merswer to Item 2 above. ger, consolidation, or succession in connection 2. Statements required, (a) There shall be therewith. filed a balance sheet of the business as of a date 2. Copies of any judgment or any document reasonably close to the date of acquisition. The setting forth the terms of any settlement debalance sheet need not be verified, but if it is scribed in answer to Item 3. not verified there shall also be filed a verified 3. Copies of the amendments to all constitubalance sheet as of the close of the preceding ent instruments and other documents described fiscal year. (b) Statements of income of the business in answer to Item 4. shall be filed for each of the last three full fiscal 4. Copies of all constituent instruments deyears and for the period, if any, between the fining the rights of the holders of any new class close of the latest of such fiscal years and the of securities referred to in answer to Item 6. date of the latest balance sheet filed. These 5. Copies of the plan pursuant to which the statements of income shall be verified up to the options referred to in answer to Item 8 were date of the verified balance sheet. granted, or if there is no such plan, specimen (c) If the business was in insolvency pro- copies of the options. ceedings immediately prior to its acquisition, 6. Copies of any material amendments to the the balance sheets required above need not be bank's charter or by-laws, not otherwise reverified. In such case, the statements of income quired to be filed. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

60 FEDERAL RESERVE BULLETIN • JANUARY 1965 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM FORM F-4 QUARTERLY REPORT 3 months Fiscal year to date ending ( months ending Item 19 19 19 19 (current year) (prior year) (current year) (prior year) 1. Operating revenue: (a) Interest and other fees on loans (b) Interest and dividends on securities (c) Commissions, fees, and other income (d) Total operating revenue 2. Operating expenses : (a) Salaries and other compensation (b) Interest paid (c) Other operating expenses (d) Total operating expenses 3. Operating earnings before income taxes (Item 1 d minus Item 2d) 4. Income taxes applicable to operating earnings 5. NET OPERATING EARNINGS (Item 3 minus Item 4) Pursuant to the requirements of the Securities Exchange Act of 1934, the bank has duly caused this quarterly report to be signed on its behalf by the undersigned, thereunto duly authorized. (Name of bank) Date By_ (Name and title of signing officer) (a) Use of Form F-4. Form F-4 is a guide be verified (see section 206.7(b) of this Part. for use in preparation of the quarterly report to The report may carry a notation to that be filed with the Board. effect and any other qualification considered (b) Persons for whom the information is to necessary or appropriate. Amounts may be be given. The required information is to be stated in thousands of dollars if a notation to given as to the registrant bank or, if the bank that effect is made. files consolidated financial statements with the (d) Incorporation by reference to published annual reports filed with the Board, it shall statements. If the bank makes available to its cover the bank and its consolidated subsidiarstockholders or otherwise publishes, within the ies. If the information is given as to the bank period prescribed for filing the report, a finanand its consolidated subsidiaries, it need not be cial statement containing the information regiven separately for the bank. (c) Presentation of information. The form quired by this form, such information may be calls only for the items of information specified. incorporated by reference to such published It is not necessary to furnish a formal statement statement if copies thereof are filed as an exhibit of income. The information is not required to to this report. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 61 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM FORM F-5 PROXY STATEMENT; STATEMENT WHERE MANAGEMENT DOES NOT SOLICIT PROXIES GENERAL INSTRUCTIONS agement of the bank, so state. Give the name of any director of the bank who has informed the Each Statement required under section management in writing that he intends to op- 206.5(a) of this Part shall, to the extent applipose any action intended to be taken by the cable, include the information called for under management and indicate the action which he each of the items below. In the preparation of intends to oppose. the Statement, particular attention should be given to the definitions in section 206.2 of this (2) If the solicitation is made otherwise Part. than by the management of the bank, so state This form is not to be used as a blank form and give the names of the persons by whom to be filled in nor is it intended to prescribe a and the persons on whose behalf it is made. form for presentation of material in the State- (3) If the solicitation is to be made otherment. Its purpose is solely to prescribe the in- wise than by the use of the mails, describe the formation required to be set forth in the State- methods to be employed. If the solicitation is ment; any additional information that manage- to be made by specially engaged employees or ment or the soliciting persons deem appropriate paid solicitors, state (i) the material features of may be included. any contract or arrangement for such solicitation and identify the parties, and (ii) the cost INFORMATION REQUIRED IN or anticipated cost thereof. STATEMENT (4) State the names of the persons by whom the cost of solicitation has been or will Item 1. Revocability of proxy. State whether be borne, directly or indirectly. the person giving the proxy has the power to (b) Solicitations subject to section 206.5(i). revoke it. If the right of revocation before the proxy is exercised is limited or is subject to (1) State by whom the solicitation is made compliance with any formal procedure, briefly and describe the methods employed and to be describe such limitation or procedure. employed. Item 2. Dissenters' rights of appraisal. Out- (2) If regular employees of the bank or line briefly the rights of appraisal or similar any other participants in a solicitation have rights of dissenters with respect to any matter been or are to be employed to solicit security to be acted upon and indicate any statutory holders, describe the class or classes of emprocedure required to be followed by dissenting ployees to be so employed, and the manner and security holders in order to perfect such rights. nature of their employment for such purpose. Where such rights may be exercised only within (3) If specially engaged employees, reprea limited time after the date of the adoption of sentatives, or other persons have been or are to a proposal, the filing of a charter amendment be employed to solicit security holders, state or other similar act, state whether the person (i) the material features of any contract or solicited will be notified of such date. arrangement for such solicitation and identify Item 3. Persons making the solicitation, (a) the parties, (ii) the cost or anticipated cost Solicitations not subject to section 206.5(i). thereof, and (iii) the approximate number of (1) If the solicitation is made by the man- such employees or employees of any other per- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

62 FEDERAL RESERVE BULLETIN • JANUARY 1965 son (naming such other person) who will solicit Instruction. Except in the case of a solicitation subsecurity holders. ject to section 206.5 of this Part made in opposition to another solicitation subject to section 206.5 of this (4) State the total amount estimated to Part, this sub-item (a) shall not apply to any interest be spent and the total expenditures to date for, arising from the ownership of securities of the bank in furtherance of, or in connection with the where the security holder receives no extra or special benefit not shared on a pro rata basis by all other solicitation of security holders. holders of the same class. (5) State by whom the cost of the solici- (b) Solicitations subject to section 206.5(i). tation will be borne. If such cost is to be borne (1) Describe briefly any substantial interinitially by any person other than the bank, est, direct or indirect, by security holdings or state whether reimbursement will be sought otherwise, of each participant as defined in from the bank, and, if so, whether the ques- section 206.5(i)(2)(A), (ii), (iii), (iv), (v), and tion of such reimbursement will be submitted (vi), in any matter to be acted upon at the to a vote of security holders. meeting, and include with respect to each par- Instruction. With respect to solicitations subject to ticipant the information, or a fair and adequate section 206.5 (i), costs and expenditures within the summary thereof, required by Items 2(a), 2(d), meaning of this Item 3 shall include fees for attorneys, 3, 4(b), and 4(c) of Form F-6. accountants, public relations or financial advisers, solicitors, advertising, printing, transportation, litiga- (2) With respect to any person named in tion, and other costs incidental to the solicitation, answer to Item 6(b), describe any substantial except that the bank may exclude the amounts of such interest, direct or indirect, by security holdings costs represented by the amount normally expended for a solicitation for an election of directors in the or otherwise, that he has in any matter to be absence of a contest, and costs represented by salaries acted upon at the meeting, and furnish the inand wages of regular employees and officers, proformation called for by Item 4(b) and (c) of vided a statement to that effect is included in the proxy statement. Form F-6. Item 4. Interest of certain persons in matters Item 5. Voting securities and principal holdto be acted upon, (a) Solicitations not subject ers thereof, (a) State, as to each class of voting to section 206.5(i). Describe briefly any sub- securities of the bank entitled to be voted at the stantial interest, direct or indirect, by security meeting, the number of shares outstanding and holdings or otherwise, of each of the following the number of votes to which each class is persons in any matter to be acted upon, other entitled. than elections to office: (b) Give the date as of which the record of (1) If the solicitation is made on behalf security holders entitled to vote at the meeting of management, each person who has been a will be determined. If the right to vote is not director or officer of the bank at any time since limited to security holders of record on that the beginning of the last fiscal year. date, indicate the conditions under which other (2) If the solicitation is made otherwise security holders may be entitled to vote. than on behalf of management, each person on (c) If action is to be taken with respect to whose behalf the solicitation is made. Any per- the election of directors and if the persons son who would be a participant in a solicitation solicited have cumulative voting rights, make a for purposes of section 206.5(i) as defined in statement that they have such rights and state subparagraph 2(A), (iii), (iv), (v), and (vi) briefly the conditions precedent to the exercise thereof shall be deemed a person on whose thereof. behalf the solicitation is made for purposes of (d) If to the knowledge of the persons on this paragraph (a). whose behalf the solicitation is made, any per- (3) Each nominee for election as a direc- son owns of record or beneficially more than tor of the bank. 10 per cent of the outstanding voting securities (4) Each associate of the foregoing per- of the bank, name such person, state the apsons. proximate amount of such securities owned of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 63 record but not owned beneficially and the ap- subsidiaries is beneficially owned by him and proximate amount owned beneficially by such his associates, state the approximate amount of person and the percentage of outstanding vot- each class of such securities beneficially owned ing securities represented by the amount of by such associates, naming each associate whose securities so owned in each such manner. holdings are substantial. Item 6. Nominees and directors, (a) If action (b) If any nominee for election as a director is to be taken with respect to the election of di- is proposed to be elected pursuant to any arrectors, furnish the following information, in rangement or understanding between the nomitabular form to the extent practicable, with nee and any other person or persons, except the respect to each person nominated for election directors and officers of the bank acting solely as a director and each other person whose term in that capacity, name such other person or of office as a director will continue after the persons and describe briefly such arrangement meeting: or understanding. (1) Name each such person, state when his Item 7. Remuneration and other transactions term of office or the term of office for which he with management and others. Furnish the inis a nominee will expire, and all other positions formation called for by this item if action is to and offices with the bank presently held by him, be taken with respect to (i) the election of and indicate which persons are nominees for directors, (ii) any bonus, profit sharing or other election as directors at that meeting. remuneration plan, contract or arrangement in (2) State his present principal occupation which any director, nominee for election as a or employment and give the name and principal director, or officer of the bank will participate, business of any corporation or other organiza- (iii) any pension or retirement plan in which tion in which such employment is carried on. any such person will participate, or (iv) the Furnish similar information as to all of his granting or extension to any such person of any principal occupations or employments during options, warrants, or rights to purchase any the last five years, unless he is now a director securities, other than warrants or rights issued and was elected to his present term of office by to security holders, as such, on a pro rata basis. a vote of security holders at a meeting with However, if the solicitation is made on behalf respect to which a proxy statement or statement of persons other than the management, the inwhere management does not solicit proxies was formation required need be furnished only as to submitted to security holders pursuant to sec- nominees for election as directors and as to tion 206.5(a) of this Part. their associates. (3) If he is or has previously been a (a) Furnish the following information in subdirector of the bank state the period or periods stantially the tabular form indicated below as during which he has served as such. to all direct remuneration paid by the bank (4) State, as of the most recent practicable and its subsidiaries during the bank's latest date, the approximate amount of each class of fiscal year to the following persons for services equity securities of the bank or any of its in all capacities: parents or subsidiaries, other than directors' (1) Each director, and each of the two qualifying shares, beneficially owned directly or highest paid officers, of the bank whose annual indirectly by him. If he is not the beneficial total direct remuneration exceeded $30,000, owner of any such securities, make a statement naming each such person. to that effect. (2) All directors and officers of the bank (5) If more than 10 per cent of any class as a group, without naming them, but stating of securities of the bank or any of its parents or the number of persons included. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

64 FEDERAL RESERVE BULLETIN • JANUARY 1965 where it is otherwise impracticable to state the esti- (A) Name of (B) (C) mated annual benefits upon retirement, there shall be o o in i r f n d n p i g v u e r i m r o d s u u o b p a n e l r s r w e C m a in a s u p r n w a e e c c h r i e i a t c i i t v e h i e o s d n re A m g u d g n ir r e e e r c g a t a ti t o e n C c se r o u t l e u f d m o r n t t o h , ( d C a in ) te , , l t i h u e e n u l e a o s g s f g r i t t e h g e i a s t e i i n m f a o p m r r m a o c u a t n i t c i t o a n b s e le t c a a t l o s l i e d d d e o f o o s r o r , a b i c n y which case there shall be stated the method of computing such benefits. (c) Describe briefly all remuneration payments (other than payments reported under paragraph (a) or (b) of this item) proposed to be made in the future, directly or indirectly, by Instructions. 1. This item applies to any person who the bank or any of its subsidiaries pursuant to was a director or officer of the bank at any time during the period specified. However, information need any existing plan or arrangement to (i) each not be given for any portion of the period during director or officer named in anwser to paragraph which such person was not a director or officer. (a)(l), naming each such person, and (ii) all 2. The information is to be given on an accrual basis, if practicable. The tables required by this para- directors and officers of the bank as a group, graph and paragraph (b) may be combined if the without naming them. bank so desires. 3. Do not include remuneration paid to a partner- Instruction. Information need not be included as to ship in which any director or officer was a partner. payments to be made for, or benefits to be received But see paragraph (f) below. from, group life or accident insurance, group hospitali- (b) Furnish the following information, in zation, or similar group payments or benefits. If it is impracticable to state the amount of remuneration substantially the tabular form indicated, as to payments proposed to be made, the aggregate amount all pension or retirement benefits proposed to set aside or accrued to date in respect of such paybe paid under any existing plan in the event of ments shall be stated, together with an explanation of the basis for future payments. retirement at normal retirement date, directly or indirectly, by the bank or any of its subsid- (d) Furnish the following information as to iaries to each director or officer named in all options to purchase securities, from the answer to paragraph (a)(l): bank or any of its subsidiaries, which were granted to or exercised by the following persons since the beginning of the bank's last fiscal (B) (C) year: (i) each director or officer named in ani N nd a i ( m v A i e d ) u o a f l as d i A u d r e m i n o o g r u n b a t c a c n s r e k u t ' e s d u a p n o n E n u s a t r i l e m t b i a r e t e n e m e d f e it n s t swer to paragraph (a)(l), naming each such last fiscal year person; and (ii) all directors and officers of the bank as a group, without naming them: (1) As to options granted, state (i) the title and amount of securities called for; (ii) the prices, expiration dates, and other material provisions; (iii) the consideration received for the Instructions. 1. Column (B) need not be answered granting thereof; and (iv) the market value of with respect to payments computed on an actuarial the securities called for on the granting date. basis under any plan which provides for fixed benefits (2) As to options exercised, state (i) the in the event of retirement at a specified age or after a specified number of years of service. title and amount of securities purchased; (ii) 2. The information called for by Column (C) may the purchase price; and (iii) the market value of be given in a table showing the annual benefits pay- the securities purchased on the date of purchase. able upon retirement to persons in specified salary classifications. Instructions. 1. The extension of options shall be 3. In the case of any plan (other than those speci- deemed the granting of options within the meaning of fied in Instruction 1) where the amount set aside each this paragraph. year depends upon the amount of earnings of the bank 2. (i) Where the total market value on the granting or its subsidiaries for such year or a prior year, or dates of the securities called for by all options granted Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 65 during the period specified does not exceed $10,000 (3) Any security holder named in answer for any officer or director named in answer to para- to Item 5(d); or graph (a)(l), or $30,000 for all officers and directors (4) Any associate of any of the foregoing as a group, this item need not be answered with respect to options granted to such person or group, (ii) persons. Where the total market value on the dates of purchase Instructions. 1. See Instruction 1 to paragraph (a). of all securities purchased through the exercise of Include the name of each person whose interest in any options during the period specified does not exceed transaction is described and the nature of the relation- $10,000 for any such person or $30,000 for such ship by reason of which such interest is required to be group, this item need not be answered with respect to described. Where it is not practicable to state the options exercised by such person or group. approximate amount of the interest, the approximate 3. The information for all directors and officers as amount involved in the transaction shall be indicated. a group regarding market value of the securities on 2. As to any transaction involving the purchase or the granting date of the options and on the purchase sale of assets by or to the bank or any subsidiary, date may be given in the form of price ranges for otherwise than in the ordinary course of business, each calendar quarter during which options were state the cost of the assets to the purchaser and the cost granted or exercised. thereof to the seller if acquired by the seller within (e) State as to each of the following persons two years prior to the transaction. 3. The instruction to Item 4 shall apply to this item. who was indebted to the bank or its subsidiaries 4. No information need be given under this paraat any time since the beginning of the last fiscal graph as to any remuneration or other transaction year of the bank, (i) the largest aggregate reported in response to (a), (b), (c), (d), or (e) of this item. amount of indebtedness outstanding at any time 5. No information need be given under this paraduring such period, (ii) the nature of the in- graph as to any transaction or any interest therein debtedness and of the transaction in which it where: (i) The rates or charges involved in the transwas incurred, (iii) the amount thereof outstandaction are fixed by law or determined by competiing as of the latest practicable date, and (iv) tive bids; the rate of interest paid or charged thereon: (ii) The interest of the specified person in the transaction is solely that of a director of another (1) Each director or officer of the bank; corporation which is a party to the transaction; and (iii) The specified person is subject to this Item (2) Each nominee for election as a di- 7(f) solely as a director of the bank (or associate of a director) and his interest in the transaction is rector. solely that of a director and/or officer of another Instructions. 1. See Instruction 1 to paragraph (a). corporation that is a party to the transaction; Include the name of each person whose indebtedness (iv) The transaction does not involve remunerais described and the nature of the relationship by rea- tion for services, directly or indirectly, and (A) the son of which the information is required to be given. interest of the specified persons arises from the 2. This paragraph does not apply to any person ownership individually and in the aggregate of less whose aggregate indebtedness did not exceed $10,000 than a 10 per cent interest in another person which at any time during the period specified. Exclude in is a party to the transaction, (B) the transaction is the determination of the amount of indebtedness all in the ordinary course of business of the bank or amounts due from the particular person for transac- its subsidiaries, and (C) the amount of such transtions in the ordinary course of business. action or series of transactions is less than 10 per cent of the equity capital accounts of the bank; (f) Describe briefly, and where practicable (v) The transaction involves services as a bank state the approximate amount of, any material depositary of funds, transfer agent, registrar, trustee interest, direct or indirect, of any of the follow- under a trust indenture, or other similar services; or ing persons in any material transactions since (vi) The interest of the specified person, includthe beginning of the bank's last fiscal year, or ing all periodic installments in the case of any lease in any material proposed transactions, to which or other agreement providing for periodic installments, does not exceed $30,000. the bank or any of its subsidiaries was or is to 6. Information shall be furnished under this parabe a party: graph with respect to transactions not excluded above (1) Any director or officer of the bank; which involve remuneration, directly or indirectly, to any of the specified persons for services in any capac- (2) Any nominee for election as a diity unless the interest of such persons arises solely rector; from the ownership individually and in the aggregate Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

66 FEDERAL RESERVE BULLETIN • JANUARY 1965 of less than a 10 per cent interest in another person holders to increase the cost thereof to the bank furnishing the services to the bank or its subsidiaries. or to alter the allocation of the benefits as be- Item 8. Selection of auditors. If action is to tween the groups specified in (b), state the nabe taken with respect to the selection or ap- ture of the amendments which can be so made. proval of auditors, or if it is proposed that par- Instruction. If the plan is set forth in a formal ticular auditors shall be recommended by any plan, contract, or arrangement, three copies thereof committee to select auditors for whom votes are shall be filed with the Board at the time preliminary copies of the Statement are filed pursuant to section to be cast, name the auditors and describe briefly 206.5(f). any direct financial interest or any material in- Item 10. Pension and retirement plans. If direct financial interest in the bank or any of action is to be taken with respect to any pension its parents or subsidiaries, or any connection or retirement plan, furnish the following inforduring the past three years with the bank or mation: any of its parents or subsidiaries in the capacity (a) Describe briefly the material features of of promoter, underwriter, voting trustee, direc- the plan, identify each class of persons who will tor, officer, or employee. be entitled to participate therein, indicate the Item 9. Bonus, profit-sharing, and other re- approximate number of persons in each such muneration plans. If action is to be taken with class, and state the basis of such participation. respect to any bonus, profit-sharing, or other (b) State (1) the approximate total amount remuneration plan, furnish the following in- necessary to fund the plan with respect to past formation: services, the period over which such amount is (a) Describe briefly the material features of to be paid, and the estimated annual payments the plan, identify each class of persons who will necessary to pay the total amount over such participate therein, indicate the approximate period, (2) the estimated annual payment to be number of persons in each such class and state made with respect to current services, and (3) the basis of such participation. the amount of such annual payments to be made (b) State separately the amounts which for the benefit of (i) directors and officers, and would have been distributable under the plan (ii) employees. during the last fiscal year of the bank (1) to (c) State (1) the name and position with the directors and officers and (2) to employees if bank of each person specified in Item 7 (a) who the plan had been in effect. will be entitled to participate in the plan, (2) the (c) State the name and position with the amount which would have been paid or set bank of each person specified in Item 7 (a) who aside by the bank and its subsidiaries for the will participate in the plan and the amount benefit of such person for the last fiscal year of which each such person would have received the bank if the plan had been in effect, and (3) under the plan for the last fiscal year of the the amount of the annual benefits estimated to bank if the plan had been in effect. be payable to such person in the event of retire- (d) Furnish such information, in addition to ment at normal retirement date. that required by this item and Item 7, as may be (d) Furnish such information, in addition to necessary to describe adequately the provisions that required by this item and Item 7, as may already made pursuant to all bonus, profit shar- be necessary to describe adequately the proviing, or other remuneration or incentive plans sions already made pursuant to all bonus, profit for (i) each director or officer named in answer sharing, or other remuneration or incentive to Item 7 (a) who will participate in the plan to plans for (i) each director or officer named in be acted upon; (ii) all directors and officers of answer to Item 7(a) who will participate in the the bank as a group; and (iii) all employees. plan to be acted upon; (ii) all directors and offi- (e) If the plan to be acted upon can be cers of the bank as a group; and (iii) all emamended otherwise than by a vote of stock- ployees. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 67 (e) If the plan to be acted upon can be plans for (i) each director or officer named in amended otherwise than by a vote of stock- answer to Item 7 (a) who will participate in the holders to increase the cost thereof to the bank plan to be acted upon; (ii) all directors and offior alter the allocation of the benefits as between cers of the bank as a group; and (iii) all emthe groups specified in (b)(3), state the nature ployees. of the amendments which can be so made. Instruction. Paragraphs (b) and (c) do not apply to warrants or rights to be issued to security holders as Instructions. 1. The information called for by parasuch on a pro rata basis. graph (b)(3) or (c)(2) need not be given as to payments made on an actuarial basis pursuant to any Item 12. Authorization or issuance of securigroup pension plan which provides for fixed benefits ties otherwise than for exchange. If action is to in the event of retirement at a specified age or after a specified number of years of service. be taken with respect to the authorization or 2. The instruction to Item 9 shall apply to this item. issuance of any securities otherwise than in Item 11. Options, warrants, or rights. If exchange for outstanding securities of the bank, action is to be taken with respect to the grant- furnish the following information: ing of extension of any options, warrants, or (a) State the title and amount of securities rights to purchase securities of the bank or any to be authorized or issued. subsidiary, furnish the following information: (b) Furnish a description of the material (a) State (i) the title and amount of securi- provisions of the securities such as would be ties called for or to be called for by such op- required in a registration statement filed purtions, warrants, or rights; (ii) the prices, expira- suant to this Part. If the securities are addition dates, and other material conditions upon tional shares of common stock of a class outwhich the options, warrants, or rights may be standing, the description may be omitted except exercised; (iii) the consideration received or to for a statement of the pre-emptive rights, if any. be received by the bank or subsidiary for the (c) Describe briefly the transaction in which granting or extension of the options, warrants, the securities are to be issued, including a stateor rights; and (iv) the market value of the ment as to (1) the nature and approximate securities called for or to be called for by the amount of consideration received or to be reoptions, warrants, or rights, as of the latest ceived by the bank, and (2) the approximate practicable date. amount devoted to each purpose so far as de- (b) State separately the amount of options, terminable, for which the net proceeds have warrants, or rights received or to be received by been or are to be used. the following persons, naming each such person: (d) If the securities are to be issued other- (i) each director or officer named in answer to wise than in a general public offering for cash, Item 7(a); (ii) each nominee for election as a state the reasons for the proposed authorizadirector of the bank; (iii) each associate of such tion or issuance, the general effect thereof upon directors, officers, or nominees; and (iv) each the rights of existing security holders, and the other person who received or is to receive 5 vote needed for approval. per cent or more of such options, warrants, or Item 13. Modification or exchange of securirights. State also the total amount of such ties. If action is to be taken with respect to the options, warrants, or rights received or to be modification of any class of securities of the received by all directors and officers of the bank bank, or the issuance or authorization for issuas a group, without naming them. ance of securities of the bank in exchange for (c) Furnish such information, in addition to outstanding securities of the bank, furnish the that required by this item and Item 7, as may following information: be necessary to describe adequately the provi- (a) If outstanding securities are to be modisions already made pursuant to all bonus, profit- fied, state the title and amount thereof. If secusharing, or other remuneration or incentive rities are to be issued in exchange for out- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

68 FEDERAL RESERVE BULLETIN • JANUARY 1965 standing securities, state the title and amount (b) Furnish the following information as to of securities to be so issued, the title and amount each person (other than subsidiaries substanof outstanding securities to be exchanged there- tially all of the stock of which are owned by for, and the basis of the exchange. the bank) which is to be merged into the bank (b) Describe any material differences be- or into or with which the bank is to be merged tween the outstanding securities and the modi- or consolidated or the business or assets of fied or new securities in respect of any of the which are to be acquired or which is the issuer matters concerning which information would be of securities to be acquired by the bank or any required in the description of the securities in of its subsidiaries in exchange for all or a suba registration statement filed pursuant to this stantial part of its assets. Part. (1) Describe briefly the business and prop- (c) State the reasons for the proposed modi- erty of such person in substantially the manner fication or exchange, the general effect thereof required by Items 3 and 4 of Form F-l. upon the rights of existing security holders, and (2) Furnish a brief statement as to dethe vote needed for approval. faults in principal or interest in respect of any (d) Furnish a brief statement as to arrears in securities of the bank or of such person, and as dividends or as to defaults in principal or inter- to the effect of the plan thereon and such other est in respect to the outstanding securities which information as may be appropriate in the parare to be modified or exchanged and such other ticular case to disclose adequately the nature information as may be appropriate in the par- and effect of the proposed action. ticular case to disclose adequately the nature (c) As to each class of securities of the bank, and effect of the proposed action. or of any person specified in paragraph (b), (e) Outline briefly any other material fea- which is admitted to dealing on a national secutures of the proposed modification or exchange. rities exchange or with respect to which a mar- (f) The instruction to Item 9 shall apply to ket otherwise exists, and which will be matethis item. rially affected by the plan, state the high and Item 14. Mergers, consolidations, acquisi- low sale prices (or, in the absence of trading in tions, and similar matters. Furnish the follow- a particular period, the range of the bid and ing information if action is to be taken with asked prices) for each quarterly period within respect to any plan for (i) the merger or con- two years. This information may be omitted if solidation of the bank into or with any other the plan involves merely the voluntary liquidaperson or of any other person into or with the tion or dissolution of the bank. bank, (ii) the acquisition by the bank or any of Item 15. Financial statements, (a) If action is its subsidiaries of securities of another bank, to be taken with respect to any matter specified (iii) the acquisition by the bank of any other in Items 12, 13, or 14 above, furnish verified going business or of the assets thereof, (iv) the financial statements of the bank and its subsidsale or other transfer of all or any substantial iaries such as would be required in a registrapart of the assets of the bank, or (v) the volun- tion statement filed pursuant to this Part. All tary liquidation or dissolution of the bank. schedules may be omitted. (a) Outline briefly the material features of (b) If action is to be taken with respect to the plan. State the reasons therefor, the gen- any matter specified in Item 14(b), furnish eral effect thereof upon the rights of existing financial statements such as would be required security holders, and the vote needed for its in a registration statement filed pursuant to this approval. If the plan is set forth in a written Part. Such statements need not be verified, and document, file three copies thereof with the all schedules may be omitted. However, such Board when preliminary copies of the State- statements may be omitted for a subsidiary, all ment are filed pursuant to section 206.5(f). of the stock of which is owned by the bank, that Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 69 is included in the consolidated statement of the matters referred to in such reports or minutes. bank and its subsidiaries. (b) Identify each of such matters which it is (c) Notwithstanding paragraphs (a) and (b) intended will be approved or disapproved, and above, any or all of such financial statements furnish the information required by the approwhich are not material for the exercise of pru- priate item or items of this schedule with redent judgment in regard to the matter to be spect to each such matter. acted upon may be omitted if the reasons for Item 17. Matters not required to be subsuch omission are stated. Such financial statemitted. If action is to be taken with respect to ments are deemed material to the exercise of any matter which is not required to be subprudent judgment in the usual case involving mitted to a vote of security holders, state the the authorization or issuance of any material nature of such matter, the reasons for submitamount of senior securities, but are not deemed ting it to a vote of security holders and what material in cases involving the authorization or action is intended to be taken by the manageissuance of common stock, otherwise than in ment in the event of a negative vote on the exchange. matter by the security holders. (d) The Statement may incorporate by refer- Item 18. Amendment of charter, by-laws, or ence any financial statements contained in an other documents. If action is to be taken with annual report sent to security holders pursuant respect to any amendment of the bank's charter, to section 206.5(c) with respect to the same by-laws, or other documents as to which informeeting as that to which the Statement relates, mation is not required above, state briefly the provided such financial statements substantially meet the requirements of this item. reasons for and general effect of such amendment and the vote needed for its approval. Item 16. Action with respect to reports. If action is to be taken with respect to any report Item 19. Other proposed action. If action is of the bank or of its directors, officers, or com- to be taken with respect to any matter not mittees or any minutes of meeting of its secu- specifically referred to above, describe briefly rity holders, furnish the following information: the substance of each such matter in substan- (a) State whether or not such action is to tially the same degree of detail as is required constitute approval or disapproval of any of the by Items 5 to 18, inclusive, above. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

70 FEDERAL RESERVE BULLETIN • JANUARY 1965 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM FORM F-6 STATEMENT IN ELECTION CONTEST GENERAL INSTRUCTIONS case. A negative answer to this sub-item need not be included in the Statement or other proxy The statement shall contain the number and soliciting material. captions of all items, but the text of the items Item 3. Interests in securities of the bank. may be omitted. If an item is inapplicable or (a) State the amount of each class of securities the answer is in the negative, so state. The inof the bank that you own beneficially, directly, formation called for by Items 2(a) and 3 (a) or a or indirectly. fair summary thereof is required to be included (b) State the amount of each class of securiin all preliminary soliciting material by section ties of the bank that you own of record but not 206.5(i) of this Part. beneficially. (c) State with respect to the securities speci- Item 1. Bank. State the name and address fied in (a) and (b) the amounts acquired within of the bank. the past two years, the dates of acquisition and Item 2. Identity and background of particithe amounts acquired on each date. pant, (a) State the following: (1) Your name (d) If any part of the purchase price or and business address. (2) Your present princimarket value of any of the shares specified in pal occupation or employment and the name, paragraph (c) is represented by funds borrowed principal business, and address of any corpoor otherwise obtained for the purpose of acquirration or other organization in which such ing or holding such securities, so state and indiemployment is carried on. cate the amount of the indebtedness as of the (b) State the following: (1) Your residence latest practicable date. If such funds were boraddress. (2) Information as to all material occurowed or obtained otherwise than pursuant to a pations, positions, offices, or employments durmargin account or bank loan in the regular ing the last ten years, giving starting and ending course of business of a bank, broker, or dealer, dates of each and the name, principal business, briefly describe the transaction, and state the and address of any business corporation or names of the parties. other business organization in which each such (e) State whether or not you are a party to occupation, position, office, or employment was any contracts, arrangements or understandings carried on. with any person with respect to any securities (c) State whether or not you are or have been of the bank, including but not limited to joint a participant in any other proxy contest involv- ventures, loan or option arrangements, puts or ing the bank or other corporations within the calls, guarantees against loss or guarantees of past ten years. If so, identify the principals, the profits, division of losses or profits, or the givsubject matter and your relationship to the par- ing or withholding of proxies. If so, name the ties and the outcome. persons with whom such contracts, arrange- (d) State whether or not, during the past 10 ments, or understandings exist and give the years, you have been convicted in a criminal details thereof. proceeding (excluding traffic violations or simi- (f) State the amount of securities of the bank lar misdemeanors) and, if so, give dates, nature owned beneficially, directly or indirectly, by of conviction, name and location of court, and each of your associates and the name and adpenalty imposed or other disposition of the dress of each such associate. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 71 (g) State the amount of each class of securi- may be a party. If so, describe such arrangeties of any parent or subsidiary of the bank ment or understanding and state the names of which you own beneficially, directly or in- the parties thereto. directly. Item 5. Signature. The statement shall be Item 4. Further matters, (a) Describe the dated and signed in the following manner: time and circumstances under which you be- I certify that the statements made in this came a participant in the solicitation and state statement are true, complete, and correct, to the nature and extent of your activities or pro- the best of my knowledge and belief. posed activities as a participant. (b) Furnish for yourself and your associates (Date) the information required by Item 7(f) of Form F-5. (Signature of participant or (c) State whether or not you or any of your authorized representative) associates have any arrangement or understanding with any person (1) with respect to any Instruction. If the statement is signed on behalf of a future employment by the bank or its affiliates; participant by the latter's authorized representative, evidence of the representative's authority to sign on or (2) with respect to any future transactions to behalf of such participant shall be filed with the which the bank or any of its affiliates will or statement. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

72 FEDERAL RESERVE BULLETIN • JANUARY 1965 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM FORM F-7 INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES (Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934) (Name of bank) (Name of person whose ownership is reported) (Business address of such person) Relationship of such person to the bank. (See Instruction 5) Date of event which requires the filingo f this statement. (See Instruction 6)_ EQUITY SECURITIES BENEFICIALLY OWNED (See Instruction 7) Title of security Nature of ownership Amount owned (see Instruction 8) (see Instruction 9) (see Instruction 10) Remarks: (See Instruction 11) Date of statement. Signature Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 73 INSTRUCTIONS 1. Persons required to file statements. A statement 6. Date as of which beneficial ownership is to be on this form is required to be filed by every person given. The information as to beneficial ownership of who, at the time any class of equity securities of a securities shall be given as of the date on which the bank becomes registered pursuant to section 12 of the event occurred which requires the filing of a statement Securities Exchange Act of 1934 (the Act), (i) is on this form. For example, when registration of equity directly or indirectly the beneficial owner of more securities of the bank becomes effective pursuant to than 10 per cent of such class or (ii) is a director or section 12 of the Act or when the person whose ownofficer of the bank which is the issuer of such securi- ership is reported becomes a director or officer of the ties, and by every person who thereafter becomes such bank or becomes the beneficial owner of more than a beneficial owner, director, or officer. The term "offi- 10 per cent of a class of registered equity securities of cer" means a Chairman of the Board of Directors, the bank. Vice Chairman of the Board, Chairman of the Execu- 7. Securities to be reported. Persons specified in tive Committee, President, Vice President (except as Instruction 1 above shall include information as to their beneficial ownership of all classes of equity secuindicated in the next sentence), Cashier, Treasurer, rities of the bank, even though one or more of such Secretary, Comptroller, and any other person who parclasses may not be registered pursuant to section 12 of ticipates in major policy-making functions of the bank. the Act. In some banks (particularly banks with officers bear- 8. Title of equity security. The statement of the title ing titles such as Executive Vice President, Senior Vice of an equity security should clearly distinguish it from President, or First Vice President as well as a number any securities of other classes issued by the bank. of "Vice Presidents"), some or all "Vice Presidents" 9. Nature of ownership. Under "Nature of ownerdo not participate in major policy-making functions, ship", state whether ownership of the equity securities and such persons are not officers for the purpose of is "direct" or "indirect". If the ownership is indirect, this statement. i.e., through a partnership, corporation, trust, or other 2. When statements are to be filed. Persons who entity, indicate in a footnote or other appropriate hold any of the relationships specified in Instruction 1 manner, the name or identity of the medium through when any class of equity securities of the bank be- which the securities are indirectly owned. The fact comes registered pursuant to section 12 of the Act are that equity securities are held in the name of a broker required to file a statement on this form within 10 or other nominee does not, of itself, constitute indirect days after the date such registration becomes effective. ownership. Equity securities owned indirectly shall be Persons who subsequently assume any of the relation- reported on separate lines from those owned directly ships specified in Instruction 1 are required to file a and also from those owned through a different type of statement within 10 days after assuming such relation- indirect ownership. ship. Statements are not deemed to have been filed 10. Statement of amount owned. In stating the with the Board or an exchange until they have actually amount of equity securities beneficially owned, give been received by the Board or such exchange. the face amount of convertible debt securities or the 3. Where and how statements are to be filed. One number of shares of stock or other units of other secusigned copy of each statement shall be filed with the rities. In the case of equity securities owned indirectly, Board of Governors of the Federal Reserve System, the entire amount of equity securities owned by the Washington, D. C. 20551. One signed copy thereof partnership, corporation, trust, or other entity shall shall also be filed with each exchange on which any be stated. The person whose ownership is reported class of equity securities of the bank is listed. How- may, if he so desires, also indicate in a footnote or ever, if such bank has, in accordance with section other appropriate manner the extent of his interest in 206.6(a)(3) of Regulation F, designated a single ex- the partnership, corporation, trust, or other entity. change to receive statements, the statement need only 11. Inclusion of additional information. A statebe filed with the Board and the designated exchange. ment may include any additional information or explanation deemed relevant by the person filing the 4. Separate statement for each bank. A separate statement. statement shall be filed with respect to the equity 12. Signature. If the statement is filed for a corposecurities of each bank. ration, partnership, trust, etc., the name of the organi- 5. Relationship of reporting person to bank. Indization shall appear over the signature of the officer or cate clearly the relationship of the reporting person to other person authorized to sign the statement. If the the bank; for example, "Director", "Director and Vice statement is filed for an individual, it shall be signed President", "Beneficial owner of more than 10 per cent by him or specifically on his behalf by a person auof the bank's common stock", etc. thorized to sign for him. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

74 FEDERAL RESERVE BULLETIN • JANUARY 1965 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM FORM F-8 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES (Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934) (Name of bank) (Name of person whose ownership is reported) (Business address of such person) Relationship of such person to the bank. (See Instruction 5) Statement for calendar month of_ _, 19. CHANGES DURING MONTH, AND MONTH-END OWNERSHIP (See Instruction 6) Amount Amount Amount Date of bought, sold, or owned trans- Nature of or otherwise otherwise at end of Title of equity security action ownership acquired disposed of month (see Instruction 7) (see (see Instruc- Instruc- tion 10) tion 8) (see Instruction 9) Remarks: (See Instructions 11 and 12) Date of statement. Signature Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 75 INSTRUCTIONS 1. Persons required to file statements. A statement direct ownership to another). Beneficial ownership at on this form is required to be filed by every person the end of the month of all classes of equity securities who at any time during any calendar month was (i) of the bank shall be shown even though there has directly or indirectly the beneficial owner of more than been no reportable change during the month in the 10 per cent of any class of equity securities of a bank ownership of equity securities of a particular class. registered pursuant to section 12 of the Securities 7. Title of equity security. The statement of the Exchange Act of 1934 (the Act), or (ii) a director or title of an equity security should clearly distinguish it officer of the bank which is the issuer of such securi- from any securities of other classes issued by the bank. ties, and who during such month had any change in 8. Date of transaction. The exact date (month, day, the nature or amount of his beneficial ownership of and year) of each transaction shall be stated opposite any class of equity securities of such bank. The term the amount involved in the transaction. "officer" means a Chairman of the Board of Directors, 9. Statement of amounts of equity securities. In Vice Chairman of the Board, Chairman of the Execustating the amount of equity securities acquired, distive Committee, President, Vice President (except as posed of, or beneficially owned, give the face amount indicated in the next sentence), Cashier, Treasurer, of convertible debt securities or the number of shares Secretary, Comptroller, and any other person who of stock or other units of other securities. In the case participates in major policy-making functions of the of equity securities owned indirectly, the entire amount bank. In some banks (particularly banks with officers of equity securities involved in the transaction or bearing titles such as Executive Vice President, Senior owned by the partnership, corporation, trust, or other Vice President, or First Vice President, as well as a entity shall be stated. The person whose ownership is number of "Vice Presidents"), some or all "Vice reported may, if he so desires, also indicate in a foot- Presidents" do not participate in major policy-making note or other appropriate manner, the extent of his functions, and such persons are not officers for the interest in the transaction or holdings of the partnerpurpose of this statement. ship, corporation, trust, or other entity. 2. When statements are to be filed. Statements are 10. Nature of ownership. Under "Nature of ownerrequired to be filed on or before the 10th day after ship", state whether ownership of the equity securities the end of each calendar month in which any change is "direct" or "indirect". If the ownership is indirect, in the nature or amount of beneficial ownership has i.e., through a partnership, corporation, trust, or other occurred. Statements are not deemed to have been entity, indicate in a footnote or other appropriate filed with the Board or an exchange until they have manner, the name or identity of the medium through actually been received by the Board or such exchange. which the securities are indirectly owned. The fact 3. Where statements are to be filed. One signed copy that equity securities are held in the name of a broker of each statement shall be filed with the Board of or other nominee does not, of itself, constitute indirect Governors of the Federal Reserve System, Washingownership. Equity securities owned indirectly shall be ton, D. C. 20551. One signed copy thereof shall also reported on separate lines from those owned directly be filed with each exchange on which any class of and also from those owned through a different type of equity securities of the bank is listed. However, if indirect ownership. such bank has, in accordance with section 206.6(a) (3) of Regulation F, designated a single exchange to 11. Character of transaction. If the transaction in receive statements, the statement need only be filed equity securities was with the bank, so state. If it with the Board and the designated exchange. involved the purchase of equity securities through the 4. Separate statement for each bank. A separate exercise of warrants or options, so state, give the statement shall be filed with respect to the equity termination date of the option or warrant, and give securities of each bank. the exercise price per share. If any other purchase or 5. Relationship of reporting person to bank. Indi- sale was effected otherwise than in the open market, cate clearly the relationship of the reporting person to that fact shall be indicated. If the transaction was not the bank; for example, "Director", "Director and Vice a purchase or sale, indicate its character; for example, President", "Beneficial owner of more than 10 per cent gift or stock dividend, stock split, or other type of pro of the bank's common stock", etc. rata distribution, etc., as the case may be. The fore- 6. Transactions and holdings to be reported. Per- going information may be appropriately set forth in sons required to file statements on this form shall the table or under "Remarks" below the table. include in their statements all changes during the cal- 12. Inclusion of additional information. A stateendar month in their beneficial ownership, and their ment may include any additional information or beneficial ownership at the end of the month, of all explanation deemed relevant by the person filing the classes of equity securities of the bank, even though statement. one or more of such classes may not be registered 13. Signature. If the statement is filed for a corpopursuant to section 12 of the Act. ration, partnership, trust, etc., the name of the organi- Every change in beneficial ownership shall be re- zation shall appear over the signature of the officer or ported even though purchases and sales during the other person authorized to sign the statment. If the month are equal or the change involves only the statement is filed for an individual, it shall be signed nature of beneficial ownership (for example, from by him or specifically on his behalf by a person audirect to indirect ownership or from one type of in- thorized to sign for him. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

76 FEDERAL RESERVE BULLETIN • JANUARY 1965 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM FORM F-9: FINANCIAL STATEMENTS A. BALANCE SHEET (Form F-9A) B. STATEMENT OF INCOME (Form F-9B) C. STATEMENT OF CHANGES IN CAPITAL ACCOUNTS (Form F-9C) D. SCHEDULES (Form F-9D) GENERAL INSTRUCTIONS expenses shall be recognized during the period earned or incurred regardless of the time re- 1. Preparation of forms. The forms for ficeived or paid, with certain exceptions: (a) nancial statements are not to be used as blank income on securities in the trading account and forms to be filled in but only as guides in the (b) where the results would be only insignifipreparation of financial statements. The recantly different on a cash basis, or where quirements with respect to the filing of balance accrual is not feasible. For those banks that did sheets and statements of income are contained not maintain their books on the basis of accrual in the instructions as to certain other forms required by this Part. Particular attention accounting for the fiscal year ending December should be given to the general requirements as 31, 1964, financial statements filed under this to financial statements in section 206.7 of this Part for such fiscal year and all prior years may Part, including paragraphs (e) and (f) thereof, be prepared on the cash basis of accounting. which prescribe when statements of changes in All financial statements for fiscal years ending capital accounts and schedules will be filed. Al- after December 31, 1964, shall be prepared on though inapplicable items specified in the forms the basis of accrual accounting. Statements with for financial statements should be omitted, the respect to the first fiscal year that a bank redetailed instructions that relate to applicable ports on the accrual basis shall indicate clearly, items shall be followed. by footnote or otherwise, the beginning-of-year 2. Accrual accounting. Financial statements adjustments that were necessary and their effect shall generally be prepared on the basis of ac- on prior financial statements filed under this crual accounting whereby all revenues and all Part. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 77 A. BALANCE SHEET ASSETS LIABILITIES 11. Deposits: (a) Demand deposits in domestic offices 1. Cash and due from banks. . . (b) Savings deposits in domestic offices. (c) Time deposits in domestic offices... 2. Investment securities: (d) Deposits in foreign offices (a) U.S. Government obligations... 12. Mortgages payable (b) Obligations of States and 13. Other liabilities for borrowed money political subdivisions 14. Bank's acceptances outstanding (c) Other securities 15. Accrued taxes and other expenses 16. Dividends payable 3. Trading account securities—Net 17. Other liabilities 18. Total liabilities 4. Loans (Less Allowance of $ for possible loan losses) 19. Minority interests in consolidated subsidiaries. 5. Bank premises and equipment.... CAPITAL ACCOUNTS 20. Capital notes and debentures 6. Other real estate owned 21. Equity capital: (a) Capital stock: Preferred stock.... 7. Investments in subsidiaries not consolidated... Common stock.... (b) Surplus (c) Undivided profits 8. Customers' acceptance liability... (d) Reserve for contingencies and other capital reserves 9. Other assets. . . 22. Total capital accounts 10. Total assets 23. Total liabilities and capital ASSETS and warrants drawn on the Treasurer of the 1. Cash and due from banks, (a) State the United States that are in process of collection; total of (1) currency and coin (A) owned and and (3) such other items in process of collecheld in the bank's vaults and (B) in transit to tion, including redeemed United States savings or from a Federal Reserve Bank; (2) the bank's bonds, payable immediately upon presentation total reserve balance with the Federal Reserve in the United States, as are customarily cleared Bank as shown by the bank's books; (3) de- or collected by banks as cash items. mand and time balances with other banks; and (e) Checks drawn on a bank other than the (4) cash items in process of collection. reporting bank that have been deposited in the (b) All reciprocal balances shall be reported reporting bank (or offices or branches of such net. bank) and have been forwarded for collection to (c) Do not include unavailable balances with other offices or branches of the reporting bank closed or liquidating banks. Such balances are cash items in the process of collection. should be reported in "other assets". (f) Do not include commodity or bill-of- (d) Cash items in process of collection in- lading drafts payable upon arrival of goods clude: (1) checks in process of collection drawn against which drawn, whether or not deposit on another bank, private bank, or any other credit therefor has been given to a customer. If banking institution that are payable immedi- deposit credit has been given, such drafts should ately upon presentation (including checks with be reported as "loans"; but if the drafts were a Federal Reserve Bank in process of collection received by the reporting bank on a collection and checks on hand that will be presented for basis they should not be included in the reportpayment or forwarded for collection on the ing bank's statement until such time as the following business day); (2) Government checks funds have been actually collected. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

78 FEDERAL RESERVE BULLETIN • JANUARY 1965 (g) Do not include unposted debits. Such institutions if the purpose of the transactions debits should be deducted from the appropriate is to resell identical or similar securities. deposit liability caption. 3. Trading account securities—Net. State 2. Investment securities, (a) State separately the aggregate net value, at the lower of cost or book value of (1) U.S. Government obligations market at the balance sheet date, of securities of (direct and guaranteed); (2) Obligations of all types carried by the bank in a dealer trading States and political subdivisions; and (3) Other account (or accounts) that are held principally securities owned by the bank, including securi- for resale to customers. ties pledged, loaned, or sold under repurchase 4. Loans, (a) State the aggregate face value agreements and similar arrangements. of all loans including (1) paper and securities (b) Book value with respect to those securi- acquired under resale agreements and similar ties reported in categories (1) and (2) of para- transactions; (2) acceptances of other banks and graph (a) shall be cost adjusted for amortization commercial paper purchased in the open marof premium and, at the option of the bank, for ket; (3) acceptances executed by or for the accretion of discount. If the reporting bank does account of the reporting bank and subsequently not accrete discount, the amount that could have acquired by it through purchase or discount; been accreted shall be set forth in a footnote. (4) customers' liability to the reporting bank on (c) Include in category (2) of paragraph (a) drafts paid under letters of credit for which the obligations of the States of the United States and bank has not been reimbursed; (5) "cotton overtheir political subdivisions, agencies, and in- drafts" or "advances", and commodity or billstrumentalities; also obligations of territorial of-lading drafts payable upon arrival of goods and insular possessions of the United States. Do against which drawn, for which the reporting not include obligations of foreign states. bank has given deposit credit to customers; and (d) Any allowance that (1) represents man- (6) Federal funds sold. agement's judgment as to possible loss or value (b) Include (1) paper rediscounted with the depreciation in investment securities and (2) Federal Reserve or other banks; (2) paper sold has been established through an appropriate under repurchase agreement; and (3) paper charge against income shall be stated in a man- pledged as collateral to secure bills payable, as ner so that the balance sheet reflects the book marginal collateral to secure bills rediscounted, value of the securities to which the allowance or for any other purpose. relates, the amount of the allowance, and the (c) Do not include contracts of sale or other net carrying value of such securities. Any pro- loans indirectly representing bank premises or vision for possible security losses that the bank other real estate; these should be included in establishes as a precautionary measure only "bank premises" or "other real estate". (such as to reflect normal fluctuations in market (d) Do not deduct bona fide deposits acvalue of readily marketable securities) shall not cumulated by borrowers for the payment of be included in this allowance but shall be re- loans. ported as a contingency reserve—that is, as a (e) Allowance for possible loan losses shall segregation of undivided profits. be stated parenthetically. Include in this allow- (e) Do not include borrowed securities, or ance only (1) any provision that the bank makes securities purchased under resale agreements for possible loan losses pursuant to the Treasury or similar arrangements. All securities pur- tax formula and (2) any amount in excess of the chased under transactions of this type are to be provision taken under such formula that (A) reported as "loans" regardless of (1) whether represents management's judgment as to possithey are called simultaneous purchases and ble loss or value depreciation and (B) has been sales, buybacks, turnarounds, overnight trans- established through a charge against income. actions, delayed deliveries, etc., and (2) whether Any provision for possible loan losses that the the transactions are with the same or different bank establishes as a precautionary measure Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 79 that is in excess of the amount taken pursuant through default of a loan, aggregate cost shall to the Treasury tax formula shall not be in- include the unpaid balance on the defaulted cluded in this allowance but shall be reported loan plus the bank's out-of-pocket costs in acas a contingency reserve—that is, as a segrega- quiring clear title to the property. Any adjusttion of undivided profits. ments from aggregate cost shall be explained in 5. Bank premises and equipment, (a) State a footnote. the aggregate cost of (1) bank premises owned, (c) The aggregate market value of all real (2) leasehold improvements, and (3) equipment estate owned by the bank that is not a part of less any accumulated depreciation or amortiza- bank premises shall be set forth in a footnote, tion with respect to such assets. together with an explanation of the method of (b) All fixed assets acquired subsequent to determining such market value. December 31, 1959, shall be stated at cost less 7. Investments in subsidiaries not consoliaccumulated depreciation or amortization. dated. State the agregate investment, including (c) All fixed assets acquired prior to January advances, in subsidiaries not consolidated. 1, 1960, that are not presently accounted for 8. Customers' acceptance liability, (a) State by the bank on the basis of cost less accumu- the liability to the reporting bank of its customlated depreciation or amortization, may be ers on drafts and bills of exchange that have stated at book value. Any such assets that are been accepted by the reporting bank or by other still in use and would not have been fully de- banks for its account and that are outstanding— preciated on a straight-line method of account- that is, not held by the bank, on the reporting ing for depreciation if the bank had recorded date. (If held by the reporting bank, they should depreciation on such basis shall be described be reported as "loans".) briefly in a footnote, together with an explana- (b) In case a customer anticipates his liabiltion of the accounting that was used with respect ity to the bank on outstanding acceptances by to such assets. paying the bank either the full amount of his (d) The term "leasehold improvements" liability or any part thereof in advance of the comprehends two types of situations: (1) where actual maturity of the acceptance, the bank the bank erects a building on leased property; should decrease the amount of the customer's and (2) where a bank occupies leased quarters liability on outstanding acceptances. If such or uses leased parking lots and appropriately funds are not received for immediate applicacapitalizes disbursements for vaults, fixed ma- tion to the reduction of the indebtedness to the chinery and equipment directly related to such bank or the receipt thereof does not immediately leased quarters, or resurfacing or other improvereduce or extinguish the indebtedness, then ments directly related to such parking lots that such funds held to meet acceptances must be will become an integral part of the property and reported in "demand deposits". will revert to the lessor on expiration of the (c) Do not include customer's liability on lease. unused commercial and travelers' letters of (e) Bank premises includes vaults, fixed macredit issued under guaranty or against the dechinery and equipment, parking lots owned posit of security—that is, not issued for money adjoining or not adjoining the bank premises or its equivalent. that are used by customers or employees, and potential building sites. 9. Other assets. State separately, if material, (f) Equipment includes all movable furniture (1) income earned but not collected; (2) prepaid and fixtures of the bank. expenses; (3) property acquired for the purpose 6. Other real estate owned, (a) State the of direct lease financing; and (4) any other asset aggregate cost of all real estate owned by the not included in the preceding items. bank that is not a part of bank premises. 10. Total assets. State the sum of all asset (b) With respect to real estate acquired items. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

80 FEDERAL RESERVE BULLETIN • JANUARY 1965 LIABILITIES have been reflected in deposit accounts on the general ledger, although they have not been 11. Deposits, (a) State separately (1) demand debited to individual deposit accounts. Where deposits in domestic offices of the bank less by statute or written agreement items payable unposted debits, (2) savings deposits in domestic at or through the reporting bank may at the offices of the bank less unposted debits, (3) time discretion of the reporting bank be immediately deposits in domestic offices of the bank less uncharged against the deposits of the drawer, posted debits, and (4) deposits in foreign offices. such items shall be regarded as drawn on the (b) The term "demand deposit" means a reporting bank and reported as unposted debits deposit that is not a time deposit or a saving when they have been paid or credited but have deposit. not been charged against deposit liabilities at (c) The term "savings deposit" means a dethe close of the reporting period. posit (1) to the credit of (i) one or more in- (f) All reciprocal balances shall be reported dividuals, or (ii) a corporation, association, or net. other organization, no part of the net earnings (g) Include outstanding drafts (including of which inures to the benefit of any private advices or authorizations to charge the bank's shareholder or individual, or (iii) a trustee in balance in another bank) drawn in the regular bankruptcy, or (iv) any person, if the entire course of business by the reporting bank on beneficial interest in the deposit is vested in one other banks. or more individuals or such corporation, asso- (h) Do not include trust funds held in the ciation, or other organization; and (2)(i) with bank's own trust department that the bank keeps respect to which the depositor is required, or segregated and apart from its general assets and may at any time be required, by the bank to does not use in the conduct of its business. give not less than 30 days' written notice of an 12. Mortgages payable, (a) State separately intended withdrawal and (ii) which is otherwise here, or in a note referred to herein, such innot payable on a specified date or at the exformation as will indicate (1) the general characpiration of a specified period of time after the ter of the debt including the rate of interest; (2) date of deposit. the date of maturity; (3) if the payment of prin- (d) The term "time deposit" means a decipal or interest is contingent, an appropriate posit, other than a "savings deposit", which is indication of such contingency; and (4) a brief evidenced by a negotiable or nonnegotiable indication of priority. certificate or other written agreement and which (b) If there are any liens on bank premises or provides for payment of the deposit or any part other real estate owned by the bank which have thereof to, or to the order of, a specified person or persons, or to the bearer, either (1) on a not been assumed by the bank, report in a footspecified date not less than 30 days after the note the amount thereof together with an apdate of deposit, or (2) at the expiration of a propriate explanation. specified period of time not less than 30 days 13. Other liabilities for borrowed money. after the date of the deposit, or (3) after written (a) State the aggregate amount borrowed by the notice that is required by the deposit contract reporting bank on its own promissory notes, on to be given not less than 30 days before the notes and bills rediscounted (including comdate of payment. modity drafts rediscounted and notes, bills, and (e) The term "unposted debit" means a cash securities sold with an agreement to repurchase), item in the bank's possession drawn on itself or on any other instruments given for the purthat has been paid or credited and is chargeable pose of borrowing money, and Federal funds against, but has not been charged against, de- purchased. posit liabilities at the close of the reporting (b) All securities sold under repurchase period. This term does not include items that transactions are to be reported as borrowings, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

81 LAW DEPARTMENT regardless of (1) whether they are called simul- ter of each type of debt including the rate of taneous purchases and sales, buybacks, turn- interest; (b) the date of maturity (or dates if arounds, overnight transactions, delayed maturing serially) and call provisions; (c) the deliveries, etc., and (2) whether the transactions aggregate amount of maturities, and sinking are with the same or different institutions if fund requirements, each year for the 5 years the purpose of the transactions is to repurchase following the date of the balance sheet; (d) if identical or similar securities. the payment of principal or interest is contin- 14. Bank's acceptances outstanding, (a) State gent, an appropriate indication of the nature of the aggregate of unmatured drafts and bills of the contingency; (e) a brief indication of priority; and (f) if convertible, the basis. exchange accepted by the reporting bank, or by some other bank as agent for the reporting bank 21. Equity capital. (other than those reported in "demand de- (a) Capital stock. State for each class of posits"), less the amount of such acceptances shares the title of issue, the number of shares acquired by the reporting bank through dis- authorized, the number of shares outstanding count or purchase and held on the reporting and the capital share liability thereof, and, if convertible, the basis of conversion. Show also date. the dollar amount, if any, of capital shares sub- (b) Include bills of exchange accepted by the scribed but unissued, and of subscriptions rereporting bank that were drawn by banks or ceivable thereon. bankers in foreign countries, or in dependencies (b) Surplus. State the net amount formally or insular possessions of the United States, for transferred to the surplus account on or before the purpose of creating dollar exchange as rethe reporting date. quired by usage of trade in the respective coun- (c) Undivided profits. State the amount of tries, dependencies, or insular possessions. undivided profits shown by the bank's books. 15. Accrued taxes and other expenses. State (d) Reserve for contingencies and other separately, if material, (a) accrued payrolls; capital reserves. (b) accrued tax liability (Federal and State (1) State separately each such reserve combined); (c) accrued interest; and (d) any and its purpose. other accrued expenses. (2) These reserves constitute amounts 16. Dividends payable. State the aggregate set aside for possible decrease in the book value amount of cash dividends that have been deof assets, or for other unforeseen or indeterclared but not paid. minable liabilities not otherwise reflected on the 17. Other liabilities. State separately, if bank's books and not covered by insurance. material, (1) unearned income and (2) any other (3) As these reserves represent a segreliability not included in Items 11 through 16. gation of undivided profits, do not include any 18. Total liabilities. State the sum of Items element of known losses, or losses the amount 11 through 17. of which can be estimated with reasonable 19. Minority interests in consolidated sub- accuracy. sidiaries. State the aggregate amount of minority (4) Reserves for possible security losses, stockholders' interests in capital stock, surplus, reserves for possible loan losses, and other conand undivided profits of consolidated sub- tingency reserves that are established as precautionary measures only shall be included in sidiaries. these reserves, as they represent segregations of CAPITAL ACCOUNTS "undivided profits". 20. Capital notes and debentures. State 22. Total capital accounts. State the total of separately here, or in a note referred to herein, Items 20 and 21. each issue or type of obligation and such infor- 23. Total liabilities and capital. State the mation as will indicate (a) the general charac- total of Items 18, 19, and 22. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

82 FEDERAL RESERVE BULLETIN • JANUARY 1965 B. STATEMENT OF INCOME 1. Operating revenue: (a) Interest and other fees on loans (b) Interest and dividends on: (1) U. S. Government obligations (2) Obligations of States and political subdivisions (3) Other securities (c) Trading account income (d) Trust department income (e) Service charges on deposit accounts (f) Other operating revenue (g) Total operating revenue. 2. Operating expenses (a) Salaries (b) Bonuses and profit sharing (c) Pension, social security, and other employee benefits. (d) Interest on deposits (e) Interest on borrowed money (f) Interest on capital notes and debentures (g) Net occupancy expense of bank premises (h) Equipment expenses (including depreciation of $ ; (i) Other operating expenses (j) Total operating expenses 3. Operating earnings before income taxes 4. Income taxes applicable to operating earnings. 5. NET OPERATING EARNINGS Gross Less taxes 6. Nonoperating additions: (a) Net security profits ~ (b) Transfers from Allowance for Possible Loan Losses (c) Loan recoveries (Not credited to Allowance for Possible Loan Losses). (d) All other (e) Total nonoperating additions . . . Less tax Gross reduction 7. Nonoperating deductions: (a) Net security losses (b) Transfers to Allowance for Possible Loan Losses (c) Loan charge-offs (Not charged to Allowance for Possible Loan Losses). (d) All other (e) Total nonoperating deductions 8. Net nonoperating additions (deductions) 9. Transferred to undivided profits 1. Operating revenue. State separately: Federal funds sold to banks, etc. Also include (a) Interest and other fees on loans. interest and discount on such paper that has (1) Include interest, discount, and other been rediscounted with Federal Reserve or fees on all assets that are reported on the bal- other banks, sold under repurchase agreements, ance sheet as loans. or pledged as collateral to secure bills payable (2) Include interest and discount on ac- or for any other purpose. ceptances, commercial paper purchased in the (3) Include service charges and other fees open market, day loans, drafts for which the on loans. bank has given deposit credit to customers, (4) Include profits (or losses) resulting Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 83 from the sale of acceptances and commercial (2) This item may be reported on the cash paper at discount rates other than those at basis in those instances where the presentation which such paper was purchased. of the item on the financial statements would (5) Include interest received on loans di- not be materially affected thereby. The cash rectly guaranteed and redeemable by the Com- basis may also be used with respect to an indimodity Credit Corporation and on certificates vidual trust or estate if accrual of income thereof interest representing ownership thereof, but from is not feasible. If any portion of trust dedo not include any portion that must be re- partment income is not reported on the accrual mitted to the Corporation. basis, there shall be a footnote explaining the (6) Current amortization of premiums on method of reporting and the reason for departmortgages or other loans shall be deducted ing from reporting on the accrual basis. from interest on loans and current accumula- (e) Service charges on deposit accounts. Intion of discount on such items shall be added clude amounts charged depositors that fail to to interest on loans. maintain specified minimum deposit balances; (b) Interest and dividends on securities. charges based on the number of checks drawn (1) State separately revenue from (A) on and deposits made in deposit accounts; U.S. Government obligations (direct and guar- charges for account maintenance and for checks anteed), (B) Obligations of States and political drawn on "no minimum balance" deposit acsubdivisions, and (C) Other securities owned by counts; return check charges; etc. the bank, including securities pledged, loaned, (f) Other operating revenue. or sold under repurchase agreements and simi- (1) Include all operating income not relar arrangements. ported in Items l(a) through l(e). (2) Include accretion of discount on secu- (2) Include other service charges, comrities; deduct amortization of premiums on missions, fees, collection and exchange charges securities. If the reporting bank does not accrete (except on loans and deposits and those related discount, the amount that could have been ac- to the Trust Department); income on lease ficreted shall be set forth in a footnote. nancing; gross rentals from "Other real estate" (3) When securities are purchased, any and safe deposit boxes; net remittable profits payment for accrued interest shall not be (or losses) of foreign branches and consolidated charged to expenses, nor when collected be subsidiaries less minority interests (unless the credited to earnings. Such interest shall be bank consolidates each item of revenue and charged to a separate account that will be cred- expense); interest on time balances with other ited upon collection of the next interest pay- banks; net profit (or loss) resulting from foreign ment. The balance in the account shall be exchange trading; etc. shown as "Other assets" in the balance sheet. (3) Do not include reimbursements for (c) Trading account income. Report the net out-of-pocket expenditures made for the acprofits (or losses) from securities carried by the count of customers. If expense accounts were bank in a dealer trading account (or accounts) charged with the amount of such expenditures, that are held principally for resale to customers. the reimbursements should be credited to the Include any incidental revenue or expenses resame expense accounts. lated to the purchase and sale of such securi- (4) Do not include rentals from bank ties, but exclude salaries, commissions, and premises. In the event there is a net occupancy other expenses. income, the amount shall be shown in paren- (d) Trust department income. (1) Include income from commissions thesis in Item 2(g). and fees for services performed by the bank in (5) Itemize all amounts that represent 25 any authorized fiduciary capacity. per cent or more of this item. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

84 FEDERAL RESERVE BULLETIN • JANUARY 1965 (g) Total operating revenue. State the sum bank; and other material employee benefits. of Items l(a) through l(f). (3) Do not include expenses related to 2. Operating expenses. State separately: testing, training, or education of officers and (a) Salaries. employees; the cost of bank newspapers and (1) Include compensation for personal magazines; premiums on insurance policies services of all officers and employees, including where the bank is beneficiary; and athletic acdining room and cafeteria employees but not tivities where the principal purpose is for pubbuilding department employees. licity or public relations and employee benefits (2) Include amounts withheld from sala- are only incidental. Such amounts shall be inries for Social Security taxes and contributions cluded in Item 2(i). to the bank's pension fund. Do not include (d) Interest on deposits. Include interest on Social Security taxes paid by the bank for its all deposits. own account and the bank's contribution to (e) Interest on borrowed money. pension funds. Such amounts shall be included (1) Include all interest and discount on in Item 2(c). bills payable, rediscounts, securities sold under (3) Do not include bonuses and profit repurchase agreements, unsecured notes paysharing whether paid in cash or deferred or able, and other instruments issued for the purwhether paid directly or through a trustee. pose of borrowing money, including the cost of Such amounts shall be reported in Item 2(b). Federal funds purchased from other banks. (4) Do not include compensation of offi- (2) Do not include interest on mortgages cers and employees who spent the major por- on bank premises. Such interest shall be intion of their working time on bank building cluded in Item 2(g). and related functions. Such compensation shall (f) Interest on capital notes and debentures. be included in Item 2(g). (1) Include all interest on capital notes (5) Do not include amounts paid to legal, and debentures. management, and investment counsel for pro- (2) Amortization of premium or discount fessional services if such counsel are not sala- shall be deducted from or included in the ried officers or employees of the bank. Such amount reported. amounts shall be included in Item 2(i). (3) Do not include premium or discount (b) Bonuses and profit sharing. paid or realized on retirement of such securi- (1) Include supplementary compensation ties. Such amounts shall be reported in Item of all officers and employees, except building 7(d) or 6(d). department personnel. (g) Net occupancy expense of bank premises. (2) Include amounts paid in cash and Include the net expense (or net income) of bank deferred amounts, whether paid directly or in- premises as shown in Schedule VIII. If a net directly such as through a trustee. income, the figure shall be shown in parenthesis. (c) Pension, social security, and other em- (h) Equipment expenses. ployee benefits. (1) Include normal and recurring depreci- (1) Include all accrued benefits, other ation charges; rental costs of office machines than compensation included in Items 2(a) and and tabulating and data processing equipment; 2(b), on behalf of all officers and employees, and ordinary repairs to furniture and office except building department personnel. machines, including servicing costs. The amount (2) Include the bank's own contribution applicable to depreciation charges shall be to its pension fund; unemployment and Social shown in parenthesis. Security taxes for the bank's own account; life (2) Include taxes on equipment. insurance premiums (net of dividends received) (3) Income from rents received on equipand hospitalization insurance payable by the ment shall be netted against this item. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 85 (i) Other operating expenses. (2) the applicable income taxes, and (3) the (1) Include all operating expenses not re- net amount. ported in Items 2(a) through 2(h). (c) The term "Allowance for Possible Loan (2) Include advertising, business promo- Losses" refers to the account established purtion, contributions, cost of examinations by suant to the Treasury tax formula and any supervisory authorities, deposit insurance as- additional amount that represents managesessment, fees paid to directors and members of ment's judgment as to possible loss or value committees, memberships, net cash shortages depreciation. or overages, operating expenses (except sala- (d) Profits and losses on sales of securities ries) of "Other real estate owned", postage, shall be netted against each other and, if the premium on fidelity insurance, publicity, re- net result for the reporting period is a profit, tainer fees, stationery and office supplies, sub- such amount should be reported in Item 6(a). scriptions, taxes not reported against other (e) Do not include in "Loan recoveries" items, telegrams and cables, telephone, tempo- recoveries on loans previously charged off to rary agency help, travel, unreimbursed losses Allowance for Possible Loan Losses that should on counterfeits, forgeries, payments over stops, be credited directly to such allowance. etc. (f) Include in the item of "All other non- (3) Deposit insurance assessment expense operating additions" the recoveries of amounts shall be reported as a net figure—that is, all previously reported as charge-offs on securities, assessment credits during the period shall be net profits on real estate sold, discount realized applied against the assessment expense. on retirement of bank's own capital notes and (4) Itemize all amounts that represent 25 debentures, and other income of a nonoperating per cent or more of this item. nature. Itemize the recoveries of amounts pre- (j) Total operating expenses. State the sum viously reported as charge-offs on securities and of Items 2(a) through 2(i). any other amount that represents 25 per cent 3. Operating earnings before income taxes. or more of the total of this item. State the difference of Item l(g) minus Item 7. Nonoperating deductions. 20. (a) State separately (1) Net security losses; 4. Income taxes applicable to operating (2) Transfers to Allowance for Possible Loan earnings. Losses; (3) Loan charge-offs (not charged to (a) State the aggregate of Federal and State Allowance for Possible Loan Losses); (4) All taxes applicable to operating earnings. other nonoperating deductions; and (5) Total (b) Do not include taxes applicable to nonoperating additions and nonoperating deduc- nonoperating deductions. tions. Such taxes (or tax reductions) shall be (b) With respect to each category described reported in Items 6 and 7. in paragraph (a), state the (1) gross amount, 5. Net operating earnings. State the differ- (2) the applicable reduction in income taxes, ence of Item 3 minus Item 4. and (3) the net amount. 6. Nonoperating additions. (c) The term "Allowance for Possible Loan (a) State separately (1) Net security profits; Losses" refers solely to the account established (2) Transfers from Allowance for Possible Loan pursuant to the Treasury tax formula or any Losses; (3) Loan recoveries (not credited to additional amount that represents manage- Allowance for Possible Loan Losses); (4) All ment's judgment as to possible loss or value other nonoperating additions; and (5) Total depreciation . nonoperating additions. (b) With respect to each category described (d) Profit and losses on sales of securities in paragraph (a), state the (1) gross amount, shall be netted against each other and, if the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

86 FEDERAL RESERVE BULLETIN • JANUARY 1965 net result for the reporting period is a loss, such rity losses that represents management's judgamount shall be reported in Item 7(a). ment as to the possible loss or value deprecia- (e) Do not include in "Loan charge-offs" tion in the current period, and other charges of losses on loans charged off to Allowance for a nonoperating nature. Itemize the amounts of Possible Loan Losses that should be charged charge-offs on securities, any allowance for sedirectly to such allowance. curity losses, and any other amount that repre- (f) Include in the item of "All other non- sents 25 per cent or more of the total of this item. operating deductions" the charge-offs on securi- 8. Net nonoperating additions (deductions). ties, net losses on real estate sold, premium State the net of Item 6(e) minus Item 7(e). paid on retirement of the bank's own capital 9. Transferred to undivided profits. State the notes and debentures, any allowance for secu- sum of Items 5 and 8. C. STATEMENT OF CHANGES IN CAPITAL ACCOUNTS Reserve for Capital Pre- Comcontinnotes ferred mon Undigencies Increase (decrease) and stock stock Surplus vided and other deben- $ $ profits capital tures par par reserves 1. Transferred to undivided profits (from Statement of Income) 2. Capital notes and debentures, preferred stock, and common stock sold (par or face value) 3. Stock issued incident to mergers and acquisitions 4. Premium on capital stock sold 5. Additions to, or reductions in, surplus, undivided profits, and reserves incident to mergers or acquisitions J 6. Capital stock or capital notes and debentures retired or reacquired (par or face value)1 7. Premium or discount on capital stock retired or reacquired 8. Cash dividends declared on preferred stock 9. Cash dividends declared on common stock 10. Stock issued in payment of stock dividend, shares at par value 11. All other increases (decreases)1 12. Net increase (decrease) for the year 13. Balance at beginning of year2 14. Balance at end of year 1 State separately any material amounts, indicating clearly the nature of the transaction out of which the item arose. 2 If the statement is filed as part of an annual or other periodic report and the balances at the beginning of the period differ from the closing balances as filed for the previous fiscal period, state in a footnote the difference and explain. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 87 D. SCHEDULES SCHEDULE I—U.S. GOVERNMENT OBLIGATIONS AND OBLIGATIONS OF STATES AND POLITICAL SUBDIVISIONS Principal Book Type and maturity grouping Amount value! U.S. Government obligations:2 Within 1 year After 1 but within 5 years After 5 but within 10 years After 10 years Total U.S. Government obligations Obligations of States and political subdivisions:3 4 Within 1 year After 1 but within 5 years After 5 but within 10 years After 10 years Total obligations of States and political subdivisions 1 State briefly in a footnote the basis for determining the amounts in this column. 2 Include obligations guaranteed by the United States. 3 Include obligations of the States of the United States and their political subdivisions, agencies, and instrumentalities; also obligations of territorial and insular possessions of the United States. Do not include obligations of foreign states. 4 State in a footnote the aggregate (a) principal amount, (b) book value, and (c) market value of securities that are less than "investment grade." If market value is determined on any basis other than market quotations at balance sheet date, explain. SCHEDULE II—OTHER SECURITIES Type Book value1 Obligations of Federal agencies and corporations not guaranteed by the United States All other bonds, notes, and debentures2 3 Stock of Federal Reserve Bank Other stocks2 4 Totals 1 State briefly in a footnote the basis for determining the amounts shown in this column. 2 State in a footnote the aggregate amount and book value of foreign securities included. 3 State in a footnote the aggregate (a) principal amount, (b) book value, and (c) market value of bonds, notes, and debentures that are less than "investment grade". If market value is determined on any basis other than market quotations at balance sheet date, explain. 4 State in a footnote the aggregate market value. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

88 FEDERAL RESERVE BULLETIN • JANUARY 1965 SCHEDULE III—LOANS 1 Type Book value Real estate loans: Insured or guaranteed by the U.S. Government or its agencies Other Federal funds sold Other loans to financial institutions Loans for purchasing or carrying securities (secured or unsecured) Commercial and industrial loans Loans to individuals for household, family, and other consumer expenditures All other loans (including overdrafts) Total loans Deduct Allowance for Possible Loan Losses (including provision for such losses established pursuant to Treasury tax formula) Loans at amount reported in balance sheet 1 If impractical to classify foreign branch and foreign subsidiary loans in accordance with this schedule, a separate caption stating the total amount of such loans may be inserted. Such action should be explained in a footnote. SCHEDULE IV—BANK PREMISES AND EQUIPMENT Gross book Accumulated depreciation Amount at which Classification1 value2 and amortization 3 4 carried on balance sheet Bank premises (including land $_ Equipment Leasehold improvements Totals 5 1 If impractical to consolidate foreign branch and foreign subsidiary bank premises and equipment in accordance with the breakdown required by this schedule, a separate caption stating the total amount of all such property may be inserted. Such action should be explained in a footnote. 2 State briefly in a footnote the basis of determining the amounts in this column. 3 If provision for depreciation and amortization is credited in the books directly to the asset accounts, the amounts for the last fiscal year shall be stated in an explanatory footnote. 4 The nature and amount of significant additions (other than provisions for depreciation and amortization) and deductions shall be stated in an explanatory footnote. 5 Show in a footnote totals (corresponding to the first two columns) representing amounts reported for Federal income tax purposes. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 89 SCHEDULE V—INVESTMENTS IN, DIVIDEND INCOME FROM, AND SHARE IN EARNINGS OR LOSSES OF UNCONSOLIDATED SUBSIDIARIES Bank's Equity in Total proportionate Per cent underlying investment, Amount of part of Name of subsidiary of voting including net assets dividends2 earnings or stock owned at balance advances sheet date1 loss for the period Totals 1 Equity shall include advances reported in preceding column to the extent recoverable. 2 In a footnote state as to any dividends other than cash, the basis on which they have been reported as income. Also, if any such dividend received has been credited to income in an amount differing from that charged to surplus and/or undivided profits by the disbursing subsidiary, state the amount of such difference and explain. SCHEDULE VI—"OTHER" LIABILITIES FOR BORROWED MONEY Item Amount Federal funds borrowed Borrowings from Federal ReserveBank Repurchase agreements Unsecured notes payable within 1 year Unsecured notes payable after 1 year Other obligations Total Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

90 FEDERAL RESERVE BULLETIN • JANUARY 1965 SCHEDULE VII—ALLOWANCE FOR POSSIBLE LOAN LOSSES Amount set up pursuant to Other Item Treasury amount 1 tax formula Balance at beginning of period Recoveries credited to Allowance Additions due to mergers and absorptions2 Transfers to Allowance (Item 7(b) of Statement of Income) Totals Losses charged to Allowance Transfers from Allowance (Item 6(b) of Statement of Income) Balance at end of period3 1 Do not include any provision for possible loan losses that the bank establishes as a precautionary measure. Include only any provision that (1) has been established through a charge against income, (2) represents management's judgment as to possible loss or value depreciation, and (3) is in excess of the provision taken under the Treasury tax formula. 2 Describe briefly in a footnote any such addition. 3 Describe briefly in a footnote the basis used in computing the amount accumulated in the Allowance at the end of the period. State the amount that could have been deducted for Federal income tax purposes if such amount is in excess of the amount provided by the bank pursuant to the Treasury tax formula. SCHEDULE VIII—OCCUPANCY EXPENSE OF BANK PREMISES 1 Item Amount Salaries and wages2 Bonuses and profit sharing3 Pension, social security, and other employee benefits3 Depreciation of bank premises4 Amortization of leasehold improvements4 Rent expense Real estate taxes Interest on mortgages on bank premises owned Other operating expenses Total Less rental and other income Net occupancy expense 1 Report all expenses incurred in the operation and maintenance of bank premises. Include income and expenses of bank premises subsidiaries consolidated less minority interests. 2 Include salaries and wages of officers and employees who devote the major portion of their time to the operation of bank premises. 3 Include only amounts applicable to those officers and employees who devote the major portion of their time to the operation of bank premises. 4 State parenthetically amounts taken for Federal income tax purposes. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 91 Orders Under Section 3 of application be and hereby is approved, provided Bank Holding Company Act that the acquisition so approved shall not be consummated (a) within seven calendar days after the date of this Order or (b) later than three months The following Orders and Statement were issued after said date. in connection with action by the Board of Gover- Dated at Washington, D. C, this 21st day of nors on applications by a bank holding company December, 1964. for approval of the acquisition of voting shares of By order of the Board of Governors. banks: Voting for this action: Chairman Martin, and Governors Balderston, Mills, Shepardson, Mitchell, and Daane. Voting against this action: Governor Robertson. VALLEY BANCORPORATION, (Signed) MERRITT SHERMAN, APPLETON, WISCONSIN Secretary. [SEAL] In the matter of the application of Valley Bancorporation, Appleton, Wisconsin, for approval of the acquisition of voting shares of Sherwood State Bank, Sherwood, Wisconsin. VALLEY BANCORPORATION, APPLETON, WISCONSIN ORDER APPROVING APPLICATION UNDER BANK HOLDING COMPANY ACT In the matter of the application of Valley Ban- There has come before the Board of Governors, corporation, Appleton, Wisconsin, for approval of pursuant to section 3(a) (2) of the Bank Holding the acquisition of voting shares of Reedsville State Company Act of 1956 (12 U.S.C. 1842(a)(2) Bank, Reedsville, Wisconsin. and section 222.4(a) (2) of Federal Reserve Regulation Y (12 CFR 222.4(a)(2)), and application ORDER APPROVING APPLICATION UNDER by Valley Bancorporation, Appleton, Wisconsin, BANK HOLDING COMPANY ACT a registered bank holding company, for the Board's prior approval of the acquisition of 80 per cent or There has come before the Board of Governors, more of the voting shares of Sherwood State Bank, pursuant to section 3(a)(2) of the Bank Holding Sherwood, Wisconsin. Company Act of 1956 (12 U.S.C. 1842 (a) (2) As required by section 3(b) of the Act, the and section 222.4(a) (2) of Federal Reserve Regu- Board notified the Commissioner of Banks for the lation Y (12 CFR 222.4(a) (2), an application by State of Wisconsin of receipt of the application Valley Bancorporation, Appleton, Wisconsin, a and requested his views and recommendation. No registered bank holding company, for the Board's views or recommendation were submitted by the prior approval of the acquisition of 80 per cent or Commissioner. more of the voting shares of Reedsville State Notice of Receipt of Application was published Bank, Reedsville, Wisconsin. in the Federal Register on July 11, 1964 (29 F. R. As required by section 3(b) of the Act, the 9518), which provided an opportunity for the Board notified the Commissioner of Banks for filing of comments and views regarding the pro- the State of Wisconsin of receipt of the applicaposed acquisition, and the time for filing such tion and requested his views and recommendation. comments and views has expired and all comments The Commissioner advised that he would not interand views filed with the Board have been con- pose objection to approval of the application. sidered by it. Notice of Receipt of Application was published IT IS HEREBY ORDERED, for the reasons set forth in the Federal Register on August 27, 1964 (29 in the Board's Statement of this date, that the said F. R. 12057), which provided an opportunity for Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

92 FEDERAL RESERVE BULLETIN • JANUARY 1965 filing of comments and views regarding the pro- Views and Recommendations of Supervisory posed acquisition, and the time for filing such Authority. Pursuant to section 3(b) of the Act, comments and views has expired and all comments the Commissioner of Banks for the State of Wisand views filed with the Board have been consi- consin was asked for his views and recommendadered by it. tion on each of the applications. The Commis- IT IS HEREBY ORDERED, for the reasons set forth sioner submitted no views or recommendation rein the Board's Statement of this date, that the said garding the Sherwood State Bank proposal. In application be and hereby is approved, provided respect to Applicant's proposed acquisition of the that the acquisition so approved shall not be con- Reedsville State Bank, the Commissioner advised summated (a) within seven calendar days after that he would not interpose objection to Applithe date of this Order or (b) later than three cant's proposal. months after said date. Statutory factors. In respect to each of the Dated at Washington, D. C, this 21st day of applications, section 3(c) of the Act requires the December, 1964. Board to take into consideration the following By order of the Board of Governors. five factors: (1) the financial history and condition of the holding company and the banks concerned; Voting for this action: Chairman Martin, and Governors Balderston, Mills, Shepardson, Mitchell, and (2) their prospects; (3) the character of their Daane. Voting against this action: Governor Robert- management; (4) the convenience, needs, and son. welfare of the communities and area concerned; and (5) whether the effect of the proposed ac- (Signed) MERRITT SHERMAN, quisition would be to expand the size or extent of Secretary. the bank holding company system involved beyond [SEAL] limits consistent with adequate and sound banking, the public interest, and the preservation of competition in the field of banking. STATEMENT Financial history, condition, and prospects of Valley Bancorporation, Appleton, Wisconsin applicant and the banks concerned. Applicant has ("Applicant"), a registered bank holding company, a relatively recent history, having been organized has filed with the Board, pursuant to section in May 1962, and became a bank holding company 3(a) (2) of the Bank Holding Company Act of in March 1963, with the acquisition of a majority 1956 ("the Act"), two applications, one for ap- of the voting shares of the following three banks proval of the acquisition of 80 per cent or more located in Wisconsin: Appleton State Bank and of the outstanding voting shares of Sherwood Northern State Bank, both located in Appleton, a State Bank, Sherwood, Wisconsin, and one for community situated in the east-central part of the approval of the acquisition of 80 per cent or more State, about 30 miles southwest of Green Bay, and of the outstanding voting shares of Reedsville Bank of Black Creek, located about 16 miles north State Bank, Reedsville, Wisconsin. Hereinafter, of Appleton in the Village of Black Creek. Since the aforementioned banks, as well as Applicant's Applicant's investment in its subsidiary banks has present subsidiaries, are sometimes referred to in- constituted and continues to represent virtually dividually as "Bank", and in combination as its total assets, appraisal of Applicant's financial "Banks". condition and prospects must reflect a similar Inasmuch as data bearing on Applicant's appraisal in respect to the banks it presently owns financial history and condition, prospects, and and the banks it proposes to acquire. management are equally applicable to both appli- Appleton State Bank commenced operation in cations, simultaneous determination by the Board 1911. Its 53 years of operation are considered to of the two applications was considered appropriate. have been financially sound. At June 30, 1964,1 While separate Orders effecting the Board's de- Appleton State Bank held total deposits of $31 terminations accompany this Statement, the findings, conclusions, and reasoning of the Board in respect to each of the applications are combined 1 Unless otherwise indicated, banking data used in this Statement. herein are as of this date. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 93 million, an increase from $18 million at year-end total deposits amounting to $2.3 million. As in the 1956 and of $26 million at year-end 1961. The case of Sherwood State Bank, while Bank's finanevidence before the Board reflects that the Bank's cial history, condition, and prospects are considfinancial condition and prospects are reasonably ered to be reasonably satisfactory, continuation satisfactory. The financial history of Bank of of its conservative operational policies offers little Black Creek is considered to be satisfactory. Since potential for increased growth rate. The more 1903, it has served the Village of Black Creek and aggressive competitive policies likely to result the immediately surrounding agricultural area. from Applicant's ownership afford, in the Board's Bank's deposits have increased from approximately judgement, considerably better prospects for Bank. $1 million at year-end 1956 to slightly less than Management of Applicant and the Banks. Ap- $2 million. Despite Bank's lack of rapid growth licant's management is considered to be capable its capital structure appears strong, and its general and satisfactory. This conclusion, premised in condition and prospects satisfactory. Northern part upon the generally satisfactory asset condition State Bank was opened for business in January of each of Applicant's subsidiary banks, is sup- 1963, and holds total deposits of slightly more ported by evidence of the rapid and sound growth than $2.5 million. The bank's growth in deposits of Northern State Bank, the most recently opened and loans has exceeded projections made for its of Applicant's banks. first two years of operation. The prospects of this The management of Sherwood State Bank t bank are considered satisfactory. although conservative, is considered to be satisfac- In view of the financial history, condition, and tory. However, its chief executive officer, now over prospects of each of Applicant's existing subsidiary 80 years of age and the owner of more than 50 banks, Applicant's condition and prospects are per cent of Bank's outstanding voting shares, has considered to be reasonably satisfactory. made known his intention to sell his interest in Sherwood State Bank. Sherwood State Bank Bank and retire. While management succession (total deposits $2.5 million) opened for business does not apparently constitute a critical problem in 1914 in the Village of Sherwood, approximately for Bank, no provision has been made for execu- 13 miles southeast of Appleton. It has had only tive management succession. Nor may it be lightly a moderate growth rate, due principally to the fact assumed that competent operating management that Calumet County, in which Bank is located, can be acquired for a bank with $2 million in has no large cities or industries and little growth total deposits in a community as small as Sherpotential. Bank's asset position is considered sound wood. Even assuming the availability of competent and its general financial condition reasonably management, it cannot be further assumed that satisfactory. Despite Bank's limited growth poten- such executive replacement would assure the type tial, its prospects appear fairly satisfactory. In the of management that Applicant's ownership and Board's judgement, Applicant's ownership and control appear to offer. Inasmuch as infusion of operation of Bank would offer more aggresive, more aggressive management into Bank appears experienced management, resulting in asset invest- to have direct bearing upon both Bank's prospects ments that would better Bank's prospects and, as for an improved earnings position and its potential hearafter discussed, in loan policies calculated to for developing a loan program geared to handling serve better the particular needs of Bank's service demands for larger lines of credit such, for exarea. ample, as those associated with the large farm Reedsville State Bank. In nearly all respects, co-operatives in Bank's primary service area, the the Board's foregoing findings and conclusions re- likelihood that Applicant would accomplish these garding the financial history, condition, and pros- results through its ownership and operation of pects of Sherwood State Bank are applicable also Bank constitutes a consideration favorable to apto the Reedsville State Bank. Bank, located in the proval of the application. Village of Reedsville in western Manitowoc Reedsville State Bank's management, like that County, approximately 27 miles southeast of Ap- of Sherwood State Bank, is viewed as satisfactory, pleton, has offered general banking services to an albeit conservative. Although Applicant's chairman essentially agricultural community since 1906. of the board and its president hold, respectively, Bank's rate of growth has been moderate, its the same positions with Bank, it is apparent that Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

94 FEDERAL RESERVE BULLETIN • JANUARY 1965 Bank's conservative operating policies reflect in farm loan demands too large for the Banks to large measure the influence exercised by Bank's handle alone; the assistance Applicant can lend in vice president and cashier, who is also a principal respect to commercial and installment loan requirestockholder in Bank. Considerations paralleling ments of the respective Banks; the rendition of those discussed above in respect to Sherwood State corporate fiduciary and investment guidance serv- Bank's management situation exist as to Reedsville ices; and the institution of internal audit procedures State Bank. Its vice president and cashier has an- in each of the Banks. nounced his intention to retire in the immediate In neither application before the Board does future. While the aforementioned individuals who Applicant establish an unserved need for either the serve as chairman and president of both Applicant banking services it asserts will be made available and Bank could effectively act in securing replace- by Applicant, or for any other major banking ment management for Bank, the receptiveness of service normally required by customers in areas any prospective replacements would appear sub- the size and nature involved in these applications. stantially more assured where the position is prof- Should such needs arise, it appears to the Board fered by Applicant as Bank's owner rather than by that Appleton is sufficiently near the service area officers and minority shareholders of Bank. of each Bank as to constitute a reasonably con- In sum, the foregoing findings and conclusions venient source of most such services. A significant relating to the management factor weigh some- exception to this conclusion relates to Applicant's what toward approval of the pending applications. proposal regarding assistance in respect to large Convenience, needs, and welfare of the com- farm credit demands arising in the communities munities and areas concerned. Sherwood State served by the Banks. The increase in the number of Bank is located in the Village of Sherwood, Calu- fairly large credit requests associated with conmet County, in the heart of an agricultural area. solidations of smaller farms into larger co-opera- Bank's primary service area 2 comprises the Village tive units requires experienced judgment which of Sherwood, with a population of about 400, and Applicant's officers appear particularly qualified the area surrounding the village within a radius of to render. The assurance of qualified advice and two to four miles. The primary service area has an related assistance in this field that is offered by estimated population of about 2,000, has no major Applicant's ownership of Sherwood State Bank and industries located therein, and contains no other Reedsville State Bank constitutes a consideration banking offices. supporting approval of the applications. Not only Reedsville State Bank is located in the Village would such service result in a more assured and of Reedsville, in Manitowoc County, also an agri- immediate source of large farm credit in both cultural area. Reedsville State Bank's primary serv- Banks, but it would likely act as a stimulus in ice area3 comprises the Village of Reedsville and developing in the Banks a more aggressive type of the surrounding area within a radius of about four operation resulting in benefit to the communities miles. The population of Reedsville is about 830 served. and that of Bank's primary service area about Effect of proposed acquisition on adequate and 2,600. As in the case of the Sherwood State Bank, sound banking, public interest, and banking com- Reedsville State Bank's primary service area has petition. At present, Applicant's system is comno industrial concerns and has no other bank prised of three banks, all located in or relatively located therein. near Appleton, in Outagamie County, with com- In support of each application, Applicant has bined total deposits of $35.5 million. Applicant is, asserted virtually identical resulting benefits and and with acquisition of both Sherwood State Bank advantages. In the main, these benefits are asserted and Reedsville State Bank would continue to be, to be the assistance that Applicant's farm loan the smallest of five bank holding companies headofficers can give to each of the Banks in respect to quartered in the State of Wisconsin. Applicant's banks are the only bank holding company sub- 2 The area from which Applicant estimates 83 per sidiaries located in Outagamie County, although cent of the Bank's deposits of individuals, partnerships, National Manufacturers Bank of Neenah (a suband corporations ("IPC deposits") originate. 3 The area from which Applicant estimates 80 per sidiary of The Marine Corporation, Milwaukee, a cent of the Bank's IPC deposits originate. registered bank holding company), with deposits Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 95 of $21 million, is located some eight miles south area. Six banks, three of them larger than Reedsof Appleton in Winnebago County and competes ville State Bank in total deposits held, compete in the Appleton area. No bank holding company within Reedsville State Bank's primary service subsidiaries are located in either Calumet or Mani- area. There is no reason to believe that the present towoc Counties, the situs of Sherwood State Bank level of competition between Sherwood State Bank and Reedsville State Bank, respectively. and its competitors, and Reedsville State Bank and The combined deposits held by Applicant's its competitors, would be affected significantly by banks represent less than 1 per cent of the deposits consummation of Applicant's proposals. The held by all banks in the State. Consummation of potential for growth in either of the proposed the two proposed acquisitions would increase by subsidiary banks is limited by the population and only .10 the percentage of such deposits held by trade characteristics of the areas. Applicant's Applicant's banks. Considering as a single area the operation of the Banks is not likely to affect adareas served, respectively, by Applicant's sub- versely their respective competitors. sidiaries and by Sherwood State Bank and Reeds- Nor, in the Board's judgement, will the public ville State Bank, it is found that 31 banks (37 interest be adversely affected by Applicant's acbanking offices) are located or compete therein, quisition of Banks since, as earlier indentified, and held aggregate deposits (at December 20, there will remain an adequate number of reasona- 1963) of $247 million. Acquisition of both Sher- bly accessible alternative sources of banking servwood State Bank and Reedsville State Bank by ices. Premised on the foregoing findings, the Board Applicant would result in its control of nine concludes that consummation of Applicant's pro- (24%) of the 37 banking offices, and about $40 posals will not expand the size or extent of Applimillion (16%) of the stated aggregate deposits. cant's system so as to be inconsistent with adequate Such control by Applicant would not represent a and sound banking, the public interest, or the dominance in any of the areas concerned inimical preservation of banking competition. to continued sound banking or to the public On the basis of all the relevant facts as contained interest. in the records before the Board and, in the light Of Applicant' present subsidiary banks, only of the factors set forth in section 3(c) of the Act, Appleton State Bank competes with either Sher- it is the Board's judgement that the proposed wood State Bank or Reedsville State Bank. An acquisitions would be consistent with the public insignificant portion of Appleton State Bank's total interest and that the applications should, therefore, loan portfolio originates in the primary service be approved. area of each of the Banks. Three of Sherwood State Bank's loans, representing less than 1 per Orders Under Bank Merger Act cent of its total loans outstanding, originated in The following Orders and Statements were Appleton State Bank's head-office primary service issued in connection with action by the Board of area. There is no evidence of any existing com- Governors with respect to applications for appetition for deposits. Consummation of Applicant's proval of the merger of banks: proposals, therefore, would not result in elimination of meaningful existing competition or, in WELLS FARGO BANK view of the size of the Banks involved, the dis- SAN FRANCISCO, CALIFORNIA tances separating them, and the characteristics of In the matter of the application of Wells Fargo the area involved, of significant potential competition. Bank for approval of merger with Bank of Amador As earlier stated, Sherwood State Bank and County. Reedsville State Bank are the only banks located in their respective primary service areas. How- ORDER APPROVING MERGER OF BANKS ever, each faces competition from a number of There has come before the Board of Governors, banks located outside such areas. Nine banks, five pursuant to the Bank Merger Act of 1960 (12 of which are larger than Sherwood State Bank in U.S.C. 1828(c), an application by Wells Fargo terms of total deposits held, compete for business Bank, San Francisco, California, a State member originating in the latter Bank's primary service bank of the Federal Reserve System, for the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

96 FEDERAL RESERVE BULLETIN • JANUARY 1965 Board's prior approval of the merger of that bank Under the law, the Board is required to conand Bank of Amador County, Jackson, California, sider, as to each of the banks involved, (1) its under the charter and title of Wells Fargo Bank. financial history and condition, (2) the adequacy As an incident to the merger, the three offices of of its capital structure, (3) its future earnings Bank of Amador County would become branches prospects, (4) the general character of its manof Wells Fargo Bank. Notice of the proposed agement, (5) whether its corporate powers are merger, in form approved by the Board, has been consistent with the purposes of 12 U.S.C, Ch. 16 published pursuant to said Act. (the Federal Deposit Insurance Act), (6) the Upon consideration of all relevant material in convenience and needs of the community to be the light of the factors set forth in said Act, in- served, and (7) the effect of the transaction on cluding reports furnished by the Comptroller of competition (including any tendency toward mothe Currency, the Federal Deposit Insurance nopoly). The Board may not approve the transac- Corporation, and the Department of Justice on the tion unless, after considering all of these factors, it competitive factors involved in the proposed trans- finds the transaction to be in the public interest. action, Banking factors. Wells Fargo and Amador IT IS HEREBY ORDERED, for the reasons set forth Bank have satisfactory financial histories. The asset in the Board's Statement of this date, that said condition of Wells Fargo also is satisfactory, the application be and hereby is approved, provided bank's capital structure is reasonably adequate, and that said merger shall not be consummated (a) its future earnings prospects are favorable. This within seven calendar days after the date of this would be equally true of the resulting bank, which Order, or (b) later than three months after said would be under the competent and aggressive date. management of Wells Fargo. Dated at Washington, D. C, this 16th day of Amador Bank's asset condition is reasonably December, 1964. satisfactory. The bank's earnings—while adequate By order of the Board of Governors. to meet present dividend requirements and, in Voting for this action: Chairman Martin, and Gov- view of its modest growth, to maintain an adequate ernors Balderston, Mills, Shepardson, Mitchell, and capital position—are well below the average for Daane. Voting against this action: Governor Robertbanks of comparable size in the Twelfth Federal son. Reserve District. (Signed) MERRITT SHERMAN The two principal officers of Amador Bank and Secretary. [SEAL] two-thirds of its board of directors are past normal retirement age and have indicated desires to retire. STATEMENT The bank's staff includes no qualified replacements Wells Fargo Bank, San Francisco, California for either of the two officers, and its attempts to ("Wells Fargo"), with total deposits of $3,177 recruit managerial talent have not been successful. million, has applied, pursuant to the Bank Merger The bank's quarters are inadequate and outmoded. Act of 1960 (12 U.S.C. 1828(c)), for the Board's It has no pension or retirement program. Manageprior approval of the merger of that bank and ment policies have not been conducive to develop- Bank of Amador County, Jackson, California ing the bank's potential for service to its commu- ("Amador Bank"), which has total deposits of $11 nity, as explained more fully below. million.1 The banks would merge under the charter Effectuation of the proposal would solve Amaand name of Wells Fargo, a State member bank dor Bank's management succession problem and of the Federal Reserve System. As an incident to establish a basis for improved earnings. It would the merger, the three offices of Amador Bank also provide strong and aggressive management at would become branches of Wells Fargo, increasing the offices now operated by Amador Bank. to 188 the number of offices operated by that There is no indication that the corporate powers bank.2 of the banks involved are, or would be, inconsistent with 12 U.S.C, Ch. 16. deposit figures are as of June 30, 1964. Convenience and needs of the communities. The 2 As of October 13, 1964, Wells Fargo had rehead office and branches now operated by Wells ceived approval for 19 other offices not yet in operation. Fargo—California's third largest bank in terms of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 97 deposits—are located in 31 counties in northern ("Bank of America"), located at Jackson and and central California. Wells Fargo does not have Sutter Creek, and at lone, situated in the county any office in Amador County within which is lo- 10 miles east of Jackson and within Amador cated the three offices of Amador Bank and virtu- Bank's service area. A full range of banking servally all of its service area.3 Consequently, con- ices, therefore, is available in the county. It is true summation of the proposal would not have any also that consummation of the proposal would appreciable effect on the convenience and needs of eliminate Amador Bank as an alternative for those any communities now served by Wells Fargo. persons in the area that may prefer to do business Jackson, California, the seat of Amador County with the relatively smaller bank. However, there and the head-office location of Amador Bank, is would be no reduction in the number of banking approximately 140 miles northeast of San Fran- offices in the county and the public would benefit cisco. The bank's two branches are located at from a competitive alternative source of complete Sutter Creek and Plymouth, which, respectively, banking services. are situated 5 miles and 13 miles northwest of Competition. The service areas of Wells Fargo Jackson. The populations of Jackson, Sutter Creek, and Amador Bank do not overlap, as indicated and Plymouth are about 1,900, 1,200, and 500, above. Until recently the nearest branch operated respectively. Amador County, located in the foot- by Wells Fargo was 46 miles away. On November hills and mountains east of the San Joaquin Valley, 30, 1964, Wells Fargo opened a new branch at has a present population of about 10,000, which Placerville, centrally situated in El Dorado County, State officials estimate will increase to 12,300 by 17 miles north of the nearest office of Amador 1970. The principal industries of the county are Bank at Plymouth. However, there has been no lumbering and agriculture, the latter being con- more than negligible competition between the two fined mainly to cattle and sheep production and banks. As Amador Bank's office at Plymouth is some dairying. Among the activities of increasing but a paying and receiving station for demand economic importance to the county are tourism deposits, it would not seem that the presence of and recreational facilities, the exploitation of clay Wells Fargo in Placerville would alter significantly deposits, and the development of properties for the competitive situation between Wells Fargo and residential use. The prospects of the area are Amador Bank. favorable. Bank of America—the other bank that would As indicated previously, Amador Bank's service be affected directly by consummation of the proto the community has been markedly limited by posal—for the first time would have a vigorous unaggressive management that has not adapted to and aggressive competitor in Amador County. a changing environment. Almost three-quarters of The eight largest commercial banks in Califorthe bank's loans were in conventional real estate nia hold about 88 per cent of the total deposits of paper, over 25 per cent of which arose from trans- all such banks in the State. Of that total, Wells actions outside its service area and was purchased Fargo's share is almost 10 per cent, which would from other lenders. Only about 12 per cent of the be increased by only a negligible amount if the bank's loans consists of commercial and industrial proposal were to be consummated. The reversal loans, with the remainder representing consumer which began in 1960 in California in the trend installment loans, single-payment loans, and farm toward fewer banks continues. Thus, during the loans. Amador Bank does not make any FHA or calendar years 1960 through 1963, the total num- VA loans, term loans, floor-plan loans, or engage ber of banks in the State climbed from 115 to 155. in such other lending programs as farm equipment New charters were granted during that period to and accounts receivable financing. 58 banks, while 18 lost their independent identity In addition to the offices of Amador Bank, the through merger or discontinued operations. The county is served by three branches of Bank of high degree of banking concentration in California America, National Trust & Savings Association nevertheless remains an especially important consideration, although not necessarily a decisive one in every situation. 3 The area from which a bank obtains 15 per cent or more of its deposits of individuals, partnerships, Summary and conclusion. By substituting offices and corporations. of Wells Fargo for those of a relatively small, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

98 FEDERAL RESERVE BULLETIN • JANUARY 1965 locally headquartered bank that has failed to offer this is imperceptible because the percentages are services commensurate with the development of small?" The court's answer was clear: "We can its community, effectuation of the proposal would only eat an apple a bit at a time ... So, whether bring to Amador County the benefit of an alterna- we nibble delicately, or gobble ravenously, the tive source of full banking services. It would also end result is, or can be, the same." United States solve a management succession problem at Ama- v. Brown Shoe Co., 179 F. Supp. 721, 737, 740, dor Bank. No more than a negligible amount of affirmed 370 U. S. 294 (1962). And, as the court present or potential competition would be elimi- said in the Philadelphia National Bank case in nated and the increase in banking concentration 1963, ". . . if concentration is already great, the would be minute. Any adverse effect in this case importance of preventing even slight increases in would be more than offset by the positive benefits concentration and so preserving the possibility of to the public. eventual deconcentration is correspondingly great." Accordingly, the Board finds the proposed mer- (374 U. S. 321, 365, n. 42) ger to be in the public interest. Are there, then, any considerations under the other statutory factors sufficient to support the Board's approval of the application? I think not. DISSENTING STATEMENT OF GOVERNOR Amador Bank is a sound and profitable bank. ROBERTSON It has a satisfactory supervisory rating. Although The Board's approval of this application makes the financial giant, Bank of America, has been in it necessary again to emphasize that a major con- Amador County since 1928, Amador Bank has cern of the Congress in enacting the Bank Merger almost half of the county's total deposits. Obvi- Act of 1960 was "the increases in the size of the ously, effectuation of the proposal, which would largest banks, particularly those which have grown eliminate the only independent local bank in the through mergers." 1 This, of course, could hardly county, would deny a substantial part of the comhave greater relevance than in the case of Cali- munity its clear preference to do business with the fornia. smaller bank. Furthermore, that Amador Bank is The banking structure in California is not only contributing to the economic development of the distinguished by its very heavy concentration in county is clearly evident from the 16 per cent but a few large banks. Much of this concentration, growth since 1960 in its deposits of individuals, including Wells Fargo's share in it, has been ac- partnerships, and corporations. It may well be that complished through mergers. Indeed, close to 40 Amador Bank is not an aggressive institution. per cent of Wells Fargo's increase in total assets However, the mere fact that a bank walks rather over the 10 years just passed was derived from its than runs in its quest for business is not justificaabsorption of 8 smaller banks. tion for approval of a proposal to terminate its Clearing the way for Wells Fargo to swallow up independent existence. Some people prefer slower, yet another bank, the majority finds solace in a more conservative progress.2 diminution in the over-concentration of banking The majority concedes that, with Bank of Amerin California attributable to the recent chartering ica's three offices in Amador County, a full range of a few new banks, and in the small addition this of banking services is available. If, however, a merger would make to the size of Wells Fargo. need exists in the county for the services of The more logical approach, however—and the another big bank, there is no doubt but that Wells only one consistent in this case with the statute Fargo can enter the county through de novo and its legislative history—would be to applaud branches, especially in view of the county's favorthis diminution, rather than to obstruct it even a able economic prospects. In such a case as this, a little bit. As asked by the court in a now well- big bank eager to expand further ought not have known decision, "Does it make sense to say that available to it the easy merger route where the lure of a healthy premium may be too tempting to 1S. Rept. No. 196, April 17, 1959, p. 8; H. Rept. resist for stockholders who naturally would prefer No. 1416, March 23, 1960, p. 5. Compare, for example, my Dissenting Statements at 1963 Federal Reserve BULLETIN 1073 and 1964 Federal Reserve 2 Compare my Dissenting Statement at 1963 Federal BULLETIN 324. Reserve BULLETIN 1076. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 99 joining with the big bank as against other alterna- the light of the factors set forth in said Act, intives open to them. And, as I felt it necessary to cluding reports furnished by the Comptroller of point out only recently,3 the Bank Merger Act is the Currency, the Federal Deposit Insurance Cornot a way out for a bank such as this whose opera- poration, and the Department of Justice on the tions are profitable and which obviously is fulfil- competitive factors involved in the proposed ling satisfactorily the banking needs of a substan- merger. tial segment of the public. IT IS HEREBY ORDERED, for the reasons set forth Finally, the majority's reliance upon the "manin the Board's Statement of this date, that said agement succession problem" at Amador Bank is application be and hereby is approved, provided but a further instance serving to point the way for that said merger shall not be consummated (a) small banks that wish successfully to merge with within seven calendar days after the date of this big expansion-minded banks. Obviously, problems Order or (b) later than three months after said of this kind may be sufficiently urgent or impordate. tant as to weigh for approval of mergers in some Dated at Washington, D. C, this 17th day of instances. However, as I have previously empha- December, 1964. sized, to give significance to this factor in a case By order of the Board of Governors. like the present merely tends to cause banks contemplating mergers to defer plans for management Voting for this action: Unanimous, with all memsuccession.4 bers present. (Signed) MERRITT SHERMAN, I would deny the application. Secretary. [SEAL] SUMMIT TRUST COMPANY, SUMMIT, NEW JERSEY STATEMENT In the matter of the application of The Summit The Summit Trust Company, Summit, New Trust Company for approval of merger with The Jersey ("Summit Trust"), with total deposits of Elizabethport Banking Company. $61 million, has applied, pursuant to the Bank Merger Act of 1960 (12 U.S.C. 1828(c)), for the Board's prior approval of the merger of that ORDER APPROVING MERGER OF BANKS bank and The Elizabethport Banking Company, There has come before the Board of Governors, Elizabeth, New Jersey ("Elizabethport Compursuant to the Bank Merger Act of 1960 (12 pany"), which has total deposits of $39 million.1 U.S.C. 1828(c)), an application by The Summit The banks would merge under the charter of Trust Company, Summit, New Jersey, a State Summit Trust, which is a member of the Federal member bank of the Federal Reserve System, for Reserve System, and the name "Summit and Elizathe Board's prior approval of the merger of that beth Trust Company". As an incident to the merbank and The Elizabethport Banking Company, ger, the three offices of Elizabethport Company Elizabeth, New Jersey, under the charter of the would become branches of the resulting bank, informer and the title of Summit and Elizabeth Trust creasing the number of its offices from three to six. Company. As an incident to the merger, the three Under the law, the Board is required to consider, offices of each bank would become offices of the as to each of the banks involved, (1) its financial resulting bank. Notice of the proposed merger, in history and condition, (2) the adequacy of its form approved by the Board, has been published capital structure, (3) its future earnings prospects, pursuant to said Act. (4) the general character of its management, (5) Upon consideration of all relevant material in whether its corporate powers are consistent with the purposes of 12 U.S.C, Ch. 16 (the Federal 3 My Dissenting Statement In the Matter of the Deposit Insurance Act), (6) the convenience and Application of Wheeling Dollar Savings & Trust Co. needs of the community to be served, and (7) the to acquire South Wheeling Bank and Trust Company, effect of the transaction on competition (including dated November 25, 1964. 4 See my Dissenting Statement at 1963 Federal Reserve BULLETIN 1079. 1 Deposit figures are as of October 1, 1964. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

100 FEDERAL RESERVE BULLETIN • JANUARY 1965 any tendency toward monopoly). The Board may settled, with considerable heavy industry. Resinot approve the transaction unless, after consider- dents are largely blue-collar workers. Further exing all of these factors, it finds the transaction to pansion of the Newark Airport Terminal and the be in the public interest. Port of Elizabeth are expected to help sustain Banking factors. The financial history and con- growth in the area, and future residential growth dition of both banks are reasonably satisfactory, as will be in the nature of apartments and multipleare their earnings prospects. The capital structure family housing units. Not surprisingly, Summit of each institution is fairly adequate. Management Trust has tended to specialize in single-family, of the smaller bank has, perhaps, had insufficient non-insured residential mortgages, together with a depth to support recent expansion into new lend- substantial volume of collateral loans. The bank ing categories, and merger with Summit Trust has an active trust department. Elizabethport Comwould supply some added strength. This consid- pany, on the other hand, is relatively inactive in eration is not, however, regarded as weighing the trust area, but has a sizable portfolio of comsignificantly in favor of approval of the applica- mercial loans, and a substantial time sales departtion, as Elizabethport Company has been aware of ment. the situation and could find remedies without In Elizabeth, the merged bank would supply resort to merger. The financial condition, earnings ample and more experienced trust services. The prospects, and management of the resulting bank two largest banks in Union County, National State would be satisfactory and its capital structure Bank and Union County Trust Company, which would be reasonably satisfactory. have their headquarters in Elizabeth, already offer Neither the corporate powers of the two exist- trust services. However, community convenience ing banks, nor those of the resulting bank, are, or would be served to some extent by addition of a would be, inconsistent with the purposes of 12 third alternative. In another category, a number of U.S.C, Ch. 16. customers of Elizabethport Company have had to Convenience and needs of communities. The seek supplemental credit elsewhere, or their loans participating banks are located in Union County, have had to be participated. Doubling the bank's New Jersey, which lies in the northeastern section lending limit as a result of the merger would subof the State and is part of the New York City stantially serve the convenience of customers who metropolitan area. Union County, covering 105 prefer to continue doing business with that institusquare miles, has increased in population from tion, but whose needs have outgrown its present 398,000 in 1950 to 504,000 in 1960, and it is size. expected that growth will continue, although at a Recent and anticipated growth in the Summit less accelerated rate. area suggests an increasing need for bank activity The service area2 of Summit Trust is in the in time sales and dealer financing, and in lending northwest corner of the county, while that of to smaller commercial enterprises. Summit Trust, Elizabethport Company covers the City of Eliza- itself, could probably supply these needs over a beth, some twelve miles away, at the northeastern period of time, but adding the facilities and manextremity, bordering on Newark Bay. Summit and agement experience of Elizabethport Company its immediate surroundings consist in the main of would make possible a quicker and more certain high grade, single-family residences, with some response. pockets of industrial development, including the Competition. Effectuation of the proposed mermajor complex of the Bell Telephone Labora- ger would create a new county-wide bank, signifitories. Most residents commute to New York City cantly smaller in deposit size and number of offices and to Newark to work, and future expansion is than the two leading banks in the county, and expected to involve multiple-family housing units about the same size as one other bank. In addition, and specialized industry. there would remain five other banks in the $25 to The City of Elizabeth, by contrast, is densely $60 million range, and seven whose IPC3 deposits are each less than $20 million. 2 The area from which a bank derives 75 per cent or more of its deposits of individuals, partnerships, 3 Deposits of individuals, partnerships, and corporaand corporations. tions. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

101 LAW DEPARTMENT Banking competition in New Jersey must be ORDER APPROVING MERGER OF BANKS viewed in the framework of two additional facts, There has come before the Board of Governors, (1) the presence of very large New York institu- pursuant to the Bank Merger Act of 1960 (12 tions, just across the river and readily available to U.S.C. 1828(c)), an application by The County local customers, and (2) the rule of State law Trust Company, White Plains, New York, a State permitting only in-county branching, limited to member bank of the Federal Reserve System, for municipalities where a bank is headquartered, or the Board's prior approval of the merger of that where no other banking office is situated. Both bank and The Peoples Bank of Rockland County, tend to focus banking competition on local needs. New City, New York, under the charter and But if the second factor tends to protect local name of The County Trust Company. As an incibanks in their own markets, the first, in a sense, dent to the merger, the three offices of The diminishes or even nullifies that protection. The Peoples Bank of Rockland County would become commuter and the customer who bank by mail, as branches of The County Trust Company. Notice well as the businessman whose credit needs have of the proposed merger, in form approved by the reached a stage where he attracts the specific Board, has been published pursuant to said Act. attention of a larger bank, have ready access to Upon consideration of all relevant material in New York City. Confirmation of this merger will the light of the factors set forth in said Act, instrengthen a local bank in such a way as to im- cluding reports furnished by the Comptroller of prove the intrastate competitive picture, and a the Currency, the Federal Deposit Insurance Corhealthy range of banks of various sizes and capa- poration, and the Department of Justice on the bilities will remain in the county. competitive factors involved in the proposed The head offices of Summit Trust and Elizabeth- transaction, port Company are about twelve miles apart, and IT IS HEREBY ORDERED, for the reasons set forth have none of their offices nearer than eight miles in the Board's Statement of this date, that said to an office of the other bank. There is no direct application be and hereby is approved, provided public transportation between Summit and Eliza- that said merger shall not be consummated (a) beth, and there are numerous offices of commer- within seven calendar days after the date of this cial banks and savings and loan associations lo- Order, or (b) later than three months after said cated between them. The number of common date. customers and common accounts, and the amounts Dated at Washington, D. C, this 28th day of involved, are not substantial. Direct competition December, 1964. between the two banks is no more than minimal. By order of the Board of Governors. Summary and conclusion. The proposed merger Voting for this action: Chairman Martin, and Governwould increase to four the number of banks in the ors Balderston, Shepardson, and Mitchell. Voting against this action: Governors Mills and Robtop rank in Union County, an adequate number ertson. Absent and not voting: Governor Daane. of medium and smaller sized banks would remain, (Signed) MERRITT SHERMAN, and little or no direct competition would be elimi- Secretary. nated. Additional services and lending skills would [SEAL] be provided in a community, Summit, which is STATEMENT rapidly reaching a point to need them, and bank- The County Trust Company, White Plains, New ing convenience in the Elizabeth community York ("County Trust"), with total deposits of would be improved. $661 million, has applied, pursuant to the Bank Accordingly, the Board finds that the proposed Merger Act of 1960 (12 U.S.C. § 1828(c)), for merger would be in the public interest. the Board's prior approval of the merger of that bank and The Peoples Bank of Rockland County, COUNTY TRUST COMPANY, New City, New York ("Peoples Bank"), which WHITE PLAINS, NEW YORK has total deposits of $15 million.1 The banks would In the matter of the application of the County merge under the charter and name of County Trust Company for approval of merger with The Peoples Bank of Rockland County. 1 Deposit figures are as of June 30, 1964. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

102 FEDERAL RESERVE BULLETIN • JANUARY 1965 Trust. As an incident to the merger, the three Peoples Bank consists of the town of Clarkstown, offices of Peoples Bank, including one which has in which is located New City, and the western been approved but not yet opened for business, portion of the town of Haverstraw, in which is would become branches of County Trust, increas- located the village of Haverstraw. The northern ing the number of its offices from 49 to 52. border of the service area is marked by the inter- Under the law, the Board is required to con- vention of a sparsely populated sector, and limited sider, as to each of the banks involved, (1) its access highways, because they restrict the flow of financial history and condition, (2) the adequacy traffic, tend to define the approximate western and of its capital structure, (3) its future earnings southern boundaries. prospects, (4) the general character of its man- During the period 1950-1963, the population agement, (5) whether its corporate powers are of Rockland County increased by more than 80 consistent with the purposes of 12 U.S.C., Chapter per cent, from 89,000 to 162,000 persons. The 16 (the Federal Deposit Insurance Act), (6) the town of Clarkstown, in which is located New City convenience and needs of the community to be —the site of Peoples Bank's head office, grew served, and (7) the effect of the transaction on more rapidly than any other town in the county competition (including any tendency toward mo- during this period. Although Rockland County is nopoly). The Board may not approve the trans- still principally a residential area, there are now action unless, after considering all of these factors, about 140 industrial plants in the county which it finds the transaction to be in the public interest. collectively employ approximately 15,000 persons. Banking factors. The financial histories of Nearly half of these plants are in, or adjacent to, County Trust and Peoples Bank are satisfactory, the area served by Peoples Bank. and each bank has a sound asset condition and A substantial demand for bank credit, especially an adequate capital structure. Each bank has a for real estate financing, has accompanied the satisfactory earnings record and good future earn- population growth and increased economic activings prospects. The management of County Trust ity in Rockland County. Recently, many commeris capable. The management of Peoples Bank is cial and residential projects have been financed by satisfactory, but the bank's two principal officers banks located outside the county. Although it wish to retire. It seems that Peoples Bank should presently follows a rather restrictive lending polbe able to find suitable replacements without re- icy, Peoples Bank does not appear to be capable of sort to merger. However, the proposed merger meeting adequately the growing demand for loans would result in the more progressive management in the area which it serves. With greater resources and operation of the offices now operated by and a higher lending limit, County Trust could Peoples Bank. In addition to capable management, better serve the credit needs of the community the resulting bank would have a sound asset con- and make available, in general, a wider variety of dition, an adequate capital structure, and good banking services in Rockland County. future earnings prospects. The banking needs and convenience of the area There is no indication that the corporate powers presently served by County Trust would not be of the banks are, or would be, inconsistent with materially affected by the proposed merger. the purposes of 12 U.S.C., Chapter 16. Competition. Peoples Bank, with less than 7 per Convenience and needs of the communities. cent of the IPC deposits and with 2 of 37 offices, Peoples Bank is one of seven commercial banks is the second smallest of the 7 commercial banks located in Rockland County, New York, which is operating in Rockland County. In addition to its separated on the east from Westchester County by principal office, County Trust has 47 branch offices the Hudson River. In addition to its principal authorized or in operation in Westchester County office in New City, Peoples Bank operates a and one branch office in Putnam County. The branch office in Haverstraw and has authority to offices of the proponent banks nearest each other open a second branch there. The service area 2 of are about 12 miles apart, located on opposite sides of the Hudson River and separated by the offices 2 The area from which a bank obtains 75 per cent of other banks. There appears to be no significant or more of its deposits of individuals, partnerships, and corporations ("IPC deposits"). competition between the two banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 103 While County Trust's growth in Westchester cial banks that will remain in Rockland County County is an indication of vigorous banking, its following the merger, the largest has IPC deposits 48 offices there compete with 24 offices of New of only slightly over $64 million, yet this bank is York City based banks and 72 offices of locally almost twice as large as the next ranking bank in headquartered banks. The other banks in the Rockland County. The four other remaining banks county, including the smaller ones, have continued in Rockland County range downward in size to to enjoy relatively high rates of growth. This is the smallest, with deposits of less than $9.8 million, evidence that County Trust is a strong, but hardly and are substantially smaller than all but two of a predatory, competitor. We conclude that the the seven commercial banks headquartered in presence of County Trust would likely have a Westchester County. positive competitive effect on the other commer- The entrance into Rockland County of County cial banks operating in Rockland County. An Trust, with deposits aggregating about three and incidental competitive gain from the merger would one-half times the total deposits of the county's be the elimination of the home-office protection six remaining banks, will confront those banks now enjoyed by Peoples Bank so that other banks with severe competitive inequality. This detricould establish branches in New City. mental competitive imbalance in the banking Summary and conclusion. Although County structure of Rockland County undoubtedly will Trust holds a considerable portion of the banking create a strong propensity for counter-offensive resources in Westchester County, it does not mergers for offsetting the disproportionate comappear that its entrance into Rockland County, petitive advantage of County Trust, thereby rethrough the acquisition of Peoples Bank, would ducing the number of banking alternatives and have adverse consequences for banking competi- serving as a definite deterrent to the entry of new tion. Indeed, it is probable that banking compe- independent banks into the area. tition would be enhanced. Moreover, County Trust Evidence in the record of this case clearly shows would be better able to provide for the community that customers in the Rockland County area with now served by Peoples Bank the banking services needs for banking services greater than those which are required by the area's vigorous develop- available at any of the Rockland County banks ment and which are necessary for its continued have access to relatively nearby offices of big New economic progress. York City banks and to the larger banks in West- Accordingly, the Board finds that the proposed chester County, including County Trust. This is merger would be in the public interest. not, therefore, a case in which local banking needs are not being satisfied reasonably. Clearly, County DISSENTING STATEMENT OF GOVERNOR MILLS Trust competes in varying degrees with all the WITH WHICH GOVERNOR ROBERTSON banks in Rockland County. It can continue to do CONCURS so without the greatly increased competitive ad- I cannot agree that effectuation of this provantage of offices in Rockland County. posal will be in the public interest in view of the Peoples Bank is a sound, profitable, and growvast competitive advantage that County Trust will ing institution. During the ten years just past, have over the banks in Rockland County. County Trust has merged with nine banks. Of its County Trust, the dominant commercial bank total growth in banking offices and deposits during headquartered in New York's Third Banking Disthat period, 54 per cent and 19 per cent, respectrict, is by far the largest in Westchester County, tively, are attributable to these nine mergers. By having almost 48 per cent of the total IPC deposits the present application, County Trust would acand over 33 per cent of the County's commercial quire yet another smaller bank. banking offices. Upon consummation of the proposal, County Trust will have IPC deposits of over There is nothing in the record of this case, as I $563 million, compared to the remaining six read it, sufficient to offset the seriously adverse Rockland County banks with total IPC deposits of competitive effects of the proposal. I would, thereonly a little over $166 million. Of the six commer- fore, disapprove the application. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Announcements DESIGNATIONS AND APPOINTMENTS OF CHAIRMEN AND FEDERAL RESERVE AGENTS, DEPUTY CHAIRMEN, AND DIRECTORS The Board of Governors of the Federal Reserve System announced the following appointments at the Federal Reserve Banks and branches, effective January 1, 1965, unless otherwise indicated. Names in CAPITALS indicate NEW appointments; all others are reappointments. Brief data about each of the new appointments follow the listings. CHAIRMEN AND FEDERAL RESERVE AGENTS FOR YEAR 1965 Federal Reserve Bank Erwin D. Canham, Editor, The Christian Science Monitor, Boston, Massa- Boston chusetts. Philip D. Reed (formerly Chairman, General Electric Company), New New York York, New York. Walter E. Hoadley, Vice President and Treasurer, Armstrong Cork Com- Philadelphia pany, Lancaster, Pennsylvania. Cleveland Joseph B. Hall, Chairman of the Board, The Kroger Co., Cincinnati, Ohio. Richmond Edwin Hyde, President, Miller & Rhoads, Inc., Richmond, Virginia. Atlanta Jack Tarver, President, Atlanta Newspapers, Inc., Atlanta, Georgia. Chicago FRANKLIN J. LUNDING, Chairman, Finance Committee, Jewel Tea Company, Inc., Chicago, Illinois. St. Louis Raymond Rebsamen, Chairman of the Board, Rebsamen & East, Inc., Little Rock, Arkansas. Minneapolis Atherton Bean, President, International Milling Company, Minneapolis, Minnesota. Kansas City Homer A. Scott, Vice President and District Manager, Peter Kiewit Sons' Company, Sheridan, Wyoming. Dallas Robert O. Anderson, Owner, Lincoln County Livestock Co., Roswell, New Mexico. San Francisco F. B. Whitman, President, The Western Pacific Railroad Company, San Francisco, California. DEPUTY CHAIRMEN FOR YEAR 1965 Federal Reserve Bank William Webster, Chairman and Chief Executive Officer, New England Boston Electric System, Boston, Massachusetts. EVERETT N. CASE, President, Alfred P. Sloan Foundation, New York, New York New York. 104 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 105 DEPUTY CHAIRMEN FOR YEAR 1965—CONTINUED Philadelphia WILLIS J. WINN, Dean, Wharton School of Finance and Commerce, University of Pennsylvania, Philadelphia, Pennsylvania. Cleveland Logan T. Johnston, President, Armco Steel Corporation, Middletown, Ohio. Richmond William H. Grier, President, Rock Hill Printing & Finishing Company, Rock Hill, South Carolina. Atlanta J. M. Cheatham, President, Dundee Mills, Incorporated, Griffin, Georgia. Chicago James H. Hilton, President, Iowa State University of Science and Technology, Ames, Iowa. St. Louis SMITH D. BROADBENT, JR., Owner, Broadbent Hybrid Seed Company, Cadiz, Kentucky. Minneapolis Judson Bemis, President, Bemis Bro. Bag Co., Minneapolis, Minnesota. Kansas City Dolph Simons, Editor and President, The Lawrence Daily Journal-World, Lawrence, Kansas. Dallas Carl J. Thomsen, Senior Vice President, Texas Instruments, Inc., Dallas, Texas. San Francisco John D. Fredericks, President, Pacific Clay Products, Los Angeles, California. FEDERAL RESERVE BANK DIRECTORS X (Three-year terms unless otherwise indicated) Federal Reserve Bank Boston Erwin D. Canham (see page 104). New York JAMES M. HESTER, President, New York University, New York, New York. Philadelphia Willis J. Winn (see above). D. ROBERT YARNALL, JR., Persident, Yar nail- War ing Company, Philadelphia, Pennsylvania (for unexpired portion of term ending December 31, 1965). Cleveland Joseph B. Hall (see page 104). Richmond Edwin Hyde (see page 104). Atlanta Jack Tarver (see page 104). Chicago FRANKLIN J. LUNDING (see page 104). St. Louis SMITH D. BROADBENT, JR., (see above). Minneapolis BYRON W. REEVE, President, Lake Shore, Inc., Iron Mountain, Michigan. Kansas City Dolph Simons (see above). Dallas Carl J. Thomsen (see above). San Francisco Frederic S. Hirschler, President, The Emporium Capwell Company, San Francisco, California. 1 Each Federal Reserve Bank has a board of di- the three C directors are appointed by the Board of rectors consisting of nine members, divided into three Governors. The terms of two of the elected directors classes, designated as Classes A, B, and C. The six A and one of the appointed directors at each Federal Reand B directors are elected by the member banks, and serve Bank expire at the end of each year. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

106 FEDERAL RESERVE BULLETIN • JANUARY 1965 FEDERAL RESERVE BANK BRANCH DIRECTORS 2 (Three-year terms unless otherwise indicated) Federal Reserve Bank and Branch New York Buffalo ROBERT S. BENNETT, General Manager, Lackawanna Plant, Bethlehem Steel Corporation, Buffalo, New York. Cleveland Cincinnati Barney A. Tucker, President, Burley Belt Fertilizer Company, Lexington, Kentucky. Pittsburgh ROBERT DICKEY III, President, Dravo Corporation, Pittsburgh, Pennsylvania. Richmond Baltimore Leonard C. Crewe, Jr., Chairman of the Board, Maryland Specialty Wire, Inc., Cockeysville, Maryland. Charlotte WILLIAM B. McGUIRE, President, Duke Power Company, Charlotte, North Carolina. Atlanta C. Caldwell Marks, Chairman of the Board, Owen-Richards Birmingham Company, Inc., Birmingham, Alabama. Harry T. Vaughn, President, United States Sugar Corpora- Jacksonville tion, Clewiston, Florida. ROBERT M. WILLIAMS, President, ARO, Inc., Arnold Nashville Engineering Development Center, Tullahoma, Tennessee. Kenneth R. Giddens, President, WKRG-TV, Inc., Mobile, New Orleans Alabama. Chicago Detroit James William Miller, President, Western Michigan University, Kalamazoo, Michigan. St. Louis Little Rock REEVES E. RITCHIE, President, Arkansas Power & Light Company, Little Rock, Arkansas. Louisville Richard T. Smith, Farmer, Madisonville, Kentucky. Memphis JAMES S. WILLIAMS, Plant Manager, American Greetings Corporation, Osceola, Arkansas. Minneapolis (2-year term) Helena C. G. McClave, President and General Manager, Montana Flour Mills Co., Great Falls, Montana. Kansas City (2-year terms) Denver R. A. Burghart, Ingle Land and Cattle Company, Colorado Springs, Colorado a Federal Reserve Bank branches have either five or Bank, and the others are appointed by the Board of seven directors, of whom a majority are appointed by Governors of the Federal Reserve System. the board of directors of the parent Federal Reserve Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 107 FEDERAL RESERVE BANK BRANCH DIRECTORS (Continued) Kansas City (Continued) (2-year terms) Oklahoma City Otto C. Bar by, Attorney and rancher, Beaver, Oklahoma. Omaha Clifford Morris Hardin, Chancellor, The University of Nebraska, Lincoln, Nebraska. Dallas GORDON W. FOSTER, President, Food Mart, Inc., El El Paso Paso, Texas. Edgar H. Hudgins, Ranching—Partner in Hudgins Division Houston of J. D. Hudgins, Hungerford, Texas. Harold D. Herndon, Independent Oil Operator, San Antonio, San Antonio Texas. San Francisco (2-year terms) Los Angeles S. Alfred Halgren, Vice President and Director, Carnation Company, Los Angeles, California. Portland ROBERT F. DWYER, Lumberman, Portland, Oregon. Salt Lake City PETER E. MARBLE, Rancher, Deeth, Nevada. Seattle Robert D. O'Brien, President, Pacific Car and Foundry Company, Seattle, Washington. Federal Reserve Bank of New York succeeds Mr. Whitworth Ferguson, President, Ferguson Electric Construction Company, Buffalo, EVERETT N. CASE, New York, New York, New York, whose term expired December 31, who has been serving as a Board-appointed direc- 1964. tor of the Federal Reserve Bank of New York since January 1961, was appointed Deputy Chair- Federal Reserve Bank of Philadelphia man of the Bank for the year 1965. Mr. Case is President of Alfred P. Sloan Foundation in New WILLIS J. WINN, Philadelphia, Pennsylvania, York. As Deputy Chairman he succeeds Mr. James who has been serving as a Board-appointed direc- DeCamp Wise, formerly Chairman of the Board, tor of the Federal Reserve Bank of Philadelphia Bigelow-Sanford, Inc., Frenchtown, New Jersey, since January 1962, was appointed Deputy Chairwhose term as Deputy Chairman and as a director man of the Bank for the year 1965. Dr. Winn is expired December 31, 1964. Dean of the Wharton School of Finance and Commerce, University of Pennsylvania, Philadelphia. JAMES M. HESTER, New York, New York, He succeeds Mr. David C. Bevan, Chairman, was appointed a director of the Federal Reserve Finance Committee, The Pennsylvania Railroad Bank of New York for the three-year term be- Company, Philadelphia, who resigned effective ginning January 1, 1965. Dr. Hester is President December 31, 1964. of New York University, New York, New York. As a director, he succeeds Mr. James DeCamp D. ROBERT YARN ALL, JR., Philadelphia, Wise, formerly Chairman of the Board, Bigelow- Pennsylvania, was appointed a director of the Sanford, Inc., Frenchtown, New Jersey, whose Federal Reserve Bank of Philadelphia for the unterm expired December 31, 1964. expired portion of a term ending December 31, ROBERT S. BENNETT, Buffalo, New York, 1965. Mr. Yarnall is President of the Yarnallwas appointed a director of the Buffalo Branch of Waring Company, Philadelphia, Pennsylvania. As the Federal Reserve Bank of New York for a three- a director he succeeds Mr. David C. Bevan, Chairyear term beginning January 1, 1965. Mr. Bennett man, Finance Committee, The Pennsylvania Railis General Manager, Lackawanna Plant, Bethle- road Company, Philadelphia, Pennsylvania, who hem Steel Corporation, Buffalo, New York. He resigned effective December 31, 1964. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

108 FEDERAL RESERVE BULLETIN • JANUARY 1965 Federal Reserve Bank of Cleveland tive Vice President, Consumers Power Company, Jackson, Michigan, who had resigned effective ROBERT DICKEY III, Pittsburgh, Pennsyl- September 21, 1964. vania, was appointed a director of the Pittsburgh Branch of the Federal Reserve Bank of Cleveland for the three-year term beginning January 1, 1965. Federal Reserve Bank of St. Louis Mr. Dickey is President of the Dravo Corporation, SMITH D. BROADBENT, JR., Cadiz, Ken- Pittsburgh, Pennsylvania. He succeeds Mr. William tucky, was appointed Deputy Chairman for 1965 A. Steele, Chairman of the Board and President, and director of the Federal Reserve Bank of St. Wheeling Steel Corporation, Wheeling, West Vir- Louis for a three-year term beginning January 1, ginia, whose term expired December 31, 1964. 1965. Mr. Broadbent is the owner of Broadbent Hybrid Seed Company, Cadiz, Kentucky, and had Federal Reserve Bank of Richmond served as a Board-appointed director of the Louisville Branch of the Federal Reserve Bank of St. WILLIAM B. McGUIRE, Charlotte, North Louis from 1948 to 1955. He succeeds Dr. J. H. Carolina, was appointed a director of the Char- Longwell, Director, Special Studies and Programs, lottle Branch of the Federal Reserve Bank of Rich- College of Agriculture, University of Missouri, mond for a three-year term beginning January 1, Columbia, Missouri, whose terms as a director and 1965. Mr. McGuire is President of the Duke as Deputy Chairman expired December 31, 1964. Power Company, Charlotte, North Carolina. He succeeds Mr. Clarence P. Street, President, Mc- REEVES E. RITCHIE, Little Rock, Arkansas, Devitt & Street Company, Charlotte, North Caro- was appointed a director of the Little Rock Branch lina, whose term expired December 31, 1964. of the Federal Reserve Bank of St. Louis for a three-year term beginning January 1, 1965. Mr. Ritchie is President of the Arkansas Power & Light Federal Reserve Bank of Atlanta Company, Little Rock, Arkansas. He succeeds Mr. ROBERT M. WILLIAMS, Tullahoma, Tennes- Waldo E. Tiller, President, Tiller Tie and Lumber see, was appointed a director of the Nashville Company, Inc., Little Rock, Arkansas, whose term Branch of the Federal Reserve Bank of Atlanta expired December 31, 1964. for a three-year term beginning January 1, 1965. Mr. Williams is President of ARO, Inc., operators JAMES S. WILLIAMS, Osceola, Arkansas, of the Arnold Engineering Development Center was appointed a director of the Memphis Branch at Tullahoma, Tennessee. He succeeds Mr. V. S. of the Federal Reserve Bank of St. Louis for a Johnson, Jr., Chairman of the Board and President, three-year term beginning January 1, 1965. Mr. Aladdin Industries, Inc., Nashville, Tennessee, Williams is Plant Manager of American Greetings whose term expired December 31, 1964. Corporation, Osceola, Arkansas. He succeeds Mr. Frank Lee Wesson, President, Wesson Farms, Inc., Victoria, Arkansas, whose term expired December Federal Reserve Bank of Chicago 31, 1964. FRANKLIN J. LUNDING, Chicago, Illinois, was appointed a director of the Federal Reserve Federal Reserve Bank of Minneapolis Bank of Chicago for a three-year term beginning January 1, 1965, and was designated Chairman BYRON W. REEVE, Iron Mountain, Michigan, and Federal Reserve Agent for 1965. Mr. Lunding was appointed a director of the Federal Reserve is Chairman of the Finance Committee and Chief Bank of Minneapolis for a three-year term begin- Financial Officer of the Jewel Tea Company, Inc., ning January 1, 1965. Mr. Reeve is President of Chicago, Illinois, and had previously served as a Lake Shore, Inc., Iron Mountain, Michigan. He Class C director of the Chicago Reserve Bank succeeds Mr. John H. Warden, Chairman of the from 1949 through 1952, and as its Chairman Board, Upper Peninsula Power Company, Houghfrom 1950 through 1952. As Chairman and as a ton, Michigan, whose term expired December 31, director he succeeds Mr. Robert P. Briggs, Execu- 1964. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 109 Federal Reserve Bank of Dallas appointed a director of the Portland Branch of the Federal Reserve Branch of San Francisco for GORDON W. FOSTER, El Paso, Texas, was a two-year term beginning January 1, 1965. Mr. appointed a director of the El Paso Branch of the Dwyer is a lumberman. He succeeds Mr. Raymond Federal Reserve Bank of Dallas for a three-year E. Reter, Reter Fruit Company, Medford, Oregon, term beginning January 1, 1965. Mr. Foster is whose term expired December 31, 1964. President of Food Mart, Inc., El Paso, Texas. He succeeds Mr. Dysart E. Holcomb, Director of PETER E. MARBLE, Deeth, Nevada, was ap- Research, El Paso Natural Gas Products Company, pointed a director of the Salt Lake City Branch Odessa, Texas, whose term expired December 31, of the Federal Reserve Bank of San Francisco 1964. for a two-year term beginning January 1, 1965. Mr. Marble is a rancher. He succeeds Mr. Thomas B. Rowland, President and General Manager, Federal Reserve Bank of San Francisco Rowland's Inc., Pocatello, Idaho, whose term ex- ROBERT F. DWYER, Portland, Oregon, was pired December 31, 1964. FEDERAL RESERVE BANK APPOINTMENTS OF BRANCH DIRECTORS1 The Federal Reserve Banks have announced the following appointments of branch directors. The appointments have been made for terms of three years beginning January 1, 1965, except where otherwise indicated. Federal Reserve Bank and Branch New York Buffalo JOHN D. HAMILTON, President, Chautauqua National Bank of Jamestown, New York. Mr. Hamilton succeeds Anson F. Sherman, President, The Citizens Central Bank, Arcade, New York. J. WALLACE ELY, President, Security Trust Company of Rochester, New York. Mr. Ely succeeds Elmer B. Milliman, President, Central Trust Company, Rochester, New York. Cleveland Cincinnati KROGER PETTENGILL, President, The First National Bank of Cincinnati, Ohio. Mr. Pettengill succeeds G. Carlton Hill, Chairman of the Board, The Fifth Third Union Trust Co., Cincinnati, Ohio. Pittsburgh EDWIN H. KEEP, President, First National Bank of Meadville, Pennsylvania. Mr. Keep succeeds James B. Grieves, President, The Union National Bank of Pittsburgh, Pennsylvania. 1 Federal Reserve Bank branches have either five of Governors of the Federal Reserve System. The or seven directors, of whom a majority are appointed announcement of appointments of branch directors by the board of directors of the parent Federal Re- made by the Board of Governors is published on pages serve Bank, and the others are appointed by the Board 109-12 of this BULLETIN. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

110 FEDERAL RESERVE BULLETIN • JANUARY 1965 Richmond Baltimore ADRIAN L. McCARDELL, President, First National Bank of Maryland, Baltimore, Maryland. Mr. McCardell succeeds Harvey E. Emmart, Senior Vice President, Maryland National Bank, Baltimore, Maryland. MARTIN PIRIBEK, Executive Vice President, The First National Bank of Morgantown, West Virginia. (Reappointed) Charlotte CARL G. McCRAW, President, First Union National Bank of North Carolina, Charlotte, North Carolina. Mr. Mc- Craw succeeds Joe H. Robinson, Vice President, Belk Stores, Inc., Charlotte, North Carolina. WALLACE W. BRAWLEY, Senior Executive Vice President, The First Commercial National Bank of Spartanburg, South Carolina. (Reappointed) Atlanta Birmingham REX J. MORTHLAND, President, Peoples Bank and Trust Company, Selma, Alabama. Mr. Morthland succeeds John H. Neill, Jr., President, Union Bank & Trust Co., Montgomery, Alabama. C. WILLARD NELSON, President, State National Bank, Decatur, Alabama. Mr. Nelson succeeds W. H. Mitchell, President, The First National Bank of Florence, Alabama. Jacksonville WILLIAM R. BARNETT, Chairman, Barnett National Bank of Jacksonville, Florida. Mr. Barnett succeeds J. T. Lane, Chairman of the Board, The Atlantic National Bank, Jacksonville, Florida. DUDLEY COLE, President, Florida First National Bank at Ocala, Florida. Mr. Cole succeeds Harry Fagan, President, First National Bank in Fort Myers, Florida. Nashville S. N. BROWN, President, Union National Bank, Fayetteville, Tennessee. Mr. Brown succeeds Travis Hitt, President, Farmers National Bank, Winchester, Tennessee. J. A. HILL, President, Hamilton National Bank, Morristown, Tennessee. Mr. Hill succeeds Harry M. Nacey, Jr., President, Hamilton National Bank, Knoxville, Tennessee. New Orleans W. R. WHITE, President, First National Bank of Jefferson Parish, Gretna, Louisiana. Mr. White succeeds Lewis Gottlieb, Chairman of the Board, City National Bank, Baton Rouge, Louisiana. ROBERT M. HEARIN, President, First National Bank of Jackson, Mississippi. Mr. Hearin succeeds John Oulliber, President, The National Bank of Commerce in New Orleans, Louisiana. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 111 Chicago Detroit RAYMOND T. PERRING, Chairman of the Board, The Detroit Bank & Trust Company, Detroit, Michigan. Mr. Perring succeeds Donald F. Valley, Chairman of the Board, National Bank of Detroit, Michigan. St. Louis Little Rock ROSS E. ANDERSON, Chairman of the Board, The Commercial National Bank of Little Rock, Arkansas. (Reappointed) Louisville J. E. MILLER, Executive Vice President, Sellersburg State Bank, Sellersburg, Indiana. Mr. Miller succeeds John R. Stroud, Executive Vice President, The First National Bank of Mitchell, Indiana. Memphis LEON C. CASTLING, President, First National Bank at Marianna, Arkansas. (Reappointed) Minneapolis (2-year terms) Helena CHARLES H. BROCKSMITH, President, First Security Bank of Glasgow N. A., Glasgow, Montana. Mr. Brocksmith succeeds Roy G. Monroe, Chairman of the Board, The First State Bank of Malta, Montana. GLENN H. LARSON, President, First State Bank of Thompson Falls, Montana. Mr. Larson succeeds Harald E. Olsson, President, Ronan State Bank, Ronan, Montana. Kansas City (2-year terms) Denver THEODORE D. BROWN, President, Security State Bank, Sterling, Colorado. Mr. Brown succeeds J. H. Bloedorn, President, The Farmers State Bank of Fort Morgan, Colorado. J. P. BRANDENBURG, President, The First State Bank of Taos, New Mexico. (Reappointed) Oklahoma City C. M. CRAWFORD, President, First National Bank, Frederick, Oklahoma. Mr. Crawford succeeds R. L. Kelsay, Chairman of the Board and President, The First National Bank in Hobart, Oklahoma. GUY L. BERRY, JR., President, The American National Bank and Trust Company, Sapulpa, Oklahoma. (Reappointed) Omaha W. B. MILLARD, JR., Chairman of the Board, Omaha National Bank, Omaha, Nebraska. Mr. Millard succeeds John F. Davis, President, First National Bank, Omaha, Nebraska. Dallas El Paso ROBERT F. LOCKHART, Vice President, The State National Bank of El Paso, Texas. Mr. Lockhart succeeds Joseph F. Irvin, President, Southwest National Bank of El Paso, Texas. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

112 FEDERAL RESERVE BULLETIN • JANUARY 1965 Dallas—Continued Houston San Antonio MAX A. MANDEL, President, The Laredo National Bank, Laredo, Texas. (Reappointed) San Francisco (2-year terms) Los Angeles DOUGLAS SHIVELY, President, Citizens State Bank of Santa Paula, California. (Reappointed) HARRY J. VOLK, President, Union Bank, Los Angeles, California. Mr. Volk succeeds Roy A. Britt, Vice Chairman of the Board and Chairman, Executive Committee, Crocker-Citizens National Bank, Los Angeles, California. Portland E. W. FIRSTENBURG, Chairman of the Board and President, First Independent Bank, Vancouver, Washington. Mr. Firstenburg succeeds D. S. Baker, President, The Baker-Boyer National Bank, Walla Walla, Washington. E. M. FLOHR, President, The First National Bank of Wallace, Idaho. (Reappointed) Salt Lake City ALAN B. BLOOD, Executive Vice President, Barnes Banking Company, Kaysville, Utah. (Reappointed) NEWELL B. DAYTON, Chairman of the Board, Tracy- Collins Bank & Trust Company, Salt Lake City, Utah. Mr. Dayton succeeds Reed E. Holt, President, Walker Bank & Trust Company, Salt Lake City, Utah. Seattle CHAS. H. PARKS, Executive Vice President, Seattle-First National Bank, Spokane, Washington. (Reappointed) M. F. HASTINGS, President, The First National Bank of Ferndale, Washington. (Reappointed) CHANGES IN THE BOARD'S STAFF versities, and in 1957 he received the Rockefeller Effective January 1, 1965, Mr. Samuel I. Katz Public Service Award for outstanding public was appointed an Adviser in the Division of Inter- service. national Finance, and Mr. Robert Solomon was Mr. Solomon was appointed to the Board's staff appointed an Adviser in the Division of Research In December 1947 as an Economist in the Diviand Statistics. sion of International Finance. In the Division of Mr. Katz was appointed to the Board's staff as Research and Statistics, he has held positions as an Economist in July 1948 and has held the posi- Economist; Senior Economist; Chief, Capital Martion of Associate Adviser in his Division since kets Section; Assistant to the Director, and Asso- January 1, 1961. Prior to that date he was Chief, ciate Adviser, a position to which he was ap- British Commonwealth, Scandinavia, and the Near pointed in December 1962. Mr. Solomon received East Section of the International Finance Division. his A.B. degree from the University of Michigan Mr. Katz holds undergraduate and graduate de- and his M.A. and Ph.D. degrees from Harvard grees from George Washington and Harvard Uni- University. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 113 EARNINGS AND EXPENSES OF THE FEDERAL Accordingly, the Board of Governors of the RESERVE BANKS IN 1964 AND 1963 Federal Reserve System has concluded that the Preliminary figures received from the Federal Regrowth in the capital and accumulated surplus serve Banks indicate that during the year 1964 of the several Reserve Banks, as well as in their their earnings amounted to $1,344 million, an innet earnings (which rose from $840 million in crease of $193 million compared with 1963. Earn- 1959 to $1,147 million in 1964), warrants reducings of $1,324 million on U.S. Government seing the surplus of the Reserve Banks to the level curities were $186 million more than in 1963, of paid-in capital instead of subscribed capital as reflecting an increase in average holdings and a has heretofore been the case. This decision will higher average yield. Earnings from discounts and add $524 million to the amount paid into the advances were $10 million, compared with $9 Treasury in 1965. million in 1963; and earnings on foreign currencies amounted to $6 million, compared with $2 million in 1963. Expenses in 1964 amounted to $197 million, Item 1964 1963 $10 million more than in 1963, leaving net earnings of $1,147 million before dividends and pay- Thousands of dollars ments to the U.S. Treasury, compared with $964 million in 1963. Current earnings 1,343,747 1,151,120 Current expenses 197,396 187,273 Payments of statutory dividends to member Current net earnings 1,146,351 963,847 banks amounted to $31 million, up $2 million Net addition to current net earnings1 726 615 from 1963. Payments to the U.S. Treasury as Net earnings before payments to U.S. interest on Federal Reserve notes for the year Treasury 1,147,077 964,462 1964 will total $1,582 million. These payments Dividends paid 30,782 28,912 consist of all net earnings after dividends plus Payments to U.S. Treasury (interest on F.R. notes) 1,582,119 879,685 amounts necessary to reduce surplus to the level of Transferred to surplus -465,823 55,864 paid-in capital, instead of subscribed capital, as heretofore. 1 Includes net profits on sales of U.S. Govt. securities of $616,000 in 1964 and $312,000 in 1963. Since 1959, the Federal Reserve System has been paying into the U.S. Treasury as interest on REGULATION F Federal Reserve notes all net earnings of the On December 29, 1964, the Board of Governors Federal Reserve Banks after payment of statutory of the Federal Reserve System issued its new dividends and amounts set aside to maintain the Regulation F, Securities of Member Banks, effecsurplus accounts of the twelve Reserve Banks at tive January 1, 1965. The text of the regulation a level equal to the amount of capital subscribed by their member banks. and related forms are printed in this BULLETIN beginning at page 13. Member banks are required to subscribe to Federal Reserve Bank capital stock in an amount ERRATA equal to six per cent of their own capital and surplus, and to pay in one-half of the subscribed The article "Major Issues in Monetary and Fiscal amount. Because of the growth in the capital Policies" in the November 1964 issue of the BULstructure of the 6,200 member banks, in reflec- LETIN contains an error in the list of references tion of the growth of the economy, the sub- on page 1413. Item 23 should read, "23. Winfield scribed capital of the Reserve Banks at the end W. Riefler, Money Rates and Money Markets in of 1964 had reached $1,048 million, an increase the United States (Harper and Bros., New York, of nearly $300 million since 1959. 1930)." Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

National Summary of Business Conditions Released for publication January 15 Industrial production rose sharply further in at a record rate. Production of most other con- December and retail sales rebounded. Employment sumer goods increased further in December, paced increased and the unemployment rate edged down. by a sharp rise in television sets. Output of business Bank credit and the money supply continued to equipment continued to expand as production of expand but at a lesser rate than earlier. In late industrial and commercial machinery as well as of December and early January, changes in bond trucks increased. Among materials, iron and steel yields were generally small. production rose further and was near the record rates reached just before and just after the long strike in 1959. Output of most other materials also INDUSTRIAL PRODUCTION increased. Industrial production in December rose to 137.0 per cent of the 1957-59 average from 134.8 per CONSTRUCTION cent in November. The December index was 8 New construction put in place was unchanged per cent above a year earlier, and for the year as in December and, at a seasonally adjusted annual a whole industrial output was 6 per cent higher rate of $65Vi billion, was slightly below the peaks than in 1963. reached earlier in 1964. Residential construction Much of the December increase was accounted activity receded slightly further in December, for by a sharp rise in output of autos, trucks, and while business construction held at a record rate automotive parts as producers attempted to make and public construction increased. up for the output lost through work stoppages earlier in the autumn. However, output increased EMPLOYMENT in most other major industries. Auto assemblies rose to a seasonally adjusted Employment in nonfarm establishments rose annual rate of more than 9 million units and were substantially further in December. In manufactur- 12 per cent above last summer, before the strikes, ing, gains were concentrated in durable goods, and 18 per cent above December 1963. Schedules particularly the metal-using industries. The averfor January indicate that assemblies will remain age factory workweek lengthened, reflecting mainly increased overtime in the auto industry. Outside manufacturing, employment rose further INDUSTRIAL PRODUCTION in construction and State and local government. 1957-59=100 The unemployment rate edged down to 4.9 per cent from 5.0 per cent in November. In December 1963, it was 5.5 per cent. DISTRIBUTION Deliveries of autos, which were limited by work stoppages in October and November, rose sharply in December to a new high. For the fourth quarter as a whole, deliveries were about 5 per cent below a year earlier. Dealer stocks of autos increased more than seasonally in December, but they remained moderately below a year earlier. Reflecting mainly the increase in auto deliveries, 1964 1960 total retail sales rose SVi per cent to a record high. F.R. indexes, seasonally adjusted. Latest figures shown for December. Sales declined slightly at general merchandise 114 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

NATIONAL SUMMARY OF BUSINESS CONDITIONS 115 stores but increased somewhat at most other cate- mercial banks rose appreciably further, but the gories of retail outlets. rise was not as large as in November. Seasonally adjusted total and required reserves COMMODITY PRICES increased in December. Member bank borrowings declined substantially and averaged $170 million The wholesale price index for industrial comless than excess reserves. In November, they had modities changed little in late December and early slightly exceeded excess reserves. Reserves were January and remained a half of 1 per cent above supplied principally by System purchases of U.S. a year earlier. The index for steel mill products Government securities and by an increase in float, increased 0.2 per cent as prices of some galvanized and reserves were absorbed by an outflow of curproducts were raised 2 to 3 per cent. Meanwhile, rency and by a build-up in Treasury deposits at copper prices on the New York and London exthe Reserve Banks. changes, which had risen to levels substantially above prices quoted by primary producers, de- SECURITY MARKETS clined sharply. Prices of foods and foodstuffs generally changed little. Between mid-December and mid-January, yields on seasoned high-grade corporate and on State BANK CREDIT, MONEY SUPPLY, AND RESERVES and local government bonds eased, with those on the latter reaching their lowest levels since the Seasonally adjusted commercial bank credit inspring of 1963. Yields on long-term Government creased about $1 billion in December following a bonds edged higher, while rates on Treasury bills $4 billion rise in November. While major catedeclined slightly. In early January, the Treasury gories of loans increased substantially in Decem- conducted an advance refunding in which $9 bilber, holdings of U.S. Government securities de- lion of short-term securities held by the public clined and holdings of other securities were were exchanged for longer-term bonds. unchanged. The seasonally adjusted money supply Common stock prices increased moderately in increased $300 million, a considerably smaller late December and early January. In mid-January, amount than the average monthly rise in the average prices were only slightly below the high August-November period. Time deposits at com- reached in November. PRICES INTEREST RATES 1957-59 = 100 AIL ITEMS - - ALL COMMODITIES - ' """ 1 1 1 1 1 1 1 - COMMODITIES NONFOOD COMMODITIES Other than farm and food 1 i I I 1 1 1 SERVICES #__ PROCESSED FOODS | *»' FARM PRODUCTS •**"•*'*" 1 1 ! Discount rate, range or level for all F.R. Banks. Weekly Bureau of Labor Statistics indexes. Latest figures shown for average market yields for U.S. Govt. bonds maturing in 10 consumer prices, November; for wholesale prices, December years or more and for 90-day Treasury bills. Latest figures estimates. shown, week ending Jan. 8. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Guide to Tabular Presentation SYMBOLS AND ABBREVIATIONS e Estimated N.S.A. Monthly (or quarterly) figures not adjusted c Corrected for seasonal variation P Preliminary IPC Individuals, partnerships, and corporations r Revised A Assets L Liabilities rp Revised preliminary S Sources of funds i, II, U Uses of funds in, rv Quarters * Amounts insignificant in terms of the parn.a. Not available ticular unit (e.g., less than 500,000 when n.e.c. Not elsewhere classified the unit is millions) S.A. Monthly (or Quarterly) (1) Zero, (2) no figure to be expected, or (3) seasonal variation figure delayed GENERAL INFORMATION Minus signs are used to indicate (1) a decrease, (2) a negative figure, or (3) an outflow. A heavy vertical rule is used (1) to the right (to the left) of a total when the components shown to the right (left) of it add to that total (totals separated by ordinary rules include more components than those shown), (2) to the right (to the left) of items that are not part of a balance sheet, (3) to the left of memorandum items. "U.S. Govt. securities" may include guaranteed issues of U.S. Govt. agencies (the flow of funds figures also include not fully guaranteed issues) as well as direct obligations of the Treasury. "State and local govt." also includes municipalities, special districts, and other political subdivisions. In some of the tables details do not add to totals because of rounding. The footnotes labeled NOTE (which always appear last) provide (1) the source or sources of data that do not originate in the System; (2) notice when figures are estimates; and (3) information on other characteristics of the data. LIST OF TABLES PUBLISHED QUARTERLY, SEMIANNUALLY, OR ANNUALLY, WITH LATEST BULLETIN REFERENCE Quarterly Issue Page Annually—Continued Issue Page Flow of funds. Jan. 1965 176-85 Banking and monetary statistics, 1963. Feb. 1964 242-47 Mar. 1964 396-97 Banks and branches, number of, by class and Semiannually State Apr. 1964 518-19 Banking offices: Analysis of changes in number of Aug. 1964 1082 Flow of funds (assets and liabilities). Apr. 1964 517 On, and not on. Federal Reserve Par List numberof Aug. 1964 1083 Income and expenses: Federal Reserve Banks Feb. 1964 238-39 Member banks: Annually Calendar year May 1964 630-38 Operating ratios Apr. 1964 520-22 Bank holding companies: Insured commercial banks May 1964 639 list of, Dec. 31,1963 June 1964 782 Banking offices and deposits of group banks, Stock exchange firms, detailed debit and credit Dec.31,1963 June 1964 783 balances Sept 1964 1206 116 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Financial and Business Statistics * United States * Member bank reserves, Reserve Bank credit, and related items; Federal funds. 118 Reserve Bank discount rates; margin requirements; reserve requirements 123 Open market transactions; Federal Reserve Banks. . .... 125 Bank debits; currency in circulation 128 Money supply; banks and the monetary system .130 Commercial and mutual savings banks, by classes. . 132 Commercial banks, by classes 136 t Weekly reporting member banks. 138 Business loans . 141 Interest rates 142 Security prices; stock market credit; open market paper. . 143 Savings institutions. . 144 Federal finance 146 Federally sponsored agencies. 151 Security issues . 152 Business finance. . 155 Real estate credit. 157 Consumer credit. 160 Industrial production. . .. 164 Business activity; construction. 168 Employment and earnings 170 Wholesale and consumer prices 172 National product and income series. , 174 Flow of funds... 176 Guide to tabular presentation. 116 Index to statistical tables. 211 The data for F.R. Banks and member banks and eral finance, and Federal credit agencies are obfor consumer credit are derived from regular tained from Treasury statements. The remainreports made to the Board; production indexes ing data are obtained largely from other are compiled by the Board on the basis of data sources. For many of the banking and monetary collected by other agencies; and flow of funds series back data and descriptive text are availfigures are compiled on the basis of materials able in Banking and Monetary Statistics and from a combination of sources, including the its Supplements (see list of publications at end Board. Figures for gold stock, currency, Fed- of the BULLETIN). 117 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

118 BANK RESERVES AND RELATED ITEMS JANUARY 1965 MEMBER BANK RESERVES, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS (In millions of dollars) Factors supplying reserve funds Factors absorbing reserve funds F. R. Bank credit outstanding Deposits, other P d e o a ri r t o e d T U o .S ta . l Go B r v o o i t g u u . h t g - s t h e t cu R m c r a i e h g t e p i a r n e u e s s t r e e s - - c v D o a a a n u n i d s c d n - - e ts s Float t T a o l - 2 s G to o c ld k T r s c o r e t u i e a u n n u r a n r y g c t s - - d y - - r c C t e c u i i n u i o n l r c a r n - - y - T h c i r u o n e a r l g a s y d h s s - - Tr t u w h e r a a i y s t n h - m r F e . e s F e e m R i o g r r . v b n - e e B s r a , O b n a t k h n s e k r i O c F o t . a h u c e R - n r t . s B W F a . n i R t k M h . s e r m e c r C s e o b a e n n u i e r n c r d r v - y e 3 b s an T k otal Averages of daily figures 1929—June 179 179 978 61 1,317 4,024 2,018 4,400 210 30 30 376 2,314 2,314 1933—June.... 1,933 1,933 250 12 2,208 4,030 2,295 5,455 272 81 164 350 2,211 2,211 1939—Dec 2,510 2,510 8 83 2,612 17,418 2,956 7,609 2,402 616 739 248 11,473 11,473 1941—Dec 2,219 2,219 5 170 2,404 22,759 3,239 10,985 2,189 592 1,531 292 12,812 12,812 1945—Dec 23,708 23,708 381 652 24,744 20,047 4,322 28,452 2,269 625 1,247 493 16,027 16,027 1950—Dec.. 20,345 20,336 9 142 ,117 21,606 22,879 4,629 27,806 1,290 615 920 353 739 17,391 17,391 1951—Dec. 23,409 23,310 99 657 ,375 25,446 22,483 4,701 29,139 1,280 271 571 264 796 20,310 20,310 1952—Dec.. 24,400 23,876 524 1,633 ,262 27,299 23,276 4,806 30,494 1,271 569 745 290 832 21,180 21,180 1953_Dec.. 25,639 25,218 421 448 ,018 27,107 22,028 4,885 30,968 767 602 466 390 908 19,920 19,920 1954—Dec.. 24,917 24,888 29 407 992 26,317 21,711 4,982 30,749 805 443 439 365 929 19,279 19,279 1955—Dec.. 24,602 24,318 284 840 ,389 26,853 21,689 5,008 31,265 777 434 459 394 983 19,240 19,240 1956—Dec. 24,765 24,498 267 706 ,633 27,156 21,942 5,064 31,775 772 463 372 247 998 19,535 19,535 1957—Dec. 23,982 23,615 367 716 ,443 26,186 22,769 5,144 31,932 768 385 345 186 1,063 19,420 19,420 1958—Dec.. 26,312 26,216 96 564 ,496 28,412 20,563 5,230 32,371 691 470 262 337 1,174 18,899 18,899 1959—Dec. 27,036 26,993 43 911 ,426 29,435 19,482 5,311 32,775 396 524 361 348 1,195 18,628 304 18,932 1960—Dec 27,248 27,170 78 94 665 29,060 17,954 5,396 33,019 408 522 250 495 1,029 16,688 2,595 19,283 1961—Dec 29,098 29,061 37 152 ,92131,217 16,929 5,587 33,954 422 514 229 244 1,112 17,259 2,859 20,118 1962—Dec 30,546 30,474 72 305 2,29833,218 15,978 5,561 35,281 398 587 222 290 1,048 16,932 3,108 20,040 1963—June 31,540 31,446 94 236 1,635 33,454 15,785 5,583 35,293 400 794 193 216 1,125 16,800 2,929 19,729 1963—Dec 33,729 33,626 103 360 2,434 36,610 15,562 5,583 37,603 389 879 160 206 1,215 17,303 3,443 20,746 1964—Jan 33,200 33,127 73 289 2,164 35,770 15,513 5,583 36,827 408 965 155 212 1,052 17,247 3,428 20,675 Feb 33,009 32,981 28 311 ,644 35,028 15,480 5,586 36,383 429 926 141 205 991 17,018 3,130 20,148 Mar 33,389 33,348 41 259 ,710 35,454 15,462 5,579 36,615 433 948 153 202 998 17,146 3,067 20,213 Apr 33,498 33,453 45 214 ,798 35,602 15,462 5,580 36,887 426 924 141 195 987 17,084 3,189 20,273 May 33,907 33,836 71 256 ,747 35,981 15,462 5,577 37,107 425 957 148 180 1,111 17,092 3,127 20,219 June 34,631 34,530 101 271 ,784 36,760 15,462 5,584 37,541 414 886 135 200 1,273 17,356 3,202 20,558 July 34,898 34,765 133 265 ,84137,077 15,463 5,568 37,938 431 804 131 201 1,194 17,408 3,255 20,663 Aug 35,118 34,996 122 334 ,670 "3,7170 15,462 5,562 38,033 421 909 145 194 1,151 17,340 3,224 20,564 Sept 35,273 35,143 130 332 ,914 37,578 15,462 5,564 38,224 437 893 143 189 1,129 17,589 3,338 20,927 Oct 35,334 35,257 77 311 2,027 37,747 15,462 5,533 38,362 471 863 133 189 1,009 17,716 3,316 21,032 Nov 36,036 35,867 169 433 1,874 38,421 15,442 5,494 r38,937 529 613 148 200 1,119 17,812 3,348 21,160 Dec 37,126 36,895 231 266 2,42339,873 15,388 5,401 39,697 597 944 181 186 1,093 17,964'3,651^21,615 Week ending— 1963 Nov. 6 33,031 32,822 209 434 1,315 34,842 15,583 5,593 36,251 388 823 156 193 1,019 17,188 2,978 20,166 13 33,179 32,880 299 330 1,58135,138 15,582 5,598 36,625 402 886 146 198 1,001 17,060 3,005 20,065 20 32,949 32,773 176 462 2,180 35",635 15,582 5,596 36,722 403 1,045 144 208 ',211 17,080 3,170 20,250 27 33,111 33,018 93 233 2,126 35,512 15,582 5,593 36,872 386 1,006 151 199 ,250 16,823 3,212 20,035 Dec 4 33,795 33,590 205 540 1,63136,010 15,582 5,580 37,274 385 812 167 197 ,264 17,074 3,246 20,320 11 33,849 33,759 90 148 1,899 3355,945 15,582 5,586 37,487 388 856 143 202 ,268 16,770 3,224 19,994 18 33,665 33,582 83 307 2,47136,507 15,582 5,582 37,621 392 907 158 196 ,194 17,204 3,476 20,680 25 33,586 33,552 34 350 2,99137,040 15,552 5,586 37,752 395 903 154 210 ,208 17,556 3,445 21,001 1964 Jan. 1 33,655 33,563 92 590 2,752 37,153 15,513 5,580 37,730 381 927 185 227 ,142 17,653 3,796 21,449 8 33,698 33,531 167 396 2,46136,706 15,513 5,582 37,306 402 966 168 205 ,070 17,685 3,484 21,169 15 33,494 33,338 156 394 2,203 3366,231 15,513 5,584 36,983 406 1,033 167 213 ,062 17,463 3,442 20,905 22 32,944 32,944 198 2,36535,623 15,513 5,586 36,690 416 1,044 148 216 ,059 17,149 3,314 20,463 29 32,739 32,739 209 764 34,780 15,512 5,582 36,364 410 869 141 208 ,041 16,840 3,360 20,200 Feb. 5 33,009 32,979 277 ,417 34,771 15,512 5,587 36,292 425 759 131 214 960 17,089 3,131 20,220 12 33,275 33,214 372 ,496 35,208 15,498 5,586 36,462 424 978 151 200 961 17,116 3,062 20,178 19 32,887 32,862 291 ,846 35,088 15,462 5,583 36,469 420 979 124 209 960 16,972 3,199 20,171 26 32,750 32,750 200 ,835 34,846 15,462 5,588 36,308 439 903 147 197 1,051 16,852 3,184 20,036 Mar. 4 33,245 33,245 362 ,529 35,204 15,462 5,586 36,352 443 989 150 207 1,040 17,072 3,111 20,183 11 33,437 33,437 253 ,609 35,385 15,463 5,580 36,538 452 941 149 207 1,062 17,079 2,899 19,978 18 33,270 33,195 358 ,758 35,480 15,463 5,576 36,692 444 897 144 200 1,005 17,137 3,076 20,213 25 33,384 33,301 279 ,973 35,750 15,462 5,579 36,657 431 1,044 159 196 950 17,354 3,156 20,510 Apr. 1 33,575 33,534 155 512 35,353 15,462 ,578 36,735 391 881 164 202 952 17,067 3,242 20,309 8 33,979 33,916 209 593 35,898 15,463 ,583 36,839 415 922 148 203 1,039 17,376 2,974 20,350 15 33,843 33,843 191 756 35,891 15,462 ,585 36,998 439 980 135 197 1,005 17,183 3,185 20,368 22 33,050 33,050 321 166 35,593 15,462 ,576 36.912 432 898 133 187 946 17,123 3,200 20,323 29 33,086 32,985 101 137 772 35,083 15,462 5,578 36,813 423 929 140 193 959 16,667 3,299 19,966 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 BANK RESERVES AND RELATED ITEMS 119 MEMBER BANK RESERVES, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS—Continued (In millions of dollars) Factors supplying reserve funds Factors absorbing reserve funds F. R. Bank credit outstanding Deposits, other P d e o a ri r t o e d U.S. Govt. securities Dis- Gold T r c r e u e u n r a r y c s - y - r C e i n u n c r- y T c r u a e r s s y h a- th w a i n th m r F e e s . e m R rv b . e e B s r , a b n a k n s k O F. t h R e . r Me r m es b e e r r v e b s ank Total B r o o ig u u h t g - t htR m c a e h g e p a r n e u s t e e r s - - c v o a a a n n u d c d n - e ts s Float i To- stock s o t i a n u n g t- d- c t c u i i o l r a n - - h i o n l g d s - Tr u e r a y s- F ei o g r n - Other i co a u c n - ts B W F a . n i R t k h . s r c C e a o n n u i c d r n - y 3 Total Averages of daily figures Week ending— 1964 May 6 33,763 33,580 183 213 1,65335,724 15,463 5,582 36,910 426 156 188 954 17,247 3,030 20,277 13 33,987 33,904 83 314 1,640 3"6,020 15,463 5,571 37,150 417 990 160 179 939 17,218 3,075 20,293 20 33,749 33,715 34 298 2,064 36,179 15,462 5,573 37,154 427 1,010 143 178 1,195 17,107 3,197 20,304 27 33,839 33,819 20 209 1,73935,844 15,462 5,581 37,123 430 927 131 174 1,250 16,852 3,262 20,114 June 3 34,381 34,327 54 265 1,52136,222 15,463 5,584 37,263 425 914 145 197 1,257 17,066 3,128 20,194 10 34,757 34,530 227 289 1,47136,597 15,462 5,590 37,487 436 905 135 199 1,308 17,179 3.007 20,186 17 34,591 34,438 153 328 1,82336,811 15,461 5,582 37,614 415 880 131 196 1,240 17,378 3;238 20,616 24 34,427 34,427 232 2,136 3"'6,875 15,461 5,582 37,574 395 905 138 203 1,273 17,430 3,297 20,727 July 1 34,841 34,823 18 221 1,81836,960 15,462 5,582 37,618 404 873 140 195 1,276 17,498 3,347 20,845 8 35,335 35,215 120 263 1,882 3377,588 15,463 5,574 37,916 416 842 134 222 1,256 17,840 2,965 20,805 15 35,304 35,030 274 460 1,78737,636 15,463 5,562 38,099 425 885 123 204 1,223 17,703 3,291 20,994 22 34,392 34,392 159 2,19536,789 15,463 5,566 37,969 444 770 131 191 1,158 17,154 3,275 20,429 29 34,518 34,357 179 1,626 3"'6,381 15,463 5,567 37,814 440 711 133 190 1,148 16,975 3,353 20,328 Aug. 5 35,112 34,980 132 262 1,460 36,892 15,462 5,570 37,893 433 769 137 199 1,132 17,363 3,197 20,560 12 35,397 35,097 300 376 1, ,393 15,462 5,554 38,114 417 964 141 193 1,113 17,467 3,130 20,597 19 34,855 34,855 279 2,024 37,197 15,461 5,558 38,113 412 932 144 199 1,102 17,314 3,269 20,583 26 35,051 34,929 122 329 1,71937,137 15,462 5,563 37,998 429 918 145 188 1,214 17,270 3,340 20,610 Sept. 2 35,162 35,144 18 315 1,45136,968 15,462 5,572 38,007 423 858 164 191 1,199 17,159 3,362 20,521 9 35,611 35,234 377 478 1,56337,716 15,462 5,566 38,243 426 857 131 188 1,220 17,679 3,000 20,679 16 35,397 35,262 135 225 846 37,524 15,462 5,564 38,425 435 906 142 194 1,163 17,285 3,454 20,739 23 34,904 34,904 410 2,465 37,820 15,462 5,569 38,192 448 962 131 193 1,054 17,870 3,386 21,256 30 35,186 35,157 '"29 280 1,94337,487 15,461 5,556 38,075 440 914 161 186 1,066 17,662 3,477 21,139 Oct. 7 35,759 35,549 210 372 820 38,051 15,463 5,554 38,209 457 838 131 204 1,103 18,125 3,134 21,259 14 35,663 35,532 131 241 875 37,876 15,462 5,541 38,465 470 865 133 177 1,028 17,739 3,246 20,985 21 34,909 34,909 382 548 37,878 15,463 5,538 38,432 489 1,012 130 189 966 17,660 3,331 20,991 28 34,911 34,911 233 ,995 37,203 15,462 5,513 38,333 467 810 137 185 925 17,321 3,455 20,776 Nov. 4 35,711 35,642 69 479 634 37,910 15,462 5,505 38,446 484 666 122 197 1,111 17,851 3,359 21,210 11 35,986 35,671 315 429 1,71138,201 15,463 5,497 38,793 503 546 139 205 1,153 17,823 3,192 21,015 18 35,913 35,698 215 593 38,532 15,462 5,497 38,975 533 563 130 215 1,150 17,926 3,389 21,315 25 35,992 35,867 125 162 2,136 38,388 15,430 5,494 39,071 552 521 148 183 1,245 17,592 3,467 21,059 Dec. 2 36,€67 36,667 377 1,860 38,969 15,387 5,456 39,277 554 827 224 196 886 17,848 3,528 21,376 9 37,335 37,335 124 1,950 39,480 15,387 5,400 39,476 571 873 186 186 1,231 17,745 3,400 21,145 16 37,335 37,020 315 162 2,084 39,632 15,388 5,402 39,743 593 1,024 142 176 1,106 17,637 3,750 21,387 23 36,926 36,660 266 291 2,907 40,175 15,387 5,404 39,834 608 978 144 183 1,057 18,160 3,681 21,841 30 36,936 36,570 366 535 2,884 40,409 15,388 5,397 39,852 620 990 221 996 18,338^3,655 '21,993 End of month 1964 Oct 35,709 35,709 415 1,695 37,900 15,462 5,505 38,373 475 687 120 194 1,135 17,883 3,128 21,011 N D o ec v 3 3 6 7 , , 7 0 7 4 4 4 3 3 6 6 , , 7 5 7 0 4 6 538 2 1 1 8 0 6 2 2 , , : 606 39 , , 3 9 0 3 2 0"1 1 5 5 , , 3 3 8 8 8 6 * 5 5 , , 4 4 1 0 4 4P 3 3 9 9 , , 2 5 4 7 8 2 543 9 8 7 2 4 0 2 2 5 2 6 9 2 3 0 2 9 1 1, 7 03 8 6 7 1 18 8 , , 0 0 8 8 6 4 H 3 , , 3 2 \ 2 0 8 *> 2 2 1 2 , , 3 3 1 9 2 6 Wednesday 1964 Nov. 4 35,953 35,709 244 409 1,187 37,643 15,463 5,497 38,622 490 546 131 197 1,171 17,446 3,462 20,908 11 35,854 35;578 276 514 1,57738,016 15,463 5,496 38,983 515 641 144 242 1,098 17,353 3,638 20,991 18 36,269 35,765 504 149 2,07138,580 15,463 5,495 39,031 546 425 157 191 1,302 17,885 3,680 21,565 25 36,280 36,280 160 1,612 "38,141 15,388 5,487 39,266 559 752 194 186 1,081 16,978 3,890 20,868 Dec. 2 37,371 37,371 152 1,664 39,262 15,388 5,403 39,381 562 617 281 190 1,313 17,709 3,798 21,507 9 37,039 37,039 246 1,53438,877 15,388 5,397 39,717 585 1,118 148 183 1,137 16,774 3,847 20,621 16 37,281 36,907 374 227 2,434 39",993 15,388 5,408 39,839 602 1,070 121 175 1,048 17,933 4,112 22,045 23 37,030 36,618 412 505 2,646 40,234 15,388 5,391 39,974 612 918 206 163 993 18,147 4,015 22,162 30 36,763 36,506 257 357 2,502 39,688 15,388 5,405 39,775 642 754 228 188 1,067 17,826 4,359 22,185 1 Beginning with 1960 reflects a minor change in concept, see Feb. 3 Part allowed as reserves Dec. 1, 1959-Nov. 23, 1960; all allowed 1961 BULL., p. 164. thereafter. Beginning with Jan. 1963 figures are estimated except for 2 Includes industrial loans and acceptances, when held. (Industrial weekly averages. loan program discontinued Aug. 21, 1959.) For holdings of acceptances on Wed. and end-of-month dates, see subsequent tables on F. R. Banks. See also note 1. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

120 BANK RESERVES AND RELATED ITEMS JANUARY 1965 RESERVES AND BORROWINGS OF MEMBER BANKS (In millions of dollars) Reserve city banks All member banks New York City City of Chicago Period Reserves Bor- Reserves Bor- Reserves Bor- T h o e t ld al qu R i e r - ed Excess B F r i . a o n a n w g t R k s - . s s F e r r r e v e - e e s T h o el t d al qu R i e r - ed Excess B F r i a . o n a n w g t R k s - . s s F e r r r e v e - e e s T h o e t ld al qu R i e r - ed Excess B F r i . o a n a n w g t R k s - . s s F e r r r e v e - e e s 1929—June.... 2,314 2,275 42 974 -932 762 755 7 174 -167 161 161 1 63 -62 1933—June 12,160 1,797 363 184 179 861 792 69 69 211 133 78 78 1939—Dec 11,473 6,462 5,011 3 5,008 5,623 3,012 2,611 2,611 1,141 601 540 540 1941—Dec 12,812 9,422 3,390 5 3,385 5,142 4,153 989 989 1,143 848 295 295 1945—Dec 16,027 14,536 1,491 334 1,157 4,118 4,070 48 192 -144 939 924 14 14 1947—Dec 17,261 16,275 986 224 762 4,404 4,299 105 38 67 1,024 ,011 13 7 1950—Dec 17,391 16,364 1,027 142 885 4,742 4,616 125 58 67 1,199 ,191 5 3 1951—Dec 20,310 19,484 826 657 169 5,275 5,231 44 151 -107 1,356 ,353 3 64 -61 1952—Dec 21,180 20,457 723 1,593 -870 5,357 5,328 30 486 -456 1,406 ,409 -4 232 -236 1953—Dec 19,920 19,227 693 441 252 4,762 4,748 14 115 -101 1,295 ,295 1 37 -36 1954—Dec 19,279 18,576 703 246 457 4,508 4,497 12 62 -50 1,210 ,210 -1 15 -16 1955—Dec 19,240 18,646 594 839 -245 4,432 4,397 35 197 -162 1,166 ,164 2 85 -83 1956—Dec 19,535 18,883 652 688 -36 4,448 4,392 57 147 -91 1,149 ,138 12 97 -86 1957—Dec 19,420 18,843 577 710 -133 4,336 4,303 34 139 -105 1,136 ,127 85 -77 1958—Dec 18,899 18,383 516 557 -41 4,033 4,010 23 102 -81 1,077 ,070 39 -31 1959—Dec 18,932 18,450 482 906 -424 3,920 3,930 -10 99 -109 1,038 ,038 104 -104 1960—Dec 19,283 18,514 769 87 682 3,687 3,658 29 19 10 953 -4 1961—Dec 20,118 19,550 568 149 419 3,834 3,826 7 57 -50 987 987 -22 1962—Dec 20,040 19,468 572 304 268 3,863 3,817 46 108 -62 1,042 ,035 -11 1963—June. ... 19,729 19,355 374 236 138 3,722 3,742 -20 39 -59 1,028 ,032 -7 1963—Dec.. . 20,746 20,210 536 327 209 3,951 3,895 56 37 19 1,056 ,051 -21 1964—Jan 20.675 20.248 427 256 171 3,906 3,893 13 36 -23 ,048 ,044 -22 Feb 20,148 19,753 395 304 91 3,797 3,757 40 47 -7 ,014 ,016 -89 Mar 20.213 19,856 357 259 98 3,803 3,798 5 22 -17 ,026 ,022 -86 Apr 20.273 19,898 375 213 162 3,787 3,773 14 16 -2 ,021 ,015 -14 May.... 20.219 19,886 333 255 78 3,833 3,832 26 -26 ,044 ,042 -3 June.... 20.558 20,170 388 270 118 3,983 3,945 39 -1 ,033 ,034 -14 July 20,663 20,266 397 265 132 3,943 3,921 40 -18 ,039 ,036 -19 Aug 20,564 20,151 413 334 79 3,876 3,858 39 -22 ,039 ,033 -8 Sept 20,927 20,506 421 331 90 3,983 3,954 45 -16 ,061 ,061 -34 Oct 21,032 20,620 412 309 103 3,962 3,942 54 -34 ,058 ,056 -26 Nov 21,160 20.764 396 430 -34 3,893 3,882 97 -86 ,076 ,072 -17 Dec ^21,615^21,201 M14 243 4,083 4,062 35 -13 ,083 ,086 -32 Week ending— 1963—Dec. 4. 20,320 19,734 586 507 79 3,741 3,707 34 -25 ,032 1,027 -37 19,994 19,804 190 115 75 3.747 3,745 3 -10 ,009 1,012 -6 2 18 5 " . . 2 21 0 , , 0 6 0 8 1 0 2 2 0 0 , , 1 5 8 2 8 7 4 4 9 7 2 4 2 3 7 1 2 7 2 1 2 5 0 7 4 3 , . 0 9 4 1 6 3 4 3 , , 0 9 0 0 4 6 42 8 -11 o , , 0 0 5 8 3 0 1 1 , , 0 0 4 8 4 0 - - 1 2 5 4 1964—July 1 . 20,845 20,443 402 221 181 4.075 4,046 29 6 ,054 1,059 -27 8. 20,805 20.514 291 263 28 4,012 4,007 5 -86 ,056 1,050 2 15. 20,994 20.422 572 460 112 3,969 3,921 48 -16 ,041 1,039 -66 22. 20,429 20,151 278 159 119 3,905 3,883 22 22 ,043 1,036 1 29. 20,325 19,957 368 179 189 3,862 3,846 16 -2 ,022 1,020 -4 Aug. 5. 20,560 20,209 351 260 91 3,931 3,934 -2 14 -16 ,037 1,036 -5 12. 20,597 20,123 474 376 98 3,833 17 3 13 ,028 1,029 -21 19. 20,583 20,192 391 278 113 3,875 10 49 -39 ,033 1,037 -13 26. 20,611 20,140 471 329 142 3,839 12 56 -43 ,035 1,035 -14 Sept. 2. 20,521 20,133 388 315 73 3.882 3,841 56 -15 ,038 1,033 -2 9. 20,679 20,182 497 478 19 3.831 3,823 30 -22 ,038 1,033 -54 16. 20,739 20,368 371 225 146 3,924 3,894 21 8 ,043 1,043 -5 23. 21,256 20,775 481 409 72 4.041 4,036 137 -132 ,087 1,085 -35 30. 21,140 20,752 388 278 110 4,143 4,073 6 65 ,088 1,084 -38 Oct. 7. 21,259 20,826 433 370 63 4.095 4,089 53 -47 ,070 1,070 -69 14. 20,985 20,575 410 239 171 3,948 3,898 59 -9 ,047 1,042 -27 21. 20,991 20,574 417 380 37 3.905 87 -80 ,054 1,057 -14 28. 20,776 20,465 311 230 81 3,881 3^872 1 ,052 1,048 -6 Nov. 4. 21,210 20,768 442 476 -34 4,021 3,989 220 -188 ,083 1,081 11. 21,015 20,646 369 427 -58 3,829 3,824 73 -68 ,065 1,059 6 18. 21,315 20,724 591 590 1 3,862 3.837 131 -106 ,070 1,070 44 -44 25. 21,059 20,801 258 159 99 3,904 3,879 10 15 ,083 1,078 5 Dec. 2. 21,376 20,987 389 375 14 3,972 3,969 24 -21 ,081 1,081 32| -32 9. 21,145 20,852 293 122 171 3,925 3,907 4 14 ,060 1,059 -3 16. 21,387 20,999 388 134 254 4,031 4,017 12 ,065 1,065 I -1 23. 21,841 21,437 404 257 147 4,157 4,145 38 -27 1,097 1,104 43 -50 30. ^21,993^21,441 *>552 504 P48 4,195 4,147 101 -53 1,112 1,108 76 -72 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 BANK RESERVES AND RELATED ITEMS 121 RESERVES AND BORROWINGS OF MEMBER BANKS—Continued (In millions of dollars) Other reserve city banks Country banks Period Reserves B in o g rr s o a w t - Free Reservess B in o g rr s o a w t - Free T h o e t ld al Required Excess B F a . n R k . s reserves T h o e t ld al Required Excess B F a . n R k . s reserves 1929—June 761 749 12 409 -397 632 610 22 327 -305 1933 June 648 528 120 58 62 441 344 96 126 -30 1939—Dec 3,140 1,953 1,188 1,188 1,568 897 671 3 668 1941 Dec 4,317 3,014 1,303 1 1,302 2,210 1,406 804 4 800 1945 Dec 6,394 5,976 418 96 322 4,576 3,566 1,011 46 965 1947—Dec 6,861 6,589 271 123 148 4,972 4,375 597 57 540 1950—Dec 6,689 6,458 232 50 182 4,761 4,099 663 29 634 1951 Dec 7,922 7,738 184 354 -170 5,756 5,161 596 88 508 1952 Dec 8,323 8,203 120 639 -519 6,094 5,518 576 236 340 1953—Dec 7,962 7,877 85 184 -99 5,901 5,307 594 105 489 1954—Dec 7,927 7,836 91 117 -26 5,634 5,032 602 52 550 1955—Dec 7,924 7,865 60 398 -338 5,716 5,220 497 159 338 1956 Dec . ... 8,078 7,983 96 300 -203 5,859 5,371 488 144 344 1957 Dec 8 042 7,956 86 314 -228 5 906 5,457 449 172 277 1958—Dec 7,940 7,883 57 254 -198 5,849 5,419 430 162 268 1959 Dec 7,954 7,912 41 490 -449 6,020 5,569 450 213 237 I960—Dec 7,950 7,851 100 20 80 6,689 6,066 623 40 583 1961 Dec 8,367 8,308 59 39 20 6,931 6,429 502 31 471 1962—Dec 8,178 8,100 78 130 -52 6,956 6,515 442 48 394 1963 June 8,036 8,018 18 129 -111 6,942 6,563 379 65 314 1963—Dec 8,393 8,325 68 190 -122 7,347 6,939 408 74 334 1964—Jan 8,346 8,325 21 137 -116 7,376 6,986 390 56 334 Feb . . 8,122 8,104 19 106 -87 7,215 6,876 339 64 275 Mar 8 208 8,172 36 90 -54 7 176 6,864 312 57 255 8,234 8,204 30 108 -78 7,230 6,906 323 68 255 May 8,184 8,151 32 144 -112 7,159 6,861 298 80 218 June 8,318 8,290 27 142 -115 7 225 6,901 323 76 247 July 8,385 8,341 44 147 -103 7,296 6,968 328 56 272 Aug 8 350 8,314 36 191 -155 7 299 6,945 355 91 264 Sept 8,480 8,440 40 179 -139 7,403 7,051 352 73 279 Oct 8,529 8,484 45 163 -118 7,483 7,139 344 63 281 Nov 8,614 8,566 48 225 -177 7,578 7,244 334 88 246 Dec 8,733 8,712 21 125 -104 *>7,340 55 P319 Week ending— 1963 Dec 4 8,198 8,154 44 304 -260 7,349 6,846 502 101 401 11 8 204 8,167 37 24 13 7 033 6 880 153 75 78 18 8,362 8,313 49 166 -177 7,351 6,925 426 71 355 25 8,488 8,463 24 161 -137 7,388 6,979 408 79 330 July 1 8,413 8,394 19 134 -115 7,303 6,944 359 41 318 8 8,480 8,454 26 112 -86 7,257 7,003 254 56 198 15 8 471 8,437 34 276 -242 7 514 7 025 488 52 436 22 8,341 8,279 62 106 -44 7,141 6,954 187 48 139 29 8,215 8,192 23 95 -72 7,226 6,899 327 59 268 Aug 5 8,350 8,316 33 151 -118 7 242 6,924 318 89 229 12 8 340 8,301 39 246 -207 7 379 6 960 420 107 313 19 8,347 8,315 31 145 -114 7,318 6,965 353 74 279 26 8,353 8,321 32 187 -155 7,371 6,944 427 72 355 Sept. 2 8,389 8,322 67 144 -77 7,212 6,937 275 108 167 9 8 406 8,351 55 292 -237 7 405 6 976 429 97 332 16 8,455 8,399 56 124 -68 7,318 7,033 285 74 211 23 . . .. 8,554 8,527 27 190 -163 7,574 7,127 447 45 402 30 8,555 8,497 58 158 -100 7,353 7,098 256 72 184 Oct. 7 8,581 8,554 27 189 -162 7,513 7,113 401 60 341 14 8,567 8,484 83 91 -8 7,424 7,152 272 56 216 21 8,471 8,464 7 228 -221 7,561 7,155 406 54 352 28 8,443 8,419 23 146 -123 7 401 7,125 276 73 203 Nov 4 8 585 8,543 42 163 -121 7 521 7 155 366 80 286 U 8,570 8,536 34 262 -228 7,551 7,227 324 92 232 18 8,601 8,556 45 312 -267 7,782 7,261 521 103 418 25 8,624 8,576 48 73 -25 7,448 7,268 180 76 104 Dec 2 8,651 8,643 8 240 -232 7,671 7,293 378 79 299 9 8,636 8,591 45 60 -14 7 525 7 295 229 55 174 16 8,657 8,621 36 81 -45 7,634 7,295 339 40 298 23 8,853 8,815 37 118 -79 7,734 7,373 361 58 303 30 8,838 8,799 39 258 -219 ^7,847 69 i This total excludes, and that in the preceding table includes, $51 Total reserves held: Based on figures at close of business through Nov. million in balances of unlicensed banks. 1959; thereafter on closing figures for balances with F.R. Banks and opening figures for allowable cash; see also note 3 to preceding table. NOTE.—Averages of daily figures. Beginning with Jan. 1964 reserves Required reserves: Based on deposits as of opening of business each day. are estimated except for weekly averages. Borrowings at F.R. Banks: Based on closing figures. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

122 MAJOR RESERVE CITY BANKS JANUARY 1965 BASIC RESERVE POSITION, AND FEDERAL FUNDS AND RELATED TRANSACTIONS (In millions of dollars unless otherwise noted) Basic reserve position Interbank Federal funds transactions Related transactions with U.S. Govt. securities dealers Less: Net: Gross transactions Net transactions Reporting banks week a e n n d ding— s E e x r r c v e e - e s s s 1 r a o B t B w a F o n i r . n k - R g s . s F t f i b e r n u N a d a n t e n n e e d t r k r s s - a . l S d u e r o f p i r c l i u t s P r r e e e s a q r e o v u r c f g i v e . r e n e s t d c P ha u s r e - s Sales a 2 c t T r - t a o i w o n t a a n s y l - s2 b c b o P u h a f y a u n n s i r k n e e - s g s t s o b S e f a l a n l n l i e k n e s s g t d L ea o t l o a e n rs s 3 de f r B i a r o n o l o w g e m r s r - - s 4 lo N a e n t s Total—46 banks 1964 Nov 4 39 303 472 -736 7.8 1,734 1,262 986 748 276 1,295 83 1,212 11 10 210 795 -995 10.8 1,788 992 860 928 133 1 075 82 992 18 45 288 786 -1,029 11.1 1,561 776 685 876 90 1 274 70 1,204 25 46 16 425 -395 4.2 1,972 1,548 1,076 897 472 958 99 859 Dec 2 6 117 440 -551 5.8 1,905 1,465 995 910 470 1 076 93 983 9 33 22 321 -311 3.3 2,109 1,787 1,207 902 581 532 97 434 16 32 54 345 -367 3.9 2,072 1,727 1,236 835 491 996 71 925 23 23 129 1,123 -1,228 12.6 2,298 1,175 1,030 1,268 145 1 104 63 1,041 30 62 309 898 -1,145 11.8 1,886 987 884 1,002 104 1,139 98 1,041 8 in New York City 1964—Nov. 4 19 218 43 -242 6.5 720 676 476 243 200 1,000 83 917 11 2 73 429 -500 14.0 821 392 392 429 791 82 708 18 15 129 488 -601 16.8 823 335 332 491 3 943 70 873 25 21 10 46 -34 1.0 953 907 560 393 347 619 99 520 Dec 2 -2 41 -43 1.2 969 928 580 390 348 831 93 738 9 6 4 -223 226 6.2 909 1,133 714 195 419 469 97 372 16 9 12 -140 137 3.7 1,009 1,149 732 277 417 796 71 725 23 8 38 494 -524 13.5 1,172 678 639 534 39 855 63 792 30 39 90 426 -477 12.3 924 498 453 471 45 883 98 785 38 outside New York City 1964 Nov 4 20 85 429 -494 8.6 1,014 585 510 504 76 295 295 11 ... 7 136 367 -496 8.7 966 600 467 499 133 284 284 18 29 159 298 —428 7.5 739 440 353 385 87 331 331 25 24 6 379 -360 6.3 1,020 641 516 504 125 339 339 Dec 2 8 117 399 -508 o o 935 537 415 520 121 245 245 9 26 19 545 -537 ' 9.4 1,199 655 492 707 162 63 63 16 22 42 485 — 505 8 8 1 063 578 505 558 73 200 200 23 15 91 629 -704 12.0 1,126 497 392 734 105 249 249 30 24 219 472 -668 11.4 961 489 431 530 58 256 256 5 in Chicago 1964 Nov 4 . . . 1 11 79 oo 9.1 251 172 148 102 24 93 93 11 5 109 -104 11.0 251 142 141 111 94 94 18 -4 44 105 -152 15.9 216 111 108 108 3 99 99 25 2 11 -9 .9 220 209 185 35 24 94 94 Dec 2 -1 32 111 -144 14.9 239 129 125 115 4 100 100 9 1 3 71 -74 7.8 261 189 172 89 18 31 31 16 — 1 130 -131 13.7 279 148 144 134 4 95 95 23 1 42 225 —265 26 8 345 120 87 258 33 103 103 30 3 76 121 -194 19.5 258 137 109 149 27 84 84 33 others 1964 Nov 4 18 74 350 -406 8.5 763 413 361 402 52 202 202 11 2 136 257 -392 8.3 715 458 327 389 132 190 190 18 33 116 193 —276 5 8 523 329 245 277 84 232 232 25 23 6 368 -352 7.4 800 432 331 469 101 245 245 Dec 2 9 85 288 — 364 7 6 696 408 291 406 117 145 145 9 26 16 473 —463 9 7 938 465 321 617 144 31 31 16 23 42 354 -374 7.8 784 430 360 424 69 105 105 23 14 49 404 -439 9.0 781 377 305 476 72 146 146 30 20 143 351 -474 9.7 703 352 322 382 31 172 172 1 Based upon reserve balances including all adjustments applicable to * Federal funds borrowed, net funds acquired from each dealer by the reporting period. Carryover reserve deficiencies, if any, are de- clearing banks, reverse repurchase agreements (sales of securities to dealers subject to repurchase), resale agreements, and borrowings secured 2 Derived from averages for individual banks for entire week. Figure by Govt. or other issues. for each bank indicates extent to which its weekly average purchases and sales are offsetting. NOTE.—Weekly averages of daily figures. Details may not add to 3 Federal funds loaned, net funds supplied to each dealer by clearing totals because of rounding. banks, repurchase agreements (purchases of securities from dealers For description of series and back data, see August 1964 BULL., pp. subject to resale) or other lending arrangements. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 DISCOUNT RATES 123 FEDERAL RESERVE BANK DISCOUNT RATES (Per cent per annum) Discounts for and advances to member banks Advances to all others under last par. Sec. 13 3 Advances and discounts under Advances under Federal Reserve Bank Sees. 13 and 13a i Sec. 10(b) 2 Rate on Effective Previous Rate on Effective Previous Rate on Effective Previous Dec. 31 date rate Dec. 31 date rate Dec. 31 date rate r Boston Nov. 24,1964 Nov. 24,1964 Nov. 24,1964 New York... Nov. 24,1964 Nov. 24,1964 Nov. 24,1964 Philadelphia.. Nov. 24,1964 Nov. 24,1964 Nov. 24;1964 Cleveland.... Nov. 27,1964 Nov. 27,1964 Nov. 27.1964 Richmond... Nov. 27,1964 Nov. 27,1964 Nov. 27i1964 Atlanta Nov. 25,1964 Nov. 25,1964 6 Nov. 25;1964 Chicago Nov. 24,1964 Nov. 24,1964 5 July 19,1963 St. Louis Nov. 24,1964 Nov. 24,1964 5 Nov. 24,1964 Minneapolis.. Nov. 30,1964 Nov. 30,1964 5 Nov. 30,1964 Kansas City.. Nov. 30,1964 Nov. 30,1964 5 Nov. 30,1964 Dallas Nov. 27,1964 Nov. 27,1964 5 Nov. 27.1964 San Francisco Nov. 27,1964 Nov. 27,1964 5 Nov. 27;1964 1 Advances secured by U.S. Govt. securities and discounts of and secured by FICB securities are limited to 15 days. advances secured by eligible paper. Rates shown also apply to advances 2 Advances secured to the satisfaction of the F.R. Bank. Maximum secured by securities of Federal intermediate credit banks maturing maturity: 4 months. within 6 months. Maximum maturity: 90 days except that discounts 3 Advances to individuals, partnerships, or corporations other than of certain bankers* acceptances and of agricultural paper may have member banks secured by U.S. Govt. direct securities. Maximum maturmaturities not over 6 months and 9 months, respectively, and advances ity: 90 days. FEDERAL RESERVE BANK DISCOUNT RATES (Per cent per annum) Range F.R. Range F.R. Range F.R. Effective (or level)— Bank Effective (or level)— Bank Effective (or level)— Bank date all F.R. of date all F.R. of date all F.R. of Banks N.Y. Banks N.Y. Banks N.Y. In effect Dec. 31, 1932 1953 1958 Jan. 16 Jan. 22 2*4-3 1933 23 24 Mar. 3 Mar. 7 4 13 VAVA Apr. 7 2* 1954 21 May 26 Feb. 5 Apr. 18 W4-2V4 Oct. 20 15 May 9 Apr. 14 SAeupgt. 15 1934 16 -M:::::::: WA-2 Feb. 2 May 21 2 Mar. 16 Oct. 24 2 -2% Nov. 7 2% 1935 1955 Jan. 11 Apr. 14 1959 May 14 15 Mar. 6 May 2 16 Aug. 27 1937 -2 Aug. 4 5 J M u a n y e 2 1 9 2 3 -3 Sept. 4 12 -214 Sept. 11 Sept. 9 18 1942 13 Apr. 11 Nov. 18 Oct. 15 23 1960 30 June 3 10 1946 14 Apr. 25 1956 Aug. 12 May 10 Apr. 13 2% Sept. 9 20 1948 Aug. 24 1963 J A a u n g . 1 1 9 2 -iy4 31 July 2 1 6 7 -M:::::::::::::::: 1957 1964 1950 Aae-2I::::. 3 T Nov. 2 3 4 0 3V4-4 Nov. 15 Aug- &::::::::::::::: Dec. 2 In effect Dec. 31 1 Preferential rate of "Vi of 1 per cent for advances secured by U.S. against U.S. Govt. securities was the same as its discount rate except Govt. securities maturing in 1 year or less. The rate of 1 per cent was in the following periods (rates in percentages): 1955—May 4-6, 1.65; continued for discounts of and advances secured by eligible paper. Aug. 4, 1.85; Sept. 1-2, 2.10; Sept. 8, 2.15; Nov. 10, 2.375; 1956—Aug. 24-29, 2.75; 1957—Aug. 22, 3.50; 1960—Oct. 31-Nov. 17, Dec. 28-29, NOTE.—Discount rates under Sees. 13 and 13a (as described in table 2.75; 1961—Jan. 9, Feb. 6-7, 2.75; Apr. 3-4, 2.50; June 29, 2.75; July above). For data before 1933, see Banking and Monetary Statistics. 20, 31, Aug. 1-3, 2.50; Sept. 28-29, 2.75; Oct. 5, 2.50: Oct. 23, Nov. 3, 1943, pp. 439-42. 2.75; 1962—Mar. 20-21, 2.75; 1964—Dec. 10, 3.85; Dec. 15, 17, 22, 24, The rate charged by the F.R. Bank of N.Y. on repurchase contracts 28, 30, 31, 3.875. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

124 RESERVE REQUIREMENTS JANUARY 1965 MAXIMUM INTEREST RATES PAYABLE ON TIME AND RESERVE REQUIREMENTS OF MEMBER BANKS SAVINGS DEPOSITS (Per cent of deposits) (Per cent per annum) Net demand deposits 2 Time deposits Effective date Type of deposit Central Ja 1 n 93 . 6 1, Ja 1 n 9 . 5 7 1, Ja 1 n 9 . 6 1 2 , Ju 1 ly 9 6 1 3 7, No 1 v 9 . 6 4 24 Effective date 1 b C re a e c s n n i e k t t r y s r v a e 3 l R b e c a s i n e ty k rv s e C ba o tr n u y k n s - r r e e a c s s i n e e t r r d y v v e e C ba o tr n u y k n s - Savings deposits held banks for: L 1 e y s e s a t r h a o n r m 1 o y r e e ar } 2* 3 { 31 4 4 4 In effect Dec. 31, 1948.. 26 22 16 71/2 71/2 Postal savings deposits 1949__May 1,5 24 21 15 7 7 held for: June 30, July 1.. 20 14 6 6 L 1 e y s e s a t r h a o n r m 1 o y r e e ar } 2i/2 3 { 3i 4 4 4 A A u u g g . . 1 1 6 , , 1 1 1 8 2 2 3 3 1/2 1 1 2 3 5 5 31/2 Aug. 25 221/2 181/2 Other time deposits Sept. 1 22 18 payable in: i 1951—Jan. 11, 16 . . 23 19 13 6 6 1 year or more } T 3 Jan. 25, Feb. 1.. 24 20 14 6 months-1 year {ig 4V4 1953—July 1,9 22 19 13 90 days-6 months 21/2 1954—June 16, 24 ... 21 5 5 Less than 90 days.... 1 4 July 29, Aug. 1. 20 18 12 1958_Feb. 27, Mar. 1. 191/2 Hi/2 >;./, 1 For exceptions with respect to foreign time deposits, see Oct. 1962 Mar. 20, Apr. 1.. 19 17 BULL., p. 1279. Apr. 17 I8I/2 NOTE.—Maximum rates that may be paid by member banks as estab- Apr. 24 18 I6I/2 lished by the Board of Governors under provisions of Regulation Q. 1960—Sept. 1 171/2 Under this Regulation the rate payable by a member bank may not in Nov. 24 i2 any event exceed the maximum rate payable by State banks or trust Dec. 1 16i/2 cos. on like deposits under the laws of the State in which the member bank is located. Effective Feb. 1, 1936, maximum rates that may be 1962—Oct. 25, Nov. 1. 4 4 paid by insured nonmember commercial banks, as established by the FDIC, have been the same as those in effect for member banks. In effect Jan. 1, 1965... 16i/2 12 4 4 Maximum rate payable on all types of time and savings deposits: Nov. 1, 1933-Jan. 31, 1935, 3 per cent; Feb. 1, 1935-Dec. 31, 1935, 2V2 per cent. Present legal requirement: Minimum . . . .. 10 7 3 3 MARGIN REQUIREMENTS Maximum 22 14 6 6 (Per cent of market value) 1 When two dates are shown, first-of-month or midmonth dates record changes at country banks, and other dates (usually Thurs.) record changes Effective date at central reserve or reserve city banks. 2 Demand deposits subject to reserve requirements are gross demand Regulation deposits minus cash items in process of collection and demand balances July 28, July 10, Nov. 6, due from domestic banks. 1960 1962 1963 3 Authority of the Board of Governors to classify or reclassify cities as central reserve cities was terminated effective July 28, 1962. Regulation T: NOTE.—All required reserves were held on deposit with F.R. Banks, For extensions of credit by brokers and June 21, 1917 until late 1959. Since then, member banks have also been dealers on listed securities 70 50 70 allowed to count vault cash as reserves, as follows: Country banks—in For short sales 70 50 70 excess of 4 and 2*/2 per cent of net demand deposits effective Dec. 1, 1959 Regulation U: and Aug. 25, 1960, respectively. Central reserve city and reserve city For loans by banks on stocks 70 50 70 banks—in excess of 2 and 1 per cent effective Dec. 3, 1959, and Sept. 1, 1960, respectively. Effective Nov. 24, 1960, all vault cash. NOTE.—Regulations T and U, prescribed in accordance with Securities Exchange Act of 1934, limit the amount of credit that may be extended on a security by prescribing a maximum loan value, which is a specified percentage of its market value at the time of extension; margin requirements are the difference between the market value (100+) and the maximum loan value. DEPOSITS, CASH, AND RESERVES OF MEMBER BANKS (In millions of dollars) Reserve city banks Reserve city banks Item m b e a A m n l b l ks er Y N o ew rk C o i f ty Other C b o a u n n k t s ry Item m ba e A n m l k l b s er Y N o ew rk C o i f ty Other C b o a u n n k t s ry City Chicago City Chicago Four weeks ending Nov. 11, 1964 Four weeks ending Dec. 9, 1964 Gross demand—Total.... 137,716 25,998 6,481 52,258 52,979 Gross demand—Total. . 139,850 26,262 6,548 53,100 53,939 Interbank 15,376 4,552 1,327 7,510 1,987 Interbank 15,358 4,551 1,309 7,513 1,985 U.S. Govt 4,104 989 262 1,604 1,249 U.S. Govt 5,506 1,102 328 2,217 1,859 Other 118,235 20,456 4,892 43,144 49,743 Other 118,986 20,609 4,911 43,371 50,095 Net demand* 112,487 20,158 5,384 42,016 44,929 Net demandl 114,005 20,126 5,414 42,645 45,819 Time 101,906 14,250 4,323 38,955 44,378 Time 102,292 14,435 4,467 38,876 44,514 Demand balances due Demand balances due from dom. banks 7,619 114 106 1,988 5,411 from dom. banks... 7,645 135 110 1,988 5,412 Currency and coin 3,335 266 51 1,005 2,OH Currency and coin 3,446 280 53 1,042 2,071 Balances with F.R. Balances with F.R. Banks 17,664 3,643 1,013 7,512 5,496 Banks 17,778 3,635 1,020 7,586 5,536 Total reserves held 20,999 3,909 1,064 8,517 7,510 Total reserves held 21,224 3,916 1,073 8,628 7,607 Required 20,615 3,896 1,061 8,491 7,167 Required 20,841 3,898 7,072 8,591 7,279 Excess 384 13 3 26 343 Excess 383 17 1 37 328 1 Demand deposits subject to reserve requirements are gross demand NOTE.—Averages of daily figures. Balances with F.R. Banks are as deposits minus cash items in process of collection and demand balances of close of business; all other items (excluding total reserves held and due from domestic banks. excess reserves) are as of opening of business. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 OPEN MARKET ACCOUNT 125 TRANSACTIONS OF THE SYSTEM OPEN MARKET ACCOUNT (In millions of dollars) Outright transactions in U.S. Govt. securities by maturity Total Treasury bills Others within 1 year Month Exch. Gross Gross Redemp- Gross Gross Redemp- Gross Gross or purchases sales tions purchases sales tions purchases sales maturity shifts 1963 Nov 1,176 295 9 977 295 9 2,518 Dec 319 289 15 319 289 15 1964 Jan 95 670 255 95 670 255 Feb 989 458 115 989 458 115 -3,411 Mar 699 18 239 677 18 239 Apr 588 714 367 538 714 367 15 May 1,332 136 85 1,259 136 85 -2,164 June 937 371 900 371 July 1,264 610 447 1,264 610 447 574 413 145 413 2,030 Sept 620 534 388 534 :::::::: Oct 1,347 888 1,275 888 Nov 1,197 131 1,197 131 -28 Outright transactions in U.S. Govt. securities by maturity—continued 1-5 years 5-10 years Over 10 years Exch. Exch. Exch. Gross Gross or Gross Gross or Gross Gross or purchases sales maturity purchases sales maturity purchases sales maturity shifts shifts shifts 1963—Nov 106 -2,510 83 -8 10 Dec 164 -164 1964—Jan Feb 3,481 -70 Mar 11 9 3 Apr 13 -15 30 8 May 43 2,164 27 4 June 20 307 11 -307 5 July Aug 187 -2,030 202 41 Sept 108 89 34 Oct 33 102 29 -102 11 Nov 28 35 -35 R (U ep .S u . rc G h o as v e t . a s g e r c e u e r m iti e e n s) ts Net change Bankers'acceptances Net change in U.S. in U.S. Govt. Govt. securities and Gross Gross securities Net Net acceptances purchases sales outright repurchases 1963—Nov 959 921 909 -2 -14 893 Dec 826 915 -74 28 92 45 1964 Jan 429 440 -840 -2 -92 -934 Feb 127 127 416 -4 412 Mar 497 338 601 -4 64 662 Apr 172 280 -601 -7 -25 -633 Mi ay 682 734 1,060 -7 -39 1,014 June 625 625 566 36 602 July 1,070 1,021 257 -7 -21 229 Aug 684 733 113 -4 -16 93 Sept 812 712 186 2 61 249 Oct 682 782 359 -18 341 Nov 1,313 1,313 1,065 6 -23 1,048 NOTE.—Sales, redemptions, and negative figures reduce System holdings; all other figures increase such holdings. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

126 FEDERAL RESERVE BANKS JANUARY 1965 CONSOLIDATED STATEMENT OF CONDITION OF ALL FEDERAL RESERVE BANKS (In millions of dollars) Wednesday End of month Item 1964 1964 1963 Dec. 30 Dec. 23 Dec. 16 Dec. 9 Dec. 2 Dec. Nov. Dec. Gold certificate account 13,505 13,506 13,519 13,536 13,555 13,505 13,555 13,819 Redemption fund for F.R. notes. 1,570 1,569 1,560 1,547 1,536 1,570 1,536 1,418 Total gold certificate reserves 15,075 15,075 15,079 15,083 15,091 15,075 15,091 15,237 Cash 131 114 118 111 122 146 126 182 Discounts and advances: Member bank borrowings 327 469 190 244 150 156 208 31 Other 30 36 37 2 2 30 2 32 Acceptances: Bought outright , 56 53 51 49 45 59 43 70 Held under repurchase agreements. 10 9 30 35 20 92 U.S. Govt. securities: Bought outright: Bills 6,044 6,156 6,445 6,577 6,962 6,044 6,419 4,142 Certificates—Special Other 7,066 Notes 25,188 25,188 25,188 25,188 25,156 25,188 25,133 17,729 Bonds 5,274 5,274 5,274 5,274 5,253 5,274 5,222 4,645 Total bought outright 36,506 36,618 36,907 37,039 37,371 36,506 36,774 33,582 Held under repurchase agreements. 257 412 374 538 11 Total U.S. Govt. securities. 36,763 37,030 37,281 37,039 37,371 37,044 36,774 33,593 Total loans and securities 37,186 37,588 37,559 37,343 37,598 37,324 37,047 33,818 Cash items in process of collection... 7,017 7,605 7,892 5,702 6,415 7,190 6,100 6,435 Bank premises 103 103 102 102 102 102 102 104 Other assets: Denominated in foreign currencies. 370 445 394 381 206 295 727 153 All other 255 231 211 203 175 257 169 247 Total assets. 60,137 61,161 61,355 58,925 59,709 60,389 59,362 56,176 Liabilities F.R. notes 34,831 34,996 34,843 34,711 34,365 34,659 34,209 32,381 Deposits: Member bank reserves 17,826 18,147 17,933 16,774 17,709 18,086 18,084 17,049 U.S. Treasurer—General account. 754 918 1,070 1,118 617 820 974 880 Foreign 228 206 121 148 281 229 256 171 Other 188 163 175 183 190 321 209 291 Total deposits. 18,996 19,434 19,299 18,223 18,797 19,456 19,523 18,391 Deferred availability cash items 4,515 4,959 5,458 4,168 4,751 4,584 3,845 3,835 Other liabilities and accrued dividends i 130 130 136 134 132 642 130 82 Total liabilities 58,472 59,519 59,736 57,236 58,045 59,341 57,707 54,689 Capita] Accounts Capital paid in 524 522 522 522 522 524 522 497 Surplus , 990 990 990 990 990 524 990 990 Other capital accounts 151 130 107 177 152 143 Total liabilities and capital accounts , 60,137 61,161 61,355 58,925 59,709 60,389 59,362 56,176 Contingent liability on acceptances purchased for foreign correspondents , 123 124 124 124 125 122 125 92 U.S. Govt. securities held in custody for foreign account , 8,515 8,536 8,368 8,335 8,104 8,389 8,278 8,675 Federal Reserve Notes—Federal Reserve Agents' Accounts F.R. notes outstanding (issued to Bank)... 37,247 37,142 36,965 36,790 36,549 37,233 36,488 34,317 Collateral held against notes outstanding: Gold certificate account 6,687 6,677 6,667 6,657 6,667 6,687 6,667 6,890 ' Eligible paper. 24 16 3 8 4 12 2 15 U.S. Govt.. sseecciurities. 31,430 31,415 31,385 31,080 30,695 31,430 30,695 28,242 Total collateral.. 38,141 38,108 38,055 37,745 37,366 38,129 37,364 35,147 1 No accrued dividends at end-of-December dates. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 FEDERAL RESERVE BANKS 127 STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON DECEMBER 31, 1964 (In millions of dollars) Item Total Boston Y N o e r w k P p d h h e i i l l a a - - C l l a e n v d e- m Ri o c n h d - At t l a an- c C a h g i o - Lo S u t. is M ap i o n l n is e- K C s a a it n s y - Dallas F c S i r s a a c n n o - Assets Gold certificate account 13 505 679 3,073 759 1,147 896 733 2,207 573 282 563 647 1,946 Redemption fund for F.R. notes 1,570 90 355 86 138 133 95 287 63 28 62 51 182 15,075 769 3,428 845 1,285 1,029 828 2,494 636 310 625 698 2,128 F.R. notes of other Banks 684 49 183 51 47 56 63 62 32 27 18 31 65 Other cash 146 9 32 5 11 9 13 25 6 5 6 4 21 Discounts and advances: Secured by U.S. Govt. securities... 137 18 33 20 12 10 2 * 22 20 Other 49 1 8 2 3 2 11 4 1 1 2 2 12 Acceptances: Bought outright 59 59 Held under repurchase agreements. 35 35 U.S. Govt. securities: Bought outright 36 506 1,911 8,748 2,003 3,051 2,647 2,082 6,302 1,436 776 1,404 1,363 4,783 Held under repurchase agreements . 538 538 Total loans and securities 37,324 1,930 9,421 2,005 3,074 2,661 2,103 6,308 1,437 111 1,428 1,385 4,795 Cash items in process of collection... 8,984 643 1,833 492 616 666 714 1,401 410 250 583 489 887 Bank premises 102 3 8 3 6 5 18 22 6 4 6 11 10 Other assets: Denominated in foreign currencies . 295 14 178 16 27 15 16 42 10 7 13 17 40 All other 257 13 61 15 20 18 16 43 11 4 13 10 33 Total assets 62,867 3,430 15,044 3,432 5,086 4,459 3,771 10,397 2,548 1,384 2,692 2,645 7,979 Liabilities F.R notes 35,343 2,084 8,254 2,077 3,005 3,010 2,085 6,386 1,410 631 1,349 1,089 3,963 Deposits: M^ember bank reserves . 18,086 653 4,830 784 1,351 780 993 2,638 695 466 824 1,051 3,021 U.S. Treasurer—General account.. 820 55 152 75 70 57 48 81 56 54 64 48 60 Foreign 229 11 2 68 12 20 11 12 31 7 5 10 13 29 Other 321 5 181 7 8 10 6 18 4 3 6 4 69 Total deposits 19,456 724 5,231 878 1,449 858 1,059 2,768 762 528 904 1,116 3,179 Deferred availability cash items 6,378 542 1,113 384 482 504 528 999 318 186 365 345 612 Other liabilities 642 30 172 35 56 35 37 94 22 15 28 33 85 Total liabilities 61 819 3,380 14,770 3 374 4,992 4,407 3,709 10.247 2,512 1,360 2,646 2,583 7,839 Capital Accounts Capital paid in 524 25 137 29 47 26 31 75 18 12 23 31 70 Surplus 524 25 137 29 47 26 31 75 18 12 23 31 70 Other capital accounts Total liabilities and capital accounts.. 62,867 3,430 15,044 3,432 5,086 4,459 3,771 10,397 2,548 1,384 2,692 2,645 7,979 Ratio of gold certificate reserves to deposit and F.R. note liabilities combined (per cent): Dec 31 1964 27.5 27.4 25.4 28.6 28.9 26.6 26.3 27.2 29.3 26.7 27.7 31.7 29.8 Nov 30 1964 27 9 27.7 27.0 26 6 29.0 25.4 31.0 26.4 26.9 31.1 27.4 27 2 31 2 Dec. 31, 1963 29.7 30.0 29.5 29.5 29.6 27.5 28.0 31.5 33.3 29.7 30.4 29.7 28.6 Contingent liability on acceptances purchased for foreign correspondents 122 6 3 32 7 11 6 7 17 4 3 7 17 Federal Reserve Notes—Federal Reserve Agent's Accounts F.R. notes outstanding (issued to Bank) 37,2 2,171 8,733 6,727 ,487 652 1,406 1,168 4,2 Collateral held against notes outstanding: Gold certificate account 6,687 420 1,730 450 500 615 340 1,100 280 112 225 180 735 Eligible paper 12 * 12 U.S. Govt. securities 31,430 1,765 7,200 1,800 2,775 2,535 1,900 5,700 ,260 545 i ,266 1,050 3,700 Total collateral. 38,129 2,185 8,930 2,250 3,275 3,162 2,240 6,800 ,540 657 1,425 1,230 4,435 1 After deducting $217 million participations of other F.R. Banks. 3 After deducting $90 million participations of other F.R. Banks. 2 After deducting $161 million participations of other F.R. Banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

128 FEDERAL RESERVE BANKS; BANK DEBITS JANUARY 1965 MATURITY DISTRIBUTION OF LOANS AND U.S. GOVERNMENT SECURITIES HELD BY FEDERAL RESERVE BANKS (In millions of dollars) Wednesday End of month Item 1964 1964 1963 Dec. 30 Dec. 23 Dec. 16 Dec. 9 Dec. 2 Dec. Nov. Dec. Discounts and advances—Total... 357 505 227 246 152 186 210 63 Within 15 days 325 472 193 244 148 155 206 28 16 days to 90 days 32 33 34 2 4 31 4 35 Acceptances—Total 66 53 51 58 75 94 63 162 Within 15 days 20 7 6 16 37 45 26 105 16 days to 90 days 46 46 45 42 38 49 37 57 U.S. Government securities—Total 36,763 37,030 37,281 37,039 37,371 37,044 36,774 33,593 Within 15 days* 1,136 1,344 1,232 619 892 1,083 538 493 16 days to 90 days 3,523 3,497 3,574 3,799 3,802 3,564 3,911 6,322 91 days to 1 year 16,506 16,591 16,877 17,023 17,132 16,709 16,828 15,754 Over 1 year to 5 years 13,506 13,506 13,506 13,170 13,137 13,506 13,119 8,669 Over 5 years to 10 years 1,797 1,797 1,797 2,133 2,118 1.797 2,088 2,136 Over 10 years 296 295 295 295 290 295 290 219 1 Holdings under repurchase agreements are classified as maturing within 15 days in accordance with maximum maturity of the agreements. CONVERTIBLE FOREIGN CURRENCIES HELD BY FEDERAL RESERVE BANKS (In millions of U.S. dollar equivalent) End of period Total P st o e u rl n in d g s B fr e a lg n i c a s n C d a o n l a l d ar ia s n F fr r a e n n c c s h G m e a rm rk a s n Ita li l r i e an Jap y a e n n ese N gu l e a i t l n h d d e e s r r s - f S ra w n i c ss s 1964 Mar 330 11 52 4 6 234 21 2 Apr #. 214 1 52 2 6 101 50 1 1 May 213 1 51 2 6 101 50 June . ... 124 16 52 2 1 2 50 1 July 168 29 52 2 1 2 80 Aug 195 61 45 2 1 2 80 3 Sept 164 90 15 2 1 2 51 3 BANK DEBITS AND DEPOSIT TURNOVER Debits to demand deposit accounts * Annual rate of turnover (billions of dollars) of demand deposits l All Leading centers 537 other Leading centers 337 other ]*eriod reporting ireporting reporting e •3 rs 4 centers New York 6 others 2 centers 3 New York 6 others 2 centers 3 N.S.A. S.A N.S.A. S.A N.S.A. S.A. N.S.A. S.A N.S.A. S.A. N.S.A. S.A. N.S.A. S.A. N.S.A. 1955. 2,043.5 766.9 431.7 845.0 42.7 27.3 20.4 22.3 1956. 2,200.6 815.9 462.9 921.9 45.8 28.8 21.8 23.7 1957. 2,356.8 888.5 489.3 979.0 49.5 30.4 23.0 25.1 1958. 2,439.8 958.7 487.4 993.6 53.6 30.0 22.9 24.9 1959. 2,679.2 1,023.6 545.3 1,110.3 56.4 32.5 24.5 26.7 1960. 2,838.8 1,102.9 577.6 1,158.3 60.0 34.8 25.7 28.2 1961. 3,111 1,278.8 622.7 1,209.6 70.0 36.9 26.2 29.0 1962. 3,436A 1,415.8 701.7 1,318.9 77.8 41.2 27.7 31.3 1963. 3,754.7 1,556.0 775.7 1,423.0 84.8 44.6 29.0 33.1 1963—Dec 357.1 139.6 151.0 69 7 74.6 123.7 131.5 89.0 93.8 47.5 48.6 29.8 30.6 33.9 35.3 1964—Jan 360.8 143.7 153.9 69 6 73.5 126.6 133.3 92.1 93.0 47.8 47.4 30.6 30.4 34.8 34.9 Feb.. 294.9 129.4 121.1 65 5 60.5 121.1 113.2 86.2 81.8 45.4 42.9 29.5 28.2 33.7 32.0 Mar.. 342.9 138.1 145.8 68 4 71.1 125.1 126.1 91.6 94.4 46.9 49.6 30.1 30.2 34.4 35.1 Apr.. 349.9 146.0 148.2 72.4 72.8 131.8 129.0 95.5 93.6 49.3 50.4 31.6 30.6 36.0 35.7 May. 329.6 135.1 135.3 67 7 68.6 125.0 125.7 90.9 91.1 47.6 48.4 30.4 30.9 35.3 35.5 June. 353.6 140.2 151.2 67 5 70.9 126.6 131.6 94.5 101.4 47.1 48.9 30.5 31.5 35.0 36.0 July.. 362.9 151.5 154.5 71 4 72.9 131.1 135.5 100.2 98.6 49.1 48.1 31.2 31.1 35.6 35.5 A Se u p g t . . . . 3 3 1 3 9 9. .4 0 1 14 4 9 0 . .4 5 1 1 2 4 8 2 . . 3 4 7 6 0 8 4 8 6 6 5 8 . . 8 0 1 13 2 1 8. . 9 7 1 1 2 2 5 8 . . 4 6 9 97 2 . . 0 8 9 8 5 7 . . 7 4 4 4 7 7 . . 1 7 4 4 5 7 . . 8 0 3 30 0 . . 7 6 3 3 0 0. . 7 2 3 3 5 5 # 1 1 3 34 4 . . 9 2 Oct... 353.5 146.0 146.1 71.7 72.0 132.8 135.4 94.2 93.6 48.0 47.2 31.1 31.1 35!5 35.3 Nov.. 333.9 146.2 136.0 70 4 66.8 135.4 131.1 92.9 92.6 46.4 45.7 31.5 31.9 35.5 35.5 Dec. 400 156.4 173.1 72 2 79.2 135.8 147.8 98.7 104.0 *48.1 *49.1 *31.5 ^32.3 .2 ^36.7 1 Excludes interbank and U.S. Govt. demand accounts or deposits. 3 Before Apr. 1955, 338 centers. 2 Boston, Philadelphia, Chicago, Detroit, San Francisco, and Los 4 Before Apr. 1955, 344 centers. Angeles. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 U.S. CURRENCY 129 DENOMINATIONS IN CIRCULATION (In millions of dollars) Total Coin and small denomination currency Large denomination currency in cir- End of period culation i Total Coin $12 $2 $5 $10 $20 Total $50 $100 $500 $1,000 $5,000 $10,000 1939 7,598 5,553 590 559 36 1,019 1,772 1,576 2,048 460 919 191 425 20 32 1941 11,160 8,120 751 695 44 1,355 2,731 2,545 3,044 724 1,433 261 556 24 46 1945 28,515 20,683 1,274 1,039 73 2,313 6,782 9,201 7,834 2,327 4,220 454 801 7 24 1947 28,868 20,020 1,404 ',048 65 2,110 6,275 9,119 8,850 2,548 5,070 428 782 5 17 1950 27,741 19,305 1,554 ,113 64 2,049 5,998 8,529 8,438 2,422 5,043 368 588 4 12 1955 31,158 22,021 1,927 ,312 75 2,151 6,617 9,940 9,136 2,736 5,641 307 438 3 12 1958 32,193 22,856 2,182 ,494 83 2,186 6,624 10,288 9,337 2,792 5,886 275 373 3 9 1959 32,591 23,264 2,304 ,511 85 2,216 6,672 10,476 9,326 2,803 5,913 261 341 3 5 1960 32,869 23,521 2,427 ,533 88 2,246 6,691 10,536 9,348 2,815 5,954 249 316 3 10 1961 33,918 24,388 2,582 ,588 92 2,313 6,878 10,935 9,531 2,869 6,106 242 300 3 10 1962 35,338 25,356 2,782 ,636 97 2,375 7,071 11,395 9,983 2,990 6,448 240 293 3 10 1963—No v 37,227 26,536 2,986 ,644 100 2,396 7,359 12,050 10,691 3,155 6,988 247 295 3 4 Dec.... 37,692 26,807 3,030 ,722 103 2,469 7,373 12,109 10,885 3,221 7,110 249 298 3 4 1964—Jan 36,247 25,500 3,021 ,599 101 2,287 6,958 11,53310,747 3,157 7,043 247 294 3 4 Feb 36,312 25,561 3,044 ,590 101 2,278 6,983 11,566 1100,751 3,147 7,057 246 293 3 4 Mar.... 36,799 26,000 3,105 ,621 102 2,321 7,096 11,75410,799 3,158 7,094 246 294 3 4 Apr.... 36,885 26,063 3,139 ,630 103 2,320 7,095 11,77510,822 3,172 7,104 247 292 3 4 May... 37,208 26,353 3,169 ,655 105 2,350 7,170 11,90410,855 3,185 7,127 246 291 3 4 June... 37,734 26,797 3,205 ,676 107 2,379 7,280 12,15110,937 3,217 7,175 246 292 2 4 July.... 37,835 26,859 3,223 ,668 108 2,359 7,262 12,23910,976 3,231 7,202 245 291 3 4 Aug 38,014 26,972 3,249 ,668 109 2,364 7,272 12,31011,041 3,249 7,248 245 292 3 4 Sept.... 38,166 27,068 3,285 ,693 111 2,361 7,280 12,33911,098 3,253 7,302 246 291 3 4 Oct 38,373 27,201 3,321 ,716 111 2,385 7,328 12,33911,172 3,262 7,367 246 291 3 4 Nov.... 39,248 27,925 3,359 ,749 108 2,455 7,568 12,68711,323 3,314 7,468 246 289 3 4 i Outside Treasury and F.R. Banks. Before 1955 details are slightly 2 Paper currency only; $1 silver coins reported under coin. overstated because they include small amounts of paper currency held by the Treasury and the Reserve Banks for which a denominational NOTE.—Condensed from Circulation Statement of United States breakdown is not available. Money, issued by the Treasury. KINDS OUTSTANDING AND IN CIRCULATION (In millions of dollars) Held in the Treasury Currency in circulationl Total out- Held by Kind of currency N sta o 1 n v 9 d . 6 i 4 3 n 0 g , A g a s o s g l s i d a l e v i c n e a u s r n r t d ity Tr c e a a s s h ury B F F a a n . o n R d r k . s A B F a g a . n e n R d n k . t s s No 1 v 9 . 6 4 30, Oc 1 t 9 . 6 3 4 1, No 1 v 9 . 6 3 30, certificates Agents Gold 15,386 (15,091) 2 294 Gold certificates (15,091) 3 12,275 2,816 F R. notes 36,487 84 2,279 34,i24 33,i29 31 920 Treasury currency—Total 5,414 (1,451) 165 126 5,124 5,244 5,308 Standard silver dollars 485 3 482 482 440 Silver bullion 1,591 1,451 141 Silver certificates (1,451) 8 86 1,357 1,445 1,831 Subsidiary silver coin 2,130 9 12 2,109 2,077 1,846 Minor coin . . . .. 774 3 3 768 763 700 United States notes 323 1 24 297 317 325 In process of retirement 4 112 * 1 111 160 165 Total Nov 30 1964 5 57,288 (16,542) 544 12,275 5,221 39,248 Oct 31 1964 556,556 (16,744) 475 12,369 5,340 38,373 Nov. 30 1963 5 54,748 (17,324) 378 12,478 4,665 "37J 227" 1 Outside Treasury and F.R. Banks. Includes any paper currency held for other items; gold certificates are secured by gold, and silver certificates outside the United States and currency and coin held by banks. Esti- by standard silver dollars and monetized silver bullion. Duplications mated totals for Wed. dates shown in table on p. 119. are shown in parentheses. 2 Includes $156 million reserve against United States notes. 3 Consists of credits payable in gold certificates: (1) the Gold Certificate NOTE.—Condensed from Circulation Statement of United States Fund—Board of Governors, FRS, and (2) the Redemption Fund for F.R. Money, issued by the Treasury. For explanation of currency reserves notes. and security features, see the Circulation Statement or the Aug. 1961 4 Redeemable from the general fund of the Treasury. BULL., p. 936. 5 Does not include all items shown, as some items represent the security Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

130 MONEY SUPPLY JANUARY 1965 MONEY SUPPLY AND RELATED DATA (In billions of dollars) Seasonally adjusted Not seasonally adjusted Vloney supply Money supply Period Time Time U.S. deposits deposits Govt. Total c C om ur p re o n n c e y nt co D d m e e m p p o o a s n n i e t d nt jus a t d ed - ! Total c C om ur p re o n n c e y nt co D d m e e m p p o o a s n n i e t d nt jus a t d ed - i d d e e p m os a i n ts d 1 1957 Dec 135.9 28.3 107.6 57.4 139.3 28.9 110.4 56.7 3.5 1958—Dec 141.1 28.6 112.6 65.4 144.7 29.2 115 5 64 6 3 9 1959—Dec 142.1 28.9 113.2 67.4 145.6 29.5 116.1 66.6 4.9 1960 Dec 141.1 28.9 112.1 72.9 144.7 29.6 115.2 72.1 4.7 1961—Dec 145.5 29.6 116.0 82.8 149.4 30.2 119 2 81 8 4 9 1962—Dec 147.6 30.6 117.1 97.9 151.6 31.2 120.3 96.7 S.6 1963—Dec 153.2 32.4 120.7 112.3 157 2 33 1 124 1 111 0 5 2 1964—Dec.^ 159.4 34.2 125.2 126.5 163.6 34.9 128.7 125.0 5.5 1963—Nov 153.5 32.3 121.2 111.1 154.8 32.6 122 1 110 2 4 4 Dec 153.2 32.4 120.7 112.3 157.2 33.1 124.1 111 0 5.2 1964 Jan 153.8 32.6 126.2 113.9 157.8 32.4 125.4 113.2 4.2 Feb 153.8 32.7 121.1 115.1 153.8 32.3 121.5 114.6 4.8 Mar 154.2 32.9 121.3 115.7 152.9 32.6 120 3 115 7 6 1 Apr 154.5 33.0 121.5 116.4 155.0 32.7 122.3 116.7 4.2 May 154.5 33.3 121.3 117.4 152.4 33.0 119 4 118 1 6 9 155.6 33.4 122.1 118.5 153.6 33.3 120.3 119 2 7 8 July 156.7 33.5 123.3 119.4 155.2 33.7 121.5 120.1 7.0 157.2 33.7 123.5 120.6 155.1 33.8 121.3 121 1 6 4 Sect 158.0 33.8 124.2 121.7 156.9 33.8 123.1 122.0 6.6 Oct 158.6 33.9 124.7 123.1 158.8 34.0 124 8 123 3 5 6 Nov . . . 159.1 34.2 124.9 125.1 160.4 34.5 125.9 124.1 5.8 Decv 159.4 34.2 125.2 126.5 163.6 34.9 128.7 125.0 5.5 Half month 1964— Sept. (1) 157.8 33.8 124.1 121.6 157.1 34.0 123.1 121.9 5.0 (2) 158.1 33.8 124.3 121.9 156.7 33.6 123.1 122.0 8.2 Oct. (1) 158.9 33.9 125.0 122.7 158.4 34.1 124 3 123 0 6 8 (2) 158.2 34.0 124.3 123.4 159.1 33.9 125.2 123 6 4 5 Nov. (1) 159.3 34.2 125.1 124.4 161 0 34.5 126 5 124 0 4 6 (2) 158.8 34.2 124.6 125.8 159.8 34.6 125.2 124 1 7 0 Dec. (I) 159.4 34.2 125.2 126.3 162.8 34.9 128.0 124 7 4 9 (2)* 159.4 34.2 125.2 126.7 164.4 35.0 129.4 125.3 6.1 Not seasonally adjusted Not seasonally adjusted Money supply Money supply Week Time U.S. Week Time U.S. ending— Total C c u o n r m e re n p n t o c - y D c d o e e n m m p e o n a p s t n o it d - d ju e s p a t d o ed s - i t * s d d e G e p m o o s a v i n t t . s d i ending— Total C c u o n r m e re n p n t o c - y D c d o e e n m m p e o n p a s t n o it d - d ju e s p a t d o ed s - i t i s d d e G e p m o o s a v i n t t . s d 1 1963—Sept. 4 149.4 31.9 117.5 108.1 6.1 1964-Sept. 2 155.3 33.6 121.7 121.6 6.0 150.8 32.2 118.6 108.2 5.1 9 156.4 34.3 122.1 121 9 5 7 18 152 1 32.0 120.2 108.4 5.1 16 158.7 33.9 124 8 122 0 4 1 25 149.9 31.8 118.1 108.3 8.1 23 157.2 33.7 123.5 121 8 7 6 30 155.8 33.5 122.3 122.2 9.2 Oct. 2 150.1 31.7 118.4 108.7 8.8 9 151.3 32.3 119.0 109.1 7.7 Oct. 7 157.7 34.1 123.7 122.7 8.3 16 152.8 32.2 120.6 109.3 5.4 14 159.0 34.2 124.8 123.2 5.6 23 152.6 32.2 120.5 109.6 4.1 21 159.0 34.1 124.9 123.4 4.6 30 153.3 31.9 121.4 110.1 3.1 28 159.0 33.8 125.2 123.7 4.1 Nov. 6 155.0 32.3 122.7 110.2 4.2 Nov. 4 160.6 34.0 126.6 123.9 5.1 13 155.2 32.7 122.5 110.2 3.6 11 160.8 34.6 126.3 124.1 4.5 20 154.4 32.6 121.8 110.1 4.7 18 160.9 34.5 126.4 124.0 5.4 27 153.8 32.6 121.2 110.4 4.9 25 159.3 34.5 124.8 124.1 6.9 Dec. 4 155.5 33.0 122.5 110.5 4.5 Dec. 2 160.8 34.6 126.1 124.2 7.2 11 156.4 33.3 123.1 110.8 3.8 9 161.8 35.0 126.9 124.6 5.5 18 158.2 33.1 125.1 111.0 4.2 16 164.6 34.8 129.8 125.0 3.6 25 157.5 33.3 124.3 111.0 6.6 23 164.6 35.0 129.6 125.0 5.7 30v.... 163.8 35.1 128.7 125.5 6.6 1964—Jan. 1 158.8 32.8 126.0 111.5 6.6 8 158.7 32.9 125.8 112.3 6.4 1965—Jan. 6v.... 166.2 34.7 131.5 126.5 6.4 15 158.4 32.6 125.8 113.0 4.2 13 20 i At all commercial banks. foreign demand balances at F.R. Banks; and (3) currency outside the Treasury, the FRS, and the vaults of all commercial banks. Time de- NOTE,—Averages of daily figures. For back data see June 1964 BULL., posits adjusted are time deposits at all commercial banks other than those pp. 679-92. Money supply consists of (1) demand deposits at all com- due to domestic commercial banks and the U.S. Govt. mercial banks other than those due to domestic commercial banks and the U.S. Govt., less cash items in process of collection and F.R. float; (2) Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 BANKS AND THE MONETARY SYSTEM 131 CONSOLIDATED CONDITION STATEMENT (In millions of dollars) Assets Liabilities and capital Total Bank credit assets, net- Date Gold T s r t o c e u r i a u n e u n r n a y r g c t d - - s y - - Total Lo n a e n t s, Tota U l .S. G m C o e a v o n r e m c d r ia - n l men R F t e e s d s e e e c r r v u a e r l ities Other O s ri e t t c h ie u e s - r c l T a i i a n a p t o n i b e i e t d t t i a s a l l - l, c d u e T r a p o r n o e t d s n a i l c t y s C c m o a a n a u p n i e c s n i d - t c t t a . s l , savings Banks banks 1929—June 29. 4,037 2,019 58,642 41,082 5,741 5,499 216 26 11,819 64,698 55,776 8,922 1933—June 30. 4,031 2,286 42,148 21,957 10,328 8,199 1,998 131 9,863 48,465 42,029 6,436 1939—Dec. 30. 17,644 2,963 54,564 22,157 23,105 19,417 2,484 1,204 9,302 75,171 68,359 6,812 1941—Dec. 31. 22,737 3,247 64,653 26,605 29,049 25,511 2,254 1,284 8,999 90,637 82,811 7,826 1945—Dec. 31. 20,065 4,339 167,381 30,387 128,417 101,288 24,262 2,867 8,577 191,785 180,806 10,979 1947—Dec. 31. 22,754 4,562 160,832 43,023 107,086 81,199 22,559 3,328 10,723 188,148 175,348 12,800 1950—Dec. 30. 22,706 4,636 171,667 60,366 96,560 72,894 20,778 2,888 14,741 199,009 184,384 14,624 1961—Dec. 30. 16,889 5,585 285,992 154,017 102,308 72,715 28,881 712 29,667 308,466 280,397 28,070 1962—Dec. 28. 15,978 5,568 309,389 170,693 103,684 72,563 30,478 643 35,012 330,935 302,195 28,739 1963—June 29. 15,733 5,587 318,697 178,290 102,418 69,708 32,027 683 37,989 340,017 310,284 29,732 1963—Dec. 20... 15,582 5,586 333,203 189,433 103,273 69,068 33,552 653 40,497 354,371 323,251 31,118 1964—Jan. 29... 15,500 5,600 328,700 187,200 101,400 68,100 32,700 600 40,100 349,800 319,000 30,800 Feb. 26... 15,500 5,600 330,400 188,700 101,100 67,500 32,900 700 40,600 351,400 319,400 32,000 Mar. 25... 15,500 5,600 334,200 191,300 101,700 67,600 33,400 700 41,200 355,300 323,900 31,400 Apr. 29... 15,500 5,600 335,000 193,500 100,100 66,200 33,100 800 41,400 356,100 323,600 32,400 May 27... 15,500 5,600 336,900 195,900 99,700 65,200 34,000 500 41,300 358,000 325,100 32,900 June 30... 15,461 5,578 343,988 201,161 100,879 65,337 34,794 748 41,948 365,027 333,114 31,915 July 29... 15,500 5,600 341,300 199,300 99,900 64,300 34,800 700 42,100 362,300 329,500 32,800 Aug. 26... 15,500 5,600 344,000 200,600 100,700 64,900 35,100 800 42,700 365,100 331,100 34,000 Sept. 30r*>. 15,500 5,600 351,100 205,000 102,800 66,700 35,400 700 43,400 372,100 338,400 33,700 Oct. 28'*. 15,500 5,500 350,600 204,000 103,100 67,000 35,200 900 43,500 371,600 337,700 33,900 Nov. 25'*. 15,400 5,500 355,400 206,500 105,300 68,100 36,300 1,000 43,600 376,200 341,500 34,800 Dec. 302\. 15,400 5,400 361,600 212,200 105,400 67,800 36,800 900 44,000 382,400 348,800 33,600 DETAILS OF DEPOSITS AND CURRENCY Money supply Related deposits (not seasonally adjusted) Seasonally adjusted J Not seasonally adjusted Time U.S.Government Date For- At De- Cur- De- Postal eign Treas- com- \_/Ur- mand rency mand Com- Mutual Savings net * mer- At Total rency deposits Total outside deposits Total mercial savings Sys- cash cial F.R. outside ad- banks ad- banks banks 3 tem hold- and Banks banks justed 2 justed 2 ings savings banks 1929—June 29 26,179 3,639 22,540 28,611 19,557 8,905 149 365 204 381 36 1933 June 30 19,172 4,761 14 411 21,656 10 849 9,621 1,186 50 264 852 35 1939—Dec. 30 36,194 6,401 29,793 27,059 15,258 10,523 1,278 1,217 2,409 846 634 1941 Dec 31 48,607 9,615 38,992 27,729 15,884 10,532 1,313 1,498 2,215 1,895 867 1945 Dec 31 102 341 26,490 75 851 48 452 30 135 15 385 2 932 2,141 2 287 24 608 977 1947—Dec. 31.... 110,500 26,i66 84,400 113,597 26,476 87,121 56,411 35,249 17,746 3,416 1,682 1,336 l',452 870 1950—Dec. 30.... 114,600 24,600 90,000 117,670 25,398 92,272 59,247 36,314 20,009 2,923 2,518 1,293 2,989 668 1961—Dec. 30 144,800 28,700 116,100 150,578 30,053 120,525 121,216 82,145 38,420 651 1,497 422 6,219 465 1962—Dec. 28.... 147,600 29,600 118,000 153,162 30,904 122,258 139,448 97,440 41,478 530 1,488 405 7,090 602 1963—June 29.... 148,300 30,700 117,600 147,144 31,832 115,312 149,322 105,648 43,181 493 1,337 369 11,306 806 1963—Dec. 20.... 153,100 31,700 121,400 158,104 33,468 124,636 155,713 110,794 44,467 452 1,206 392 6,986 850 1964—Jan. 29.... 152,200 31,900 120,300 154,300 31,500 122,800 159,200 113,600 45,100 400 1,200 400 3,100 800 Feb. 26.... 151,200 32,000 119,200 150,400 31,600 118,800 160,600 114,800 45,400 400 1,100 500 6,000 800 Mar. 25 153,100 32,400 120,700 150,800 32,100 118,800 162,200 115,800 45,900 400 1,200 400 8,100 1,100 Apr. 29.... 152,900 32,300 120,600 153,100 32,000 121,000 163,500 117,100 46,000 400 1,300 400 4,400 1,000 May 27.... 151,900 32,500 119,400 150,000 32,400 117,600 165,100 118,400 46,300 400 1,300 400 7,400 900 Jun- 30.... 153,500 32,700 120,800 153,331 33,020 120,311 166,627 119,330 46,882 415 1,324 391 10,502 939 July 29.... 154,000 32,800 121,200 154,000 32,900 121,000 167,700 120,300 47,100 400 1,300 400 5,300 700 Aug. 26.... 154,300 32,900 121,400 152,900 33,100 119,800 169,000 121,200 47,400 400 [,400 400 6,300 1,100 Sept. 30 *P . 156,800 33,100 123.700 155,800 33,200 122,600 170,400 122,100 47,900 400 1,400 400 9,400 900 Oct. 28 '*>.. 157,500 33,300 124,200 158,100 33,200 124,900 172,000 123,500 48,100 400 1,400 500 5,000 700 Nov. 25 rP.. 156,600 33,400 123,200 159,000 34,300 124,700 172,500 123,800 48,300 400 1,500 600 7,200 800 Dec. 30*\.. 158,800 33,600 125,200 164,300 34,300 130,000 174,900 125,600 48,900 400 1,700 600 6,600 800 1 Series begin in 1946; data are available only for last Wed. of month. NOTE.—For back figures and descriptions of the consolidated condition 2 Other than interbank and U.S. Govt., less cash items in process of statement and the seasonally adjusted series on currency outside banks collection. and demand deposits adjusted, see "Banks and the Monetary System," 3 Includes relatively small amounts of demand deposits. Beginning Section 1 of Supplement to Banking and Monetary Statistics, 1962, and with June 1961, also includes certain accounts previously classified as Jan. 1948 and Feb. 1960 BULLS. other liabilities. Except on call dates, figures are partly estimated and are rounded to 4 Reclassification of deposits of foreign central banks in May 1961 the nearest $100 million. reduced this item by $1,900 million ($1,500 million to time deposits and $400 million to demand deposits). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

132 COMMERCIAL AND MUTUAL SAVINGS BANKS JANUARY 1965 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK (Amounts in millions of dollars) Loans and investments Deposits Total assets— Securities Total Interbank *• Other lia- Bor- Total Num- Class of bank Cash bilities row- capita] ber and date assets i and Demand ings of Total Loans G U o .S v . t. Other c c o a a u p c n i - t t a s l 2 Total i m D a e n - d Time U.S. Time 3 banks Govt. Other All banks 1941—Dec. 31 .. 61,126 26,615 25,511 8,99927,344 90,908 81,816 10,982 44,355 26,479 23 8,414 !4,826 1945—Dec. 31.. 40,227 30,362 01,288 8,57735,415 77,332 65,612 14,065 105,935 45,613 227 0,54214,553 1947—Dec. 31 4. 34,924 43,002 81,199 0,72338,388175,091 61,865 2,793 240 1,346 94,381 53,105 66 1,948 4,714 1962—Dec. 28.. 180,397 72,822 72,56335,01254,939343,201303,653 6,008 535 6,839 141,084 39,188 3,63528,046 3,940 1963—June 29. . :87,411 79,714 69,70837,989 !2,046347,896309,428 5,042 551 1,069 133,681 49,083 1,56328,612 3,993 1963—Dec. 20. . 502,251 92,686 69,068 40. 51,536 162,394 119,636 5,267 528 6,734 141,576 55,531 3,70229,882 4,079 1964—Jan. 29 . . 298,190 90,010 68,050 40, 48,530 55,410 113,950 4,090 570 2,820 137,480 58,990 3,23029,530 4,095 Feb. 26.. 299,450 .91,340 67,530 40, 48,830 56,940 14,550 3,960 590 5,730133,850 60,420 3,3"2"0 "2,9870 4,113 Mar. 25. . 303,200 94,440 67,610 41, 48,280 60,310 H8,070 4,070 630 7,870 133,500 62,000 3,27029,990 4,122 Apr. 29. . 104,130 96,580 66,180 41, 48,710 61,760 118,450 3,700 640 4,180136,620 63,310 3,56030,290 4,140 May 27. . 105,660199,210 65,150 41, 48,850 63,420 119,500 3,680 630 7,200133,080 64,910 3,56030,620 4,154 June 30.. ! 10,404203,119 65,337 41, 54,073 73,909 131,843 5,272 678 0,263 139,160 66,469 2,120M,037 4,175 July 29.. S09,330 220022,950 64,310 42, 48,580 66,950 122,830 3,770 690 5,110 135,690 67,570 3,950 10,870 14,195 Aug. 26.. 111,540203,920 64,900 42.720 48,810 169,080 124,710 4,390 680 6,040 1'3"4 ,76068,840 3,540 1,110 14,203 Sept. 30'*> 117,630207,530 66,710 43;39053,680 81,020 136,980 5,820 690 9,180 141,030 70,260 2,760 1,500 14,230 Oct. 28 rP 17,860 220077,340 66,980 43.540"1,880 179,130 133,810 5,360 710 4,740 141,160 71,840 3,94031,610 14,242 Nov. 25 r? 122,390210,720 68,080 43!590 2,960 184,860 138,290 5,460 700 6,990 142,820 72,320 4,50031,800 14,251 Dec. 30P. 128,240216,460 67,770 44!010 6,540 194,350 147,790 6,470 800 6,340 149,470 74,710 4,73032,030 14,266 Commercial banks: 1941—Dec. 31 50,746 21,714 21,808 7,22526,551 79,104 71,283 10,982 44,349 15,952 23 7,173 4,278 1945—Dec. 31 24,019 26,083 90,606 7,33134,806 60,312 50,227 14,065 105,921 30,241 219 8,950 4,011 1947—Dec. 31 4.... 116,284 38,057 69,221 9,006 17,502 55,377 44,103 2,792 240 1,343 94,367 35,360 65 0,059 4,181 1962—Dec. 28 235,839 40,106 66,434 29",298 14,049297,116 •62,122 6,008 535 6,829141,041 97,709 627 24,09413,429 1963—June 29 241,014 45,049 63,,542 32,423 156 299,875 '66,179 5,042 55011,060133,624105,903 545 24;582 13,482 1963—Dec. 20.. 254,162 56,006 63,196 34,95950,711312,773275,120 5,267 526 6,729141,534111.064 3,66425,67713,570 1964—Jan. 29.. 249,790 53,050 62,140 34600 47670 305330 268,800 4,090 570 ,820137,420113,900 3,230 25,38013,586 Feb. 26.. 250,590 154,000 61,540 35050 47930 306340 269,090 3,960 590 5,730 133;790115,020 3.32025.67013,604 Mar. 25. . 253,880 56,810 61,500 35570 47390 309 272,110 4,070 630 ,870133,450116,090 3,27025,75013,614 Apr. 29. . 254,590 58,660 60,120 35810 47890 310 272,400 640 117,310 3,56026,08013,633 May 27. . 255,720 60,860 59,110 35750 48000 311 273,170 630 7,200133,030118,630 3,56026,38013,647 June 30.. 260,179 64,463 59,322 36394 168 321909 284,903 5,272 67710,257139,110119,587 2,09926,76813,669 July 29.. 258,640 63,840 58,280 36520 47720 314 275,710 770 690 5,110135,640120,500 3,95026,59013,689 Aug. 26.. 260,330 64,400 58,800 37130 47910 316 277,230 4,390 680 6,040134,710121,410 3,54026,76013,697 Sept. 30P. 266,060 67,640 60,630 37790 800 327680 289,020 5,820 690 9,180 140; 980122,350 2,76027,12013,724 Oct. 28*>. 266,160 67,070 61,130 37960 50980 325640 285,630 5,360 710 4 123,710 3,940 27! 13,736 Nov. 25P. 270,360 70,060 62,290 3801052060 331030 289,900 5,460 700 6,990 142,770123,980 4,500 27, 13,746 Dec. 30*\ 275,980,75,550 62,00038,430 550 340200 298,880 6,470 800 6,340149,420125,850 4,73027,61013,761 Member banks: 1941—Dec. 31 .. 43,521 18,021 19,539 5,96123,123 68,121 61,717 0,385 140 1,709 37,136 12,347 4 5,886 6,619 1945—Dec. 31.. 07,183 22,775 78,338 6,07029,845138,304129,670 3,576 64 22,179 69,640 24,210 208 7,589 6,884 1947_Dec. 31 .. 97,846 32,628 57,914 7,304 '3"2,845132,060122,52812,353 50 1,176 80,609 28,340 54 8,464 6,923 1962—Dec. 28.. 95,698118,637 52,96824,092 47,427249,488219,46815,309 358 6,086 117,999 79,716 3,55019,854 6,049 1963—June 29 . . 99,495122,088 50,39927,008 44,929251,214222,61914,388 373 9,761 111,548 86,550 1,44020,238 6,058 1963—Dec. 20.. 210,127 49,34:29,07344,395 469 229, 14,518 382 5,986117.562 90.929 3.49921,054 6,112 1964—Jan. 29 . . 206,179 48,344 28,732 41,480 644 223; 13,363 429 2,394 113,823 93,395 3,07320,952 6,124 Feb. 26. . 206,916 47,87329,15541,969255,804 223,94013,275 448 5044110,823 94,350 3.16621,172 6,130 Mar. 25. . 209,979 47,98529,61341,171258,229226,54113,378 489 7 032110,459 95,183 3,054 2211,226 6,136 Apr. 29. . 210,375 46,73429,76841,889 259,460 226,81 13,019 493 3,751113,314 96,240 3,37121,500 6,153 May 27.. 211,293 45,979 649 41 260,441227,45913,022 489 6,440110,182 97,326 3,389 21,719 6,161 June 30.. 215,132 46,235 249 46, 269,437238,05: 14,527 525 9,342115,624 98,034 1,93622,060 6,180 July 29. . 213,635 45,22330,370 41,73!262,606 229,42913,078 536 4 112,319 98,860 3,74021,947 6,186 Aug. 26. . 215,030 45,65130,90141,830263,825230,64: 13,661 531 111,458 99.581 3,,"354 2"2",088 6,188 Sept. 30. . 220,105 47,245 467 46 274,302 241,33115,056 54: 8^460 116^69100,304 2,,624 22,382 6,204 Oct. 28.. 219,678 47,458 574 44, 271,855237,65614,559 555 4,325116,793101,424 3,73322,474 6,209 Nov. 25. . 223,153 48,38331,529 45,689276,406241.14114,646 551 6,319118,030101,595 4,29722,560 6,221 Dec. 30*\ 228,341 48,26031,94348,737284,712 249,33615,614 649 5,782 124,084103,20' 4,48622,761 6,225 Mutual savings banks: 1941_Dec. 31 . .. 10.379 4,901 3,704 1,774 793 11,804 10,533 6 10,527 1,241 548 1945—Dec. 31... 16,208 4.279 10.682 1,246 609 17,020 15,385 14 15.371 1,59 542 1947—Dec. 31 4.. 18,641 4,944 11,978 1,718 886 19,714 17,763 17,745 1,889 533 1962—Dec. 28 . .. 44,558 32,716 6,129 5,714 890 46.086 41,531 41,478 3,951 511 1963—June 29... 46,397 34,665 6,166 5,566 890 48,020 43,248 43,180 4,031 511 1963—Dec. 20. 48,089 36,679 5,872 5,539 826 49,621 44,516 44.467 4.205 509 1964—Jan. 29. 48,400 36,960 5,910 5,530 860 50,080 45,150 45,090 4,150 509 Feb. 26. 48,860 37,340 5,990 5,530 900 50,600 45,460 45,400 4.200 509 Mar. 25. 49,320 37,630 6,110 5,580 890 51.040 45,960 45,910 4,240 508 Apr. 29. 49,54C 37,920 6,060 5,560 820 51,180 46,050 46,000 4,210 507 May 27. 49,94C 38,350 6,040 5,550 850 51,610 46,330 46,280 4,240 507 June 30. 50,22< 38,656 6,016 5.55 905 52,000 46,940 46,882 4,269 506 July 29. 50,69C 39,110 6,030 5,550 860 52,420 47,120 47,070 4,280 506 Aug. 26. 51,21 39,520 6,100 5,590 900 52,990 47,480 47,430 4,350 506 Sept. 30 r 51,57C 39,890 6,080 5,600 880 53,340 47,960 47,910 4,380 506 Oct. 28» 51,70( 40,270 5,850 5,580 900 53,490 48,180 48,130 4,360 506 Nov. 25 ' 40,660 5,79C 5,580 900 53,830 48,390 48,340 4,420 505 Dec. 30P 52^26( 40,910 5,77C 5,580 990 54,150 48,910 48,860 4,420 505 For notes see end of table. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 COMMERCIAL AND MUTUAL SAVINGS BANKS 133 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— Cla a s n s d o d f a b te ank Total Loans U S .S e . curities a C ss a e s t h si c b T a i a l l o p i n i a t t i d i t a - e a l s l Total i I D n e t - erbank ] Dema O n t d her i B r n o o w g r s - - c c T a o o p u t i n a ta t l s l b N a b u o n e f m k r s - Govt. Other co a u c n - ts 2 mand Time U.S. Time Govt. Other Reserve city member banks New York City: 5, 6, i 1941—Dec. 31 12,896 4,072 7,265 1,559 6,637 19,862 17,932 4,202 866 12,051 807 1,648 36 1945—Dec. 31 26,143 7,334 17,574 1,235 6,439 32,887 30,121 4,640 17 6,940 17,287 1,236 195 2,120 37 1947—Dec. 31 20,393 7,179 11.972 1,242 7,261 27,982 25,216 4,453 12 267 19,040 1,445 30 2,259 37 1962—Dec. 28 32,989 21,954 7,017 4,017 11,050 46,135 37,885 4,783 207 1,408 22,231 9,256 1,728 3,898 17 1963—June 29 32,847 21,446 6,506 4,895 9,802 44,981 37,454 4,734 187 2,052 20,35110,131 794 3,931 13 1963—Dec. 20 34,827 23,577 6,154 5,095 9,372 46,434 38,327 4,289 214 1,419 20,96011,446 438 3,984 13 1964—Jan. 29 33,651 22,965 5,691 4,995 8,864 44,912 36,674 4,040 256 351 20,061 11,966 ,294 4,161 13 Feb. 26 33,611 22,799 5,561 5,251 9,317 45,377 37,010 4,060 268 901 19,69412,087 ,320 4,184 13 Mar. 25 34,885 23,653 5,879 5,353 8,530 45,875 37,661 4,096 306 1,563 19,453 1122,243 ,187 4,184 13 Apr. 29 34,624 23,967 5,390 5,267 8,864 46,040 37,648 4,044 304 833 20,14012,327 ,270 4,203 13 May 27 35,467 24,544 5,619 5,304 9,393 47,346 38,590 4,071 295 1,349 19,67013,205 ,494 4,351 14 June 30 36,693 25,490 5,779 5,42410,550 49,716 41,545 4,711 317 2,112 21,224 13,181 97.4 4,402 14 July 29 35,963 25,179 5,322 5,462 8,669 47,137 38,475 3,993 341 987 19,60613,548 ,476 4,388 14 Aug. 26 35,936 24,648 5,691 5,597 8,621 46,929 38,338 4,000 336 992 19,38313,627 ,365 4,421 14 Sept. 30 37,904 26,040 5,973 5,891 10,183 50,696 42,287 4,727 340 2,350 21,199 13,671 938 4,447 14 Oct. 28 36,611 25,048 5,712 5,851 9,639 48,758 40,001 4,299 350 1,059 20,32413,969 1,345 4,436 13 Nov. 25 37,594 26,051 5,954 5,58910,103 50,171 40,753 4,394 333 1,261 20,67914,086 1,784 4,434 13 Dec. 30^ 39,852 27,733 6,127 5,99210,975 53,356 43,684 4,782 417 1,425 22,792 1'4 ',2682,157 4,472 13 City of Chicago: 5 1941—Dec. 31 2,760 954 1,430 376 1,566 4,363 4,057 ,035 127 2,419 476 288 13 1945—Dec. 31 5,931 1,333 4,213 385 1,489 7,459 7,046 ,312 1,552 3,462 719 377 12 1947_Dec. 31 5,088 1,801 2,890 397 1,739 6,866 6,402 ,217 72 4,201 913 426 14 1962—Dec. 28 8,957 5,418 2,129 ,409 2,280 11,432 9,993 ,277 410 5,264 3,025 262 948 13 1963—June 29 9,082 5,545 2,071 ,466 2,136 11,440 10,141 ,202 584 4,840 3,499 111 974 12 1963—Dec. 20 9,615 6,220 1,705 ,690 1,970 11,776 10,296 ,211 395 4,887 3,787 255 996 12 1964—Jan. 29 9,242 5,837 1,823 ,582 1,994 11,437 9,977 ,075 100 4,839 3,948 257 1,002 12 Feb. 26 9,423 5,956 1,867 ,600 2,023 11,641 10,056 ,124 279 4,715 3,923 370 ,002 12 Mar. 25 9,695 6,064 2,063 ,568 1,776 11,713 10,128 ,124 472 4,627 3,889 327 ,011 12 Apr. 29 9,316 6,088 1,706 ,522 2,118 11,676 10,263 ,114 212 4,893 4,028 166 ,012 12 May 27 9,394 6,173 1,706 ,515 2,185 11,806 10,414 ,151 384 4,810 4,046 185 ,008 12 June 30 9,636 6,266 1,750 ,620 2,121 12,046 10,630 ,182 587 4,744 4,090 210 ,017 12 July 29 9,394 6,092 1,737 ,565 2,091 11,733 10,289 ,148 282 4,690 4,145 201 ,018 12 Aug. 26 9,638 6,311 1,717 ,610 1,930 11,817 10,351 ,229 298 4,652 4,149 197 ,024 12 Sept. 30 9,914 6,421 1,857 ,636 2,251 12,458 10,964 ,327 616 4,840 4,158 258 1,034 12 Oct. 28 9,788 6,404 1,791 ,593 2,234 12,305 10,802 ,238 288 4,939 4,314 255 ,034 12 Nov. 25 10,021 6,600 1,786 ,635 2,232 12,537 11,009 ,251 380 4,906 4,450 256 ,044 12 Dec. 30^ 10,419 7,003 1,853 ,563 2,363 13,077 11,433 ,264 399 5,250 4,499 313 1,055 12 Other reserve city: 7 1941_Dec. 31 15,347 7,105 6,467 1,776 8,518 24,430 22,313 4,356 104 491 12,557 4,806 1 967 351 1945—Dec. 31 40,108 8,514 29,552 2,042 11,286 51,898 49,085 6,418 30 8,221 24,655 9,760 2 2,566 359 1947—Dec. 31 36,040 13,449 20,196 2,396 13,066 49,659 46,467 5,627 22 405 28,990 11,423 1 2.844 353 1962—Dec. 28 73,130 46,567 18,398 8,165 19,539 94,914 84,248 7,477 82 2,337 43,609 30,743 1,388 7,263 191 1963—June 29 74,614 48,164 17,326 9,124 18,526 95,433 85,555 6,811 110 3,793 41,29133,549 407 7,440 194 1963—Dec. 20 78,370 51,891 16,686 9,792 ,778 99,643 87,994 7,225 95 2,212 43,45935,004 1,417 7,697 190 1964—Jan. 29 76,859 51,034 16,152 9,673 ,826 96,184 84,938 6,512 98 813 41,43936,076 ,146 7,773 189 Feb. 26 77,289 51,529 15,994 9,766 ,193 96,845 85,456 6,449 105 2,062 40,234 3366,606 ,095 7,814 189 Mar. 25 78,288 52,395 15,86610,027 ,863 97,572 86,404 6,495 107 2,796 40,16736,839 ,000 7,815 186 Apr. 29 78,650 52,811 15,69210,147 ,445 98,569 86,601 6,232 117 1,586 41,32137,345 ,500 7,984 186 May 27 79,226 53,749 15,29410,183 ,999 98,750 86,814 6,231 115 2,708 40,00937,751 ,301 8,032 183 June 30 80,466 54,604 15,48810,375 ,143102,245 91,145 6,894 118 3,771 42,387 3377,974 572 8,110 183 July 29 80,080 54,557 15,01810,505 ,209 99,824 87,609 6,320 115 1,875 41,15538,144 ,647 8,125 184 Aug. 26 80,662 55;049 14,92210,691 185100,348 88,169 6,732 116 2,151 40,740 38,430 ,415 8,173 185 Sept. 30 82,222 55,804 15,68010,738 ,158104,065 91,950 7,217" 115 3.244 42,68938,685 ,150 8,324 186 Oct. 28 82,239 55,712 15,72210,805 ,305103,165 90,422 7,152 118 1,685 42,61838,849 ,725 8,357 186 Nov. 25 83,044 56,292 15,986|l0 646104,306 91,299 7,102 132 2,580 42,85138,634 ,845 8,360 185 Dec. 30^ 84,683 57,907 15,923 10 ,757107,096 94,475 7,571 147 2,223 45,067 "3,9467 1,533 8,459 185 Country member banks: 1941_Dec. 31 12,518 5,890 4,377 2,250 6,402 19,466 17,415 792 225 10,109 6,258 4 1,982 6,219 1945—Dec. 31 35,002 5,596 26,999 2,40810,632 46,059 43,418 ,207 5,465 24.23512,494 11 2,525 6,476 1947—Dec. 31 36,324 10,199 22,857 3,26810,778 47,553 44,443 ,056 432 28,37814,560 23 2.934 6,519 1962—Dec. 28 80,623 44,698 25,42510,50114,559 97,008 87,342 ,773 1,931 46,895 36,692 172 7,744 5.828 1963—June 29 82,952 46,934 24,49611,52214,465 99,361 89,470 ,641 3,332 45,066 39,371 127 7,894 5,839 1963—Dec. 20 87,316 50,023 24,79712,49614,274103,615 92,759 ,793 1,960 48,256 40,693 390 8,377 5,897 1964—Jan. 29 86,427 49,267 24,67812,48213,796102,111 91,815 ,736 1,130 47,484 41,405 376 8,016 5,910 Feb. 26 86,593 49,604 24,45112,53813,436101,941 91,418 ,642 1,802 46,180 41,734 381 8,172 5,916 Mar. 25 87,111 50,269 24,17712,66514,002103,069 92,348 ,663 2,201 46,212 42,212 540 8,216 5,925 Apr. 29 87,785 51,007 23.94612,83213,462103,175 92,305 ,629 1,120 46,960 42,540 435 8,301 5,942 May 27 87,206 51,199 23,360 12,64713,406 102,539 91,641 ,569 1,999 45,693 42,324 409 8,328 5,952 June 30 88.337 52,289 23,21812,83014,953105,430 94,733 ,739 2,872 47,270 42,788 230 8,531 5,971 July 29 88,198 52,214 23,14612,83813,763103,912 93,056 ,617 1,492 46,868 43,023 416 8,416 5,976 Aug. 26 88,794 52,470 23.32113,00314,094104,731 93,784 ,700 1,970 46,683 43,375 377 8,470 5,977 Sept. 30 90.065 53.128 23,73513,20214.831107,083 96,130 ,785 2,250 48,24143,790 278 8,577 5,992 Oct. 28 91,040 53,482 24,23313,32514.502107,627 96,431 ,870 1,293 48,912 44,292 408 8,647 5,998 Nov. 25 92,494 54,298 24,65713,53914,708109,392 98,080 1,899 2,098 49,594 44,425 412 8,722 6,011 Dec. 30P 93,387 55,495 24,35713,53515,642111,183 99,744 1,997 1,735 50,975 44,973 483 I$,775 6,015 For notes see end of table. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

134 COMMERCIAL AND MUTUAL SAVINGS BANKS JANUARY 1965 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— Cla a s n s d o d f a b te ank Total Loans U S .S e . curities as C s a e s ts h i c b T a i a l l o p i i n a t t i d i t a - e a l s l Total i I D n e t - erbank * Dema O n t d her r B i o n o w g r s - - c c T a o a o p u c t i - n a ta t l s l N ba b o u n e f m r ks - Govt. Other cou a n c- ts * mand Time U.S. Time Govt. Other id commercial banks: 1941 _Dec. 31.. 49,290 21,259 21,046 6,984 25,788 76,820 69,411 10,654 1,762 41,298 5,699 10 6,844 3,426 1945—Dec. 31.. 121,809 25,765 88,912 7,131 34,292 157,544 147,775 13,883 13,740 80',,227766 12299;,876 215 8,671 3,297 1947_Dec. 31.. 114,274 37,583 67,941 8,750 36,926 152,733 141,851 2,615 54 1,325 92.975 "3,4882 61 9,734 3,398 1961—Dec. 30.. 213,904 24,348 66,026 23,531 56,086 276,600 247,176 7,737 333 5,934141,050 12,122 462 22,08913,108 1962—Dec. 28.. 234,243 39,449 65,89128,903 53,702 295,093 260,609 5,844 402 6,815140,169 9;77,38O 3,58423,712 3,119 1963—Dec. 20.. 252,579 55,261 62,723 .".'.,594 50,337 310,730 273,657 5,077 443 6,712 114400,702 10,723 3,57125,277 3,284 1964—June 30.. 258,597 63,715 58,880 36,002 52,845 319,913 283,463 5,072 591 0,234138,323 1199,224433 2~~" 26,35813,394 National member banks: 1941—Dec. 31.. 27,571 11,725 12,039 3,806 14,977 43,433 39,458 6,786 1,088 23,262 8,322 4 3,640 5,117 1945_Dec. 31.. 69,312 13,925 51,250 4,137 20,114 90,220 84,939 9,229 4,013 45,473 6,224 78 4,644 5,017 1947_Dec. 31.. 65,280 21,428 38,674 5,178 22,024 88,182 82,023 8,375 35 795 53,54119,278 45 5,409 5,005 1961—Dec. 30.. 116,402 67,309 36,08813,006 31,078 150,809 135,511 0,359 104 3,315 76,292 45,441 22511,875 4,513 1962—Dec. 28.. 127,254 75,548 35,66316,042 29,684 160,657 142,825 9,155 127 3,735 76,075 3,733 1,63612,750 4,505 1963—Dec. 20.. 137,447 84,845 33,384 1'9-,218 28,635 170,233 150,823 8,863 146 3,691 76,83661,288 1,70413,548 4,615 1964—June 30.. 141,198 89,469 31,560 20,168 29,511 175,250 155,978 8,488 161 5,822 75,3-6"9 6"6,137 84114,262 4,702 State member banks: 1941_Dec. 31.. 15,950 6,295 7,500 2,155 8,145 24,688 22,259 3,739 621 13,874 4,025 1 2,246 ,502 1945—Dec. 31.. 37,871 8,850 27,089 1,933 9,731 48,084 44,730 4,411 8,166 24,168 7,986 130 2,945 ,867 1947_Dec. 31.. 32,566 11,200 19,240 2,125 10,822 43,879 40,505 3,978 15 381 27,068 9,062 9 3,055 ,918 1961—Dec. 30.. 63,196 38,924 17,971 6,302 18,501 84,303 74,119 6,835 199 2,066 43,30321,716 213 6,763 ,600 1962—Dec. 28.. 68,444 43,089 17,305 8,050 17,744 88,831 76,643 6,154 231 2,351 41,92425,983 1,914 7,104 ,544 1963—Dec. 20.. 72,680 46,866 15,958 9,855 15,760 91,235 78,553 5,655 236 2,295 40,72529,642 1,795 7,506 ,497 1964—June 30.. 73,934 49,179 14,67510,080 17,256 94,186 82,074 6,038 364 3,520 40, 2~5"5 "31,897 1,095 7,799 ,478 Insured nonmember commercial banks: 1941—Dec. 31.. 5,776 3,241 1,509 1,025 2,668 8,708 7,702 129 53 4,162 3,360 959 6,810 1945_Dec. 31.. 14,639 2,992 10,584 1,063 4,448 19,256 18,119 244 1,560 10,635 5,680 1,083 6,416 1947—Dec. 31.. 16,444 4,958 10,039 1,448 4,083 20,691 19,340 262 4 149 12,366 6,558 1,271 6,478 1961—Dec. 30.. 34,320 18,123 11,972 4,225 6,508 41,504 37,560 543 553 21,45614,979 3,452 6,997 1962—Dec. 28.. 38,557 20,811 12,932 4,814 6,276 45,619 41,142 535 729 22,170 17,664 3,870 7,072 1963—Dec. 20.. 42,464 23,550 13,391 5,523 5,942 49,275 44,280 559 726 23,140 19,793 4,234 7,173 1964—June 30.. 43,476 25,066 12,654 5,755 6,078 50,488 45,411 546 892 22,699 21,209 99 4,309 7,215 Noninsured nonmember commercial banks: 1941 _Dec. 31., 1,457 455 761 241 763 2,283 1,87! 329 1,291 253 329 852 1945_Dec. 31., 2,211 318 1,693 200 514 2,768 2,45: 181 1,905 365 279 714 1947_Dec. 31.' 2,009 474 1,280 255 576 2,643 2,251 177 185 18 1,392 478 325 783 1961—Dec. 30., 1,536 577 553 406 346 1,961 1,513 177 148 869 307 370 323 1962—Dec. 28., 1,584 657 534 392 346 2,009 1,513 164 133 87: 330 371 308 1963—Dec. 20. 1,571 745 463 36: 374 2,029 1,463 190 83 83: 341 389 285 1964—June 30. 1,571 748 432 390 323 1,984 1,439 200 787 344 399 274 Nonmember commercial banks: 1941 _Dec. 31. 7,233 3,696 2,270 1,266 3,431 10,992 9,573 457 5,504 3,613 18 1,288 7,662 1945—Dec. 31. 16,849 3,310 12,277 1,262 4,962 22,024 20,571 425 14,101 6,045 11 1,362 7,130 1947—Dec. 31. 18,45' 5,43f 11,318 1,703 4,659 23,334 21,591 439 190 167 13,758 7,036 12 1,596 7,261 1961—Dec. 30. 35,856 18,700 12,525 4,631 6,854 43,465 39,073 719 178 565 22,32515,286 33 3,822 7,320 1962—Dec. 28. 40,141 21,469 13,466 5,206 6,622 47,628 42,654 699 176 743 23,04217,994 77 4,240 7,380 1963—Dec. 20. 44,035 24,295 13,854 5,885 6,316 51,304 45,743 749 144 743 23,97220,134 165 4,623 7,458 1964—June 30. 45,047 25,815 13,087 6,145 6,401 52,472 46,850 745 151 915 23,486 2"1,553 163 4,708 7,489 Insured mutual savings banks: 1941—Dec. 31. 1,693 642 629 421 151 1,958 1,789 1,78! 164 52 1945—Dec. 31. 10,846 3,081 7,160 606 429 11,424 10,363 12 10,351 1,03. 192 1947—Dec. 31. 12,683 3,560 8,165 958 675 13,499 12,207 1212,192 1,252 194 1961—Dec. 30. 35,660 25,812 4,690 5,158 828 37,065 33,400 256 333,137 3,19 330 1962—Dec. 28. 38,597 28,778 4,639 5,180 784 39,951 36,104 267 355,827 3,343 331 1963—Dec. 20. 41,664 32,300 4,324 5,041 72: 43,019 38,657 292 38,359 3,572 330 1964—June 30. 43,431 34,050 4,316 5,064 799 45,022 40,797 33340,456 3,618 327 For notes see end of table. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 COMMERCIAL AND MUTUAL SAVINGS BANKS 135 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— Cla a s n s d o d f a b te ank Total Loans Securities a C ss a e s t h s1 b T i a l l o i i n a t t d i - a e l s Total 1 Interbank1 Dema O n t d her r i B o n o w g r s - - c c T a o a o p u c t i n - a ta t l s l b N b a o u n e f m r ks - G U o . v S t . . Other c c o a u a p n c i - t ts a l 2 m D a e n - d Time U.S. Time Govt. Other Noninsured mutual savings banks: 1941—Dec. 31 8,687 4,259 3,075 1,353 642 9,846 8,744 6 8,738 1,077 496 1945—Dec. 31 5,361 1,198 3,522 641 180 5,596 5,022 2 5,020 6 558 350 1947—Dec. 313 5,957 1,384 3,813 760 211 6,215 5,556 1 2 5,553 637 339 1961—Dec 30 5,600 3,581 1,446 572 108 5,768 5,087 1 4 5,083 577 184 1962—Dec. 28 5,961 3,938 1,490 533 106 6,134 5,427 1 6 5,420 1 608 180 1963—Dec. 20 6,425 4,380 1,548 498 104 6,602 5,859 1 8 5,851 633 179 1964—June 30 6,795 4,605 1,700 490 105 6,977 6,143 1 15 6,128 1 651 179 1 Reciprocal balances excluded beginning with 1942. parability of figures for classes of banks is affected somewhat by changes 2 Includes other assets and liabilities not shown separately. in F.R. membership, deposit insurance status, and the reserve classifica- 3 See note 3, p. 587, May 1964 BULL. tions of cities and individual banks, and by mergers, etc. 4 See note 4, p. 587, May 1964 BULL. Data for June 30, 1964, for national banks have been adjusted to make 5 See note 5, p. 587, May 1964 BULL. them comparable with State bank data. (Dec. 20, 1963 data also ad- 6 Beginning with May 18, 1964, one New York City country bank with justed to lesser extent.) loans and investments of $1,034 million and total deposits of $982 million Figures are partly estimated except on call dates. was reclassified as a reserve city bank. For revisions in series before June 30, 1947, see July 1947 BULL., pp. 7 See note 6, p. 587, May 1964 BULL. 870-71. NOTE.—Data are for all commercial and mutual savings banks in the See also NOTE, p. 643, May 1964 BULL. United States (including Alaska and Hawaii, beginning with 1959). Com- LOANS AND INVESTMENTS AT COMMERCIAL BANKS (In billions of dollars) Seasonally adjusted Not seasonally adjusted Period Securities Securities Total 1 Loans1 Total1 Loans1 U.S. U. S. Govt. Other Govt. Other 1957_Dec. 31.. 166.4 91.4 57.1 17.9 169.3 93.2 58.2 17.9 1958—Dec. 31.. 181.2 95.6 65.1 20.5 184.4 97.5 66.4 20.6 1959—Dec. 31.. 185.9 107.6 57.8 20.5 189.5 110.0 58.9 20.5 1960—Dec. 31.. 194.5 113.8 59.9 20.8 198.5 116.7 61.0 20.9 1961—Dec. 30.. 209.8 120.5 65.4 23.9 214.4 123.9 66.6 23.9 1962—Dec. 31 2 228.3 133.9 65.2 29.2 233.6 137.9 66.4 29.3 1963—Dec. 31 2 246.5 149.4 62.1 35.0 252.4 153.9 63.4 35.1 1964—Dec. 31 2 266.0 166.7 60.9 38.4 272.6 171.7 62.4 38.5 1963—Nov. 27.. 244.2 148.4 61.4 34.4 245.0 148.6 62.3 34.1 Dec. 31 2 246.5 149.4 62.1 35.0 252.4 153.9 63.4 35.1 1964—Jan. 29.. 246.7 151.0 60.8 34.9 246.2 149.5 62.1 34.6 Feb. 26.. 248.4 151.8 61.2 35.4 247.2 150.6 61.5 35.1 Mar. 25.. 251.4 153.9 62.1 35.4 249.9 152.8 61.5 35.6 Apr. 29.. 251.8 155.4 60.8 35.6 250.6 154.7 60.1 35.8 May 27.. 253.5 157.3 60.3 35.9 251.5 156.7 59.1 35.8 June 30.. 256.3 160.0 60.0 36.3 257.3 161.6 59.3 36.4 July 29.. 254.5 159.7 58.4 36.4 254.2 159.4 58.3 36.5 Aug. 26. 258.7 161.5 60.2 37.0 256.1 160.2 58.8 37.1 Sept. 30* 261.7 163.0 61.2 37.5 262.2 163.7 60.7 37.8 Oct. 28* 260.8 163.1 59.9 37.8 262.1 163.0 61.1 38.0 Nov. 25P. 264.9 165.2 61.3 38.4 265.7 165.4 62.3 38.0 Dec. 31 2 266.0 166.7 60.9 38.4 212.6 171.7 62.4 38.5 1 Adjusted to exclude interbank loans. For description of seasonally adjusted series, see July 1962 BULL. pp. 2 Data are estimates. 79 D 7- a 8 t 0 a 2 . are for last Wed. of month and are partly estimated (except for NOTE.—For back data, see June 1964 BULL., pp. 693-97. June 30 and Dec. 31 call dates). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

136 COMMERCIAL BANKS JANUARY 1965 LOANS AND INVESTMENTS BY CLASS OF BANK (In millions of dollars) Loans * Investments For To purchasing financial U. S. Government Total Com- or carrying institutions securities b c C a a l n l a l k s d s a a o n te f d l i m o n a a v e n n e n d s s t t s - i Total 2 m d t a c r i u n i n i e a a s d - r l l - - A c tu a u g r l l r - - i- b k d a T s e e r n e o o a r d c s l - u - r o it t T i h e o e s rs ba T n o ks ot T h o ers R t e a e s t a - e l O u v i d t t a i n o h i d l - - e s - r Other Total Bills c C t a i e f t i e r - - s Notes Bonds s r S g l a o i e o t t n c c a i v e d u a t t e s l - . O s r e i t t h c ie e u s r ers Total: 2 1947—Dec. 31.116,284 38,057 18.,, 16..7 1,.6.6..0 830 1,220 115 9,393 5,723 947 69,221 2,193 7,789 6,034 53,205 5,276 3,729 1961—Dec. 30.215,441124,925 45,172 6,248 4 056 2,134 1,033 7,31130,320 2"7,847 3,412 66,: 11,488 2,114 2"66,;336 26,641 20,345 3,592 1962—Dec. 28.235,839140,106 48,673 7,097 5 144 2,131 2,578 8,|445599 34^59 30^53 3^09 66^43411,674 3,,932 233,84126,,9987 24,7554,543 1963—Dec. 20.254,162156,006 52,947 7,470 5 353 2,509 3,605 9,479 39;056 34550 4,034 63,19611,059 658 222,,441155 2288,,0065 29,786 5,173 1964—June 30.260,179164,463 55,0617,688 5,526 2,704 2,88110,450 41,388 37594 4,42159,322 9,061 35 23,14127,0085 31,419 4,975 AH insured 1941—Dec. 31. 49,290 21,259 9,214 ,450 614 662 40 4,773 4,505 21,046 988 3,159 16,899 3,6513,333 1945—Dec. 31. 121,809 25,765 9,461 ,331144 3,164 3,606 49 4,677 2,361 ' 1"32 88,912 2,45519,07116,045 5-1',342 3,8733,258 1947_Dec. 31. 114,274 37,583 18,012 1,610 8231,190 114 9,266 5,654 914 67,941 2,124 7,552 5,918 52,347 5,129 3,621 1961—Dec. 30.213,904124,348 44,965 6,2114,030 2,107 1,027 7,296 30,211 27,708 3,396 66,02611,356 2,098 26,145 26,426 20,068 3,462 1962—Dec. 28.234,243139,449 48,458 7,060 5",119 2,103 2,551 8,434 34,123 30,402 3,890 65,89111,514 3,916 23,715 26,746 24,547 4,356 1963—Dec. 20.252,579155,26152,743 7,444 5,3212,476 3,594 9,415 38,861 34,383 4,015 62,72310,952 1,649 22,316 27,806 29,559 5,035 1964—June 30.258,597163,715 54,855 7,6635,492 2,671 2,83910,414 41,190 37,432 4,403 58,880 8,970 32 23,044 26,835 31,1844,818 Member, total 1941_Dec. 31. 43,521 18,021 8,671 972 594 598 39 3,494 3,653 19,539 971 3,007 15,561 3,090 2,871 1945—Dec. 31. 107,183 22,775 8,949 8553,1333,378 47 3,455 1,900 1,057 7788,338 2,27516,98514,271 ,807 3,254 2,815 1947—Dec. 31. 97,846 32,62816,962 1,046 8111,065 113 7,130 4,662 839 57,914 1,987 5,816 4,815 45,295 4,199 3,105 1961—Dec. 30.179,599106,232 40,9313,934 3877 1,827 1,014 6,893 23,987 22,852 3,198 54,058 9,229 1,842 21,390 21,59816,6912,617 1962—Dec. 28.195,698118,637 43,843 4J419 4954 1,777 2,445 7,936 27,162 24,799 3,657 52,968 8,862 3,249 19 ,44321,4"1 4' 20,,7-7 3 3,319 1963—Dec. 20.210,127131,712 47,403 4659 5,124 2,136 3,439 8,875 31,009 27,908 3,765 49,342 8,032 1,307 18,0 7~2 21,932 25,210 3,864 1964—June 30.215,132138,649 49,217 4755 5,3412,320 2,733 9,887 32,794 30,275 4,137 46,235 6,707 1618,572 20940 26,579 3,670 New York City: 1941—Dec. 31. 12,896 4,072 2,807 412 169 32 123 522 7,265 311 1,623 5,331 729 830 1945—Dec. 31. 26,143 7,334 3,044 2,453 1,172 26 80 287 272 17,574 477 3,433 3,32510,339 606 629 1947_Dec. 31. 20,393 7,179 5,361 545 267 93 111 564 23811,972 1,002 640 558 9,772 638 604 1961—Dec. 30. 30,297 19,53511,278 231,956 467 376 1,711 934 2,072 1,220 7,862 2,117 442 2,496 2,806 2,635 265 1962—Dec. 28. 32,989 21,95411,943 17 2,766 425 572 2,087 1,329 2,143 1,196 7,017 1,998 508 2,488 2,023 3,585 432 1963—Dec. 20. 34,827 23,57712,332 26 2,677 569 1,007 2,247 1,968 2,257 1,068 6,154 1,711 147 2,341 1,955 4,653 442 1964—June 30. 36,693 25,49012,647 213,045 625 1,014 2,762 2,296 2,548 1,128 5,779 1,333 2,625 1,821 4,952 472 City of Chicago: 1941—Dec. 31., 2,760 954 732 48 52 22 95 1,430 256 153 1,022 182 193 1945—Dec. 31. 5,931 1,333 760 211 233 36 51 40 4,213 133 1,467 749 1,864 181 204 1947_Dec. 31. 5,088 1,801 1,418 73 87 46 149 26 2,890 132 235 248 2,274 213 185 1961—Dec. 30., 7,606 4,626 2,609 354 137 53 669 221 476 229 2,041 478 92 728 743 816 124 1962—Dec. 28. 8,957 5,418 2,941 407 152 89 703 362 523 369 2,129 377 115 849 788 1,242 168 1963—Dec. 20. 9,615 6,220 3,378 497 181 242 751 401 594 318 1,705 347 42 599 717 1,361 329 1964—June 30. 9,636 6,266 3,332 498 192 200 893 409 600 318 1,750 418 652 680 1,370 251 Other reserve city: 1941—Dec. 31., 15,347 7,105 3,456 300 114 194 4 1,527 508 6,467 295 751 5,421 956 820 1945—Dec. 31. 40,108 8,514 3,661 205 4271,503 17 1,459 855 387 29,552 1,034 6,982 5,65315,883 1,126 916 1947_Dec. 31. 36,040 13,449 7,088 225 170 484 15 3,147 1,969 35120,196 373 2,358 1,90115,563 1,3"4 "2 1,053 1961—Dec. 30. 68,565 42,379 16,879 ,076 976 784 470 3,261 9,590 9,172 99819,748 3,020 741 8,605 7,382 5,710 727 1962—Dec. 28. 73,130 46,567 17,660 1,179 ,053 752 1,020 3,58311,030 9,860 ,26618,398 2,343 1,403 7,257 7,395 7,252 913 1963—Dec. 20. 78,370 51,891 862 1,219 ,243 891 1,224 4,286 "12,525 11,106 1,46216,686 2,152 545 6,600 7,390 8,810 981 1964—June 30. 80,466 54,604 624 1,173 ,155 970 953 4,706 13,20712,063 ,75315,488 2,206 6,566 6,715 9,449 925 Country: 1941—Dec. 31.,12,518 5,890 1,676 659 20 183 2 1,823 1,528 4,377 110 481 3,787 1,2221,028 1945—Dec. 31.,35,002 5,596 1,484 648 42 471 4 1,881 707 35926,999 630 5,102 4,544 166,722 1,3421,067 1947_Dec. 31..36,324 10,199 3,096 818 23 227 5 3,827 1,979 224 2"2,857 480 2,583 2,10817,687 2,0061,262 1961—Dec. 30..73,131 39,69310,1652,811 591 438 116 1,251 13,242 11,132 75124,407 3,614 566 9,56010,667 7,5301,500 1962—Dec. 28.,80,623 44,69811,229999 "3,187 728 447 764 1,563 14,44112,273 82625,425 4,144 1,223 8,84911,209 8,6941,807 1963—Dec. 20.,87,316 50,02312,8313,374 708 496 966 1,591 16,114 1133,951 91724,797 3,822 573 8,53111,87110,385",111 1964—June 30., 88,337 52,289 13J614 3",535 644 534 565 1,525 16,88315,063 93923,218 2,749 15 8,72811,72510,808 2,022 Nonmember 1947—Dec. 31., 18,454 5,432 1,205 614 20 156 2 2,266 1,061 109 11,318 206 1,973 1,219 7,920 1,078 625 1961—Dec. 30., 35,856 18,700 4,2412,314 179 306 19 418 6,341 4,995 21412,525 2,259 272 4,947 5,046 3,655 976 1962—Dec. 28., 40,141 21,469 4,8302,678 190 354 132 523 7,097 5,754 25213,466 2,812 683 4,398 5,573 3,982 1,224 1963—Dec. 20.. 44,035 24,295 5,5442,811 229 373 166 604 8,047 6,643 26913,854 3,027 351 4,343 6,133 4,576 ,309 1964—June 30., 45,047 25,815 5,844 '2,933 185 384 149 563 8,594 7,320 284 13,087 2,354 19 4,569 6,144 4,841 1,305 1 Beginning with June 30, 1948, figures for various loan items are 2 Breakdowns of loan, investment, and deposit classifications are not shown gross (i.e., before deduction of valuation reserves); they do not available before 1947; summary figures for earlier dates appear in the add to the total and are not entirely comparable with prior figures. Total preceding table. loans continue to be shown net. For other notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 COMMERCIAL BANKS 137 RESERVES AND LIABILITIES BY CLASS OF BANK (In millions of dollars) Demand deposits Time deposits b c C a a l n l a l k s d s a a o n t f e d B s F w e R a . r i n v e t R - k h e . s s r C c e a o n n u i c d r n - y b m a w a B d n e n o i c a s k t e l - t h - i s s c 3 j m p u D o a d s a t d s e e n e i - - - t d d s 4 m D e In s o t t - i e c r 3 ba e F n ig k o n r- 5 G U o .S v . t. g S l a o o t n c a v d a t t e l . c C h c o a f e e e i f n c f e r r i d t k s d - i ' s - , IPC I b n a t n er k - P G U S i a o n o a n s . g S v v t d s a . - t l . g S l a o o t n c a v d a t t e l . IPC r B i o n o w g r s - - c C o a t a u a c p n l - i t - s etc. Total:* 1947—Dec. 31.. 17,796 2,216 10,216 87,123 11,362 1,430 1,343 6,799 2,581 84,987 240 111 866 34,383 6510,059 1961—Dec. 30.. 16,918 3,689 14,169122,654 16,574 1,340 5,946 12,242 5,056 124,622 481 283 5,465 76,680 47122,459 1962—Dec. 28.. 17,680 4,252 13,099124,342 14,713 \295 6,829 12,071 4,511 124,459 535 269 6,450 90,9913,627 2244,094 1963—Dec. 20.. 17,150 4,048 12,312126,579 14,048 ,218 6,729 12,256 4,494 124,784 526 269 7,908102,8863,66425,677 1964—June 30.. 16,774 4,539 12,693122,537 13,909 ,363 0,257 12,583 4,832 121,695 677 257 8,680110,6502,09926,768 All insured: 1941—Dec. 31.. 12,396 1,358 8,570 37,845 9,823 673 1,762 3,677 1,077 36,544 158 59 492 15,146 10 6,844 1945—Dec. 31.. 15,810 1,829 11,075 74,722 12,566 ,24823,740 5,098 2,585 72,593 70 103 496 29,277 215 8,671 1947—Dec. 31.. 17,796 2,145 9,736 85,751 11,236 ,379 1,325 6,692 2,559 83,723 54 111 826 33,946 61 9,734 1961—Dec. 30.. 16,918 3,670 13,871121,671 16,440 ,298 5,934 12,149 5,023 123,878 333 283 5,412 76,426 462 22,089 1962—Dec. 28.. 17,680 4,232 12,795123,361 14,579 ,265 6,815 11,991 4,434 123,744 402 269 6,397 90,714 ,584 23.712 1963—Dec. 20.. 17,150 4,033 11,984 112255,615 13,900 ,177 6,712 12,175 4,429 124,098 443 269 7,853102,600 3,57125,277 1964—June 30.. 16,774 4,524 12,409 121,608 13,756 ,31610,234 12,491 4,781 121,051 591 257 8,634110,352 2,035 26^58 Member, total: 1941—Dec. 31.. 12,396 1,087 6,246 33,754 9,714 671 1,709 3,066 1,009 33,061 140 50 418 11,878 5,886 1945—Dec. 31.. 15,811 1,438 7,117 64,184 12,333 ,24322,179 4,240 2,450 62,950 64 99 399 23,712 208 7,589 1947—Dec. 31.. 17,797 1,672 6,270 73,528 10,978 ,375 1,176 5,504 2,401 72,704 50 105 693 27,542 54 8,464 1961—Dec. 30.. 16,918 2,813 8,724100,660 15,924 ,270 5,381 9,487 4,654 105,454 303 260 4,371 62,526 43818,638 1962—Dec. 28.. 17,680 3,263 7,897 110011,528 14,071 ,237 6,086 9,270 4,083 104,646 358 243 5,158 74,316 ,55019,854 1963—Dec. 20.. 17,150 3,131 7,359102,816 13,378 ,140 5,986 9,376 4,055 104,130 382 240 6,364 84,326 31449999 2211,054 1964—June 30.. 16,774 3,511 7,807 99,288 13,247 1,280 9,342 9,639 4,379 101,605 525 227 7,045 90,7621,936 22,060 New York City: 1941—Dec. 31.. 5,105 93 141 10,761 3,595 607 866 319 450 11,282 6 29 778 1,648 1945—Dec. 31.. 4,015 111 78 15,065 3,535 1,105 6,940 237 1,338 15,712 17 20 1,206 195 2,120 1947_Dec. 31.. 4,639 151 70 16,653 3,236 1,217 267 290 1,105 17,646 12 14 1,418 30 2,259 1961—Dec. 30.. 3,286 240 143 17,089 4,330 967 1,267 333 2,583 20,213 191 162 6,735 283 3,683 1962—Dec. 28.. 4,121 251 156 17,095 3,854 929 1,408 366 2,237 19,628 207 266 8,937 ,728 3,898 1963—Dec. 20.. 3,625 264 96 16,763 3,487 801 1,419 368 2,119 18,473 214 449 10,9201,438 3,984 1964—June 30.. 3,919 273 82 16,389 3,791 920 2,112 420 2,323 18,480 317 528 12,582 924 4,402 City of Chicago: 1941—Dec. 31.. 1,021 298 2,215 ,027 127 233 34 2,152 476 288 1945—Dec. 31.. 942 200 3,153 ,292 1,552 237 66 3,160 719 377 1947—Dec. 31.. 1,070 175 3,737 ,196 72 285 63 3,853 902 426 1961—Dec. 30.. 889 158 3,809 ,578 369 315 124 4,830 8 1,996 35 870 1962—Dec. 28.. 1,071 99 4,262 ,235 410 351 109 4,804 16 3,001 262 948 1963—Dec. 20.. 1,019 98 4,144 ,169 395 275 112 4,500 185 3,595 255 996 1964—June 30.. 923 151 3,845 ,135 587 311 114 4,319 199 3,887 210 1,017 Other reserve city: 1941—Dec. 31.. 4,060 425 2,590 11,117 4,302 54 491 1,144 286 11,127 104 20 243 4,542 1,967 1945—Dec. 31.. 6,326 494 2,174 22,372 6,307 110 8,221 1,763 611 22,281 30 38 160 9,563 2,566 1947—Dec. 31.. 7,095 562 2,125 25,714 5,497 131 405 2,282 705 26,003 22 45 332 11,045 2,844 1961—Dec. 30.. 7,533 858 2,542 36,187 8,107 243 2,103 3,520 1,152 40,315 62 110 2,310 23,962 81 6,997 1962—Dec. 28.. 7,671 1,021 2,253 35,481 7,229 248 2,337 3,216 980 39,413 82 83 2,633 28,027 ,388 7,263 1963—Dec. 20.. 7,587 935 2,105 35,859 6,958 267 2,212 3,144 1,034 39,281 95 72 2,950 31,9821,416 7,697 1964—June 30.. 7,106 1,072 2,296 34,281 6,616 278 3,771 3,234 1,086 38,067 118 69 3,362 34,544 572 8,110 Country: 1941—Dec. 31.. 2,210 526 3,216 9,661 790 225 1,370 239 8,500 31 146 6,082 1,982 1945—Dec. 31.. 4,527 796 4,665 23,595 ,199 5,465 2,004 435 21,797 52 219 12,224 2,525 1947—Dec. 31.. 4,993 929 3,900 27,424 ,049 432 2,647 528 25,203 45 337 14,177 23 2,934 1961—Dec. 30.. 5,210 1,678 5,881 43,575 ,910 1,641 5,320 796 40,095 108 1,891 29,834 40 7,088 1962—Dec. 28.. 4,817 1,947 5,389 44,689 ,753 1,931 5,337 756 40,801 100 2,242 34,350 172 7,744 1963—Dec. 20.. 4,919 1,884 5,060 46,049 ,764 1,960 5,590 790 41,877 86 2,778 37,829 390 8,377 1964—June 30.. 4,826 2,113 5,278 44,773 ,705 2,87f 5,674 856 40,740 83 2,956 39,749 230 8,531 Nonmember:2 1947—Dec. 31.. 544 3,947 13,595 385 167 1,295 180 12,284 190 17! 6,858 12 1,596 1961—Dec. 30.. 876 5,446 21,994 649 565 2,755 402 19,168 178 1,094 14,169 33 3,822 1962—Dec. 28.. 989 5,202 22,814 642 743 2,802 428 19,813 176 1,292 16,675 77 4.240 1963—Dec. 20.. 917 4,953 23,763 671 74! 2,880 438 20,654 144 1,545 18,560 165 4,623 1964—June 30.. 1,028 4,886 23,249 661 915 2,943 453 20,090 151 1,635 19,888 163 4,708 3 Beginning with 1942, excludes reciprocal bank balances. banks. Comparability of figures for classes of banks is affected some- 4 Through 1960, demand deposits other than interbank and U.S. what by changes in F.R. membership, deposit insurance status, and the Govt., less cash items in process of collection; beginning with 1961, reserve classifications of cities and individual banks, and by mergers, etc. demand deposits other than domestic commercial interbank and U.S. Data for June 30, 1964, for national banks have been adjusted to make Govt., less cash items in process of collection. them comparable with State bank data. (Data for Dec. 20, 1963, also 5 See note 6, May 1964 BULL., p. 589. adjusted to lesser extent.) Also see NOTE, May 1964 BULL., p. 589. NOTE.—Data are for all commercial banks in the United States. These For other notes see opposite page. figures exclude data for banks in U.S. possessions except for member Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

138 WEEKLY REPORTING MEMBER BANKS JANUARY 1965 ASSETS AND LIABILITIES OF BANES IN LEADING CITIES (In millions of dollars) Loans For purchasing To financial institutions or carrying securities Loans Wednesday m i T l n o a e v o a n n e t n d t a s s s t l - 1 j i m u n a a s v e n t d e n e d - s t d t s - 2 j L u a o st d a e - n d s 2 i C n m t a c r d o n i i e a u m a d r l l s - - - A t c u u g r l r a - i l - G U c a T t u i o n . o e r S d v s i- . b t. d r e o O a k c t l s u e t i e e h e r r r - s s i e s - r G U c t s u T i o . e e r S v o - s i- . t. oth O c e t s u t i r e h e r s - s i e - r F ei o g r n B - an c k m m D c o t i i e e m o a c s r - l - - - f P C i s a e n a e O N n t a l r c S d e n s o . . s , . . nb O an t k her es R ta e t a e l o A th l e l r s V e t r r a i v e o lu - e n a s - Total— Leading Cities 1963 Dec. 4 138,061 135,697 88,513 37,326 1,594 301 3,517 87 ,725 902 2,364 3,711 3,546 17,855 19,911 1,962 11 139,016 136,749 89,059 37,476 1,607 533 3,527 82 ,730 941 2,267 3,744 3,557 17,879 19,945 1,962 18 141,090 138,912 90,932 37,999 1,618 726 3,812 103 ,733 958 2,178 4,342 3,557 17,915 20,114 1,945 25 141,172 138,931 91,035 37,858 1,634 494 3,908 101 ,738 978 2,241 4,578 3,567 17,921 20,200 1,942 142,098 141,305 92,901 38,793 1,569 532 4,222 140 ,727 995 793 4,901 3,694 17,880 20,452 2,004 3H0 1964 148,211 145,619 98,021 40,192 1,617 1,099 3,516 ,928 1,248 2,592 4,316 4,045 19,741 22,360 2,109 Nov. 4 147,101 145,016 97,694 40,295 1,629 1,000 3,320 ,943 1,287 2,085 4,106 4,059 19,789 22,311 2,108 11 148,179 145,693 97,998 40,651 1,635 756 3,311 ,950 1,292 2,486 4,168 4,048 19,842 22,391 2,107 18 148,979 146,250 98,019 40,548 1,633 954 3,179 ,948 1,314 2,729 4,103 4,023 19,886 22,474 2,107 25 Dec. 2 149,460 146,997 98,992 40,999 1,621 690 3,173 ,936 1,353 2,463 4,418 4,013 19,909 22,918 2,104 9 148,789 146,275 98,374 40,914 1,623 468 3,072 ,936 1,366 2,514 4,190 4,027 19,934 22,881 2,102 16 151,814 148,993100,796 41,668 1,639 902 3,382 ,930 1,374 2,821 4,864 4,047 19,948 23,059 2,090 23 151,608 149,448101,011 41,668 1,607 909 3,321 ,946 1,419 2,160 4,913 4,077 20,010 23,158 2,083 153,695 151,010102,227 42,119 1,598 1,114 3,517 ,974 1,560 2,685 4,929 4,103 20,008 23,313 2,080 30 New York City 1963 33,076 32,096 21,648 12,141 173 1,985 540 437 980 ,194 667 1,856 3,192 573 Dec. 4 33,696 32,811 21,970 12,220 351 2,030 542 455 885 ,194 675 1,840 3,196 573 11 34,703 33,882 22,732 12,421 315 2,252 543 469 821 ,495 672 1,834 3,232 557 18 34,412 33,687 22,720 12,298 187 2,353 544 490 725 ,584 669 1,829 3,267 557 25 34,898 34,562 23,666 12,776 244 2,631 538 509 336 ,618 708 1,798 3,295 526 31io 1964 Nov. 4 35,714 34,928 24,175 12,779 613 2,083 599 681 786 ,377 813 2,216 3,556 571 11 34,809 34,345 23,808 12,835 513 1,871 604 688 464 ,309 815 2,218 3,498 571 18 35,692 34,589 23,907 12,996 356 1,838 601 693 1,103 ,332 818 2,242 3,576 571 25 35,949 34,624 23,724 12,931 384 1,740 598 708 1,325 ,250 820 2,255 3,582 571 Dec. 2 35,969 35,146 24,335 13,197 360 1,788 582 739 823 ,383 817 2,270 3,740 570 9 36,035 34,936 24,021 13,179 306 1,677 584 737 1,099 ,262 819 2,279 3,717 568 16 37,644 36,293 25,199 13,491 450 1,968 585 731 1,351 ,654 828 2,265 3,763 565 23 37,183 36,579 25,304 13,485 603 1,932 588 759 604 ,629 825 2,277 3,740 564 30 38,176 37,356 25,938 13,859 640 2,104 602 843 820 ,516 825 2,283 3,785 553 Outside New York City 1963 Dec. 4 104,985 103,601 66,865 25,185 1,575 128 ,532 70 1,185 465 1,384 2,517 2,879 15,999 16,719 1,389 11 105,320 103,938 67,089 25,256 1,582 182 ,497 67 1,188 486 1,382 2,550 2,882 16,039 16,749 1,389 18 106,387 105,030 68,200 25,578 1,593 411 ,560 72 1,190 489 1,357 2,847 2,885 16,081 16,882 1,388 25 106,760 105,244 68,315 25,560 1,608 307 ,555 71 1,194 488 1,516 2,994 2,898 16,092 16,933 1,385 31io 107,200 106,743 69,235 26,017 1,528 288 ,591 106 1,189 486 457 3,283 2,986 16,082 17,157 1,478 1964 Nov. 4 112,497 110,691 73,846 27,413 ,597 486 ,433 1,329 567 1,806 2,939 3,232 17,525 18,804 1,538 11 112,292 110,671 73,886 27,460 ,609 487 ,449 1,339 599 1,621 2,797 3,244 17,571 18,813 1,537 18 112,487 111,104 74,091 27,655 ,617 400 ,473 1,349 599 1,383 2,836 3,230 17,600 18,815 ',536 25 113,030 111,626 74,295 27,617 ,615 570 ,439 1,350 606 1,404 2,853 3,203 17,631 18,892 ,536 Dec. 2 113,491 111,851 74,657 27,802 ,602 330 ,385 1,354 614 1,640 3,035 3,196 17,639 19,178 ,534 9 112,754 111,339 74,353 27,735 ,604 162 ,395 1,352 629 1,415 2,928 3,208 17,655 19,164 ,534 16 114,170 112,700 75,597 28,177 ,620 452 ,414 1,345 643 1,470 3,210 3,219 17,683 19,296 ,525 23 114,425 112,869 75,707 28,183 ,587 306 ,389 1,358 660 1,556 3,284 3,252 17,733 19,418 ,519 30 115,519 113,654 76,289 28,260 1,578 474 ,413 1,372 717 1,865 3,413 3,278 17,725 19,528 ,527 For notes see p. 140. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 WEEKLY REPORTING MEMBER BANKS 139 ASSETS AND LIABILITIES OF BANKS IN LEADING CITIES—Continued (In millions of dollars) Investments Cash assets 3 Total U. S. Government securities assets— Wednesday Cer- No m te a s tu an ri d n g b — onds O se t c h u e - r Total d a o w B n m i a c t l e e h - s s- a w B f n o i a c r t l e - h - s Cu a rr n e d ncy s w e R r i v e th - es o A th l e l r l T ia a t o i b n e t i d s a li l - Total Bills c t a if t i e - s W i i n th- 1 to After rities ba t n ic ks b e a i n g k n s coin B F a . n R k . s a c c a c p o i u ta n l ts 1 year 5 years 5 years Total- Leading Cities 1963 Dec. 4 28,393 4,263 842 2,899 14,028 6,361 18,791 17,735 3,130 284 1,773 12,548 5,277 176,079 11 28,485 4,377 845 2,885 14,066 6,312 19,205 17,416 3,035 274 2,008 12,099 5,242 176,534 18 28,57" 4,497 844 2,866 14,335 6,035 19,403 18,536 3,151 296 1,993 13,096 5,239 179,917 25 28,576 4,581 849 2,869 14,298 5,979 19,320 18,337 3,187 310 1,915 12,925 5,315 179,662 31io 29,018 5,027 864 2,r~ 14,260 5,978 19,386 18,743 3,671 274 1,995 12,803 5,538 184,994 1964 Nov. 4 26,829 5,171 3,706 11,560 6,392 20,769 18,086 3,348 290 1,729 12,719 5,885 189,664 11 26,55f 4,922 3,711 11,509 6,410 20,770 17,994 3,352 256 1,882 12,504 5,853 186,022 18 27,032 4,847 3,901 11,876 6,408 20,663 18,599 3,354 257 1,878 13,110 5,786 188,911 25 27,538 5,345 3,988 11,786 6,419 20,693 17,825 3,160 247 1,856 12,562 5,821 188,812 Dec. 2 27,256 5,153 4,010 11,784 6,309 20,749 18,568 3,285 264 1,938 13,081 5,878 190,094 9 26,941 4,991 4,030 11,733 6,187 20,960 17,810 3,093 264 2,078 12,375 6,088 187,320 16 27,241 5,285 4,034 12,049 5,873 20,956 19,139 3,472 242 2,070 13,355 5,894 194,348 23 27,340 5,374 4,020 12,047 5,899 21,097 19,345 3,401 298 1,990 13,656 5,855 194,201 27,679 5,700 4,038 12,048 5,893 21,104 18,999 3,450 279 2,131 13,139 5,942 196,071 30 New York City 1963 5,628 1,362 159 471 2,533 1,103 4,820 3,870 87 122 277 3,384 2,200 44,010 Dec. 4 5,891 1,593 153 478 2,558 1,109 4,950 3,956 70 113 325 3,448 2,184 44,794 11 6,061 1,746 153 487 2,591 1,084 5,089 4,277 83 131 323 3,740 2,159 46,182 18 5,947 1,645 154 484 2,576 1,088 5,020 4,379 108 147 292 3,832 2,166 45,573 25 5,840 1,548 154 459 2,586 1,093 5,056 4,549 150 111 297 3,991 2,340 48,303 31io 1964 Nov. 4 5,365 1,600 801 1,780 1,184 5,388 3,739 86 134 274 3,245 2,430 48,208 11 5,223 1,474 799 1,766 1,184 5,314 3,992 128 122 278 3,464 2,421 46,407 18 5,492 1,603 682 2,040 1,167 5,190 3,829 90 123 273 3,343 2,420 47,312 25 5,678 1,761 708 2,001 1,208 5,222 3,872 84 117 258 3,413 2,400 48,301 Dec. 2 5,441 1,512 698 2,077 1,154 5,370 4,467 104 124 298 3,941 2,467 48,405 9 5,469 1,594 705 2,087 1,083 5,446 4,097 79 124 349 3,545 2,633 47,863 16 5,619 1,709 721 2,129 1,060 5,475 4,095 130 97 345 3,523 2,475 50,421 23 5,769 1,812 740 2,150 1,067 5,506 4,448 117 140 303 3,888 2,416 50,381 30 5,819 1,854 748 2,149 1,068 5,599 4,356 146 149 311 3,750 2,456 51,444 Outside New York City 1963 Dec. 4... 22,765 2,901 683 2,428 11,495 5,258 13,971 13,865 3,043 162 1,496 9,164 3,077 132,069 11... 22,594 2,784 692 2,407 11,508 5,203 14,255 13,460 2,965 161 1,683 8,651 3,058 131,740 18... 22,516 2,751 691 2,379 11,744 4,951 14,314 14,259 3,068 165 1,670 9,356 3,080 133,735 25... 22,629 2,936 695 2,385 11,722 4,891 14,300 13,958 3,079 163 1,623 9,093 3,149 134,089 31io. 23,178 3,479 710 2,430 11,674 4,885 14,330 14,194 3,521 163 1,698 8,812 3,198 136,691 1964 Nov. 4. 21,464 3,571 2,905 9,780 5,208 15,381 14,347 3,262 156 1,455 9,474 3,455 141,456 11. 21,329 3,448 2,912 9,743 5,226 15,456 14,002 3,224 134 1,604 9,040 3,432 139,615 18. 21,540 3,244 3,219 9,836 5,241 15,473 14,770 3,264 134 1,605 9,767 3,366 141,599 25. 21,860 3,584 3,280 9,785 5,211 15,471 13,953 3,076 130 1,598 9,149 3,421 140,511 Dec. 2. 21,815 3,641 3,312 9,707 5,155 15,379 14,101 3,181 140 1,640 9,140 3,411 141,689 9. 21,472 3,397 3,325 9,646 5,104 15,514 13,713 3,014 140 1,729 8,830 3,455 139,457 16. 21,622 3,576 3,313 9,920 4,813 15,481 15,044 3,342 145 1,725 9,832 3,419 143,927 23. 21,571 3,562 3,280 9,897 4,832 15,591 14,897 3,284 158 1,687 9,768 3,439 143,820 30. 21,860 3,846 3,290 9,899 4,825 15,505 14,643 3,304 130 1,820 9,389 3,486 144,627 For notes see the following page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

140 WEEKLY REPORTING MEMBER BANKS JANUARY 1965 ASSETS AND LIABILITIES OF BANKS IN LEADING CITIES—CoMtiaued (In millions of dollars) Deposits Borrowings Demand Time De- Other Cap- Wednesday Total mand Do- Other time9 From liabili- ital unad- de- State mes- F.R. From ties justed4 j p u o a st d s e i - t d s 3 Total* IPC G l a o o n c v a d t l . e F ig or n - 7 U.S. c m c o t i i e m a c r l - - Total« S i a ng v s - IPC S l a o t n c a a d te l e F ig o n r- 7 Banks others banks Govt. Total— Leading Cities 1963 Dec. 4 152,334 63,527 94,207 67,802 5,051 1,770 3,16012,514 58,127 37,72912,883 3,994 3,152 47 3,151 6,187 14,360 11 152,403 65,412 94,095 69,847 4,765 1,836 ,86711,956 58,308 37,74013,028 4,054 3,110 219 3,467 6,087 14,358 18 156,017 66,609 97,800 71,056 4,776 1,870 3,64612,493 58,217 37,76512,794 4,140 3,133 244 3,271 6,065 14,320 25 155,886 66,077 97,506 70,556 4,844 1,933 4,73511,856 58,380 37,78712,834 4,188 3,179 187 3,310 5,921 14,358 3110.... 163,562 67,844104,335 74,513 5,338 2,019 4,556 13,320 59,227 38,08313,310 4,237 3,188 16 1,181 5,666 14,569 1964 Nov. 4 163,630 64,019 98,301 69,371 5,730 2,052 3,69713,103 65,329 40,12816,254 4,626 3,807 345 3,719 6,405 15,565 11 160,129 63,890 94,593 67,818 5,193 1,986 271 "8"4*2 12,787 65,536 40,19716,388 4,606 3,834 434 3,335 6,549 15,575 18 162,791 63,282 97,230 68,982 4,731 1,9885,004 12,597 65,561 40,227 1166,264 4,611 3,951 103 3,676 6,791 15,550 25 162,336 63,856 96,724 68,724 5,095 826 11,855 65,612 40,25516,288 4,628 3,941 105 3,967 6,883 15,521 Dec. 2 163,377 64,607 97,707 69,515 5,333 1,938 4,364 1:2,,548 65,670 40,312 16,237 4,680 3,932 110 3,972 7,023 15,612 9 160,081 64,967 94,022 68,940 4,875 1,930 2,32112,101 66,059 40,34316,431 4,770 4,001 180 4,228 7,219 15,612 16 167,370 68,194 10011,399 74,201 4,886 2,006 2,784 112,920 65,971 40,37116,024 5,023 4,020 163 4,256 6,974 15,585 23 167,619 66,161101,297 72,030 5,120 2,169 4,858 112,885 66,322 40,43116,189 5,142 4,016 398 3,703 6,861 15,620 169,460 68,041102,579 73,658 5,239 2,190 4,563 12,540 66,881 40,69816,407 5,168 4,053 281 4,002 6,635 15,693 30 New York City 1963 36,255 15,876 24,872 16,763 322 ,318 896 3,236 11,383 4,409 4,157 396 2,237 988 2,810 3,957 Dec. 4 36,588 16,623 25,183 17,705 274 ,367 525 3,077 11,405 4,407 4,210 413 2,183 1,405 2,760 3,950 11 38,000 17,381 26,691 18,298 325 ,419 974 3,293 11,309 4,406 4,092 410 2,201 1,466 2,740 3,939 18 37,426 16,994 26,072 17,734 310 ,477 ,466 2,996 11,354 4,406 4,109 417 2,217 1,551 2,609 3,937 25 40,978 17,692 29,373 19,484 419 ,53:1,470 3,695 11,605 4,434 4,348 379 2,222 587 2,616 4,122 3110.... 1964 39,520 15,435 26,314 16,876 658 ,5161,100 3,454 13,206 4,549 5,176 444 2,715 ,477 2,847 4,286 37,895 15,391 24,522 16,299 425 ,468 810 3,136 13,373 4,567 5,318 440 2,727 ,286 2,872 4,217 Nov. 4 38,589 15,356 25,151 16,658 294 ,4781,327 3,097 13,438 4,580 5,280 443 2,822 ,404 3,049 4,270 11 39,190 15,230 25,779 16,781 278 ,4361,231 3,238 13,411 4,583 5,276 444 2,805 ,721 3,134 4,256 18 25 38,943 15,698 25,550 17,049 339 1,097 3,253 13,393 4,584 5,258 443 2,795 ,900 3,278 4,284 Dec. 2 38,181 15,798 24,622 16,876 271 ,43: 586 3,140 13,559 4,596 5,368 441 2,837 25 ,901 3,473 4,283 9 41,000 17,276 27,506 18,945 254 ,488 601 3,422 13,494 4,607 5,170 531 2,859 ,932 3,217 4,272 16 41,244 16,273 27,636 17,940 33 ,6541,436 3,593 13,608 4,613 5,234 534 2,886 83 ,673 3,119 4,262 23 42,051 17,133 28,410 18,897 330 ,6661,405 3,416 13,641 4,642 5,231 494 2,924 115 2,003 2,981 4,294 30 Outside New York City 1963 Dec. 4... 116,079 47,651 69,335 51,039 4,729 45:2,264 9,278 46,744 33,320 8,726 3,598 915 47 2,163 3,377 10,403 11... 115,815 48,789 68,912 52,142 4,491 4691,342 8,879 46,903 33,333 8,818 3,641 92' 128 2,062 3,327 10,408 18... 118,017 49,228 71,109 52,758 4,451 4512,672 9,200 46,908 33,359 8,702 3,730 932 207 1,805 3,325 10,381 25... 118,460 49,083 71,434 52,822 4,534 4563,269 8,860 47,026 33,381 8,725 3,771 96: 137 1,759 3,312 10,421 3110.... 122,584 50,152 74,96: 55,029 4,919 4873,086 9,625 47,622 33,649 8,96: 3,858 966 16 594 3,050 10,447 1964 Nov. 4 124,110 48,584 71,987 52,495 5,072 536 2,597 9,649 52,123 35,579 11,078 4,18: ,092 267 2,242 3,558 11,279 11 122,234 48,499 70,071 51,519 4,768 518 2,032 9,651 52,163 35,63011,070 4,166 ,107 35' 2,049 3,677 11,298 18 124,202 47,926 72,079 52,324 4,437 5103,677 9,500 52,123 35,64^10,984 4,168 ,129 103 2,272 3,742 11,280 25 123,146 48,626 70,945 51,943 4,817 5073,595 8,617 52,201 35,67211,012 4,184 ,136 105 2,246 3,749 11,265 Dec. 2 124,43. 48,909 72,157 52,466 4,99- 4883,26' 9,295 52,277 35,72810,979 4,237 ,137 110 2,072 3,745 11,328 9 121,900 49,169 69,400 52,064 4,604 4981,735 8,961 52,500 35,74711,063 4,329 ,164 155 2.327 3,746 11,329 16 126,370 50,918 73,893 55,256 4,6321 5182,183 9,498 52,477 35,76410,854 4,492 ,161 163 2; 324 3,75^ 11,313 23 126,375 49,888 73,661 54,090 4,788 5153,422 9,292 52,714 35,81810,955 4,608 ,130 315 2,030 3,74: 11,358 30 127,409 50,908 74,169 54,761 4,909 524 3,158 9,124 53,240 36,05611,176 4,67' ,129 166 1,999 3,654 11,399 1 After deduction of valuation reserves. branches of U.S. banks other than reporting bank. 2 Exclusive of loans to domestic commercial banks and after deduction 8 Includes U.S. Govt., postal savings, domestic commercial interbank of valuation reserves; individual loans items are shown gross. and mutual savings banks, not shown separately. 3 Excludes cash items in process of collection. 9 Includes certificates of deposit outstanding in following amounts 4 Total demand and total time deposits. (in millions of dollars): 5 Demand deposits other than domestic commercial interbank and 10 Tuesday. U.S « . I n G cl o u v d t e ., s l e c s e s r t c if a ie sh d i a te n m d s o i f n fi c p e r r o s' c e c s h s e c o k f s c o an ll d ec d ti e o p n o . sits of mutual savings Dec. 2 Dec. 9 Dec. 16 Dec. 23 Dec. 30 banks, not shown separately. Total—Leading Cities 12,652 12,754 12,346 12,416 12,583 7 Deposits of foreign governments and official institutions, central New York City 4,696 4,734 4,577 4,588 4' ,5"5"6' banks, international institutions, banks in foreign countries, and foreign Outside New York City... 7,956 8,020 7,769 7,828 8,027 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 BUSINESS LOANS OF BANKS 141 COMMERCIAL AND INDUSTRIAL LOANS OF WEEKLY REPORTING MEMBER BANKS (In millions of dollars) Outstanding Net change during 1964 1964 1964 1964 1964 Industry D 3 e 0 c. D 2 e 3 c. D 1 e 6 c. De 9 c. De 2 c. Dec. Nov. Oct. IV III II 2nd 1st Durable goods manufacturing: 641 650 637 622 622 16 32 -2 -18 -81 70 -99 123 2,207 2.200 2,206 2,152 2,144 65 64 -36 93 -81 -58 12 25 Transportation equipment . 947 945 940 907 906 61 26 27 60 -13 7 47 19 Other fabricated metal products. .. 962 958 953 951 939 30 -15 -51 -36 119 -36 191 1,153 1,162 1,166 1,150 1,154 -2 -26 -38 -66 57 80 -9 120 Nondurable goods manufacturing: Food liquor and tobacco 2,000 1,994 1,998 1,871 1,894 146 169 212 527 177 -163 704 -622 Textiles, apparel, and leather 1,270 1,273 1,306 1,311 1,316 -77 -103 -179 -359 64 23 -295 234 Petroleum refining 1,042 1,023 1,028 1,013 1,013 40 -23 16 33 -44 -42 -11 -134 1,404 1,356 1,351 1,274 1,246 168 42 22 232 17 50 249 158 Other nondurable goods 892 901 906 921 924 -31 -32 -31 -94 31 98 -63 106 Mining, including crude petroleum and natural gas 3,129 2,975 2,924 2,897 2,894 300 43 -48 295 140 15 435 -198 Trade * Commodity dealers 1,429 1,436 1,461 1,445 1,469 -34 217 208 391 154 -284 545 -538 Other wholesale 2,263 2,269 2,276 2,260 2,256 7 34 40 81 75 59 156 40 Retail 2,493 2,636 2,759 2,701 2,882 -247 47 -11 -211 143 66 -68 49 Transportation, communication, and other public utilities 4,664 4,565 4,481 4,371 4,366 351 -9 -105 237 400 -73 637 -496 Construction 2,262 2,269 2,297 2,251 2,254 1 29 8 38 104 226 142 265 All other: 1 Bankers' acceDtanccs 1,095 1,072 1,040 1,016 969 181 48 -55 174 61 -29 235 -76 All other types of business, mainly services 5,394 5,233 5,199 5,116 5,090 382 6 6 394 -39 104 355 274 Total classified loans 35,247 34,917 34,928 34,229 34,338 1,357 485 -71 1,771 1,165 268 2,936 -460 Commercial and industrial loans— All weekly reporting banks 42,119 41,668 41,668 40,914 40,999 1,571 666 -71 2,166 1,205 576 3,371 -45 1 Beginning Dec. 31, 1963, bankers' acceptances for the creation NOTE.—About 200 of the weekly reporting member banks are included of dollar exchange are excluded from commercial and industrial loans in this series; these banks classify, by industry, commercial and industrial and those relating to commercial transactions are shown in a separate loans amounting to about 85 per cent of such loans held by all weekly category. Current figures are therefore not strictly comparable with reporting member banks, and about 60 per cent of those held by all figures previously reported, but differences are relatively small. commercial banks. BANK RATES ON SHORT-TERM BUSINESS LOANS (Per cent per annum) Size of loan Size of loan p A e a r n r i e d o a d lo A a l n l s 1- (thou 1 s 0 a - nds of 1 d 0 o 0 l - lars) 200 p A e a r n r i e d o a d lo A a l n l s 1- (thou 1 s 0 a - nds of 1 d 0 o 0 l - lars) 200 10 100 200 and over 10 100 200 and over Year: Quarter—cont.: 1 19 large cities: New York City: 1963—Dec 4.76 5.63 5.36 5.04 4.65 1956 4.2 5.2 4.8 4.4 4.0 1964—Mar 4.77 5.66 5.39 5.06 4.66 19S7 4.6 5.5 5.1 4.8 4.5 June 4.74 5.64 5.36 5.05 4.63 1958 4.3 5.5 5.0 4.6 4.1 Sept 4.72 5.64 5.40 5.01 4.61 1959... 5.0 5.8 5.5 5.2 4.9 Dec 4.77 5.59 5.35 5.08 4.66 1960 5.2 6.0 5.7 5.4 5.0 7 other northern and 1961. 5.0 5.9 5.5 5.2 4.8 eastern cities: 1962 5.0 5.9 5.5 5.2 4.8 1963—Dec 5.04 5.85 5.55 5.27 4.90 1963 5.0 5.9 5.5 5.2 4.8 1964—Mar 5.02 5.81 5.54 5.24 4.88 1964 5.0 5.9 5.6 5.3 4.8 June 5.03 5.83 5.55 5.27 4.89 Sept 5.01 5.88 5.56 5.25 4.86 Dec 5.03 5.84 5.58 5.31 4.88 Quarter:1 19 large cities: 11 southern and western cities: 1963—Dec 5.00 5.86 5.54 5.23 4.82 1963—Dec 5.29 5.97 5.65 5.31 5.07 1964—Mar 4.99 5.83 5.54 5.22 4.82 1964— Mar 5.29 5.91 5.62 5.31 5.08 June 4.99 5.84 5.53 5.24 4.81 June 5.29 5.93 5.61 5.34 5.07 Sept 4.98 5.86 5.57 5.23 4.79 Sept 5.31 5.95 5.67 5.36 5.09 Dec 5.00 5.85 5.56 5.31 4.82 Dec 5.31 5.96 5.67 5.46 5.06 1 Based on new loans and renewals for first 15 days of month. Changes thereafter occurred on the following dates (new levels shown in per cent): 1955—Aug. 4, 3%; Oct. 14, 3y2; 1956—Apr. 13, 3%; Aug. NOTE.—Weighted averages. For description see Mar. 1949 BULL., pp. 21, 4; 1957—Aug. 6, 4i/2; 1958—Jan. 22, 4; Apr. 21, 3y2; Sept. 11, 4 228-37. Bank prime rate was 3 per cent Jan. 1, 1955-Aug. 3, 1955. 1959—May 18, 4i/2; Sept. 1, 5; and 1960—Aug. 23, 4y2. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

142 INTEREST RATES JANUARY 1965 MONEY MARKET RATES (Per cent per annum) U. S. Government securities (taxable) 4 Finance Prime CO. Prime coml. paper bankers' Federal 3-month bills 6-month bills 9- to 12-month issues Period 4 p - a t p o e r 6 , - d p ir la e c c e tl d y, a a c n c c e e p s t , - f r u a n te d s 3 3- to 5months * m 3 o - n to th 6 s - 2 90 days * o R n a n t e e w di B sc a o n u k nt o R n a n t e e w di B sc a o n u k nt B d i i l s ls c o (b u a n n t k Other 6 iss y u e e a s r 7 issue rate 5 issue rate 5 rate)5 1962 3.26 3.07 3.01 2.68 2.778 2.77 2.908 2.90 3.01 3.02 3.57 1963 3.55 3.40 3.36 3.18 3.157 3.16 3.253 3.25 3.30 3.28 3.72 1964 3.97 4.37 3.77 3.50 3.549 3.54 3.686 3.68 3.74 3.76 4.06 1963—Dec 3.96 3.84 3.63 3.38 3.523 3.52 3.667 3.66 3.69 3.77 4.04 1964—Jan 3.97 3.82 3.70 3.48 3.529 3.52 3.652 3.64 3.68 3.66 4.06 Feb 3.88 3.76 3.75 3.48 3.532 3.53 3.664 3.67 3.71 3.63 4.02 Mar 4.00 3.83 3.75 3.43 3.553 3.54 3.740 3.72 3.78 3.67 4.15 Apr 3.91 3.80 3.80 3.47 3.484 3.47 3.676 3.66 3.75 3.63 4.18 May 3.89 3.76 3.75 3.50 3.482 3.48 3.612 3.60 3.71 3.67 4.07 June 4.00 3.88 3.75 3.50 3.478 3.48 3.572 3.56 3.70 3.83 4.03 July 3.96 3.81 3.75 3.42 3.479 3.46 3.566 3.56 3.64 3.68 3.99 Aug 3.88 3.76 3.75 3.50 3.506 3.50 3.618 3.61 3.67 3.73 3.99 Sept 3.89 3.75 3.75 3.45 3.527 3.53 3.666 3.68 3.73 3.82 4.03 Oct 4.00 3.91 3.75 3.36 3.575 3.57 3.729 3.72 3.79 3.83 4.04 Nov 4.02 3.89 3.79 3.52 3.624 3.64 3.794 3.81 3.86 3.88 4.04 Dec 4.17 3.98 4.00 3.85 3.856 3.84 3.971 3.94 3.96 3.96 4.07 Week ending— 1964—Dec. 5 4.13 3.94 4.00 3.93 3.868 3.82 4.030 3.97 4.02 4.04 4.11 12 4.13 3.94 4.00 3.39 3.815 3.81 3.944 3.94 3.96 3.97 4.06 19 4.13 3.94 4.00 4.00 3.864 3.86 3.965 3.95 3.94 3.92 4.06 26 4.25 4.06 4.00 4.00 3.868 3.86 3.960 3.94 3.94 3.95 4.07 1965—Jan. 2 4.25 4.06 4.00 4.00 3.867 3.83 3.957 3.93 3.93 3.92 4.07 * Averages of daily offering rates of dealers. 5 This series formerly shown as "Market yield." 2 Averages of daily rates, published by finance cos., for varying maturi- 6 Certificates of indebtedness and selected note and bond issues. ties in the 90-179 day range. 7 Selected note and bond issues. 3 Seven-day average for week ending Wed. 4 Except for new bill issues, yields are averages computed from daily closing bid prices. BOND AND STOCK YIELDS (Per cent per annum) Government bonds Corporate bonds Stocks> State By selected By Dividend/ Earnings/ Period United and loca rating group price ratio price ratio States Total i (longterm) Indus- Rail- Public Pre- Com- Com- Total i Aaa Baa Aaa Baa trial road utility ferred mon mon 1962 3.95 3.30 3.03 3.67 4.61 4.33 5.02 4.47 4 86 4 51 4 50 3 37 r6 06 1963 4.00 3.28 3.06 3.58 4.50 4.26 4.86 4 42 4 65 4 41 4 30 3 17 r5 68 1964 4.15 3.28 3.09 3.54 4.57 4.40 4.83 4.52 4.67 4 53 4 32 3 01 1963 Dec 4.14 3.33 3.12 3.61 4.55 4.35 4.85 4.48 4.68 4.49 4.32 3.13 '5.62 1964 Jan . .... 4.15 3.29 3.09 3.56 4.57 4.37 4.83 4 50 4 68 4 51 4 32 3 06 Feb 4.14 3.27 3.08 3.54 4.55 4.36 4.83 4.48 4 67 4 51 4 31 3 05 Mar 4.18 3.33 3.14 3.57 4.56 4.38 4.83 4.49 4.67 4.51 4.34 3.03 '5.51 Apr 4.20 3.30 3.12 3.52 4.58 4.40 4.85 4.53 4 69 4 53 4 37 3 00 May 4 16 3 29 3 09 3 54 4 59 4.41 4 85 4 54 4 69 4 53 4 41 3 01 June 4 13 3.29 3.10 3.54 4.59 4.41 4.85 4 54 4 70 4 55 4 41 3 05 5 68 July 4.13 3.26 3.08 3.54 4.58 4.40 4.83 4.52 4 68 4 54 4 37 2 96 Aug 4.14 3.27 3.08 3.54 4.57 4.41 4.82 4.52 4.65 4.54 4 29 3 03 Sept 4 16 3.30 3.09 3 57 4.57 4 42 4.82 4 52 4 65 4 53 4 2^ 3 00 *>5.60 Oct 4.16 3.31 3.11 3.58 4.57 4.42 4.81 4.53 4 66 4 52 4 25 2 95 Nov 4.12 3.27 3.08 3.52 4.58 4.43 4.81 4.53 4.67 4.53 4 25 2 96 Dec 4.14 3.23 3.01 3.51 4.58 4.44 4.81 4.54 4.68 4.54 4 23 3 06 Week ending— 1964—Dec 5 4.15 3.27 3.05 3.52 4.59 4.45 4.83 4.55 4.69 4.55 4.27 3.05 12 4.12 3.24 3.01 3.52 4.59 4.45 4.83 4.55 4.69 4 54 4 24 3 06 19 4.13 3.22 2.99 3.51 4.58 4.43 4.81 4.53 4.68 4.53 4 21 3 07 26 . . 4.14 3.22 2.99 3.51 4.58 4.43 4.80 4.53 4.67 4.53 4.21 3.05 1965—Jan. 2 4.16 3.22 2.99 3.51 4.58 4.43 4.80 4.53 4.68 4.53 4.22 3.06 Number of issues 6-12 20 5 5 120 30 30 40 40 40 14 500 500 i Includes bonds rated Aa and A, data for which are not shown sep- figures, Corp. bonds: Averages of daily figures. Both of these series are arately. Because of a limited number of suitable issues, the number from Moody's Investors Service series. of corporate bonds in some groups has varied somewhat. Stocks: Standard and Poor's Corp. series. Dividend/price ratios are based on Wed. figures; earnings/price ratios are as of end of period. NOTE.—Annual yields are averages of monthly or quarterly data. Preferred stock ratio is based on 8 median yields for a sample of non- Monthly and weekly yields are computed as follows: U.S. Govt. bonds: callable issues—12 industrial and 2 public utility; common stock ratios Averages of daily figures for bonds maturing or callable in 10 years or on the 500 stocks in the price index. Quarterly earnings are seasonally more. adjusted at annual rates. State and local govt. bonds: General obligations only, based on Thurs. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 SECURITY MARKETS 143 MORTGAGES: NEW HOMES SECURITY PRICES i F n H su A re - d Conventional first mortgages Bond prices Co ( m 19 m 4 o 1 n -4 s 3 to = c 1 k 0 p ) rices V um ol e of Period Y c ( e p i n e e l t r d ) I c n ( r e e p a t n s e e t t e t r r ) - F c ( e e p e t n e c e t s . r ) , ( M t y i u t r y r a s - . - ) L p c r ( a o e r p i t n a e c i n t o r e ) / d ( A o l t o h l v l a o a g n u r . s . ) Period ( G t U l e o o r . n m S v g t . ) - . S l a o t n c a d a te l A C p a A o o t r e r A - - Total d t I r u n ia s - - l R ro a a i d l- P u i l u t t i i y c b l- - s ( h t t r i h a n a o r d g e u - s . ) 1961 15.69 (5.98) 1962 86.94 112.0 96.2 62.38 65.54 30.56 59.16 3,820 1962 5.60 (5.93) 1963 86.31 111.3 96.8 69.87 73.39 37.58 64.99 4,573 1963 (5 81) 1964 84.46 111.5 95.1 81.37 86.19 45.46 69.91 4,888 1963 5.46 5.84 .64 24.0 73.3 16.3 1964 5.45 1963—Dec. 84.64 109.5 95.4 74.17 78.38 39.92 65.64 4,701 1963—Nov.. 5.45 5.82 .65 24.2 73.5 16.4 1964—Jan... 84.42 111.2 95.3 76.45 80.85 41.00 67.26 5,302 Dec. 5.45 5.80 .62 24.5 73.9 16.7 Feb... 84.60 112.3 95.7 77.39 81.96 41.54 67.20 4,639 Mar.. 84.10 109.9 95.2 78.80 83.64 42.88 66.78 5,428 1964—Jan... 5.45 5.83 .64 24.7 74.7 16.7 Apr.. 83.84 110.3 94.7 79.94 84.92 43.27 67.30 5,616 Feb... 5.45 5.81 .58 24.7 74.8 17.2 May.. 84.38 111.6 94.7 80.72 85.79 44.86 67.29 4,959 Mar.. 5.45 5.79 .55 24.5 74.6 17.2 June.. 84.70 111.8 94.9 80.24 85.13 46.29 67.46 4,372 Apr.. 5.45 5.79 .55 24.8 73.9 17.2 July.. 84.70 112.1 95.2 83.22 88.19 48.93 70.35 4,663 May.. 5.45 5.77 .52 24.7 73.7 17.0 Aug.. 84.59 111.8 95.3 82.00 86.70 AIM 71.17 3,919 June.. 5.45 5.76 .59 25.4 74.3 17.3 Sept.. 84.31 111.0 95.1 83.41 88.27 47.14 72.07 5,228 July.. 5.46 5.76 .52 24.5 73.9 17.4 Oct... 84.47 110.9 95.1 84.85 89.75 48.69 73.37 4,843 Aug.. 5.46 5.77 .58 24.7 74.4 17.8 Nov.. 84.81 112.0 95.2 85.44 90.36 48.01 74.39 4,928 Sept.. 5.46 5.77 .57 25.0 74.2 17.6 Dec.. 84.65 112.5 95.3 83.96 88.71 45.71 74.24 4,729 Oct... 5.45 5.75 .58 24.5 73.2 17.4 Nov.. 5.45 5.75 .55 24.7 73.5 17.4 Week Dec... 5.45 ending— Dec. 5 84.50 111.9 95.1 84.06 88.84 46.37 73.89 4,668 12 84.85 112.5 95.3 83.78 88.50 45.65 74.30 4,840 1 Last 6 months only. 19 84.77 112.5 95.4 83.68 88.36 45.52 74.43 4,755 26 84.60 112.9 95.3 84.25 89.05 45.79 74.33 4,271 NOTE.—Annual data are averages of monthly figures. Yields on FHA-insured mortgages are derived from weighted averages Jan. 2 84,42 112.9 95.3 84.23 89.05 45.60 74.22 5,131 of FHA field-office opinions on private secondary market prices for Sec. 203, 30-year mortgages, with the minimum down payment, a maximum permissible interest rate of 5VA per cent, and NOTE.—Annual data are averages of monthly figures. Monthly and weekly an assumed prepayment period of 15 years. Price data are data are averages of daily figures unless otherwise noted and are computed as reported as of the first of the succeeding month. follows : Conventional first mortgages, Home Loan Bank Board in U.S. Govt. bonds, derived from average market yields in preceding table on basis cooperation with Federal Deposit Insurance Corporation be- of an assumed 3 per cent, 20-year bond. ginning in late 1962; interest rate data for earlier years—in Municipal and corporate bonds, derived from average yields, as computed by parentheses—are based on estimates from Federal Housing Standard and Poor's Corp., on basis of a 4 per cent, 20-year bond; Wed. closing Administration. prices. Common stocks, Standard and Poor's index. Volume of trading, average daily trading in stocks on the N.Y. Stock Exchange for a 5Vi-hour trading day. STOCK MARKET CREDIT (In millions of dollars) Customer credit Broker and dealer credit Net debit balances with Bank loans to other than N. Y. Stock Exchange brokers and dealers for pur- Money borrowed on— firms secured by— chasing and carrying— Cus- Months Total tomers securities net other than Other securities free U.S. Govt. se G c U u o . r S v it t . i . es se O cu th ri e ti r es se G c U u o . r S v it t . i . es se O cu th ri e ti r es se G c U u o . r S v it t . i . es Total Customer Other c a b r n e a c d l e - i s t collateral collateral 1961—Dec 5,602 35 4,259 125 1,343 48 2,954 2,572 382 1,219 1962—Dec 5,494 24 4,125 97 1,369 35 2,785 2,434 351 1,216 1963—Dec 7,242 26 5,515 140 1,727 32 4,449 3,852 597 1,210 1964—Jan 7,250 22 5,524 108 1,726 41 4,210 3,795 415 ,262 Feb 7,120 21 5,384 97 1,736 33 4,158 3,738 420 ,199 Mar 7,141 21 5,366 97 1,775 18 4,138 3,646 492 1,231 Apr 7,314 21 5,510 101 1,804 17 4,411 3,916 495 1,165 May 7,277 19 5,439 96 1,838 113 4,362 3,868 494 1,138 June.... 7,229 18 5,370 94 1,859 156 4,275 3,766 509 1,146 July 7,160 25 5,289 70 1,871 266 4,129 3,672 457 1,114 Aug 7,096 21 5,187 69 1,909 191 4,090 3,618 472 1,077 Sept 7,142 19 5,221 81 1,921 109 4,122 3,568 554 1,145 Oct 7,101 20 5,185 69 1,916 102 4,053 3,528 525 1,155 Nov 7,108 20 5,160 64 1,948 184 3,951 3,469 482 1.131 Dec 7,053 21 5,079 72 1,974 222 3,909 3,393 516 1,169 NOTE.—Data in first 3 cols, and last col. are for end of month; in other have been transferred to other member firms and are reported in their cols, for last Wed. debit figures from the month received (some in Dec. 1963, more in Jan. Net debit balances and broker and dealer credit: Ledger balances of 1964). Debit balance totals for the period Oct.-Jan., therefore, ^re not member firms of N.Y. Stock Exchange carrying margin accounts, as completely comparable. reported to Exchange. Customers' debit and free credit balances exclude Bank loans to others than brokers and dealers: figures are for weekly balances maintained with reporting firm by other member firms of national reporting member banks. Before July 1959, loans for purchasing or securities exchanges and balances of reporting firm and of general part- carrying U.S. Govt. securities were reported separately only by N.Y. ners of reporting firm. Balances are net for each customer—i.e., all ac- and Chicago banks. Accordingly, for that period the fifth col. includes counts of one customer are consolidated. Money borrowed includes any loans for purchasing or carrying such securities at other reporting borrowings from banks and from other lenders except member firms of banks. Composition of series also changed beginning with July 1959; national securities exchanges. revised data for the new reporting series (but not for the breakdown of Nov. data on customers' net debit balances exclude amounts carried loans by purpose) are available back through July 1958 and have been by a large former member firm in liquidation; most of these accounts incorporated. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

144 OPEN MARKET PAPER; SAVINGS INSTITUTIONS JANUARY 1965 COMMERCIAL AND FINANCE COMPANY PAPER AND BANKERS' ACCEPTANCES OUTSTANDING (In millions of dollars) Dollar acceptances Commercial and finance company paper Held by- Based on— End of period Accepting banks F.R. Goods stored in or Total Banks Im- Ex- shipped between Placed Placed Others ports ports Dollar points in— Total through direct- into from exdealers x ly 2 Own Bills Own For- United United change Total bills bought acct. eign States States United Foreign corr. States countries 1957 2,672 551 2,121 1,307 287 194 94 66 76 878 278 456 46 296 232 1958 32,751 840 31,911 1,194 302 238 64 49 68 775 254 349 83 244 263 1959 3,202 677 2,525 1,151 319 282 36 75 82 fj s 357 309 74 162 249 I960 4,497 1,358 3,139 2,027 662 490 173 74 230 1,060 403 669 122 308 524 1961 4,686 1,711 2,975 2,683 1,272 896 376 51 126 1,234 485 969 117 293 819 1962 6,000 2,088 3,912 2,650 1,153 865 288 110 86 1,301 541 778 186 171 974 1963—Nov 8,170 2,172 5,998 2,744 1,190 976 214 42 102 1,410 571 842 54 46 1,230 Dec 6,747 1,928 4,819 2,890 1,291 1,031 260 162 92 1,345 567 908 56 41 1,317 1964—Jan 7,765 2,042 5,723 2,938 1,393 1,025 368 68 91 1,386 557 962 70 39 1,310 Feb 8,119 2,079 6,040 3,056 1,466 1,095 371 64 95 1,431 596 983 94 31 1,351 Mar 7,737 2,038 5,699 3,102 1,395 1,042 353 125 110 1,473 590 990 87 35 1,401 Apr 7,920 2,039 5,881 3,102 1,355 1,060 295 93 117 1,536 587 963 105 36 1,411 May 8,326 1,973 6,353 3,049 1,418 1,105 313 47 146 1,438 576 941 73 34 1,426 June 8,036 1,948 6,088 3,149 1,370 1,113 257 83 146 1,550 567 929 82 27 1,545 July 8,879 2,006 6,873 3,137 1,455 1,121 334 56 137 1,489 576 949 74 24 1,513 Aug 8,879 2,070 6,809 3,127 1,486 1,145 341 36 132 1,473 586 922 82 22 1,514 Sept 8,444 2,220 6,224 3,175 1,423 1,127 297 99 127 1,525 609 918 113 36 1,499 Oct 9,343 2,431 6,912 3,222 1,400 1,164 236 81 126 1,614 647 935 106 34 1,500 Nov 9,146 2,438 6,708 3,217 1,458 1,195 263 63 125 1,570 657 955 102 40 1,463 1 As reported by dealers; includes finance co. paper as well as other 3 Beginning with Nov. 1958, series includes all paper with maturity commercial paper sold in the open market. of 270 days or more. Figures on old basis for Dec. were (in millions): 2 As reported by finance cos. that place their paper directly with total $2,739; placed directly $1,899. investors. MUTUAL SAVINGS BANKS (Amounts in millions of dollars) Loans Securities Total assets— Total Mortgage loan End of period State Corpo- Cash Other liabili- Depos- Other Surplus commitments 3 Mort- U.S. and rate assets assets ties its 2 liabili- acgage Other Govt. local and and ties counts govt. other i surplus accts. Number Amount 1941 4,787 89 3,592 1,786 829 689 11,772 10,503 38 1,231 1945 4 202 62 10 650 1,257 606 185 16 962 15 332 48 1 582 1956 19,559 248 7,982 675 3,549 920 448 33,381 30 026 369 2,986 1957 20 971 253 7 583 685 4 344 889 490 35 215 31 683 427 3 105 1958 23,038 320 7,270 729 4,971 921 535 37,784 34,031 526 3,227 89,912 1,664 1959 4 24,769 358 6,871 721 4,845 829 552 38,945 34,977 606 3,362 65,248 1,170 I960 26,702 416 6,243 672 5,076 874 589 40,571 36,343 678 3,550 58,350 1,200 1961 28,902 475 6,160 677 5,040 937 640 42,829 38,277 781 3,771 61,855 1,654 1962 32,056 602 6,107 527 5,177 956 695 46,121 41,336 828 3,957 114,985 2,548 1963—Oct 35,333 637 5,899 451 5,149 819 765 49,052 43,910 1.049 4,093 106,337 2,379 Nov 35,654 659 5,885 448 5,073 811 781 49,312 44,028 1,141 4,143 109,881 2,378 Dec .. 36,007 607 5,863 440 5,074 912 799 49,702 44,606 943 4,153 104,326 2,549 1964 Jan 36,352 667 5,951 440 5,097 849 823 50,179 45,006 1,023 4,150 102,694 2,228 Feb 36,635 703 6,033 427 5,135 880 800 50,614 45,266 1,143 4,206 113,062 2,391 Mar 36,933 704 6,117 424 5,151 887 825 51,042 45,761 1,036 4,244 120,396 2,504 Apr . 37,267 646 6,064 423 5,138 819 820 51,178 45,851 1,118 4,209 123,979 2,586 May 37,601 714 6,052 419 5,150 847 827 51,610 46,124 1,225 4,261 124,416 2,661 37,971 676 6,024 409 5,145 906 871 52,001 46,624 1,102 4,275 132,625 2,690 July 38,407 705 6,025 409 5,142 863 867 52,417 46,918 1,222 A,211 132,726 2,701 Aug 38,764 764 6,095 407 5,179 895 879 52,983 47,274 1,356 4,352 134,371 2,743 Sept 39,146 739 6,082 409 5,193 883 887 53,339 47,757 1,200 4,382 134,277 2,736 Oct 39,538 727 5,849 403 5,178 898 889 53,482 47,982 I 146 4,354 139,066 2,825 1 Includes securities of foreign governments and international organi- NOTE.—National Assn. of Mutual Savings Banks data; figures are zations and U.S. Govt. agencies not guaranteed, as well as corporate estimates for all savings banks in the United States and differ somewhat securities. from those shown elsewhere in the BULLETIN; the latter are for call dates 2 See note 3, p. 131. and are based on reports filed with U.S. Govt. and State bank supervisory 3 Commitments outstanding of banks in N.Y. State as reported to the agencies. Loans are shown net of valuation reserves. Savings Banks Assn. of the State of N.Y. 4 Data reflect consolidation of a large mutual savings bank with a commercial bank. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 SAVINGS INSTITUTIONS 145 LIFE INSURANCE COMPANIES (In millions of dollars) Government securities Business securities End of period a T s o s t e a t l s Total U S n ta i t t e e s d Sta lo te c a a l ndForeign * Total Bonds Stocks M ga o g r e t s - e R st e a a t l e P lo o a li n c s y O as t s h e e ts r Statement value: 1941 32,731 9,478 6,796 1,995 687 10,174 9,573 601 6,442 1,878 2,919 1,840 1945 44,797 22,545 20,583 722 1,240 11,059 10,060 999 6,636 857 1,962 1,738 1957 101,309 10,690 7,029 2,376 1,285 44,057 40,666 3,391 35,236 3,119 3,869 4,338 1958 107,580 11,234 7,183 2,681 1,370 47,108 42,999 4,109 37,062 3,364 4,188 4,624 1959 113,650 11,581 6,868 3,200 1,513 49,666 45,105 4,561 39,197 3,651 4,618 4,937 I960 119,576 11,679 6,427 3,588 1,664 51,857 46,876 4,981 41,771 3,765 5,231 5,273 1961 126,816 11,896 6,134 3,888 1,874 55,294 49,036 6,258 44,203 4,007 5,733 5,683 1962 133,291 12,448 6,170 4,026 2,252 57,576 51,274 6,302 46,902 4,107 6,234 6,024 1963 141,121 12,438 5,813 3,852 2,773 60,780 53,645 7,135 50,544 4,319 6,655 6,385 Book value: 1961—Dec 126,816 11,915 6,135 3,902 1,878 53,967 49,149 4,818 44,250 4,011 5,735 6,938 1962—Dec 133,291 12,469 6,171 4,037 2,261 56,565 51,389 5,176 46,957 4,114 6,235 6,951 1963—Oct r 139,596 12,559 5,865 3,887 2,807 59,157 53,613 5,544 49,570 4,333 6,598 7,379 Nov 140.207 12,371 5,787 3,889 2,695 59,574 53,989 5,585 49,813 4,369 6,651 7,429 Dec 140,903 12,330 5,755 3,876 2,699 59,452 53,769 5,683 50,543 4,348 6,690 7,540 1964—Jan 141,866 12,365 5,782 3,859 2,724 60,006 54,269 5,737 50,828 4,368 6,729 7,570 Feb 142,531 12,506 5,805 3,857 2,844 60,050 54,281 5,769 51,126 4,377 6,772 7,702 Mar 143,067 12,421 5,731 3,849 2,841 60,189 54,335 5,854 51,441 4,391 6,819 7,806 Apr 143,676 12,389 5,689 3,853 2,847 60,426 54,525 5,901 51,806 4,402 6,872 7,781 May 144,312 12,436 5,731 3,827 2,878 60,613 54,674 5,939 52,117 4,416 6,909 7,821 144,964 12,346 5,633 3,822 2,891 60,793 54,772 6,021 52,466 4,437 6,955 7,967 July 145,823 12,476 5,758 3,809 2,909 61,275 55,213 6,062 52,832 4,446 6,947 7,847 Aug 146,475 12,507 5,763 3,822 2,922 61,355 55,228 6,127 53,173 4,462 6,986 7,992 Sept 147,172 12,557 5,787 3,846 2,924 61,458 55,262 6,196 53,560 4,487 7,024 8,086 Oct 147,977 12,555 5,769 3,866 2,920 61,722 55,487 6,235 53,984 4,499 7,060 8,157 1 Issues of foreign governments and their subdivisions and bonds of Year-end figures: Annual statement asset values, with bonds carried the International Bank for Reconstruction and Development. on an amortized basis and stocks at year-end market value. Month-end figures: Book value of ledger assets. Adjustments for interest due and NOTE.—Institute of Life Insurance data; figures are estimates for all accrued and for differences between market and book values are not made life insurance cos. in the United States. on each item, separately, but are included in total, in "other assets." SAVINGS AND LOAN ASSOCIATIONS (In millions of dollars) Assets Liabilities Total Mortgage E pe n r d i o o d f M ga o g r e t s - s G U ec o . u S v r . t i . - Cash Other i a li s a T s b e o i t l t s i a t 2 i l — es S c a a v p i i n ta g l s u R n e d a s i n e v r d i v d e e s d B m or o r n o e w y e 3 d L p o r a o n c s e s i s n Other co m l m o e a n m n t i s tties profits4 1941 4 578 107 344 775 6,049 4,682 475 256 636 1945 5,376 2,420 450 356 8,747 7,365 644 336 402 1956 35,729 2,782 2,119 2,199 42,875 37,148 2,950 1,347 1,430 843 1957 40 007 3,173 2,146 2,770 48,138 41,912 3,363 1,379 1,484 862 1958 45,627 3,819 2,585 3,108 55,139 47,976 3,845 1,444 1,161 713 1,475 1959 53,141 4,477 2,183 3,729 63,530 54,583 4,393 2,387 1,293 874 1,285 I960 60,070 4,595 2,680 4,131 71,476 62,142 4,983 2,197 1,186 968 1,359 1961 68,834 5,211 3,315 4,775 82,135 70,885 5,708 2,856 1,550 1,136 1,908 1962 78,770 5,563 3,926 5,346 93,605 80,236 6,520 3,629 1,999 1,221 2,230 1963—Oct 89,051 6,419 3,450 5,979 104,899 88,667 6,838 4,405 2,576 2,413 3,025 Nov 89,857 6,548 3,482 6,154 106,041 89,471 6,855 4,464 2,502 2,749 2,929 Dec 90,849 6,440 3,964 6,178 107,431 91,205 7,208 5,011 2,520 1,487 2,613 1964—Jan 91,453 6,598 3,568 5,989 107,608 91,669 7,235 4,590 2,364 1,750 2,664 Feb 92,163 6,662 3,601 6,098 108,524 92,423 7,250 4,377 2,336 2,138 2,818 Mar 93,069 6,733 3,613 6,233 109,648 93,525 7,219 4,323 2,430 2,151 2,964 93,978 6,717 3,467 6,353 110,515 93,846 7,230 4,601 2,464 2,374 3,110 May 94,971 6,712 3,504 6,738 111,925 94,828 7,243 4,544 2,503 2,807 3,148 June 96,067 6,685 3,795 6,728 113,275 96,593 7,511 4,980 2,538 1,654 3.107 July. 97,111 6,687 3,339 6,536 113,673 96,609 7,531 4,991 2,559 1,983 3,074 Aug 98 059 6,736 3,354 6,649 114,798 97,382 7,551 4,992 2,487 2,386 2,982 Sept.r 98,895 6,778 3,391 6,751 115,815 98,455 7,555 5,065 2,388 2,352 2,911 Oct 99,730 6,798 3,416 6,829 116,773 99,228 7,567 5,029 2,308 2,641 2,984 1 Includes other loans, stock in the Federal home loan banks, other * The decline in reserves and surplus from Feb. to Mar. 1964 is coninvestments, real estate owned and sold on contract, and office buildings centrated in state-chartered savings and loan assns. in Calif, where the and fixtures. accounting system is being revised. 2 Before 1958 mortgages are net of mortgage-pledged shares. Asset items will not add to total assets, which include gross mortgages with no NOTE.—Federal Savings and Loan Insurance Corp. data; figures are deductions for mortgage-pledged shares. Beginning with Jan. 1958, no estimates for all savings and loan assns. in the United States. Data deduction is made for mortgage-pledged shares. These have declined beginning with 1954 are based on monthly reports of insured assns. and consistently in recent years and amounted to $42 million at the end of annual reports of noninsured assns. Data before 1954 are based entirely 1957. on annual reports. Data for current and preceding year are preliminary 3 Consists of advances from FHLB and other borrowing. even when revised. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

146 FEDERAL FINANCE JANUARY 1965 FEDERAL FISCAL OPERATIONS: SUMMARY (In millions of dollars) Derivation of U. S. Government cash transactions Receipts from the public, Payments to the public, Net cash borrowing other than debt other than debt or repayment Period Net rects. Change Less: Less: Bu n d e g t et f T P u l r n u u d s s s t : g I L n o e t v r s t a s . - : 1 E r T e q c o u t t a s a l . l s 2 : Budget f T P u r l n u u d s s s t : A m L d e e ju s n s s ts : t- E p T q a o u y t a t a s l l s . : payts. (d d i i e r n b e t ct a I g n e v b n y e . s t & . N c d a e o s b n h t - Eq N u e a t ls: & agen.) trusts Cal. year—1961. . . 78,157 24,099 4,418 97,11'4 84,463 25,144 5,017 104,590 -6,816 6,792 -400 470 6,762 1962... 84,709 25,471 3,928 106,206 91,907 25,386 5,419 111,874 -5,668 9,055 1,109 1,386 6,560 1963. . . 87,516 29,255 4,144 112,575 94,188 28,348 5,382 117,153 -4,579 7,672 2,535 883 4,255 Fiscal year—1961.. 77,659 23,583 3,945 97,242 81,515 22,793 4,766 99,542 -2,300 2,102 856 536 712 1962.. 81,409 24,290 3,776 101,865 87,787 25,141 5,266 107,662 -5,797 11,010 492 923 9,594 1963.. 86,376 27,689 4,281 109,739 92,642 26,545 5,436 113,751 -4,012 8,681 2,069 1,033 5,579 1964.. 89,459 30,331 4,190 115,530 97,684 28,885 6,237 120,332 -4,802 7,733 2,775 1,099 3,859 Half year: 1962—July-Dec.. 39,126 11,838 1,928 49,011 47,286 13,010 2,195 58,101 -9,090 6,143 -870 865 6,148 1963—Jan.-June. 47,250 15,851 2,352 60,728 45,356 13,536 3,241 55,650 5,078 2,538 2,939 169 -569 July-Dec.. 40,266 13,404 1,792 51,847 48,832 14,812 r2,073 r61,572 -9,726 5,135 -403 714 4,824 1964—Jan.-June. 49,193 16,927 2,398 63,683 48,852 14,073 4,164 58,760 4,924 2,598 3,178 385 -965 Month: 1963—No v 7,131 2,749 259 9,617 7,784 1,955 -73 r9,811 -194 rl,594 481 163 949 Dec 8,803 2,230 521 10,503 8,289 2,661 881 10,069 433 1,899 260 128 1,511 1964—Jan 5,853 1,088 303 6,628 8,492 2,257 902 9,848 -3,219 -1,059 -1,328 86 183 Feb 8,047 3,705 222 11,525 7,521 2,063 191 9,393 2,132 1,550 830 133 586 Mar 10,148 2,330 304 12,168 7,871 2,227 707 9,390 2,778 -744 167 35 -946 Apr 6,609 1,942 212 8,334 7,930 2,935 703 10,163 -1,829 -1,880 -1,491 22 -411 May 6,136 4,744 222 10,652 7,511 2,067 45 9,533 1,119 4,049 3,230 61 758 June 12,401 3,117 ,136 14,376 9,527 2,523 1,548 10,502 3,874 683 1,770 48 -1,136 July 3,487 1,532 270 4,745 7,410 2,713 -95 10,217 -5,472 -594 -1,205 38 572 Aug 6,653 4,171 267 10,552 8,083 2,524 -611 11,218 -666 3,284 1,960 67 1,257 Sept 10,072 1,994 320 11,739 8,450 2,266 1,016 9,700 2,039 1,412 -251 82 1,581 Oct 3,398 1,224 271 4,344 8,329 2,481 298 10,512 -6,168 93 -1,556 16 1,633 Nov 7,037 2,928 240 9,716 7,051 2,073 -156 9,281 436 2,976 809 153 2,015 Effects of operations on Treasurer's account Change in Treasurer's account Net operating transactions Net financing transactions cash balances (end of period) Agencies & trusts Operating bal. Change Period s B d u u e r o f d p i r g c lu i e t s t f T un ru d s s t 3 a C c l c e o a u ri n n t g s i M ss s u a e o c a r f k . n 3 e c t e i I n G n s e v U o c e v . . s t 3 S t . . . p d g d u i r i e r b o n e b l s c i t s c t T o r H u e t a e s s l i d u d r e y a T u c r c r e e o a r u ' s s n - t Balance b F a . n R ks . a l T a c o n c a a d t x n s. O as n t s e h e t e ts r Fiscal year—1961. . -3,856 790 285 -538 -856 2,640 -222 -1,311 6,694 408 5,453 833 1962.. -6,378 -851 566 1,780 -492 9,230 118 3,736 10,430 612 8,815 1,003 1963. . -6,266 1,143 122 1,022 -2,069 7,659 -74 1,686 12,116 806 10,314 986 1964.. -8,226 1,446 948 1,880 -2,775 5,853 206 -1,080 11,036 939 9,180 917 Half year: 1962—July-Dec. -8,160 -1,172 -599 874 870 5,269 4 -2,922 7,509 597 6,092 820 1963—Jan.-June. 1,894 2,315 720 148 -2,939 2,390 -78 4,607 12,116 806 10,324 986 July-Dec. -8,567 -1,408 '-433 ,648 403 3,487 -128 -4,741 7,375 880 5,621 874 1964—Jan.-June. 341 2,854 1,381 232 -3,178 2,366 334 3,661 7,375 880 5,621 874 Month: 1963—Nov -652 795 -495 -179 -481 1,773 760 5,270 890 3,521 859 Dec 514 -431 232 767 -260 1,132 -151 2,105 7,375 880 5,621 874 1964—Jan -2,639 -1,169 512 -289 1,328 -770 84 -3,111 4,264 791 2,451 1,022 Feb 526 1,642 -163 -230 -830 1,780 194 2,531 6,795 1,024 4,783 988 Mar 2,277 103 368 24 -167 -767 -23 1,861 8,656 831 6,940 885 Apr -1,322 -993 468 109 1,491 -1,989 335 -2,571 6,085 925 3,974 1,186 May -1,375 2,677 -237 117 -3,230 3,931 -333 2,215 8,300 890 6,557 853 June 2,874 594 364 502 -1,770 181 9 2,735 11,036 939 9,180 917 July -3,923 -1,181 -403 -64 1,205 -530 -10 -4,886 6,150 785 4,505 860 Aug -1,430 1,648 -946 378 -1,960 2,906 -43 640 6,789 939 5,085 765 Sept 1,622 -273 613 -108 251 1,520 226 3,400 10,189 933 8,339 917 Oct -4,930 -1,257 11 67 1,556 26 -30 -4,498 5,691 687 4,155 849 Nov -15 855 -549 125 -809 2,851 46 2,412 8,104 974 6,182 948 1 Primarily interest payments by Treasury to trust accounts and accumu- 4 Primarily (1) intragovt. transactions, (2) noncash debt, (3) clearing lations to U.S. employee trust funds. accounts. 2 Includes small adjustments not shown separately. 5 Includes technical adjustments not allocated by functions. 3 Includes net transactions of Govt. sponsored enterprises. NOTE.—Based on Treasury Dept. and Bureau of the Budget data. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 FEDERAL FINANCE 147 FEDERAL FISCAL OPERATIONS: DETAIL (In millions of dollars) Cash receipts from the public Income taxes Excise taxes Social ins. taxes Period Total W he I i n l t d h d - ivid O ua th l er Corp. Total a L b n i a d q c u c t o o o r - H w ig ay h- Total O R a A n .R d S . I e U m n p - l. E a g s n t if a d t te t C o u m s- s r m e I a p e n n a n t d . y ts - fu R n e d - s Other Fiscal year—1961... 97,24232,978 13,175 21,765 12,064 5,204 2,923 16,381 12,981 '2,896 1,916 1,008 2,105 5,976 1,826 1962... 101,86536,246 14,403 21,296 12,752 5,367 3,080 17,032 13,197'3,334 2,035 1,171 1,358 6,266 '1,838 1963... 109,73938,719 14,269 22,336 13,410 5,521 3,405 '19,729 '15,128'4,107 2,187 1,241 '1,815 6,571 '2,604 1964... 115,53039,259 15,331 24,301 13,950 5,630 3,646 21,936 17,405 4,037 2,416 1,284 1,702 7,148 2,499 Half year: 1962—July-Dec... 49,01118,958 3,319 8,810 6,808 2,845 1,756 '7,933 6,111 '1,575 914 639 1,179 805 '1,256 1963—Jan.-June.. 60,72819,761 10,950 13,526 6,602 2,676 1,649 11,796 '9,017 '2,532 1,273 602 '636 5,766 '1,348 July-Dec... '51,84720,120 3,465 9,242 7,043 2,940 1,898 9,209 7,373 1,588 992 661 '943 1,044 '1,216 1964—Jan.-June.. 63,68319,139 11,866 15,059 6,907 2,690 1,748 12,727 10,032 2,449 1,424 623 759 6,104 1,283 Month: 1963—No v 9,617 5,429 113 396 1,065 466 371 2,145 1,699 413 139 106 142 59 141 Dec 10,503 3,176 406 3,726 1,271 499 300 1,240 1,147 52 150 103 272 103 262 1964—Jan 6,628 1,432 2,441 583 1,087 385 283 542 294 195 180 101 '124 126 '264 Feb 11,525 6,105 870 451 1,112 382 320 3,382 2,393 954 184 87 102 944 176 Mar 12,168 3,222 770 6,654 1,121 434 264 1,678 1,527 109 196 108 '146 1,960 '233 Apr 8,334 889 5,006 684 1,103 465 254 1,394 1,116 239 422 109 '119 575 '183 May 10,652 4,837 561 491 1,195 466 '308 4,163 3,242 884 234 100 '125 196 '142 June 14,376 2,654 2,219 6,196 1,290 560 320 1,563 1,457 66 208 117 145 304 288 July 4,745 1,172 377 646 1,234 456 328 '904 623 233 219 120 143 219 '149 Aug 10,552 4,809 159 419 1,284 496 380 3,455 2,732 684 219 112 123 207 179 Sept 11,739 2,669 2,255 3,950 1,203 502 324 1,256 1,158 56 166 122 132 216 202 Oct 4,344 1,158 264 572 1,176 n.a. 298 639 478 121 205 126 130 176 250 Nov 9,716 4,956 112 449 1,244 n.a. 336 2,238 1,766 435 168 124 220 100 305 Cash payments to the public Period Total 5 t f i N e d o n e n a s - - a e l a I ff n a t i l r . s s S e p r a e a r - c c e h c A ul g tu ri r - e so N u u r r e a r a - c t l - es t m C r a a o e n n r m d s c p e - . & H d e i o c n v u o g e s m l - . . l H w ab e e l o a f l r a t r h & e , E t d i u o c n a- e V ra e n t- s In e t s e t r- G G e o r e a v n l t - . Fiscal year—1961 99,542 47,685 2,153 744 5,183 2,101 5,107 -103 33,364 945 6,187 7,257 1,724 1962 107,662 51,462 2,492 1,257 5,942 2,223 5,487 1,691 23,975 1,052 6,092 6,940 1,882 1963 113,751 53,429 '2,241 2,552 '7,267 2,456 5,777 -268 25,698 1,214 5,971 7,427 1,983 1964 120,332 54,513 1,992 4,171 7,350 2,596 6,541 1,685 27,276 1,296 6,103 8,014 2,283 Half year: 1962—July-Dec 58,101 26,123 875 1,024 4,446 1,386 3,099 1,028 12,349 562 2,956 3,580 983 1963—Jan.-June 55,649 27,304 '1,368 1,527 '2,821 1,067 2,679 -1,296 13,347 650 3,010 3,846 1,002 July-Dec "61,570 26,359 1,032 1,857 '4,302 1,355 3,657 1,857 '13,162 561 2,954 3,845 1,084 1964—Jan.-June 58,829 28,158 962 2,313 3,038 1,139 2,887 -173 14,124 730 3,148 4,172 1,195 Month: 1963—Nov '9,811 4,164 242 301 '444 209 561 82 '2,203 68 489 1,238 171 Dec 10,069 4,560 220 372 632 216 619 499 2,230 87 492 273 186 1964—Jan 9,848 4,385 251 355 701 192 394 -12 2,448 127 703 269 263 Feb 9,393 4,311 204 317 610 179 424 -383 2,357 120 468 1,393 178 Mar 9,390 4,425 131 359 541 171 446 -101 2,402 140 499 364 181 Apr 10,163 4,594 -152 452 587 174 472 386 2,404 125 457 402 172 May 9,533 4,678 275 326 274 175 460 -245 2,000 106 486 1,394 178 June 10,502 5,765 253 504 325 248 691 182 2,513 112 535 350 223 July 10,217 3,592 201 334 672 235 702 246 2,277 78 485 360 194 Aug 11,218 3,869 265 385 1,120 287 740 16 2,249 129 501 1,378 183 Sept 9,700 4,243 191 386 624 293 759 35 2,229 126 525 317 244 Oct 10,512 4,301 301 387 841 244 779 -48 2,261 94 505 436 200 Nov 9,281 4,052 -190 406 357 229 657 -193 2,299 90 398 1,337 164 1962 1963 1964 1962 1963 1964 Item IV II III IV I II III IV II III IV III I Seasonally adjusted Not seasonally adjusted Cash budget Receipts. . 27.1 27.5 27.8 28.529.0 29.7 '285 28.2 23.0 28.2 32.6 273 24.5 30.3 '33.4 27.0 Payments. , 29.0 28.2 28.5 30.5 30.0 30.5 '29.5 30.6 29.6 26.5 29.1 31.0 30.6 28.6 '30.2 31.1 Net i.9 -.7 -.7 -2.0-1.0 -.8 r J 0-2.5 -6.6 .7 3.4 -3 6 -6.1 1.7 '3.2 -4.1 For notes, see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

148 U.S. GOVERNMENT SECURITIES JANUARY 1965 TOTAL DEBT, BY TYPE OF SECURITY (In billions of dollars) Public issuesJ 3 Total Total gross Marketable Nonmarketable Special End of period gross direct Con- issues « debt i debt 2 Total Total Bills C c e a r t t e if s i- Notes Bonds 4 b v i o b e n r le d t- s Total 5 b S i o n a n g v d s - s 1941_Dec 64.3 57.9 50.5 41.6 2.0 6.0 33.6 8.9 6.1 7.0 1945_Dec 278.7 278.1 255.7 198.8 17.0 38.2 23.0 120.6 56.9 48.2 20.0 1947 Dec . . .. 257 0 256.9 225.3 165 8 15 1 21 2 11 4 118 0 59 5 52 1 29.0 1956 Dec . . 276.7 276.6 228.6 160.4 25.2 19.0 35.3 80.9 10.8 57.4 56.3 45.6 1957—Dec 275.0 274.9 227.1 164.2 26.9 34.6 20.7 82.1 9.5 53.4 52.5 45.8 1958—Dec 283.0 282.9 236.0 175.6 29.7 36.4 26 A 83.4 8.3 52.1 51.2 44.8 1959—Dec 290.9 290.8 244.2 188.3 39.6 19.7 44.2 84.8 7.1 48.9 48.2 43.5 I960—Dec 290.4 290.2 242.5 189.0 39.4 18.4 51.3 79.8 5.7 47.8 47.2 44.3 1961—Dec 296.5 296.2 249.2 196.0 43.4 5.5 71.5 75.5 4.6 48.6 47.5 43.5 1962—Dec 304.0 303.5 255.8 203.0 48.3 22.7 53.7 78.4 4.0 48.8 47.5 43.4 1963—Dec 310.1 309.3 261.6 207.6 51.5 10.9 58.7 86.4 3.2 50.7 48.8 43.7 1964—Jan 309.3 308.6 262.6 208.6 52.5 10.9 56.4 88.7 3.2 50.8 48.9 41.9 Feb 311.1 310.4 263.2 209 2 53 6 4 2 64 5 87.0 3.2 50 8 49.0 42.9 Mar 310.4 309.6 262.2 208.2 52.5 4.2 64.5 87.0 3.2 50.8 49.1 43.2 Apr 308.4 307.6 261A 207.4 51.0 4.2 65.1 87.0 3.1 50.9 49.1 42.0 May 312.3 311.5 262.2 208.0 52 2 67 3 88.5 3.1 51 0 49.2 45.0 June .... 312 5 311.7 260 7 206 5 50 7 67 3 88 5 3 1 51 1 49 3 46.6 July 312.0 311.2 261A 206.8 51.0 58.6 97.1 3.1 51.2 49.4 45.7 Aug 314.9 314.1 262.2 207.7 52.0 58.6 97.1 3.1 51.4 49.4 47.4 Sept 316.5 315.6 263.8 209.0 53.3 58.6 97.1 3.1 51.7 49.5 47.4 Oct 316 5 315 6 265 0 210 1 55 0 58 1 97 0 3 1 51 8 49 6 46 3 Nov 319.3 318.5 267.4 212.4 56.5 58.9 97.0 3.1 51.9 49.7 46.7 Dec 318.7 317.9 267.5 212.5 56.5 59.0 97.0 3.0 52.0 49.7 46.1 1 Includes noninterest-bearing debt (of which $286 million, on Dec. 31, 5 Includes Series A investment bonds, depositary bonds, armed forces 1964, was not subject to statutory debt limitation) and guaranteed secur- leave bonds, adjusted service bonds, foreign currency series, foreign ities, not shown separately. series, Rural Electrification Administration bonds, and before 1956 2 Excludes guaranteed securities. tax and savings notes, not shown separately. 3 Includes amounts held by U.S. Govt. agencies and trust funds, which 6 Held only by U.S. Govt. agencies and trust funds. totaled $14,503 million on Nov. 30, 1964. jSK * includes Treasury bonds and minor amounts of Panama Canal and NOTE.—Based on Daily Statement of U.S. Treasury. postal savings bonds. OWNERSHIP OF DIRECT AND FULLY GUARANTEED SECURITIES (Par value in billions of dollars) Held by— Held by the public E pe n r d i o o d f T g d r o e o t b s a t s l ag G t U e a r o n u n .S v c d s . i t t e . s B F a . n R k . s Total m b C e a o r n m c k ia s - l M s b a a v u n i t n u k g a s s l p I c a n a o n s n m u c ie e r - - s r c O a o t t r i h p o e o n r - s g S l a o o t n v c a d a t t e s l . Savi I n n g d s ividu O al t s her n F a i o t n a i r t n o e e d n i r g - a n l2 t O i m o n r t v i s h s e e c 3 s r . funds 1 bonds securities 1941—Dec 64.3 9.5 2.3 52.5 21.4 3.7 8.2 4.0 .7 5.4 8.2 .4 .5 1945—Dec 278.7 27.0 24.3 227.4 90.8 10.7 24.0 22.2 6.5 42.9 21.2 2.4 6.6 1947—Dec 257.0 34.4 22.6 200.1 68.7 12.0 23.9 14.1 7.3 46.2 19.4 2.7 5.7 1956—Dec 276.7 54.0 24.9 197.8 59.5 8.0 13.2 19.1 16.3 50.1 15.4 7.8 8.4 1957—Dec 275.0 55.2 24.2 195.5 59.5 7.6 12.5 18.6 16.6 48.2 15.8 7.6 9.0 1958—Dec 283.0 54.4 26.3 202.3 67.5 7.3 12.7 18.8 16.5 47.7 15.3 7.7 8.9 1959—Dec 290.9 53.7 26.6 210.6 60.3 6.9 12.5 22.8 18.0 45.9 22.1 12.0 10.1 1960—Dec 290.4 55.1 27.4 207.9 62.1 6.3 11.9 20.1 18.7 45.7 19.1 13.0 11.2 1961—Dec 296.5 54.5 28.9 213.1 67.2 6.1 11.4 20.0 '19.0 46.4 '17.9 13.4 11.6 1962—Dec 304.0 55.6 30.8 217.6 67.2 6.1 11.5 20.2 '20.1 46.9 '17.6 15.3 12.7 1963—Nov 308.9 57.7 33.7 217.5 '62.8 5.8 '11.3 21.6 '20.6 48.0 '18.3 16.0 13.2 Dec 310.1 58.0 33.6 218.5 '64.3 5.8 '11.3 20.6 '21.1 48.1 '18.2 15.9 13.3 1964—Jan 309.3 56.5 32.8 220.0 '62.9 5.9 '11.3 21.8 '21.2 48.1 '18.8 15.9 14.2 Feb 311.1 57.5 33.2 220.5 '62.2 6.0 '11.3 22.7 '21.4 48.2 '19.1 15.9 13.6 Mar 310.4 57.6 33.8 219.0 '61.6 6.1 '11.2 21.4 '21.7 48.3 '19.6 15.6 13.6 Apr 308.4 56.1 33.2 219.1 '61,1 6.0 r11.0 21.8 '22.6 48.3 '18.8 15.3 14.2 May 312.3 59.4 34.2 218.8 '60.0 6.0 '11.0 22.5 '22.6 48.4 '19.0 15.4 13.8 June 312.5 61.1 34.8 216.6 '60.2 6.0 '10.9 20.2 '22.5 48.5 '19.0 15.6 13.7 July 312.0 59.9 35.1 217.0 '59.3 6.0 '10.9 20.7 '22.3 48.6 '19.1 15.8 14.4 Aug 314.9 61.8 35.2 218.0 '60.0 6.0 '11.0 20.9 '22.6 48.6 '18.5 16.0 14.3 Sept 316.5 61.8 35.4 219.3 '61.8 6.0 '11.2 19.8 22.3 48.7 '18.6 16.3 14.6 Oct 316.5 60.5 35.7 220.2 '62.1 5.8 '11.2 '20.9 22.2 48.8 '18.7 '16.3 '14.3 Nov 319.3 61.2 36.8 221.4 63.4 5.7 11.2 20.9 22.0 48.9 18.5 16.4 14.5 1 Includes the Postal Savings System. 3 Includes savings and loan assns., dealers and brokers, nonprofit 2 Includes investments of foreign balances and international accounts institutions, and corp. pension funds. in the United States. NOTE.—Reported data for F.R. Banks and U.S. Govt. agencies and trust funds; Treasury estimates for other groups. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 U.S. GOVERNMENT SECURITIES 149 OWNERSHIP OF MARKETABLE SECURITIES, BY MATURITY (Par value in millions of dollars) Within 1 year 1-5 5-10 10-20 Over Type of holder and date Total years years years 20 years Total Bills Other All holders: 1961 Dec 31 195 965 84 428 43,444 40,984 66,360 19,782 11,976 13,419 1962—Dec. 31 203 011 87,284 48,250 39,034 61,640 33,983 4,565 15,539 1963 Dec 31 207 571 89 403 51,539 37,864 58,487 35,682 8,357 15,642 1964 Oct 31 210 118 84,135 54,966 29,169 63,422 36,725 8,353 17,483 Nov 30 212,414 88,443 56,469 31,974 61,427 38,963 6,108 17,473 U.S. Govt. agencies and trust funds: 1961 Dec 31 8,484 1,252 583 669 1,860 1,594 1,756 2,022 1962—Dec. 31 9 638 1,591 865 726 1,425 2,731 1,309 2,583 1963 Dec 31 11,889 1,844 1,366 478 1,910 3,021 2,178 2,936 1964 Oct 31 . 11 883 1 462 1,006 456 2,192 2,737 2,198 3,293 Nov. 30 12 117 1,677 1,247 430 2,219 3,372 1,563 3,286 Federal Reserve Banks: 1961 Dec 31 28,881 17,650 3,349 14,301 8,737 2,227 204 63 1962 Dec 31 30.820 17,741 2,723 15,018 10,834 2,094 68 83 1963—Dec. 31 33 593 22,580 4,146 18,434 8,658 2,136 88 131 1964—Oct. 31 35,709 20,240 5,353 14,887 13,091 2,053 91 234 Nov 30 36 774 21 278 6,419 14,859 13,119 2,088 56 234 Held by public: 1961—Dec 31 158 600 65 526 39,512 26,014 55,763 15,961 10,016 11,334 1962—Dec. 31 162,553 67,952 44,662 23,290 49,381 29,158 3,188 12,873 1963 Dec. 31 162 089 64 979 46,027 18,952 47,919 30,525 6,091 12,575 1964—Oct. 31 162,527 62,433 48,607 13,826 48,139 31,935 6,064 13,956 Nov 30 163,523 65,488 48,803 16,685 46,089 33,503 4,490 13,953 Commercial banks: 1961—Dec. 31 59 073 21 149 9,962 11,187 30,751 5,043 1,724 407 1962 Dec 31 58,004 19,885 9,838 10,047 26,348 11,163 191 417 1963 Dec. 31 54,881 16,703 9,290 7,413 26,107 11,075 533 463 1964—Oct. 31 52,248 15,841 9,562 6,279 23,806 11,609 506 486 Nov. 30 53,309 17,757 10,108 7,649 22,951 11,920 187 494 Mutual savings banks: 1961—Dec. 31 5,867 868 181 505 1,514 1,708 662 1 298 1962 Dec 31 5,793 635 252 383 1,337 2,210 306 1,305 1963—Dec. 31 5,502 690 268 422 1,211 2,009 377 1,215 1964—Oct. 31 5,494 603 333 270 1,384 1,894 338 1,275 Nov. 30 5,441 579 323 256 1,360 1,962 261 1 279 Insurance companies: 1961—Dec. 31 9,020 1,228 442 786 2,222 1,625 1,274 2,671 1962—Dec. 31 9,265 1,259 552 707 2,175 2,223 718 2 890 1963 Dec. 31 9,254 1,181 549 632 2,044 2,303 939 2,787 1964—Oct. 31 9,211 996 567 429 1,966 2,422 940 2 887 Nov. 30 9,209 1,025 498 527 1,905 2,563 824 2,891 Nonfinancial corporations: 1961—Dec. 31 10,547 8,697 5,466 3,231 1,747 72 22 8 1962—Dec. 31 10,750 9,063 6,551 2,512 1,524 149 5 9 1963 Dec 31 10,427 7,671 6,178 1,493 2,397 290 9 60 1964—Oct. 31 9 696 7 079 5,564 1,515 2,070 418 10 119 Nov. 30 9,627 7,228 5,519 1,709 1,863 412 3 122 Savings and loan associations: 1961 Dec 31 2 760 446 155 291 895 617 371 431 1962—Dec. 31 2,862 437 254 183 817 1,030 105 473 1963—Dec. 3! 3,253 378 236 142 919 1,202 253 501 1964—Oct. 31 3,313 367 261 106 944 1,266 238 499 Nov. 30 3,400 444 300 144 1,012 1,339 132 473 State and local governments: 1961 Dec 31 10,893 3,974 2,710 1,264 1,320 842 1,250 3,507 1962—Dec. 31 11,716 4,447 3,282 1,165 1,059 1,505 688 4,017 1963—Dec. 31 12,453 4,637 3,869 768 941 1,502 1,591 3,782 1964 Oct 31 . . . 15,630 5,372 4,577 795 1,962 1,948 1,691 4,657 Nov 30 . .. 15,390 5,294 4,367 927 1,802 2,192 1,450 4,652 All others: 1961 Dec. 31 60,440 29,346 20,596 8,750 17,314 6,054 4,713 3,012 1962—Dec. 31 64,162 32,227 23,935 8,292 16,121 10,877 1,175 3,761 1963 Dec 31 66,320 33,719 25,637 8,082 14,301 12,144 2,389 3,767 1964—Oct. 31 66,934 32,175 27,743 4,432 16,007 12,378 2,339 4,034 Nov 30 67,149 33,162 27,687 5,475 15,197 13,115 1,633 4,042 NOTE.—Direct public issues only. Based on Treasury Survey of banks, and 784 insurance cos. combined; (2) about 50 per cent by the Ownership. 469 nonfinancial corps, and 488 savings and loan assns.; and (3) about Data complete for U.S. Govt. agencies and trust funds and F.R. Banks 70 per cent by 507 State and local govts. but for other groups are based on Treasury Survey data. Of total mar- Holdings of "all others," a residual, include holdings of all those not ketable issues held by groups, the proportion held on latest date by those reporting in the Treasury Survey, including investor groups not listed reporting in the Survey and the number of owners surveyed were: (1) separately. about 90 per cent by the 6,015 commercial banks, 501 mutual savings Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

150 U.S. GOVERNMENT SECURITIES JANUARY 1965 DEALER TRANSACTIONS (Par value, in millions of dollars) U.S. Government securities By maturity By type of customer U.S. Govt. Period Dealers and brokers se a c g u e r n i c ti y es Total W 1 i y th e i a n r y 1 e - a 5 rs y 5 e - a 1 r 0 s 10 O y v e e a r rs U.S. m b C e a o r n m c k ia s - l o A th l e l r Goyt. Other securities 1963—Nov 1,713 1,300 131 29 480 28 662 544 117 Dec 1,719 1,348 213 122 37 508 30 730 451 96 1964—Jan 2,144 1,656 264 159 65 687 36 905 516 99 Feb 1,809 1,336 272 145 56 528 29 737 516 91 Mar 1,685 1,361 213 81 31 563 22 657 443 86 Apr 1,849 1,528 234 70 18 590 24 737 498 134 May.... 1,702 1,264 248 165 25 566 29 651 457 120 June 1,488 1,201 170 97 19 458 24 566 439 142 July 1,936 1,433 216 208 79 581 38 784 532 131 Aug 1,453 1,099 197 123 34 406 26 604 417 113 Sept 1,510 1,214 155 102 39 443 20 616 432 117 Oct 1,749 1,476 141 92 41 529 25 719 475 114 Nov 1,864 1,426 271 127 40 533 28 805 498 131 Week ending— 1964—Nov. 4. 1,983 ,544 248 143 49 521 27 869 566 107 11. 1,967 ,434 369 129 35 611 36 848 473 221 18. 1,836 ,342 306 149 39 525 25 855 431 122 25. 1,662 ,293 204 117 49 505 26 646 486 105 Dec. 2. 2,388 ,037 209 112 31 657 29 948 754 76 9. 1,966 ,495 271 163 37 661 31 787 488 77 16. 1,817 ,352 277 142 46 557 38 731 492 78 23. 1,680 ,298 230 122 30 475 31 753 422 110 30. 2,361 ,978 233 118 34 648 46 978 689 77 NOTE.—The transactions data combine market purchases and sales of ties under repurchase agreements, reverse repurchase (resale), or similar U.S. Govt. securities dealers reporting to the F.R. Bank of N.Y. They contracts. Averages of daily figures based on the number of trading do not include allotments of and exchanges for new U.S. Govt. securities, days in the period. redemptions of called or matured securities, or purchases or sales of securi- DEALER POSITIONS DEALER FINANCING (Par value, in millions of dollars) (In millions of dollars) U.S. Government securities, by maturity U.S. Commercial banks Period mat A ur l i l ties W 1 i y th e i a n r y 1 e - a 5 rs 5 O y v e e a r rs se a G c g u e o r n v i c t t i y . es Period so A ur l c l es Y N o e r w k w E h ls e e r - e C t o io rp n o s r i a- o A th l e l r City 1963—Nov 3,546 3,008 430 108 159 Dec 3,090 2,800 295 -4 254 1963—Nov 3,551 660 671 1,748 472 Dec 3,139 823 587 1,466 263 1964—Jan 3,582 3,218 272 92 163 Feb 3,475 2,787 468 219 195 1964—Jan 3,646 1,139 1,019 ,159 328 Mar 2,775 2,486 323 -34 195 Feb 3,645 1,048 879 1,355 363 Apr 2,393 2,316 156 -78 170 Mar 2,971 784 613 1,247 326 May 3,087 2,670 164 253 231 Apr 2,390 545 556 1,065 225 June 3,475 3,217 91 167 318 May 3,082 711 724 1,347 300 July 3,817 3,121 229 468 225 June 3,541 981 761 1,493 307 Aug 4,313 2,978 552 782 275 July 4,156 1,250 871 1,671 364 Sept 3,954 3,302 373 280 250 Aug 4,186 1,144 924 1,703 416 Oct 3,358 2,966 231 160 262 Sept 4,011 1,255 1,069 1,253 434 Nov 3,692 3,073 479 140 313 Oct 3,299 845 835 1,258 361 Nov 3,706 1,020 963 1,192 531 Week ending— Week ending— 1964—Oct. 7.. 3,269 2,838 265 166 268 14.. 3,195 2,832 221 143 270 1964—Oct. 7... 3,439 985 966 1,041 447 21.. 3,236 2,894 196 146 243 14... 3,099 705 820 1,187 387 28.. 3,508 3,121 221 167 258 21... 3,337 776 899 1,347 315 28... 3,195 798 656 1,430 311 Nov. 4.. 3,701 3,247 258 196 300 11.. 3,861 3,105 579 177 296 Nov. 4... 3,704 1,196 903 1,227 378 18.. 3,865 3,184 535 146 309 11... 3,668 869 967 1,131 701 25.. 3,682 3,142 439 100 328 18... 3,882 1,118 1,033 1,155 576 25... 3,698 956 977 1,274 491 NOTE.—The figures include all securities sold by dealers under repurchase contracts regardless of the maturity date of the contract unless the 1 All business corps, except commercial banks and insurance cos. contract is matched by a reverse repurchase (resale) agreement or delayed delivery sale with the same maturity and involving the same amount of NOTE.—Averages of daily figures based on the number of calendar days securities. Included in the repurchase contracts are some that more in the period. Both bank and nonbank dealers are included. See also clearly represent investments by the holders of the securities rather than note to the opposite table on this page. dealer trading positions. Average of daily figures based on number of trading days in the period. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 OUTSTANDING SECURITIES 151 U.S. GOVERNMENT MARKETABLE AND CONVERTIBLE, DECEMBER 31, 1964 (In millions of dollars) Issue and coupon rate Amount Issue and coupon rate Amount Issue and coupon rate Amount Issue and coupon rate Amount Treasury bills Treasury bills—Cont. Treasury notes—Cont. Treasury bonds—Cont. J J J J J F F a a a a a e e n n n n n b b . . . . . . . 2 3 2 1 1 4 7 1 8 1 1 4 , , , , , , , 1 1 1 1 1 1 1 9 9 9 9 9 9 9 6 6 6 6 6 6 6 5 5 5 5 5 5 5 2 2 2 2 2 2 1 , , , , , , , 1 1 1 0 1 1 1 0 0 0 0 0 1 0 0 1 2 2 3 4 0 J J J J J J J u u u u u u u l l n n n n n y y e e e e e 2 2 3 3 1 1 4 2 1 0 0 7 1 , , , , , , , 1 1 1 1 1 1 1 9 9 9 9 9 9 9 6 6 6 6 6 6 6 5 5 5 5 5 5 5 i 1 1 1 1 1 1 1 , , , , , , , 0 0 0 0 0 5 0 0 0 0 0 0 0 0 1 0 1 5 1 4 2 O A A A O F O e c u c p p c b t t t g r r . . . . . . . 1 1 1 1 5 1 5 1 1 , , , , , , , 1 1 1 1 1 1 1 9 9 9 9 9 9 9 6 6 6 6 6 6 6 8 8 7 7 6 7 7 3 l l 3 i \ i V i y Y y y y / 2 2 2 2 4 i 8 4 2, , 4 2 2 3 1 4 3 5 1 7 5 1 3 5 3 7 8 2 0 7 5 A A N N O F F e e u u c o o b b t g g v v . . . . . . . 1 1 1 1 1 1 5 1 5 5 5 5 5 , , , , , , , 1 1 1 1 1 1 1 9 9 9 9 9 9 7 6 9 6 7 7 6 2 9 9 1 7 0 8 1...... 3 3 . % % .4 4 4 4 4 4 2 2 2 6 1 1 , , , , , , , 1 5 8 7 8 3 2 9 4 2 6 0 4 6 1 4 9 0 6 4 2 Feb. 18,1965 2,102 Aug. 31, 1965 1,000 Apr. 1,1969 lVi 61 Aug. 15, 1972 4 2,579 Feb. 25, 1965 2,102 Sept. 30, 1965 1,001 Oct. 1,1969 11/2 63 Aug. 15, 1973 4 3,894 Feb. 28, 1965 1,001 Oct. 31,1965 1,000 Nov. 15, 1973 41/8 4,357 Mar. 4, 1965 2,101 Nov. 30, 1965 1,001 May 15, 1974 4% 1,532 Mar. 11, 1965 2,202 Dec. 31, 1965 1,003 Treasury bonds Nov. 15, 1974 37/s 2,244 Mar. 18, 1965 2,201 June 15, 1962-67... 2i/i 1,434 May 15, 1975-85.. .414 1,218 Mar. 22, 19651 2,504 Dec. 15, 1963-68... 2V2 1,798 June 15, 1978-83... 3 VA 1,585 Mar. 25, 1965 2,109 Treasury notes June 15, 1964-69... 2% 2,626 Feb. 15, 1980 4 2,609 Mar. 31, 1965 1,001 Apr. 1,1965 1 466 Dec. 15, 1964-69... 21/2 2,538 Nov. 15, 1980 31/2 1,913 A Ap p r r . . 8 1 , ,1 1 9 9 6 6 5 5.... 2,1 9 0 0 0 1 M M a a y y 1 1 5 5 , , 1 1 9 9 6 6 5 5 3 4 6 1 , , 6 81 2 6 0 F M e a b. r . 1 1 5 5 , , 1 1 9 9 6 6 5 5 -70...2 2 1 Y /2 g 2 3, , 9 4 7 1 6 4 F M e a b y . 1 1 5 5 , , 1 1 9 9 9 8 0 5 3 3 V % 4 4 1 , ,1 9 2 0 8 5 Apr. 15, 1965 1,004 Aug. 13, 1965 3 6,202 May 15, 1966 3% 2,250 Aug. 15, 1987-92... 4i/i 1,563 Apr. 22, 1965 1,001 Aug. 13, 1965 3 1,066 Aug. 15, 1966 3 1,024 Feb. 15, 1988-93 4 250 A A p p r r . . 2 3 9 0 , , 1 1 9 9 6 6 5 5 1 1, , 0 0 0 0 1 3 N O o ct v . . 15 1 , , 1 1 9 9 6 6 5 5 1 3 _ 2,9 3 5 15 4 N M o a v r. . 1 1 5 5 , , 1 19 9 6 6 6 6 -71.. .2 3 % 3/8 1 1 , ,8 4 5 0 1 2 F M e a b y . 1 1 5 5 , , 1 1 9 9 9 8 5 9 -94...41/g 3 2 1 , ,5 4 6 1 0 0 May 6,1965.. 1,000 Nov. 15, 1965 A 8,560 June 15, 1967-72...21/2 1,290 Nov. 15, 1998 3Vi 4,432 May 13, 1965.... 1,000 Feb. 15, 1966 3% 3,260 Sept. 15, 1967-72... 21/2 1,952 May 20, 1965.... 1,001 Feb. 15, 1966 3% 4,040 Nov. 15, 1967 35/g 3,604 May 27, 1965 1,000 Apr. 1,1966 UA 675 Dec. 15, 1967-72... 2% 2,720 Convertible bonds May 31, 1965 1,000 May 15, 1966 4 9,519 May 15, 1968 3% 2,460 Investment Series B June 3,1965 1,000 Aug. 15, 1966 4 5,156 Aug. 15, 1968 334 3,747 Apr. 1, 1975-80... 2% 3,002 1 Tax anticipation issue. NOTE.—Direct public issues only. Based on Daily Statement of U.S. Treasury. FEDERALLY SPONSORED AGENCIES, NOVEMBER 30, 1964 Agency, a t n y d p e c o a u n p d o n d a r t a e te of issue, Maturity o ( A f m m d il o o l l i u l o a n n r t s s) Agency, a n ty d p c e o a u n p d o n d a r t a e t e of issue, Maturity o ( A f m m d il o o l l i u l o a n n r t s s) Federal home loan banks Federal intermediate credit banks Notes: Debentures: Mar. 16, 1964 4.05 Jan. 15, 1965 249 Mar. 3, 1964 3.90 Dec. 1, 1964 288 Apr. 15, 1964 4.15 Feb. 15, 1965 435 Apr. 1, 1964 4.05 Jan. 4, 1965 289 May 15, 1964 4.10 Apr. 15, 1965 430 May 4,1964 4% Feb. 1, 1965 290 J O u c n t e . 1 1 5 5 , , 1 1 9 9 6 6 4 4 ....4y8 4 J M un ay e 1 1 7 5 , , 1 1 9 9 6 6 5 5 2 5 5 2 0 5 J J u ul n y e 1 1 , , 1 1 9 9 6 6 4 4 4 4 . . 0 1 5 0 M Ap a r r . . 1 1 , , 1 1 9 9 6 6 5 5 2 25 4 9 8 Aug. 17, 1964 3.95 July 15, 1965 446 Aug. 3,1964 4 May 3, 1965 217 Sept. 15, 1964 4.05 Aug. 16, 1965 552 Sept. 1,1964 3.95 June 1, 1965 204 Oct. 15, 1964 4.05 Sept. 15, 1965 172 Oct. 1,1964 4 July 1, 1965 186 Nov. 16, 1964 4.10 Oct. 15, 1965 400 Nov. 2, 1964 4.05 Aug. 2, 1965 195 Bonds: Federal land banks Sept. 17, 1962 3% Sept. 15, 1965 175 Bonds: J D u e l c y . 1 9 5 , , 1 1 9 9 6 6 3 4 4 4 V y s 8 M Au a g r. . 1 1 5 5 , , 1 1 9 9 6 6 6 6 2 2 6 0 0 0 A Au p g r. . 2 2 0 0 , , 1 1 9 9 6 6 4 4 4V 4 4 A A u p g r. . 2 2 3 0 , , 1 1 9 9 6 6 5 5 2 1 0 5 9 9 June 15, 1964 4V4 Nov. 15, 1966 275 Oct. 20, 1960 4 Oct. 20,1965 160 June 20, 1961 4 Dec. 20, 1965 140 Federal National Mortgage Association— Apr. 3,1961 3% Feb. 21, 1966 150 secondary market operations M Se a p y t. 20 1 , , 1 1 9 9 5 6 8 1 3 4 V 14 4 J M ul a y y 2 2 0 , , 1 1 9 9 6 6 6 6 1 1 0 9 8 3 Discount notes. 152 F M e a b y . 15 1 , , 1 1 9 9 6 5 2 7 4i/ 4 8 F M e a b y . 2 1 2 5 , ,1 1 9 9 6 6 7 7 -72 1 7 8 2 0 Oct. 1,1957 4i/2 Oct. 1,1967-70 75 Debentures: Oct. 22, 1963 41/s Oct. 23, 1967 174 Dec. 11, 1961..... 37/s Dec. 11, 1964 111 Apr. 1, 1959 414 Mar. 20, 1968 111 Dec. 10, 1957 4% June 10, 1965 98 May 1,1963 4 June 20, 1968 186 S D e e p c. t . 1 1 2 0 , , 1 19 9 6 6 0 2 4 33 i/ 4 8 D M e a c r . . 1 12 0 , , 1 1 9 9 6 6 6 6 1 9 0 3 8 A Fe u b g . . 2 2 0, , 1 1 9 9 5 6 9 4 4 4 % V4 A M u a g r. . 2 2 0 0 , ,1 19 9 6 6 9 8 1 1 6 0 0 0 Mar. 10, 1958 35/8 Mar. 11, 1968 87 July 15, 1957 4% July 15,1969 60 Apr. 10, 1959 A% Apr. 10, 1969 88 Oct. 20, 1964 4i Oct. 20, 1969 209 Apr. 11, 1960 4-Y& Apr. 10, 1970 143 Feb. 1,1960 5^ Feb. 20,1970 82 Sept. 12, 1960 41/s Sept.10, 1970 119 Feb. 14, 1958 3> Apr. 1,1970 83 Aug. 23, 1960 4i/s Aug. 10, 1971 64 Jan. 5,1960 5 July 20,1970 85 Sept. 11, 1961 414 Sept.10, 1971 96 May 1,1956 3' May 1,1971 60 D J F u e e n b c e . . 1 1 1 0 2 1 , , , 1 1 1 9 9 9 6 6 6 1 0 1 A 4 5 V 3 i/ 4 / 8 8 J J F u u e n n b e . e 1 1 1 2 0 2 , , , 1 1 1 9 9 9 7 7 7 3 2 2 1 1 1 0 4 0 0 6 0 F S F e e e b b p . . t . 2 2 1 0 0 4 , , , 1 1 1 9 9 9 6 6 5 3 2 6 4 4 3 V i/s * F S F e e e b b p . . t . 2 2 1 0 0 5 , , ,1 1 1 9 9 9 7 7 7 2 3 4 - . 78 1 1 1 4 5 0 8 5 9 Feb. 13, 1962 4% Feb. 10, 1977 198 Tennessee Valley Authority Banks for cooperatives Short-term notes 45 Debentures: June 1,1964 3.90 Dec. 1, 1964 159 Bonds: Aug. 3, 1964 3.90 Feb. 1, 1965 232 Nov. 15, 1960 4.40 Nov. 15, 1985 50 Oct. 1, 1964 4 Apr. 1, 1965 185 July 1, 1961 4% July 1, 1986 50 Nov. 2, 1964 ....4 May 3, 1965 62 Feb. 1,1962 4% Feb. 1, 1987 45 NOTE.—These securities are not guaranteed by the U.S. Govt.; see also NOTE to table at top of following page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

152 CREDIT AGENCIES; SECURITY ISSUES JANUARY 1965 MAJOR BALANCE SHEET ITEMS OF SELECTED FEDERALLY SPONSORED CREDIT AGENCIES (In millions of dollars) Federal home loan banks Federal National Banks Federal Federal Mortgage Assn. for intermediate lar (secondary market cooperatives credit banks banks Assets Liabilities and capital operations) tsna 01 period v m a b A t n e e o d c m r - s e - s I m nv e e n s t t s - p C a o d a n e s s - d i h ts B n a o o n n t d e d s s M po b d e e s e m - i r ts - C s a to p c it k al M l g o ( a A o a g n r ) e t s - D n t e a u ( o b L n r t e e d e ) s n s - c L a o t ( o o i t A v o a p e n ) e s s r- D t e u ( b L re e ) s n- c L o a d ( o u A n i a s n d - n ) t s s D t e u ( b L re e ) s n- M l g o ( a A o a g n r ) e t s - Bo (L n ) ds 1955 1,417 765 62 975 698 516 83 371 110 693 657 1,497 1,191 19S6. 1 228 1 027 62 963 683 607 628 200 457 143 747 705 1,744 1,437 1957 1,265 908 63 825 653 685 1,562 1,315 454 222 932 886 919 1,599 1958 1 298 999 75 714 819 769 1 323 1,100 510 252 1,157 1,116 2,089 1,743 1959 2,134 1,093 103 1,774 589 866 1,967 1,640 622 364 1,391 1,356 2,360 1,986 I960 1,981 1 233 90 1,266 938 989 2,788 2 523 649 407 1,501 1,454 2,564 2,210 1961 2,662 1,153 159 1,571 1,180 1,107 2,770 2,453 697 435 1,650 1,585 2,828 2,431 1962 3,479 1,531 173 2,707 1,214 1,126 2,752 2,422 735 505 1,840 1,727 3,052 2,628 1963—Nov.. 4,290 1,515 96 3,599 978 1,166 2,020 1,792 858 526 2,083 2,027 3,291 2,834 Dec... 4,784 1,906 159 4,363 1,151 1,171 2,000 1,788 840 589 2,099 1,952 3,310 2,834 1964—Jan... 4,414 1,730 101 3,961 944 1,176 1,988 1,786 866 589 2,102 1,964 3,333 2,836 Feb... 4,216 1,622 86 3,631 943 1,182 1,985 1,786 849 589 2,163 25018 3,364 2,886 Mar.. 4,168 1,709 86 3,622 997 1,189 1,984 1,785 815 586 2,238 2,069 3,406 2,886 Apr... 4,444 1,420 72 3,625 957 1,193 1,983 1,781 786 533 2,329 2,157 3,445 2,973 May.. 4,395 1,607 82 3,727 990 .196 1,984 [,698 747 527 2,412 2,246 3,481 2,973 June.. 4,769 ,804 153 4,201 1,153 1,201 1,962 1,698 757 498 2,504 2,315 3,516 2,973 July.. 4,763 1,476 106 4,042 936 1,208 1,940 1,698 782 498 2,561 2,396 3,551 2,973 Aug.. 4,781 1,622 75 4,169 926 1,210 ,936 1,696 787 538 2,561 2,433 3,586 3,102 Sept.. 4,837 1,597 99 4,165 989 1,212 i;926 1,549 809 538 2,516 2,424 3,620 3,102 Oct... 4,797 1,614 94 4,144 978 1,214 1,934 c1.707 924 576 2,377 2,352 3,652 3,169 Nov.. 4,784 1,889 84 4,369 989 1,216 1,930 ljoi 975 638 2,241 2,174 3,680 3,169 NOTE.—Data from Federal Home Loan Bank Board, Federal National bonds held within the FHLB System), and are not guaranteed by the U.S. Mortgage Assn., and Farm Credit Admin. Among the omitted balance Govt.; for a listing of these securities, see preceding page. Loans are sheet items are capital accounts of all agencies, except for stock of home gross of valuation reserves and represent cost for FNMA and unpaid loan banks. Bonds, debentures, and notes are valued at par. They in- principal for other agencies. clude only publicly offered securities (excluding, for the home loan banks, NEW ISSUES OF STATE AND LOCAL GOVERNMENT SECURITIES (In millions of dollars) All issues (new capital and refunding) Issues for new capital Type of issue Type of issuer Total Use of proceeds Period amount deliv- Total g G a o e t b a i n o l l e i n - r s - R n e u v e e- PHAi G l U o o a .S v n . t s . State S di p s a s t e n t a c r d t i i . c a t l Other2 ered 3 Total c E a d ti u o - n b R r a i o d n a g d d e s s i U tie ti s l - * H in o g u s s- V a a e n i t s d e ' r- O p p o t u h s r e e - s r auth. 1958 7,526 5,447 1,778 187 115 1,993 1,371 4,162 7,708 7,441 2,617 1,164 1,412 251 339 1,657 1959 7,697 4,782 2,407 332 176 1,686 2,121 3,890 7,423 7,589 2,318 844 1,985 401 355 1,685 I960 7,292 4,771 2,095 302 125 1,110 1,984 4,198 7,102 7,247 2,405 1,007 1,316 426 201 1,891 1961 8,566 5,724 2,407 315 120 1,928 2,165 4,473 8,301 8,463 2,821 1,167 1,700 385 478 1,913 1962 8,845 5,582 2,681 437 145 1,419 2,600 4,825 8,732 8,568 2,963 1,114 1,668 521 125 2,177 1963 10,538 5,855 4,180 254 249 I 620 3,636 5,281 10,496 9,151 3,029 812 2,344 598 2,369 1963—Sept... 480 333 122 25 94 73 314 712 449 204 33 77 31 103 Oct.... 1,265 679 567 20 143 424 698 581 1,051 232 102 338 9 371 Nov... 754 401 310 43 185 208 362 897 729 278 130 221 2 98 Dec... 495 401 85 9 69 126 299 1,005 416 158 7 136 1 115 1964—Jan.... 1,007 606 230 140 31 215 336 456 428 944 273 42 114 141 60 313 Feb.... 853 663 181 1 8 214 208 431 868 772 242 33 238 30 226 Mar... 867 497 355 15 136 262 469 973 812 251 262 136 11 153 Apr.... 1,266 630 473 141 22 106 558 602 810 1,215 378 59 225 145 407 May... 706 472 214 20 141 167 339 1,214 665 258 40 208 45 151 June... 938 537 258 120 23 71 338 529 696 902 361 42 183 134 181 July... 940 563 367 11 116 338 486 947 904 401 25 167 * 311 Aug... 775 244 519 12 13 511 251 834 756 161 73 439 83 Sept.. . 920 509 260 130 20 101 374 445 896 892 206 50 248 133 254 1 Only bonds sold pursuant to 1949 Housing Act; secured by contract 5 Includes urban redevelopment loans. requiring the Public Housing Administration to make annual contributions to the local authority. NOTE.—The figures in the first column differ from those shown on the 2 Municipalities, counties, townships, school districts. following page, which are based on Bond Buyer data. The principal 3 Excludes U.S. Govt. loans. Based on date of delivery to purchaser difference is in the treatment of U.S. Govt. loans. (and payment to issuer) which occurs after date of sale. Investment Bankers Assn. data; par amounts of long-term issues. * Water, sewer, and other utilities. Based on date of sale unless otherwise indicated. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 SECURITY ISSUES 153 TOTAL NEW ISSUES (In millions of dollars) Gross proceecIs, all issues l Prop a o l s l e c d o r u p s o e r o a f t e n i e s t s u p e r s o c 5 eeds, Noncorporate Corporate New capital Period I Bonds Stock t R ir e e - - Total G U o . v S t . . 2 G a U c g o y . e S v n 3 . t - . U S l a o t n . c a S d a t . e l Other 4 Total Total of P l f i e u c r b l e y - d p v l P a a t r c e i- e ly d fe P r r r e e - d C m o o m n - Total Total m N on e e w y 6 O p p o t u h s r e e - s r m s ri e o t e c i f e n u s t - 1956 22,405 5,517 169 5,446 334 10,939 8,002 4,:125 3,777 636 2,301 10,749 1C,384 9,663 721 364 1957 30,571 9,601 572 76,958 557 12.884 9,957 6 18 3,839 411 2,516 12 661 r,447 11784 663 214 1958 34,443 12,063 2,321 7,449 1,052 1 558 9 653 6, 3,320 571 1,334 11,372 If 907 915 549 1959 31,074 12,322 707 7,681 616 9,748 7,190 3, 557 3,632 531 2,027 9,527 s,392 8,578 814 135 1960 27,541 7,906 1,672 7,230 579 10,154 8 081 4, W6 3,275 409 1,664 9,924 8,758 895 271 1961 35,527 12,253 1,448 8,360 303 13,165 9 4, 700 4,720 450 3,294 12 885 r-,017 10 715 1,302 868 1962 29,956 8,590 1,188 8,558 915 10,705 8,969 4, 440 4,529 422 1,314 10,501 c,747 ?40 1,507 754 1963 31,616 7,213 1,168 10,107 891 12,237 10,872 4, 714 6,158 342 1,022 12,081 1C),553 8,993 1,561 1,528 1963 Oct 2,977 394 174 1,282 10 1,116 992 511 481 34 91 1,101 1,013 912 100 88 Nov .... 2,117 333 200 688 5 891 73? 183 549 54 106 879 819 606 212 61 Dec 2 312 357 483 13 1 459 1 376 Fi?6 751 30 53 1 444 1415 1 316 30 1964 Jan .... 2,482 474 1,006 16 985 863 526 27 95 972 930 845 85 43 Feb 2 022 413 810 89 710 ">79 342 8 80 702 685 162 17 Mar .... 2,121 399 844 73 805 714 361 353 3 87 796 754 677 77 42 Apr 4,930 1,444 1,204 47 2,234 863 383 480 23 1,349 2,215 >,178 2,094 83 37 May 2,267 367 660 85 1,155 1,008 470 537 50 98 1,141 \,069 953 116 72 June 3,056 383 275 900 37 1,461 1,091 468 623 82 289 1,441 1,378 1,292 86 63 July 2,467 387 260 922 29 869 644 234 411 59 166 854 780 653 127 74 Aug .... 4,128 2,449 160 767 23 728 616 183 433 54 58 718 661 570 91 57 Sept .... 2,453 358 952 13 1,130 974 376 598 23 133 1 117 ,035 788 247 82 Oct 2,908 367 510 816 185 1,030 814 181 633 27 189 1,015 951 776 V15 63 1 " Proposed us<JS of net proceeds, major groups of corporate i ssuers Manufacturing C m om is m ce e l r la c n ia e l o u an s d Transportation Public utility Communication a R nd e a f l i n e a s n ta c t i e al Period Retire- Retire- Retire- Retire- Retire- Retire- New ment of New ment of New ment of New ment of New ment of New ment of capital8 secu- capital8 secu- capital8 secu- capital 8 secu- capital8 secu- capital8 securities rities rities rities rities rities 1956 3,336 243 682 51 694 20 ?,474 14 1,384 21 1,815 17 1957 4,104 49 579 29 802 14 ,821 51 1,44 4 1,701 67 1958 3,265 195 867 13 778 38 3,605 138 1,294 118 1,014 47 1959 1,941 70 812 28 942 15 3,189 15 70'1 * 1,801 6 I960 1,997 79 794 30 672 39 ,754 51 1,036 1 2,401 71 1961 3,691 287 1,109 36 651 35 •7,883 106 1,431> 382 2,248 22 1962 2,958 228 803 32 543 16 ,341 444 1,276 11 1,825 23 1963 3,312 190 774 55 873 83 1,935 699 726 356 2,933 144 1963 Oct 240 5 60 4 25 2 201 73 4 4 446 1 Nov 214 8 41 5 83 131 41 13 3 337 4 Dec 515 13 104 8 118 1 198 2 64 * 416 6 1964 jan 149 14 84 1 98 109 26 157 * 332 1 Feb 123 3 60 2 154 6 155 4 83 * 110 1 M!ar 146 17 48 31 174 18 34 1 322 4 186 6 107 91 8 151 19 1,377 * 265 3 206 10 50 127 6 441 53 27 218 1 332 39 50 35 264 4 258 5 439 13 July 149 40 45 90 * 207 16 23 4 266 12 Aug . ...... 164 12 45 1 20 1 138 27 16 15 277 3 Sept 234 36 166 1 49 * 296 38 19 2 271 4 Oct 218 11 100 6 44 1 306 37 82 6 202 2 1 Gross proceeds are derived by multiplying principal amounts or 6 For plant and equipment and working capital. number of units by offering price. 7 Beginning with 1957 this figure differs from that shown on the previ- 2 Includes guaranteed issues. ous page because this one is based on Bond Buyer data. 3 Issues not guaranteed. 8 All issues other than those for retirement of securities. *• Foreign governments, International Bank for Reconstruction and Development, and domestic nonprofit organizations. NOTE.—Securities and Exchange Commission estimates of new issues 5 Estimated gross proceeds less cost of flotation. maturing in more than 1 year sold for cash in the United States. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

154 SECURITY ISSUES JANUARY 1965 NET CHANGE EM OUTSTANDING CORPORATE SECURITIES (In millions of dollars) Derivation of change, all issuers All securities Bonds and notes Common and preferred stocks Period Newissues Retirements Net change New Retire- Net New Retire- Net issues c ments c change e issues ments change I C n O ve S s .1 t. Other" I C n O ve S. s 1 t. Other c I c n o v s e . s 1 t. Otherc 1958 15,091 5,273 9,818 9,661 3,811 5,850 2,360 3,070 519 943 1,841 2,127 1959 13,338 4,845 8,492 7,122 3,049 4,073 2,838 3,378 794 1,002 2,044 2,376 I960 13,485 4,962 8,523 8,072 3,078 4,994 2,688 2,725 855 1,029 1,833 1,696 1961 17,503 6,999 10,503 9,194 4,024 5,170 3,855 4,454 1,171 1,804 2,684 2,650 1962 14,206 6,457 7,750 8,613 3,749 4,864 3,338 2,255 1,140 1,567 2,198 688 1963 15,552 8,711 6,841 10,556 4,979 5,577 3,049 1,948 1,536 2,197 1,513 -249 1963—III 3,342 1,988 1,355 2,159 1,230 929 734 449 393 364 341 85 IV 4,747 2,476 2,272 3,222 1,121 1,201 931 594 392 962 539 -368 1964 I . . 4,254 1,960 2,294 2,149 914 1,235 920 1,185 536 510 384 675 II 5,020 1,795 3,225 2,867 940 1,927 917 1,235 469 385 448 850 Ill 3,871 1,946 1,926 2,158 1,033 1,126 1,009 704 475 438 535 265 Type of issuer Manu- Commercial Transpor- Public Real estate Period facturing and other 2 tation 3 utility cation and financial * & B o n n o d te s s Stocks & B o n n o d te s s Stocks & B o n n o d te s s Stocks & B o n n o d te s s Stocks & B o n n o d te s s Stocks & B o n n o d te s s Stocksc 1958 2,197 -46 406 11 413 -93 2,133 1,027 494 1,070 206 1,199 1959 316 442 217 162 332 2 1,738 1,028 475 445 994 2,342 I960 399 462 261 -46 173 -42 1,689 635 901 356 1,572 2,164 1961 2,012 415 516 -447 71 -7 1,648 704 149 1,457 775 3,212 1962 1,355 -242 294 -201 -85 -25 1,295 479 1,172 357 833 2,517 1963 1,804 -664 339 -352 316 -19 876 245 438 447 1,806 1,607 1963 III 378 -54 17 -17 -95 27 148 8 82 131 399 330 IV 574 -275 87 -307 180 -15 288 47 61 129 912 592 1964—1 81 -253 61 16 131 -6 156 70 234 811 572 422 II 291 -65 72 -21 51 31 606 156 225 681 681 516 HI 225 28 82 -34 29 -47 290 149 42 92 458 613 1 Open-end and closed-end cos. foreign and include offerings of open-end investment cos., sales of securi- 2 Extractive and commercial and misc. cos. ties held by affiliated cos. or RFC, special offerings to employees, and also 3 Railroad and other transportation cos. new stock issues and cash proceeds connected with conversions of bonds 4 Includes investment cos. into stocks. Retirements include the same types of issues, and also securities retired with internal funds or with proceeds of issues for that purpose NOTE.—Securities and Exchange Commission estimates of cash trans- shown on p. 153. actions only. As contrasted with data shown on p. 153, new issues exclude OPEN-END INVESTMENT COMPANIES (In millions of dollars) Sales and redemption Assets (market value Sales and redemption Assets (market value of own shares at end of period) of own shares at end of period) Year Month Sales1 Redemp- Net Total 2 Cash Other Sales Redemp- Net Total1 Cash Other tions sales position 3 tions sales position 2 1952 783 196 587 3,931 1963—Nov.. 210 123 87 24,774 1,419 23,355 1953 672 239 433 4,146 Dec... 225 132 92 25,214 1,341 23,873 1954 863 400 463 6,110 309 5,801 1964—Jan... 294 183 110 25,854 1,383 24,471 1955 1,207 443 765 7,838 438 7,400 Feb... 219 165 55 26,334 1,380 24,954 1956 1,347 433 914 9,046 492 8,554 Mar.. 263 184 79 26,863 1,403 25,460 1957 1,391 406 984 8,714 523 8,191 Apr... 276 165 111 27,051 1,339 25,712 1958 1,620 511 1,109 13,242 634 12,608 May.. 241 153 88 27,497 1,444 26,053 1959 2,280 786 1,494 15,818 860 14,958 June.. 285 147 138 27,682 1,499 26,183 July... 308 168 140 28,319 1,471 26,848 1960 2,097 842 1,255 17,026 973 16,053 Aug... 260 149 110 28,164 1,457 26,707 1961 2,951 1,160 1,791 22,789 980 21,809 Sept.. 299 149 149 29,130 1,436 27,694 1962 2,699 1,123 1,576 21,271 1,315 19,956 Oct.... 306 142 164 29,087 1,312 27,775 1963 2,460 1,504 952 25,214 1,341 23,873 Nov.. 317 134 184 29,062 1,300 27,762 1 Excludes shares issued to shareholders as capital gains and dividend NOTE.—Investment Co. Institute data based on reports of members, distributions. which comprise substantially all open-end investment cos. registered with 2 Market value at end of period less current liabilities. the Securities and Exchange Commission. Data reflect newly formed s Cash and deposits, receivables, all U.S. Govt. securities, and other cos. after their initial offering of securities. short-term debt securities, less current liabilities. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 BUSINESS FINANCE 155 SALES, PROFITS, AND DIVIDENDS OF LARGE CORPORATIONS (In millions of dollars) 1963 1964 Industry 1959 1960 1961 1962 1963 I n in rv I II III Manufacturing Total (177 corps.): Sales 119,172123,911123,669136,545147,384 34,917 37,922 35,381 39,173 38,326 40,784 37,667 14,172 13,543 13,268 15,330 17,388 4,012 4,759 3,730 4,887 4 781 5,333 4,080 7,482 7,161 7,167 8,215 9,135 2,099 2,453 2,007 2,576 2,603 2,898 2,318 4,360 4,485 4,730 5,048 5,441 1 169 1 320 1 183 1 768 1 285 1 448 1 322 Nondurable goods industries (78 corps.):1 Sales 45,543 47,372 49,362 52,245 55,142 13,239 13,869 13,984 14,050 14,220 14,823 14,882 Profits before taxes 5,651 5,579 5,602 5,896 6,395 1,512 1,613 1,613 1,658 1,643 1,752 1,743 3,212 3,215 3,225 3,403 3,659 867 897 934 961 r992 1 028 1,037 Dividends 1,910 1,948 2,031 2,150 2,265 537 537 542 649 561 569 582 Durable goods industries (99 corps.):2 Sales 73,628 76,540 74,307 84,300 92,243 21,671 24,053 21,395 25,123 24,106 25,961 22,785 8,521 7,964 7,666 9,434 10,993 2,500 3,145 2,118 3,230 3,138 3,581 2,338 4,270 3,946 3,942 4,812 5,476 1,231 1 556 1 073 1 615 1 611 1 871 1,281 Dividends 2,450 2,536 2,699 2,898 3,176 632 783 641 1 119 724 879 741 Selected industries: Foods and kindred products (25 corps.): Sales 11,644 12,202 12,951 13,457 14,164 3,360 3,581 3,621 3,603 3,598 3,721 3,831 1,300 1,342 1,440 1,460 1,533 337 387 404 404 345 401 422 Profits after taxes 618 639 682 698 740 164 184 195 197 173 202 214 Dividends 349 372 397 425 448 109 111 111 118 117 119 118 Chemicals and allied products (20 corps.): Sales 11,740 12,205 12,606 13,759 14,621 3,448 3,728 3,705 3,740 3,791 4,114 4,067 Profits before taxes 2,164 2,005 1,979 2,162 2,337 544 616 584 593 636 682 657 Profits after taxes 1,120 1,058 1,034 1,126 1,213 281 316 305 310 347 366 353 Dividends 791 786 833 868 904 202 202 201 299 207 209 212 Petroleum refining (16 corps.): Sales 13,372 13,815 14,483 15,106 15,995 3,959 3,937 4,068 4,032 4,132 4,111 4,122 1,187 1,267 1,237 1,319 1,495 390 343 381 381 400 361 367 Profits after taxes 969 1,026 1,025 1,099 1,184 304 265 312 303 336 298 312 518 521 528 566 608 151 149 154 154 158 159 168 Primary metals and products (34 corps.): Sales 20,940 20,828 20,234 21,260 22,146 5,123 6,114 5,470 5,439 5,540 6,046 6,047 Profits before taxes 2,322 2,214 1,999 1,838 2,183 430 711 467 574 560 674 611 1,218 1,169 1,067 1,013 1,186 231 372 252 332 315 384 352 829 838 843 820 732 180 181 181 190 186 187 187 Machinery (24 corps.): Sales 16,983 16,681 17,446 19,057 21,041 4,923 5,286 5,286 5,547 5 401 5,673 5,573 1,904 1,509 1,701 1,924 2,368 528 587 585 668 673 702 688 941 768 859 966 1,151 258 285 289 319 338 357 349 Dividends 456 494 508 531 578 140 143 141 154 157 170 170 Automobiles and equipment (14 corps.): Sales - 23,262 26,275 23,314 29,156 33,236 7,987 8,755 6,564 9,930 9,275 10,028 7,137 3,012 3,197 2,786 4,337 5,011 1,268 1 473 677 1,593 1,573 1,775 593 1,491 1,534 1,404 2,143 2,393 600 706 333 753 782 900 340 812 837 973 1,151 1,447 217 362 220 648 276 419 277 Public Utility Railroad: 9,825 9,514 9,189 9,440 9,560 2,239 2,474 2,399 2,447 2,362 2,481 2,846 845 648 625 729 816 116 252 197 252 188 '245 Profits after taxes 578 445 382 572 651 82 189 156 225 144 196 406 385 359 367 383 89 103 66 125 110 101 Electric power: 11,129 11,906 12,478 13,489 14,177 3,819 3,371 3,458 3,529 3,961 3,572 3,687 Profits before taxes. 2,983 3,163 3,349 3,583 3,741 1,100 848 930 862 1,106 893 998 Profits after taxes 1,655 1,793 1,883 2,062 2,185 626 498 529 532 660 542 583 Dividends . 1,219 1,307 1,374 1,462 1,548 392 378 384 394 424 412 426 Telephone: 7,572 8,111 8,615 9,196 9,796 2,365 2,440 2,465 2,526 2,543 2,619 2,654 Profits before taxes .... «... 2,153 2,326 2,478 2,639 2,815 672 711 725 707 726 796 773 1,073 1,155 1,233 1,327 1,417 336 357 368 356 377 408 402 Dividends 743 806 867 935 988 225 255 252 256 261 262 268 » Includes 17 cos. in groups not shown separately. Telephone. Data obtained from Federal Communications Commis- 2 Includes 27 cos. in groups not shown separately. sion on revenues and profits for telephone operations of the Bell System Consolidated (including the 20 operating subsidiaries and the Long NOTE.—Manufacturing corps. Data are obtained primarily from Lines and General departments of American Telephone and Telegraph published co. reports. Co.) and for 2 affiliated telephone cos. Dividends are for the 20 operat- Railroads. Interstate Commerce Commission data for Class I line- ing subsidiaries and the 2 affiliates. haul railroads. All series. Profits before taxes are income after all charges and before Electric power. Federal Power Commission data for Class A and B Federal income taxes and dividends. For description of series see electric utilities, except that quarterly figures on operating revenue and June 1949 BULL., pp. 662-66 (manufacturing); Mar. 1942 BULL. pp. profits before taxes are partly estimated by the Federal Reserve to include 215-17 (public utilities); and Sept. 1944 BULL., p. 908 (electric power). affiliated nonelectric operations. Back data available from the Division of Research and Statistics. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

156 BUSINESS FINANCE JANUARY 1965 CORPORATE PROFITS, TAXES, AND DIVIDENDS (In billions of dollars) Corporate Corporate Year P b t r e a o f x o f e i r t s e s c ta o I x n m e - s e P t a r a f o x t f e e i r t s s d C d e i a n v s d i h - s t U r p i r b n o u d f t i i t e s s d - co c a n a l t l s i p o o u i w n t m a - l p- Quarter P b t r e a o f x o f e i r t s e s c ta o I x n m e - s e P t a r a f o x t f e e i r t s s d C d e i a n v s d i h - s t U r p i r b n o u d f t i i e t s s d - co c a n a t l s l i p o o u i w n t m a - l pances 1 ances i 1956 44.7 21.2 23.5 12.1 11.3 20.0 1963—1 48.9 23.4 25.5 17.2 8.3 31.3 1957 43.2 20.9 22.3 12.6 9.7 21.8 II 51.1 24.5 26.6 17.7 8.9 31.6 1958 37.4 18.6 18.8 12.4 6.4 22.7 III.... 51.3 24.5 26.7 17.9 8.9 32.1 1959........ 47.7 23.2 24.5 13.7 10.8 24.3 IV.... 54.3 26.0 28.3 19.1 9.2 32.4 I960........ 44.3 22.3 22.0 14.5 7.5 25.6 1964—1 56.6 25.4 31.2 19.4 11.8 33.0 1961 44.2 22.3 21.9 15.2 6.7 26.9 II.... 57.9 26.0 "31.9 19.8 12.1 33.4 1962 48.2 23.2 25.0 16.5 8.5 30.5 III.... 58.0 26.0 32.0 20.0 12.0 33.8 1963 51,3 24.6 26.7 18.0 8.7 31.8 1 Includes depreciation, capital outlays charged to current accounts, and NOTE.—Dept. of Commerce estimates, Quarterly data are at seasonally accidental damages. adjusted annual rates. CURRENT ASSETS AND LIABILITIES OF CORPORATIONS (In billions of dollars) Current assets Current liabilities Net Notes and accts. Notes and accts. End of period working U.S. receivable payable Accrued capital Total Cash s G ec o u v r t i . - I t n o v ri e e n s - Other Total F in e c d o e m ra e l Other ties U.S. Other U.S. Other taxes Govt.i Govt.1 1956 107.4 237.9 34.8 19.1 2.6 95.1 80.4 5.9 130.5 2.4 81.5 17.6 29.0 1957 111.6 244.7 34.9 18.6 2.8 99.4 82.2 6.7 133.1 2,3 84.3 15.4 31.1 1958 118.7 255.3 37.4 18.8 2.8 106.9 81.9 7.5 136.6 1.7 88.7 12.9 33.3 1959 124.2 277.3 36.3 22.8 2.9 117.7 88.4 9.1 153.1 1.7 99.3 15.0 37.0 1960. 128.6 289.0 37.2 20.1 3.1 126.1 91.8 10.6 160.4 1.8 105.0 13.5 40.1 1961 135.6 306.8 41.1 20.0 3.4 135.8 95.2 11.4 171.2 1.8 112.8 14.1 42.5 1962 142.8 326.7 42.9 20.2 3.7 146.7 100.9 12.4 184.0 2.0 121.2 15.0 45.7 1963 m 148 8 ^42.9 40 8 19.7 3.4 158.1 105.8 15.2 194.1 2.5 128.1 15.3 48.3 IV. 151.2 349.9 44.5 20.6 3.6 159.7 107.3 14.3 198.8 2.5 131.8 16.3 48.2 1964—1 154.7 350.6 40.6 21.4 3.3 161.3 108.6 15.5 195.9 2.6 128.9 15.6 48.8 II 157.1 356.7 42.5 20.2 3.0 165.6 109.6 15.9 199.6 2.6 131.7 15.2 50.1 Ill ... 159.4 364.3 43.1 19.1 3.2 171.6 111.2 16.1 204.9 2.7 135.0 16.0 51.2 * Receivables from, and payables to, the U.S. Govt. exclude amounts NOTE.—Securities and Exchange Commission estimates; exclude; offset against each other on corps', books. banks, savings and loan assns., and insurance cos. BUSINESS EXPENDITURES ON NEW PLANT AND EQUIPMENT (In billions of dollars) Manufacturing Transportation Total Period Total Durable d N ur o a n b - le Mining Railroad Other u P t u il b it l i i e c s n C i o c m ati m on u s - Other i a ( r n S a n . t u e A ) al 1956 35.08 7.62 7.33 1.24 1.23 1.71 4.90 2.68 8.36 1957 36.96 8.02 7.94 1.24 1.40 1.77 6.20 3.03 7.37 1958 30.53 5.47 5.96 .94 .75 1.50 6.09 2.62 7.20 1959 32 54 5 77 6 29 99 .92 2.02 5.67 2 67 8 21 I960 35 68 7 18 7 30 99 1 03 1 94 5 68 3 13 8 44 1961 34.37 6.27 7 40 98 .67 1.85 5 52 3.22 8.46 1962 37.31 7.03 7.65 1.08 .85 2.07 5.48 3.63 9.52 1963 39 22 7 85 7 84 1 04 1 10 1 92 5 65 3 79 10 0^ 19642 .. 44 66 9 35 9 16 1 18 1 46 2 31 6 14 1506 1963—-II 9.74 1.96 1.95 ,26 .28 .54 1.40 .95 2.41 38.05 ni 10.14 1.96 1.99 .27 .29 .45 1.60 .93 2.64 40.00 IV 11.09 2.31 2.25 .28 .33 .54 1.61 1.06 2.72 41.20 1964—1 9.40 1.93 1.87 .26 .32 .51 1.18 .97 2.37 42.55 II 11.11 2.30 2.23 .29 .36 .63 1.58 1.10 2.61 43.50 HI 11.54 2.37 2.30 .30 .37 .59 .71 1.06 2.84 45.65 IV2 12.60 2.75 2.76 .32 .41 .57 1.68 4 11 46.70 1965—12 10.58 2.19 2.24 .29 .38 .53 1.27 3 68 47.90 1 Includes trade, service, finance, and construction. NOTE.—Dept. of Commerce and Securities and Exchange Commission 2 Anticipated by business. estimates for corp. and noncorp. business, excluding agriculture. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 REAL ESTATE CREDIT 157 MORTGAGE DEBT OUTSTANDING (In billions of dollars) All properties Farm Nonfarm Other Multifamily and Mortgage holders 2 1- to 4-family houses commercial properties 4 type 5 E p n er d i o o d f h d A o e l r l- l s tu F i t i n c i n o i s a a t n i l n - s - l a U c g i . e e S n s . - v o I i a t d n h n u d e d a i r - l s s h d A o e l r l l - s tu F i t i n c i n i o s a a t n i l n - s - ! h O ol t d h e e r r s 3 h d A o er l l- l s Total t F u i i n t n i s o a ti n n - s . O h d t o e h l r e - s r Total t F u in i t n i s o a ti n n - s . O d h t o e h r l e - s r w u F V n r H i d A t A t e e - r - n - t C i v o e o n n n a - - l 1941 37.6 20.7 4.7 12.2 6.4 1.5 4.9 31.2 18.4 11.2 7.2 12.9 8.1 4.8 3.0 28.2 1945 35.5 21.0 2.4 12.1 4.8 1.3 3.4 30.8 18.6 12.2 6.4 12.2 7.4 4.7 4.3 26.5 1957 156.5 119.7 7.4 29.3 10.4 4.0 6.4 146.1 107.6 89.9 17.7 38.5 25.8 12.7 51.6 94.5 1958 171.8 131.5 7.8 32.5 11.1 4.2 6.9 160.7 117.7 98.5 19.2 43.0 28.8 14.2 55.2 105.5 1959 190.8 145.5 10.0 35.4 12.1 4.5 7.6 178.7 130.9 109.2 21.6 47.9 31.8 16.1 59.2 119.4 1960 206.8 157.6 11.2 38.0 12.8 4.7 8.2 194.0 141.3 117.9 23.4 52.7 35.0 17.7 62.3 131.7 1961.. 226.3 172.6 11.8 41.9 13.9 5.0 8.9 212.4 153.1 128.2 24.9 59.3 39.4 19.9 65.5 146.9 19622> 251.6 192.5 12.2 47.0 15.2 5.5 9.7 236.4 166.5 140.4 26.0 69.9 46.6 23.4 69.2 167.2 1963*> 280.9 216.9 11.2 52.9 16.8 6.2 10.6 264.2 182.2 156.0 26.2 82.0 54.8 27.2 73.0 191.1 1962—12\ .. 231.1 176.0 12.1 42.9 14.2 5.1 9.1 216.8 155.3 130.0 25.3 61.5 40.9 20.6 66.4 150.4 II2\. 237.8 181.5 12.1 44.3 14.7 5.3 9.4 223.1 159.1 133.7 25.5 64.0 42.6 21.5 67.2 156.0 IIIP.. 244.5 186.8 12.1 45.6 14.9 5.4 9.6 229.6 162.9 137.1 25.8 66.7 44.3 22.3 68.1 161.5 IV*\. 251.6 192.5 12.2 47.0 15.2 5.5 9.7 236.4 166.5 140.4 26.0 69.9 46.6 23.4 69.2 167.2 1963—12'... 257.1 197.2 11.8 48.1 15.5 5.6 9.9 241.6 169.2 143.3 25.9 72.4 48.3 24.1 70.1 171.5 II*.. 265.1 204.1 11.2 49.9 16.1 5.9 10.2 249.0 173.7 147.9 25.8 75.3 50.3 25.0 70.9 178.1 HI*.. 273.1 210.6 11.1 51.4 16.5 6.1 10.5 256.5 178.2 152.2 26.0 78.3 52.3 26.0 71.7 184.8 IV2\. 280.9 216.9 11.2 52.9 16.8 6.2 10.6 264.2 182.2 156.0 26.2 82.0 54.8 27.2 73.0 191.1 1964—12\.. 287.0 221.8 It.2 54.0 17.3 6.4 10.9 269.7 185.2 158.9 26.3 84.5 56.5 28.0 73.8 195.8 II2\. 295.1 228.3 11.2 55.6 18.0 6.7 11.3 277.1 189.6 163.1 26.5 87.5 58.5 29.0 74.5 202.6 III^.. 303.1 234.7 11.3 57.1 18.5 6.9 11.6 284.6 194.0 167.2 26.8 90.6 60.6 30.0 75.6 209.0 1 Commercial banks (including nondeposit trust cos. but not trust savings and loan assns. depts.), mutual savings banks, life insurance cos., and savings and loan 5 Data by type of mortgage on nonfarm 1- to 4-family properties alone assns. are shown on second page following. 2 U.S. agencies are FNMA, FHA, VA, PHA, Farmers Home Admin., and Federal land banks, and in earlier years, RFC, HOLC, and FFMC. NOTE.—Based on data from Federal Deposit Insurance Corp., Federal Other U.S. agencies (amounts small or current separate data not readily Home Loan Bank Board, Institute of Life Insurance, Depts of Agriculavailable) included with "individuals and others." ture and Commerce, Federal National Mortgage Assn., Federal Housing 3 Derived figures; includes debt held by Federal land banks and farm Admin., Public Housing Admin., Veterans Admin., and Comptroller debt held by Farmers Home Admin. of the Currency. 4 Derived figures; includes small amounts of farm loans held by Figures for first 3 quarters of each year are F.R. estimates. MORTGAGE LOANS HELD BY BANKS (In millions of dollars) Commercial bank holdings * Mutual savings bank holdings 2 Residential Residential End of period Other Other Total Total FH in A - - g V u A ar - - C ve o n n - - f n a o r n m - Farm Total Total FH in A - - g V u A ar - - C ve o n n - - f n a o r n m - Farm sured anteed tional sured anteed tional 1941 4,906 3,292 1,048 566 4.812 3,884 900 28 1945 4 772 3 395 856 521 4 208 3 387 797 24 1957 23,337 17 147 4 823 3 589 8 735 4 823 1,367 21,169 19 010 4 669 7 790 6 551 2,102 57 1958 25,523 18,591 5,476 3,335 9,780 5,461 1,471 23,263 20,935 5,501 8.360 7,073 2,275 53 1959 28,145 20 320 6 122 3 161 11 037 6 237 1,588 24,992 22,486 6 276 8 589 7,622 2,451 55 1960 28,806 20,362 5,851 2,859 11,652 6,796 1,648 26,935 24,306 7,074 8,986 8,246 2,575 54 1961 30,442 21,225 5,975 2,627 12,623 7,470 1,747 29,145 26,341 8,045 9,267 9,028 2,753 51 1962 34,476 23 482 6 520 2 654 14 308 8'972 2,022 32,320 29,181 9 238 9 787 10,156 3,088 51 1963 39,414 26,476 7,105 2,862 16,509 10,611 2,327 36,224 32,718 10,684 10,490 11,544 3,454 52 1962—1 30,844 21,211 6,003 2,547 12,661 7,817 1,816 29,833 26,940 8 340 9,392 9,208 2,842 51 II 32,194 22,048 6,195 2,593 13,260 8,219 1,927 30,638 27,632 8,662 9,502 9,469 2,954 51 Ill 33,430 22,824 6,376 2,617 13,831 8,628 1,978 31,484 28,464 8,984 9,633 9,847 2,968 52 IV 34,476 23,482 6,520 2,654 14,308 8,972 2,022 32,320 29,181 9,238 9,787 10,156 3,088 51 1963—I . . .. 35,243 23,846 6,627 2,651 14,568 9,270 2,127 33,368 30,143 9,724 10,046 10,373 3,174 51 II 36,939 24,958 6,861 2 837 15,260 9 740 2,241 34,309 30,969 10,023 10,218 10,728 3,290 50 Ill 38,360 25,855 7,007 2,870 15,978 10,203 2,302 35,191 31,775 10,328 10,335 11,112 3,365 51 IV 39,414 26,476 7,105 2,862 16,509 10,611 2,327 36,224 32,718 10,684 10,490 11,544 3,454 52 1964 I2> . 40,200 26,894 7,110 2,824 16,960 10,894 2,412 37,155 33,506 11,004 10,639 11,863 3,597 52 H2> 41,648 27,750 7,158 2,793 17,799 11,340 2,558 38,199 34,407 11,376 10,826 12,205 3,740 52 IIIP 42,948 39,381 1 Includes loans held by nondeposit trust cos., but not bank trust depts. and possessions. First and third quarters, estimates based on FDIC data 2 Data for 1941 and 1945, except for totals, are special F.R. estimates. for insured banks for 1962 and part of 1963 and on special F.R. interpolations thereafter. For earlier years, the basis for first and third quarter NOTE.—Second and fourth quarters, Federal Deposit Insurance Corp. estimates included F.R. commercial bank call data and data from the series for all commercial and mutual savings banks in the United States National Assn. of Mutual Savings Banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

158 REAL ESTATE CREDIT JANUARY 1965 MORTGAGE ACTIVITY OF LIFE INSURANCE COMPANIES (In millions of dollars) Loans acquired Loans outstanding (end of period) Nonfarm Nonfarm Period Total Total FHA- g V u A ar - - Other i Farm * Total Total FHA- g V u A ar - - Other Farm insured anteed insured anteed 1941 6,442 5 529 815 4 714 913 1945 976 6,636 5,860 1,394 4,466 776 1957 5,230 4,823 653 831 3,339 407 35,236 32,652 6,751 7,721 18,180 2,584 1958 5 277 4 839 1,301 195 3,343 438 37,062 34,395 7,443 7,433 19,519 2,667 1959 5,970 5,472 1,549 201 3,722 498 39,197 36,370 8,273 7,086 21,011 2,827 1960 6,086 5,622 1,401 291 3,930 464 41,771 38,789 9,032 6,901 22,856 2,982 1961 6,785 6,233 1,388 220 4,625 552 44,203 41,033 9,665 6,553 24,815 3,170 1962 7 478 6 859 1,355 469 5,035 619 46,902 43,502 10,176 6,395 26,931 3,400 1963 9,172 8,306 1,605 678 6,023 866 50,544 46,752 10,756 6,401 29,595 3,792 1963—Oct.r 808 754 150 53 551 54 49,570 45,832 10,660 6,392 28,780 3,738 Nov 680 622 126 54 442 58 49,813 46,057 10,711 6,395 28,951 3,756 Dec .... 1,236 1,148 172 69 907 88 50,543 46,753 10,790 6,411 29,552 3,790 1964—Jan. 745 638 141 61 436 107 50,828 47,010 10,857 6,418 29,735 3,818 Feb 705 615 140 54 421 90 51,126 47,271 10,923 6,423 29,925 3,855 Mar 800 673 143 53 477 127 51,441 47,523 10,982 6,420 30,121 3,918 Apr . . 808 706 133 58 515 102 51,806 47,824 11,032 6,425 30,367 3,982 May 737 652 127 60 465 85 52,117 48,085 11,076 6,433 30,576 4,032 June 863 778 152 51 575 85 52,466 48,384 11,116 6,422 30,846 4,082 July 861 785 151 56 578 76 52,832 48,709 11,165 6,413 31,131 4,123 Aug 805 739 155 56 528 66 53,173 49,014 11,227 6,410 31,377 4,159 Sept 875 810 161 57 592 65 53,560 49,367 11,296 6,404 31,667 4,193 Oct 904 836 165 60 611 68 53,984 49,756 11,376 6,403 31,977 4,228 1 Certain mortgage loans secured by land on which oil drilling or monthly figures may not add to annual totals and for loans outstanding, extracting operations in process were classified with farm through June the end-of-Dec. figures may differ from end-of-year figures, because 1959 and with "other" nonfarm thereafter. These loans totaled $38 monthly figures represent book value of ledger assets whereas year-end million on July 31, 1959. figures represent annual statement asset values, and because data for yearend adjustments are more complete. NOTE.—Institute of Life Insurance data. For loans acquired, the MORTGAGE ACTIVITY OF SAVINGS AND LOAN ASSOCIATIONS NONFARM MORTGAGE RECORDINGS OF $20,000 OR LESS (In millions of dollars) (In millions of dollars) Loans made Loans outstanding (end of period) Total l By type of lender (N.S.A.) Period Total i s N c t t i r o o e u n w n c - - H c p h o u a m r s - e e Total 2 F su H in re A - d - a g n V u t A e a e r - - d ti C v o e n o n n a - l - 2 Period S.A. 2 N.S.A. i a n l S s o g s a a s n v n s - & . p I c a a n o n n s m c u ie e r - s - b C m a c o i n e a m r k l - s - M b i s a u n a n t g v u k s - a s l 1941 1,379 437 581 4,578 1941 4,732 1,490 404 1,165 218 1945 1,913 181 1,358 5,376 1945 5,650 2,017 250 1,097 217 1957 10,160 3,484 4,591 40,007 1,643 7,011 31,353 1957 .. . 24,244 9,217 1,472 4,264 1,429 1958 12,182 4,050 5,172 45,627 2,206 7,077 36,344 1958 27,388 10,516 1,460 5,204 1,640 1959 15,151 5,201 6,613 53,141 2,995 7,186 42,960 1959 32,235 13,094 1,523 5,832 1,780 1960 14,304 4,678 6,132 60,070 3,524 7,222 49,324 I960 29,341 12,158 1,318 4,520 1,557 1961 17,364 5,081 7,207 68,834 4,167 7,152 57,515 1961 31,157 13,662 1,160 4,997 1,741 1962 20,754 5,979 8,524 78,770 4,476 7,010 67,284 1962 34,187 15,144 1,212 5,851 1,957 1963 24,734 7,038 9,920 90,849 4,685 6,960 79,204 1963 36,925 16,716 1,339 6,354 2,061 1963 1963 Nov 1,856 502 757 89,857 4,683 6,980 78,194 July 3,183 3,515 1.606 127 595 218 Dec 2,118 620 776 90,849 4,685 6,960 79,204 Aug 3,213 3,525 1,611 123 612 212 Sept 3,189 3,177 1,442 116 546 190 1964 Oct 3,134 3,534 1,594 125 616 206 Nov 3,149 2,880 1,271 103 495 184 Jan 1,716 434 696 91,453 4,705 6,931 79,817 Dec 3,059 2,987 1,322 110 504 166 Feb 1,712 474 674 92,163 4,705 6,902 80,556 Mar 2,071 621 784 93,069 4,710 6,879 81,480 1964 2,081 579 831 93,978 4,714 6,855 82,409 U&y'.'.'.V.'.'. 2,145 597 881 94,971 4,723 6,821 83,427 Jan 3,081 2,758 1,170 103 483 145 June 2,394 624 1,054 96,067 4,737 6,790 84,540 Feb 3,029 2,575 1,128 90 465 129 July 2,363 635 1,037 97,111 4,752 6,770 85,589 Mar 3,034 2,935 1,290 102 540 140 Aug 2,164 537 1,025 98,059 4,761 6,743 86,555 Apr 3,008 3,089 1,350 109 567 154 Sept 2,048 498 970 98,895 4,785 6,722 87,388 May 3,096 3,090 1,349 116 560 176 Oct 2,051 531 893 99,731 4,802 6,700 88,229 June 3,143 3,388 1,485 126 607 197 NOV.P 1,789 463 772100,398 4,862 6,674 88,862 July 3,519 1,508 137 618 233 1 Includes loans for repairs, additions and alterations, refinancing, etc., 1 Includes amounts for other lenders, not shown separately. not shown separately. 2 Three-month moving average, seasonally adjusted by Federal Re- 2 Beginning with 1958 includes shares pledged against mortgage loans. serve. NOTE.—Federal Home Loan Bank Board data. NOTE.—Federal Home Loan Bank Board data. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 REAL ESTATE CREDIT 159 GOVERNMENT-UNDERWRITTEN RESIDENTIAL LOANS MADE MORTGAGE DEBT OUTSTANDING ON NONFARM 1- to 4-FAMILY PROPERTIES (In millions of dollars) (In billions of dollars) FHA-insured VA-guaranteed Governmentunderwritten Mortgages Prop- Mortgages End of Con- Period Total h N om ew es h i o s E t m i x n - e g s e P c r t o s j - 1 m pr e i e o m r n t v y t - e s - 2 Total 3 h N om ew es h is o E t m i x n - e g s period Total Total s F u i H n re - A d - a g V n u t A a e r e - - d ti v o e n n a - l 1945 18.6 4.3 4.1 .2 14.3 1945 665 257 217 20 171 192 1957 107.6 47.2 16.5 30.7 60.4 1956 3,461 1,133 1,505 130 692 5,868 3,910 1,948 1958 117.7 50.1 19.7 30.4 67.6 1957 3,715 880 1,371 595 869 3,761 2,890 863 1959 130.9 53.8 23.8 30.0 77.0 1958 6,349 1,666 2,885 929 868 1,865 1,311 549 1959 7,694 2,563 3,507 628 997 2,787 2,051 730 1960 141.3 56.4 26.7 29.7 84.8 1961 153.1 59.1 29.5 29.6 93.9 1960 6,293 2,197 2,403 711 982 1,985 1,554 428 1962 166.5 62.0 32.3 29.7 104.5 1961 6,546 1,783 2,982 926 855 1,829 1,170 656 1963*> 182.2 65.5 35.0 30.5 116.7 1962 7,184 1,849 3,421 1,079 834 2,652 1,357 1,292 1963 7,216 1,664 3,905 843 804 3,045 1,272 1,770 1962—III 162.9 61.0 31.5 29.5 101.9 IV 166.5 62.0 32.3 29.7 104.5 1963—Nov. 577 127 317 55 78 258 100 158 Dec. 601 142 345 63 52 255 106 149 1963 \P 169.2 62.8 33.0 29.8 106.4 IIP 173.7 63.5 33.5 30.0 110.2 1964—Jan.. 666 162 381 62 61 268 114 153 Ill* 178.2 64.3 34.3 30.0 113.9 Feb.. 534 126 314 48 46 201 81 120 IV* 182.2 65.5 35.0 30.5 116.7 Mar. 600 126 357 59 58 208 84 124 Apr.. 646 117 367 119 43 206 81 125 1964—\P 185.2 66.3 35.7 30.6 118.9 May. 570 105 352 68 46 192 71 121 IIP 189.6 66.8 36.3 30.5 122.7 June, 711 128 442 67 73 233 76 157 IIIP. .... 194.0 67.9 37.4 30.5 126.2 July. 782 141 476 108 57 251 81 171 Aug. 740 137 468 68 67 246 78 167 Sept. 720 138 467 66 49 270 85 185 NOTE.—For total debt outstanding, figures are Oct.. 790 159 491 81 58 271 93 178 FHLBB and F.R. estimates. For conventional, Nov. 135 422 81 50 258 91 167 figures are derived. Based on data from Federal Home Loan Bank Board, Federal Housing Admin, and Veterans Admin. 1 Monthly figures do not reflect mortgage amendments included in annual totals. 2 Not ordinarily secured by mortgages. 3 Includes a small amount of alteration and repair loans, not shown separately; only such loans in amounts of more than $1,000 need be secured. NOTE.—Federal Housing Admin, and Veterans Admin, data. FHA-insured loans represent gross amount of insurance written; VA-guaranteed loans, gross amounts of loans closed. Figures do not take into account principal repayments on previously insured or guaranteed loans. For VA-guaranteed loans, amounts by type are derived from data on number and average amount of loans closed. FEDERAL NATIONAL MORTGAGE ASSOCIATION ACTIVITY FEDERAL HOME LOAN BANKS (In millions of dollars) (In millions of dollars) Mortgage Mortgage holdings transactions Com- Advances outstanding (during mit- (end of period) End of period) ments Ad- Repay- Members period Total F su H in re A - d - a g n V u t A e a e r - - d Pur- Sales bu d u r i n s s- - ed vances ments Total t S e h rm or t 1 - t L e o rm ng - 2 deposits chases 1945 278 213 195 176 19 46 1956 3,047 978 2,069 609 5 360 1957 3,974 1,237 2,737 1,096 3 764 1956 745 934 1,228 798 430 683 1958 3,901 1,483 2,418 623 482 1,541 1957 1,116 1,079 1,265 731 534 653 1959 5,531 2,546 2,985 1,907 5 568 1958 1,364 1,331 1,298 685 613 819 1959 2,067 1,231 2,134 1,192 942 589 I960 6,159 3,356 2,803 1,248 357 576 1961 6,093 3,490 2,603 815 541 631 I960 1,943 2,097 1,981 1,089 892 938 1962 5,923 3,571 2,353 740 498 355 1961 2,882 2,200 2,662 1,447 1,216 1,180 1963 4,650 3,017 1,634 290 1,114 191 1962 4,111 3,294 3,479 2 005 1 474 1 213 1963 5,601 4,296 4,784 2,863 1,921 1,151 1963 Nov 4,677 3,021 1,656 15 7 196 Dec 4,650 3,017 1,634 24 19 191 1963—Nov . 363 299 4,290 2,611 1,679 978 Dec 754 259 4,784 2,863 1,921 1,151 1964 Jan 4,624 3,006 1.618 21 11 189 Feb 4,613 3,011 ,603 24 4 188 1964 Jan 467 837 4,414 2,653 1,762 944 Mar 4,598 3,016 ,582 27 11 192 Feb 225 424 4,216 2 500 1 716 943 Apr 4,572 3,015 1,557 38 31 204 Mar 339 387 4,168 2,406 1,763 977 May 4,565 3,027 ,538 44 21 202 Apr 573 296 4,444 2,463 1,982 957 June 4,539 3,025 1,514 36 21 199 May 352 401 4,395 2 438 1 957 990 July 4,516 3,033 1,482 41 30 222 June 703 329 4,769 2,674 2,095 1,153 Aug 4,477 3,008 ,469 44 43 230 July. . . 584 590 4,763 2,699 2,064 936 Sept 4,453 2,998 1,455 34 24 245 Aug 369 351 4,781 2,662 2,119 926 Oct . .. 4,440 2,997 1,443 36 14 260 Sept 382 327 4,837 2,635 2,202 989 Nov 4,439 3,011 1,428 40 11 292 Oct 401 441 4,797 2,605 2,192 978 Nov 379 392 4,784 2,572 2,212 789 NOTE.—Federal National Mortgage Assn. data excluding conventional mortgage loans acquired by FNMA from the RFC Mortgage Co., the 1 Secured or unsecured loans maturing in 1 year or less. Defense Homes Corp., the Public Housing Admin., and Community 2 Secured loans, amortized quarterly, having maturities of more than Facilities Admin. 1 year but not more than 10 years. NOTE.—Federal Home Loan Bank Board data. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

160 CONSUMER CREDIT JANUARY 1965 TOTAL CREDIT (In millions of dollars) Instalment Noninstalment End of period Total Total m A pa o u p b t e o il r - e co O g p n o a s t u o p h d m e e r r s er e a r n l R n o d i e a z p m a n a t s o i i r 1 o d n - Pe lo rs a o n n s al Total p S a l i o y n a m g n l e e s n - t a C cc h o a u r n ge ts S c e r r e v d i i c t e 1939 7,222 4,503 1,497 1,620 298 1,088 2,719 787 1,414 518 1941 9,172 6,085 2,458 1,929 376 1,322 3,087 845 1,645 597 1945 5,665 2,462 455 816 182 1,009 3,203 746 1,612 845 1956 42,334 31,720 14,420 8,606 1,905 6,789 10,614 3,253 4,995 2,366 1957 44,970 33,867 15,340 8,844 2,101 7,582 11,103 3,364 5,146 2,593 1958 45,129 33,642 14,152 9,028 2,346 8,116 11,487 3,627 5,060 2,800 1959 51,542 39,245 16,420 10,630 2,809 9,386 12,297 4,129 5,104 3,064 I960 56,028 42,832 17,688 11,525 3,139 10,480 13,196 4,507 5,329 3,360 1961 57,678 43,527 17,223 11,857 3,191 11,256 14,151 5,136 5,324 3,691 1962.. 63,164 48,034 19,540 12,605 3,246 12,643 15,130 5,456 5,684 3,990 1963 69,890 53,745 22,199 13,766 3,389 14,391 16,145 5,959 5,871 4,315 1963—-Nov 67,746 52,695 22,107 13,046 3,407 14,135 15,051 5.894 4,999 4,158 Dec. 69,890 53,745 22,199 13,766 3,389 14,391 16,145 5,959 5,871 4,315 1964—Jan 69,203 53,597 22,189 13,638 3,354 14,416 15,606 5,900 5,339 4,367 Fcb 68,786 53,552 22,271 13,467 3,335 14,479 15,234 5,958 4,805 4,471 Mar 68,913 53,795 22,471 13,451 3,321 14,552 15,118 6,002 4,634 4,482 Apr 69,816 54,382 22,830 13,476 3,328 14,748 15,434 6,048 4,833 4,553 70,945 55,120 23,255 13,599 3,364 14,902 15,825 6,206 5,099 4,520 71,907 55,914 23,702 13,730 3,395 15,087 15,993 6,233 5,238 4,522 July 72,456 56,496 24,024 13,813 3,426 15,233 15,960 6,218 5,240 4,502 Aug 73 069 57,055 24,251 13 923 3 466 15 415 16,014 6,299 5 231 4 484 Sept 73,495 57,446 24,295 14,046 3,493 15,612 16,049 6,354 5,223 4,472 Oct 73,928 57,826 24,423 14,222 3,509 15,672 16,102 6,333 5,352 4,417 Nov 74,371 58,085 24,367 14,431 3,516 15,771 16,286 6,412 5,394 4,480 i Holdings of financial institutions; holdings of retail outlets are in- loans. The estimates include data for Alaska beginning with Jan. 1959 cluded in "other consumer goods paper." (except for instalment credit held by sales finance cos.) and for Hawaii beginning with Aug. 1959. For a description of the series see Apr. 1953 NOTE.—Consumer credit estimates coyer loans to individuals for house- BULL. Back data are available upon request. hold, family, and other personal expenditures, except real estate mortgage INSTALMENT CREDIT (In millions of dollars) Financial institutions Retail outlets End of period Total Total m b C e a o r n m c k ia - s l fi S n c a o a l s n e . s ce u C n r i e o d n i s t fin s C u a m o n n c e - e r * Other i Total D st m e o p r e e a n s r t t 2 - F st t u u o r r r n e e i s - A s a t p o n p r c e l e i s - d m e A a o u l b e t r o il s - e 3 Other 1939 4,503 3,065 1,079 1,197 132 657 1,438 354 439 183 123 339 1941 6 085 4 480 1,726 1,797 198 759 1,605 320 496 206 188 395 1945 2,462 1,776 745 300 102 629 686 131 240 17 28 270 1956 31,720 26,977 11,777 9,117 2,014 2,940 1.129 4,743 1,408 J.187 377 502 ) Off* 1957 33,867 29,200 12,843 9,609 2,429 3,124 ,195 4,668 1,393 ,210 361 478 226 1958 33,642 28,659 12,780 8,844 2,668 3,085 1,282 4,983 1,882 1,128 292 506 *175 1959 39,245 33,570 15,227 10,319 3,280 3,337 11,407 5,676 2,292 ,225 310 481 368 i960 42,832 37,218 16,672 11,472 3,923 3,670 1,481 5,615 2,414 ,107 333 359 402 1961 43,527 37,935 17,008 11,273 4,330 3,799 1,525 5,595 2,421 I 058 293 342 481 1962 48,034 41,782 19,005 12,194 4,902 4,131 1,550 6,252 3,013 ,073 294 345 527 1963 53,745 46,992 21,610 13,523 5,622 4,590 1,647 6,753 3,427 1,086 287 328 ,625 1963—Nov 52,695 46,462 21,486 13,302 5,569 4,461 [,644 6,233 3,172 1,032 282 326 L421 Dec 53,745 46,992 21,610 13,523 5,622 4,590 1,647 6,753 3,427 1*086 287 32S 1,625 1964—Jan 53,597 47,300 21,630 13,840 5,584 4,592 [,654 6,297 3,063 1,065 281 328 1,560 Feb 53,552 47,454 21,799 13,788 5,607 4,595 1,665 6,098 2,949 1,047 278 330 1 494 Mar 53,795 47,653 21,919 13,802 5,668 4,597 1,667 6,142 3,044 1,022 273 334 L469 Apr 54,382 48,191 22,224 13,893 5,776 4,628 1,670 6,191 3,106 I 013 272 340 [ 450 Mav 55,120 48,824 22,559 14,027 5,889 4,657 1,692 6,296 3,182 I 020 271 348 I 475 55,914 49,543 22,907 14,228 6,014 4,701 1,693 6,371 3,231 1,028 271 355 [ 486 July 56,496 50,082 23,176 14,359 6,109 4,748 1,690 6,414 3,267 1,037 273 360 1,477 Aug 57,055 50,583 23,389 14,475 6,204 4,797 1,718 6,472 3,332 1,044 273 363 [ 460 Sept 57,446 50,937 23,527 14,553 6,283 4,845 1,729 6,509 3,371 .048 275 365 1,450 Oct 57,826 51,220 23,663 14,625 6,334 4,870 1,728 6,606 3,444 l',062 276 367 1,457 Nov 58,085 51,341 23,680 14,622 6,378 4,919 1,742 6,744 3,541 1,088 279 357 1,469 1 Consumer finance cos. included with "other" financial institutions 3 Automobile paper only; other instalment credit held by automobile until Sept 1950. dealers is included with "other" retail outlets. 2 Includes mail-order houses. See also NOTE to table above. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 CONSUMER CREDIT 161 INSTALMENT CREDIT HELD BY COMMERCIAL BANKS INSTALMENT CREDIT HELD BY SALES FINANCE COMPANIES (In millions of dollars) (In millions of dollars) Automobile Repair Other Repair End of period Total Pur- pape D r irect s O g p c u o a t o m h p o n e d e e - r r s r e m r t a n i o n o iz d d n a - - l s P o o a e n r n a - s l End of period Total m A pa o u p b t e o il r - e s g p c u o a o m o p n d e e - r s r m iz l o o a a n d a ti n d e o s r n n- s l P o o a e n r n a - s l chased loans 1939 1,197 878 115 148 56 1939 1,079 237 178 166 135 363 1941 1,797 1,363 167 201 66 1941 1,726 447 338 309 161 471 1945 300 164 24 58 54 1945 745 66 143 114 110 312 1956 9,117 7,238 1,277 32 570 1956 11,777 3,651 2,075 2,464 1,469 2,118 1957 9,609 7,393 1,509 31 676 1957 12,843 4,130 2,225 2,557 1,580 2,351 1958 8,844 6,310 1,717 36 781 1958 12,780 4,014 2,170 2,269 1,715 2,612 1959 10,319 7,187 2,114 72 946 1959 15,227 4,827 2,525 2,640 2,039 3,196 1960 11,472 7,528 2,739 139 K066 I960,.. 16,672 5,316 2,820 2,759 2,200 3,577 1961.. 11,273 6,811 3,100 161 1,201 1961 17,008 5,391 2,860 2,761 2,198 3,798 1962 12,194 7,449 3,123 170 1,452 1962 19,005 6,184 3,451 2,824 2,261 4,285 1963 13,523 8,228 3,383 158 1,754 1963 21,610 7,246 4,003 3,123 2,361 4,877 1963—Nov 13,302 8,210 3,233 160 1,699 1963—Nov 21,486 7,218 3,984 3,084 2,373 4,827 Dec 13,523 8,228 3,383 158 1,754 Dec 21,610 7,246 4,003 3,123 2,361 4,877 1964—Jan 13,840 8,220 3,701 156 1,763 1964—Jan 21,630 7.246 4,016 3,134 2,333 4,901 Feb 13,788 8,227 3,635 154 1,772 Feb 21,799 7,275 4,052 3,226 2,316 4,930 Mar 13,802 8,265 3,603 152 1,782 Mar 21,919 7,364 4,102 3,195 2,303 4,955 Apr 13,893 8 371 3,580 151 1,791 Apr 22,224 7,501 4,172 3,185 2,308 5,058 May 14,027 8,489 3,583 149 1,806 May 22,559 7,673 4,255 3,192 2,331 5,108 June 14,228 8,633 3,615 150 1,830 22,907 7,854 4,323 3,205 2,355 5,170 July 14,359 8,741 3,614 149 1,855 July 23,176 7,979 4,371 3,234 2,380 5,212 Au2 14,475 8,799 3,643 149 1,884 Aus 23 389 8 090 4,389 3 244 2,405 5,261 Sept 14 553 8 764 3,706 148 1,935 Sept 23,527 8,143 4,390 3,255 2,422 5,317 Oct 14,625 8 773 3,754 146 .952 Oct 23,663 8,233 4,396 3,273 2,437 5,324 Nov 14,622 8,698 3,804 144 1,976 Nov 23,680 8,242 4,393 3,281 2,438 5,326 See NOTE to first table on previous page. See NOTE to first table on previous page. INSTALMENT CREDIT HELD BY OTHER NONINSTALMENT CREDIT FINANCIAL INSTITUTIONS (In millions of dollars) (In millions of dollars) Single- Other Repair payment Charge accounts Auto- con- and Per- loans End of period Total mobile sumer modern- sonal 1 1 9 9 4 3 1 9 7 9 8 5 9 7 pap 1 e 8 2 r 1 2 g p o a o p d e 2 3 r s 4 6 iz lo a a ti n o 1 1 s n 5 4 loa 6 7 n 6 8 s 9 5 End of period Total b C m c a o i n e a m r k l - s - t O f u i i n c t n t i i s h a a o t n e l i n - r - s s m p t D o a e r e r e n - t- s t 1 o O r u e t t t h l a e e i t l r s c C a r r e d d s i 2 t S c e r r e v d i i c t e 1945 731 54 20 14 643 1956 6,083 954 624 404 4,101 1939 2,719 625 162 236 1,178 518 1957 6,748 1,114 588 490 4,555 1941...... 3,087 693 152 275 1,370 597 1958 7,035 1,152 565 595 4,723 1945 3,203 674 72 290 1,322 845 1959.. 8,024 1,400 681 698 5,244 1956 10,614 2,843 410 893 3,842 260 2,366 I960 9,074 1,665 771 800 5,837 1957 11,103 2,937 427 876 3,953 317 2,593 1961 9,654 1,819 743 832 6,257 1958 11,487 3,156 471 907 3,808 345 2,800 1962 10,583 2,111 751 815 6,906 1959 12,297 3,582 547 958 3,753 393 3,064 1963 11,859 2,394 835 870 7,760 I960 13,196 3,884 623 941 3,952 436 3,360 1963—Nov 11,674 2,369 822 874 7,609 1961 14,151 4,413 723 948 3,907 469 3,691 Dec 11,859 2,394 835 870 7,760 1962 15,130 4,690 766 927 4,252 505 3,990 1963 .... 16,145 5,047 912 895 4,456 520 4,315 1964—Jan 11,830 2,379 834 865 7,752 Feb 11,867 2,387 838 865 7,777 1963—Nov.. 15,051 4,987 907 667 3,817 515 4,158 Mar 11,932 2,406 845 866 7,815 Dec... 16,145 5,047 912 895 4,456 520 4,315 Apr 12,074 2,446 860 869 7,899 May 12,238 2,490 876 884 7,988 1964—Jan... 15,606 4,991 909 782 4,014 543 4,367 June 12,408 2,537 894 890 8,087 Feb... 15,234 5,036 922 655 3,590 560 4,471 July 12,547 2,573 911 897 8,166 Mar.. 15,118 5,076 926 614 3,485 535 4,482 12,719 2,610 927 912 8,270 Apr... 15,434 5,152 896 610 3,667 556 4,553 Sent 12,857 2,633 941 923 8,360 May.. 15,825 5,230 976 626 3,910 563 4,520 Oct 12,932 2,654 956 926 8,396 June.. 15,993 5,313 920 610 4,028 600 4,522 Nov 13,039 2,667 969 934 8,469 July... 15,960 5,329 889 576 4,008 656 4,502 Aug... 16,014 5,335 964 588 3,960 683 4,484 Sept... 16,049 5,361 993 624 3,928 671 4,472 NOTE.—Institutions represented are consumer finance cos., credit Oct.... 16,102 5,361 972 660 4,055 637 4,417 unions, industrial loan cos., mutual savings banks, savings and loan Nov... 16,286 5,377 1,035 703 4,065 626 4,480 assns., and other lending institutions holding consumer instalment loans. See NOTE to first table on previous page. 1 Includes mail-order houses. 2 Service station and misc. credit-card accounts and home-heating oil accounts. See NOTE to first table on previous page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

162 CONSUMER CREDIT JANUARY 1965 INSTALMENT CREDIT EXTENDED AND REPAID, BY TYPE OF CREDIT (In millions of dollars) Total Automobile paper Other consumer Repair and Personal loans goods paper modernization loans Period S.A.1 N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. Extension 1956 39,868 15,515 11,721 1,582 11,051 1957 42,016 16,465 11,807 1,674 12,069 1958 40,119 14,226 11 747 1 871 12,275 1959 48,052 17,779 13,982 2,222 14,070 1960 49,560 17,654 14,470 2,213 15,223 1961 48,396 16,007 14,578 2,068 15,744 1962 55,126 19,796 15,685 2,051 17,594 1963 60,822 22,013 17,007 2,178 19,624 1963—New 4,979 4,981 1,792 1,734 1,517 168 169 1,587 1,561 Dec 5,272 5,974 1,914 1,767 ,523 2,094 172 154 1,663 1,959 1964—Jan 5,276 4,784 1,888 1,689 I 493 1 180 185 141 1 710 1,574 Feb . . 5,421 4,552 1,953 1,686 1,578 ,212 186 142 1,704 1,512 Mar 5,480 5,322 1,942 1,983 1,665 ,488 179 163 1,694 1,688 Apr 5,371 5,578 1,961 2,127 I 544 495 174 178 1 692 1,778 May 5,552 5,584 2,023 2,137 1,589 ,547 187 205 1,753 1,695 June 5,399 5,949 1,962 2,245 1,537 ,632 183 208 1,717 1,864 July 5,541 5,747 1,996 2,166 I 546 ,543 189 208 1 810 1,830 5,529 5,519 2,017 1,984 1,570 ,540 186 210 1,756 1,785 Sent 5,617 5,393 2,024 1,830 1,588 ,592 186 200 1,819 1,771 Oct 5,507 5,552 1,924 1,999 I 582 ,657 180 191 1,821 1,705 Nov 5,456 5,323 1,858 1,727 1,631 ,672 175 175 1,792 1,749 Repayments 1956 37,054 14,555 10,756 1,370 10,373 1957 39,868 15,545 11,569 1 477 11,276 1958 40,344 15,415 11,563 1,626 11,741 1959 42,603 15,579 12,402 1,765 12,857 1960 45,972 16,384 13,574 1,883 14,130 1961. 47,700 16,472 14 246 2 015 14 967 1962 50,620 17,478 14,939 1,996 16,206 1963 55,111 19,354 15,846 2,035 17,876 1963—Nov 4,596 4,543 1,638 1.598 1,324 1.316 167 162 1,467 J.467 Dec 4,812 4,924 1,707 1,675 1,384 ,374 177 172 1,544 1,703 1964—Jan 4,848 4,932 1.684 1,699 1,441 1,508 176 176 1,547 1,549 Feb 4,842 4,597 ,716 1,604 1,395 ,383 171 161 1,560 1,449 Mar 4,956 5,079 1,735 1,783 1,468 ,504 174 177 1,579 I 615 Apr 4,959 4,991 1,759 1,768 1,453 1,470 172 171 1,575 1,582 May 5,059 4,846 1,776 1,712 1,483 ,424 175 169 1,625 1,541 June 5,029 5,155 1,768 1,798 1,486 1,501 170 177 1,605 1,679 July 5,058 5,165 1,781 1,844 1,448 1,460 171 177 1,658 6R4 Aug 5,094 4,960 1,789 1,757 1,496 ,430 172 170 1,637 1,603 Sept 5,104 5,002 1,802 1,786 1,491 1,469 172 173 1,639 1,574 Oct 5,097 5,172 1,788 1,871 1,456 1,481 167 175 1,686 1,645 Nov 5,155 5,064 1,818 1,783 1,509 1,463 174 168 1,654 1,650 Net change of credit outstanding2 1956 2,814 960 965 212 678 1957 2,148 920 238 197 793 1958. -225 -1,189 184 245 534 1959 5 601 2 268 1 602 463 1 269 I960 3 588 1 270 896 330 1 093 1961 696 — 465 332 53 777 1962 4 506 2 318 746 55 1 388 1963 5,711 2,659 1 161 143 1,748 1963—Nov 383 438 154 136 108 201 1 7 120 94 Dec 460 1,050 207 92 139 720 -5 -18 119 256 1964—Jan 428 -148 204 -10 52 -128 9 -35 163 25 Feb 579 -45 237 82 183 -171 15 -19 144 63 JVfar 524 243 207 200 197 -16 5 -14 115 73 Apr 412 587 202 359 91 25 2 7 117 196 May 493 738 247 425 106 123 12 36 128 154 June • • • 370 794 194 447 51 131 13 31 112 185 July 483 582 215 322 98 83 18 31 152 146 Aug 435 559 228 227 74 110 14 40 119 182 Sept 513 391 222 44 97 123 14 27 180 197 Oct 410 380 136 128 126 176 13 16 135 60 Nov 301 259 40 -56 122 209 1 7 138 99 1 Includes adjustments for differences in trading days. sales of instalment paper, and certain other transactions may increase 2 Net changes in credit outstanding equal extensions less repayments the amount of extensions and repayments without affecting the amount except in 1959, when the differences do not reflect the introduction of outstanding. outstanding balances for Alaska and Hawaii. For a description of the series in this and the following table see Jan. 1954 BULL., pp. 9-17. Back data upon request. NOTE.—Estimates are based on accounting records and ofen include financing charges. Renewals and refinancing of loans, purchases and Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 CONSUMER CREDIT 163 INSTALMENT CREDIT EXTENDED AND REPAID, BY HOLDER (In millions of dollars) Total Commercial banks S c a o le m s p f a i n n i a e n s ce Ot i h n e s r t itu fi t n i a o n n c s ial Retail outlets Period S.A.1 N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. S.A.1 N.S.A. Extensions 1956 39 868 14,463 9,619 9,148 6,638 1957. . . 42,016 15 355 10 250 9 915 6 495 1958 40,119 14,860 9,043 9,654 6,563 1959 48,052 17,976 11,196 10,940 7,940 I960 49,560 18,269 11,456 12,073 7,762 1961 48,396 17,711 10,667 12,282 7,736 1962 55,126 20,474 11,999 13,525 9,128 1963 60 822 22 871 12 664 14 894 10 393 1963—Nov 4,979 4,981 1,877 1,766 J.010 1,013 1,198 1,213 874 989 Dec 5,272 5,974 1,963 1,889 ,134 1,192 1,252 1,476 923 1,417 1964—Jan 5,276 4,784 1,928 1,825 1,125 1,020 J.312 1,157 911 782 Feb 5,421 4,552 2,043 1,786 1,187 980 ,283 1,122 908 664 Mar 5,480 5,322 2,006 2,011 1,209 1,166 ,292 J.290 973 855 Apr 5,371 5,578 1,981 2,158 1,160 1,201 ,309 1,347 921 872 May 5,552 5,584 2,075 2,144 1,196 1,194 ,350 ,338 931 908 June 5,399 5,949 2,004 2,247 1,174 1,324 1,321 1,453 900 925 July 5,541 5,747 2,065 2,199 1SR 1,242 ,397 1,426 921 880 Aug 5,529 5,519 2,084 2,063 1,157 1,172 ,355 1,382 933 902 Sept 5,617 5,393 2,104 1,989 1,191 1,142 1,405 1,348 917 914 Oct 5,507 5,552 2,030 2,044 1,156 1,192 1,402 1,319 919 997 Nov 5,456 5,323 2,036 1,873 1,114 1,070 1,370 1,365 936 1,015 Repayments 1956 37,054 13,362 8,949 8 415 6,328 1957 39,868 14,360 9 759 9 250 6,499 1958 40,344 14,647 9,842 9,365 6,490 1959 42,603 15,560 9,742 10,020 7,281 I960 45,972 16,832 10,442 11,022 7,676 1961 47,700 18 294 10 943 11 715 6 749 1962 50,620 18,468 11,434 12,593 8,125 1963 55,111 20,266 12,211 13,618 9,016 1963—Nov . . .. 4,596 4,543 1.734 1.671 983 959 1,116 1,122 763 791 Dec 4,812 4,924 ,802 1,765 1,039 1,066 1,167 1,291 804 802 1964—Jan 4,848 4,932 1,768 1,805 1.076 1,050 1,184 1,186 820 891 Feb 4,842 4,597 1,793 1,703 1,094 1,032 1,173 1,085 782 777 Mar 4,956 5,079 1,843 1,891 1,084 1,152 1,201 1,225 828 811 Apr 4,959 4,991 1,833 1,853 1,097 1,110 1,197 1,205 832 823 M^ay 5 059 4,846 1,876 1,809 1,114 1,060 1,234 1,174 835 803 June 5,029 5,155 1,845 1,899 1,102 1,123 1,223 1,283 859 850 July 5,058 5,165 1,857 1.930 1,097 1,111 1,267 1,287 837 837 Aug 5,094 4,960 1,889 1,850 1,087 1,056 1,237 1,210 881 844 Sept 5,104 5,002 [,860 1,851 1.118 1,097 1,266 1,210 860 844 Oct 5 097 5,172 1,868 1,908 1,071 1,120 1,284 1,244 874 900 Nov 5,155 5,064 .916 1,856 1,103 1,073 1,255 1,258 881 877 Net change in credit outstanding 2 1956 2,814 1,176 670 733 235 1957 2 148 1 066 491 665 — 75 1958 —225 — 63 — 765 289 315 1959 5,601 2,447 1,475 986 693 I960 3 588 1 446 1 152 1 051 — 61 1961 696 '335 — 199 578 — 20 1962 4 506 1 997 921 932 656 1963 5 711 2 605 1 329 1 276 501 1963—Nov 383 438 143 95 108 115 82 91 50 137 Dec 460 1,050 161 124 190 221 85 185 24 520 1964—Jan 428 -148 160 20 396 317 128 -29 -256 -456 Feb 579 -45 336 169 93 -52 110 37 40 -199 Mar 524 243 163 120 125 14 91 65 145 44 Apr 412 587 148 305 63 91 112 142 89 49 May 493 738 199 335 82 134 116 164 96 105 June 370 794 159 348 72 201 98 170 41 75 July 483 582 208 269 61 131 130 139 84 43 Aug 435 559 195 213 70 116 118 172 52 58 Sept 513 391 244 138 106 78 139 138 24 37 Oct 410 380 162 136 85 72 118 75 45 97 Nov 301 259 120 17 11 -3 115 107 55 138 1 Includes adjustment for differences in trading days. months the differences between extensions and repayments for some 2 Net changes in credit outstanding are equal to extensions less repay- particular holders do not equal the changes in their outstanding credit. ments except: (1) in 1959, when the differences do not reflect the intro- Such transfers do not affect total instalment credit extended, repaid, or duction of outstanding balances for Alaska and Hawaii, and (2) in certain outstanding. months when data for extensions and repayments have been adjusted to See also NOTE to previous table. eliminate duplication resulting from large transfers of paper. In those Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

164 INDUSTRIAL PRODUCTION: S.A. JANUARY 1965 MARKET GROUPINGS (1957-59= 100) 1957-59 1963 1963 1964 Grouping p p r o o r - - avertion Nov. Dec. Jan. Feb. Mar. Apr. May June July Aug. Sept.r Oct.r Nov Total index. 100.00 124.3 126.1 127.0 127.7 128.2 129.0 130.5 131.3 131.6 132.9 133.8 134.0 131.4 134.8 Final products, total 47.35 124.9 J27.0 128.0 128.5 128.1 128.7 130.6 131.1 131.7 132.3 133.3 132.5 130.3 134.7 Consumer goods 32.31 125.2 126.9 128.0 128.9 128.8 128.8 130.8 131.0 131.5 132.1 133.1 132.0 129.2 133.7 Equipment, including defense. 15.04 124.2 127.1 128.1 127.9 127.1 128.8 130.7 131.3 132.0 132.7 133.6 133.7 132.6 136.7 Materials 52.65 123.7 125.7 125.9 126.7 128.1 129.3 130.6 131.3 131.8 133.6 134.7 135.6 132.1 135.4 Consumer goods Automotive products 3.21 141.2 145.8 146.1 146.6 145.5 144.3 149.3 151.4 151.7 152.6 155.8 144.7 105.9 143.0 Autos 1.82 149.5 155.1 155.6 155.3 156.5 152.5 160.0 160.3 161.7 162.6 165.0 146.0 83.0 145.1 Auto parts and allied products.. 1.39 130.2 133.6 133.5 135.2 131.1 133.4 135.2 139.6 138.4 139.3 143.8 143.0 136.1 140.2 Home goods and apparel 10.00 123.1 126.1 126.6 127.0 128.3 126.8 128.9 129.5 130.0 131.2 131.9 131.9 733.9 136.7 Home goods 4.59 129.6 133.3 134.2 134.8 137.3 136.4 137.7 136.9 137.8 139.7 140.1 139.8 142 A 147.0 Appliances, TV, and radios 1.81 125.1 128.5 128.5 127.5 131.3 128.7 130.7 129.7 131.0 131.1 133.3 136.8 139.0 143.7 Appliances 1.33 130.6 134.0 133.0 130.7 135.3 132.9 134.7 139.4 136.9 136.6 140.0 143.9 146.1 150.3 TV and home radios .47 109.5 113.1 115.6 118.6 120.3 116.9 119.5 102.4 114.3 115.5 114.5 116.7 119.1 125.1 Furniture and rugs 1.26 131.3 134.5 135.4 136.1 138.1 139.0 139.7 141.0 141.9 144.7 144.2 141.0 145.5 148.4 Miscellaneous home goods 1.52 133.6 137.9 139.9 142.3 143.7 143.5 144.2 142.1 142.4 145.9 144.8 142.3 143.7 149.9 Apparel, knit goods, and shoes 5.41 117.6 120.0 120.2 120.4 120.7 118.7 121.5 123.2 123.4 124.0 124.9 125.3 126. Consumer staples 19.10 123.7 124.2 125.7 127.0 126.2 126.3 128.8 128.3 128.9 129.1 130.0 729.9 730.7 130.6 Processed foods 8.43 116.6 117.0 118.9 121.4 120.2 118.4 120.8 120.2 119.4 118.4 118.7 118.7 120.0 121.1 Beverages and tobacco 2.43 116.9 115.7 117.4 116.5 118.5 121.9 125.2 122.6 119.4 126.4 125.5 123.3 123.31. Drugs, soap, and toiletries 2.97 140.1 142.0 142.7 142.2 140.1 140.1 142.8 144.5 150.5 146.7 149.1 152.6 151.9J 149.9 Newspapers, magazines, and books. 1.47 117.8 117.2 120.4 121.5 123.7 125.1 126.7 124.7 125.5 123.5 123.2 121.3 121.8! 122.9 Consumer fuel and lighting 3.67 133.5 134.7 135.2 136.5 134.7 136.2 138.5 138.7 140.6 142.8 145.7 144.4 145.81 Fuel oil and gasoline 1.20 116.9 118.5 117.4 115.6 116.8 117.6 120.9 120.4 121.8 121.4 118.8 120.4 122.2 120.5 Residential utilities 2.46 141.5 142.6 143.8 146.6 143.4 145.3 147.1 147.6 149.8 153.2 158.8 156.1 157.31 Electricity 1.72 146.7 148.6 150.4 154.3 149.2 151.9 154.5 155.2 157.6 162.2 169.8 165.6 166.8! Gas..... .74 Equipment Business equipment 11.63 128.3 132.0 132.9 r132.9 '131.9 134.2 136.5 138.0 139.0 140.0 141.6 141.8 740.7 145.9 Industrial equipment 6.85 123.0 127.4 128.6 128.9 127.9 131.9 133.9 135.7 137.6 138.5 139.6 140.4 140.4 144.0 Commercial equipment 2.42 142.4 139.0 140.2 141.6 140.4 141.0 143.1 141.9 143.7 145.7 145. 147.6 149.3 151.0 Freight and passenger equipment. 1.76 132.2 139.7 139.9 137.0 137.8 135.8 140.8 143.9 141.3 141.9 144.9 141.0 128.6 149.1 Farm equipment .61 121.6 134.5 131.6 131.2 126.0 127.6 126.6 130.7 129.1 127.9 139.9 136.0 145.1 Defense equipment. 3.41 Materials Durable goods materials 26.73 121.2 122.6 122.6 123.0 125.8 127.3 129.0 129.8 130.8 732.7 134.1 135.6 725.2 134.4 Consumer durable 3.43 137.2 141.3 142.9 141.9 144.3 141.9 144.1 143.8 148.1 150.2 167.0 153.1 113.2 145.2 Equipment 7.84 125.4 127.5 128.8 129.2 129.6 130.4 131.6 132.9 133.3 133.8 135.7 137.1 137.2 139.0 Construction 9.17 116.3 119.0 118.9 119.6 123.2 123.4 123.8 123.5 122.8 125.7 125.7 125.8 123.8 126.7 Metal materials n.e.c 6.29 114.3 111.6 113.5 117.6 123.4 125.2 126.9 127.5 127.3 130.2 130.6 128.4 130.9 134.1 Nondurable materials 25.92 126.3 128.9 129.3 130.4 130.6 130.8 132.3 132.8 132.9 134.6 735. 735.7 735.2 136.4 Business supplies 9.11 120.3 122.6 123.0 124.4 125.2 124.9 126.1 126.5 124.9 126.9 127.1 125.9 128.8 128.7 Containers 3.03 120.2 123.9 121.3 125.1 125.5 123.6 127.0 128.2 123.8 125.0 125.6 125.4 131.8 131.9 General business supplies. 6.07 120.4 122.0 123.8 124.0 125.1 125.6 125.7 125.7 125.4 127.9 127.8 126.2 127.3 127.1 Nondurable materials n.e.c.. 7.40 145.0 150.2 151.2 152.2 152.2 152.4 154.6 153.9 155.7 158.7 160.2 163.0 161.3 162.2 Business fuel and power 9.41 117.2 118.2 118.2 119.1 118.7 118.7 120.7 122.2 122.7 123.0 123.4 123.7 123.6 123.6 Mineral fuels 6.07 109.3 109.3 109.0 110.2 109.3 108.9 110.3 112.1 112.2 112.4 112.7 113.0 113.1 113.0 Nonresidential utilities 2.86 138.7 141.8 142.3 142.7 143.5 144.5 147.9 148.9 149.7 149.8 150.9 150.6 150.3 Electricity 2.32 139.5 142.4 142.9 143.8 144.6 145.6 149.0 150.1 150.6 150.5 151.5 151.0 150.4 General industrial 1.03 131.2 133.9 134.5 134.8 135.6 136.9 140.5 142.0 143.5 143.9 145.1 147.1 144.1 Commercial and other.. 1.21 149.6 152.9 153.3 154.9 155.6 156.4 159.9 160.7 160.4 160.9 161.9 159.2 160.6 Gas .54 Supplementary groups of consumer goods Automotive and home goods 7.80 134.4 138.4 139.1 139.7 140.7 139.7 142.4 142.9 143.5 145.0 146.6 141.8 127.3 145.4 Apparel and staples 24.51 122.3 123.3 124.5 125.5 125.0 124.6 127.2 127.2 127.7 128.0 128.9 128.9 129.8 130.0 See NOTE on opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 INDUSTRIAL PRODUCTION: S.A. 165 INDUSTRY GROUPINGS (1957-59= 100) 19 p 5 r 7 o - - 59 1963 1963 1964 Grouping por- avertion Nov. Dec. Jan. Feb. Apr. May ! June July ! Aug. , Sept.rj Oct.r j Nov. mmmmm •MM •••• •HMI •••••IM mi amm Total index. 100.00 124.3 126.1 127.0 127.7 128.2 130.5 131.3 131.6 132.9 133.8 134.0 131.4 134.8 Manufacturing, total. 86.45 124.9 126.9 127.9 128.5 129.1 131.4 132.2 132.4 755.9 134.5 134.9 757.5 755.7 Durable 48.07 124.5 126.4 127.3 128.1 128.9 131.6 132.6 133.2 135.0 135.71 135.2 129.6 136.5 Nondurable 38.38 125.3 127.6J 128.7 128.9 129.4 131.1 131.7 131.5 132.5 133.l| 134.4 134.5 134.7 Mining 8.23 107.9 107.5 107.3 108.8 108.9 109.9 111.3 111.4 110.9 111.9! 111.9 111.9 112.8 Utilities 5.32 140.0 142.1 143.0 144.5 143.4 147.5 148.3 149.7 151.4 154.5 153.2 153.6 153.5 Durable manufactures Primary and fabricated metals 12.32 117.7 116.8 117.6 120.0 122.6 124.6 126.3 128.5 128.1 752./ 755.7 755.5 131.4 135.4 Primary metals 6.95 113.3 109.7 110.5 113.6 117.6 120.9 123.8 127.1 126.1 131.2 132.8 132.8 131.9 134.2 Iron and steel.« 5.45 109.6 103.5 104.9 108,3 114.5 118.1 123.7 127.8 125.2 130.4 132.2 129.1 130.3 132.4 Nonferrous metals and products. 1,50 126.7 133.1 134.7 132.2 139,9 142.6 138.5 135.0 132.8 135.9 133.0 138.5 134.1 142.1 Fabricated metal products 5.37 123.4 126.0 126.8 128,2 129.0 129.3 129.5 130.3 130.6 133.3 134.8 134.3 130.8 136.9 Structural metal parts 2.86 120.2 123.1 122.9 124.4 126.0 127.8 129.2 128.1 129.6 131.2 131.0 131.7 128.6 135.4 Machinery and related products... 27.98 128.7 131.5 132.8 132.9 132.3 133.2 135.2 135.9 137 A 755.0 755.7 757.5 725.7 755.9 Machinery 14.80 129.2 132.8 133.9 134.7 133.6 135.9 137.5 138.5 140.1 141.9 142.8 144.1 144.7 146.9 Nonelectrical machinery 8.43 126.9 132.1 133,5 135,2 132.9 136.7 138.1 139.6 141.9 143.6 144.1 145.0 145.4 147.7 Electrical machinery 6.37 132.3 133.7 134.4 134.0 134.5 134.9 136.8 137.0 137.7 139.7 141.1 142.9 143.8 145.8 Transportation equipment 10,19 127.0 129.6 131.3 130.8 131.1 130.1 133.0 134.1 134.9 134.3 135.3 130.9 105.3 129.5 Motor vehicles and parts 4.68 146.1 149.8 151.9 151.9 153.0 151.1 156.2 157.4 158.3 158.6 160.9 150. 96.2 143.9 Aircraft and other equipment.. 5.26 109.5 111.1 112.2 111.1 110.8 110.6 112.0 112.8 113.4 111.7 111.5 112.7 110.8 115.1 Instruments and related products. 1.71 130.2 131.9 132.7 132.2 133.6 134.2 134.7 134.6 134.8 136.4 137.4 138.6 137.6 140.4 Ordnance and accessories 1.28 Clay, glass, and lumber 4.72 114.4 117.2 117.0 117.9 121.6 121.9 121.6 120.9 120.1 722.5 121.4 720.7 727.0 720.5 Clay, glass, and stone products. 2.99 117.5 120.3 120.5 121,2 124 125.3 125.2 124.3 126.6 126.4 125.6 127.0 126.9 127.4 Lumber and products 1.73 108.9 111.8 111.0 112.2 117.3 116.1 115.4 114.9 109.0 116.1 114.1 109.7 110.8 108.7 Furniture and miscellaneous.., 3.05 129.1 131.8 132.6 133>0133.9 134.7 135.6 136.2 755.0 755.5 759.0 138.4 747.7 143.5 Furniture and fixtures 1,54 133.1 136.4 137.6 137,3 138.1 139.0 139.8 140.5 142.8 143.2 144.4 144. 147.4 149.4 Miscellaneous manufactures. 1.51 125.0 127.1 127.6 128 6 129,7 130.4 131.4 131.9 133.2 133.8 133.4 132.6 135.9 137.5 Nondurable manufactures Textiles, apparel, and leather 7.60 118.5 121.3 121.3 120 7 122.4 121.7 121.6 123.5 122.9 724.9 725.0 726. 725.5 729.9 Textile mill products 2.90 116.9 120.5 119.4 118 8 119.8 118.9 119.4 119.3 119.2 121.5 123.5 125.8 127.5 129.5 Apparel products 3.59 125.6 128,5 129.1 129.4 131,7 131.8 130.5 132.8 133. 134.4 135.1 135.8 137.4 Leather and products 1.11 99.8 100.0 101 2 97.8 99.3 96.3 98.4 104.7 97.3 103.5 103.1 100.3 102.4 Paper and printing...... 8,17 120.1 121.7 123,9 123.4 124.5 125,4 127.5 128.2 126.6 725.0 727.9 725.2 725.5 725.5 Paper and products 3,43 125.1 127.3 127,6 128.7 129. 130,4 132.9 134.3 130.1 132.8 132.8 135.5 137.0 135.5 Printing and publishing. 4.74 116.4 117.7 121,3 119,5 121,2 121.8 123.6 123.9 124.1 124.5 124.3 123.0 122.4 123.9 Newspapers , 1.53 108.0 113.2 119.2 113.9 114.5 115.2 117.2 117.1 117.2 120.0 118.3 115.9 112.7 117.0 Chemicals, petroleum, and rubber.. 11.54 141.8 146.0 146.3 146.4 146,9 147.4 149.5 150.0 752.7 752.5 755.6 756.9 155.4 754.7 Chemicals and products 7.58 148.6 155.6 154.5 154,7 154.5 155.2 157.0 156.7 159.6 158.7 160.8 165.0 162.4 162.0 Industrial chemicals 3,84 162.7 169.3 171.4 173.1 173.3 174.9 176.7 173.7 176.3 177.1 178.7 184.9 179.7 Petroleum products 1.97 117.1 118.5 116.6 116,0 119.1 119.7 120.8 122.0 122.1 124.6 121.2 120.4 122.9 i2i.*8 Rubber and plastics products 1.99 140.0 144.3 144.3 145.0 145.3 145.1 149.4 152.2 153.4 155.2 158.2 162.4 161.0 Poods, beverages, and tobacco 11.07 116.8 117.1 118.8 120.2 119.5 120.2 121.2 120.7 779.5 720.5 720.5 720.0 720.9 727.7 Foods and beverages , 10.25 116.9 117.3 119.1 120.8 120.6 120.3 120.6 120.0 119.6 120.0 120.4 120.0 120.7 121.6 Food manufactures 8.64 116.8 117.5 119.2 121.3 119.8 119.7 120.0 120.2 119.5 118.9 119.1 119.1 120.2 121.7 Beverages 1.61 117.8 116.3 118.7 118.4 125.0 123.8 124.1 119.2 120.1 125.8 127.6 124.6 123.3 Tobacco products .82 115.2 114.6 114.9 112.7 105.6 118.2 127.5 129.2 118.1 127.5 121.4 120.6 123.3 Mining Coal, oil, and gas 6. 107.0 106.3 106.0 107.5 107.4 107.1 108.1 109.9 709.5 770.7 770.7 777.0 770.6 770.2 Coal 1.16 102.5 102.2 105.1 104.0 99.2 94.5 98.7 106. 105.1 105.0 107.9 105.1 109.2 108.7 Crude oil and natural gas 5.64 107.9 107.2 106.2 108.3 109.1 109.7 110.0 110.7 110.8 111.1 111.3 112.3 110.8 110.5 Oil and gas extraction 4.91 110.9 110.9 109.9 111.7 111.7 112.3 113.0 113.5 113.8 114.2 113.8 114.9 114.1 114.0 Crude oil.... 4.25 108.1 108.1 106.6 108.5 107.8 109.0 109.6 110.1 110.2 110.3 109.8 111.1 110.8 110.5 Gas and gas liquids .66 128.7 129.0 130.8 132.2 136.2 133.3 134.8 135.3 137.1 139.0 139.6 139.1 Oil and gas drilling .73 87.4 82.0 81.6 84.9 91.5 92.0 89.8 91.3 90.1 90.5 94.0 94.4 Metal, stone, and earth materials., 1.43 112.2 113.1 113.2 114.7 116.4 117.0 118.5 7/7.9 779.2 114.9 777.7 776.7 775.0 725.4 Metal mining .61 112.3 112.2 112.9 116.4 118.8 119.8 124.2 119.4 119.2 107.7 112.2 111.3 115.7 127.0 Stone and earth minerals .82 112.1 113.8 113.4 113.5 114.7 115.0 114.3 116.8 119.2 120.2 121.7 119.6 119.7 124.2 Utilities Electric 4.04 142.6 145.0 146.1 148.3 146.5 148.3 151.3 152.3 153.6 155.5 159.3 157.2 157.4 Gas 1.28 131.9 132.9 133.3 133.9 134.6 135.2 NOTE.—Published groupings include some series and subtotals not Industrial Production 1957-59 Base. Figures for individual series and shown separately. A description and historical data are available in subtotals (N.S.A.) are published in the monthly Business Indexes release Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

166 INDUSTRIAL PRODUCTION: N.S.A. JANUARY 1965 MARKET GROUPINGS (1957-59- 100) 1957-59 1963 1963 1964 Grouping pro- averp ti o o r n - age Nov. Dec. Jan. Feb. Mar. Apr. May June July Aug. Sept.r Oct.r Nov. Total index 100.00 124.3 127.0 124.7 125.7 128.3 129.0 131.7 132.3 133.9 127.6 132.9 136.5 134.9 135.8 47.35 124.9 127.6 125.5 126.7 128.5 128.5 130.7 130.5 133.3 127.5 131.4 136.1 134.9 135.3 Consumer goods 32.31 125.2 128.3 124.0 126.1 128.9 127.7 130.3 130.0 133.2 126.3 131.5 137.1 136.1 135.2 Equipment, including defense.... 15.04 124.2 126.1 128.8 128.0 127.5 130.1 131.5 131.8 133.5 130.1 131.1 134.0 132.4 135.6 Materials 52.65 123.7 126.5 123.9 124.9 128.1 129.6 132.6 133.9 134.5 127.8 134.2 136.8 135.0 136.3 Consumer goods 3.21 141.2 160.5 154.2 151.9 154.4 152.1 162.5 160.6 162.7 131.1 89.5 139.1 114.7 153.4 1.82 149.5 181.5 172.7 165.4 172.2 167.8 182.4 176.3 180.3 130.1 46 2 132 9 95 4 165.4 Auto parts and allied products 1.39 130.2 132.8 129.9 134.1 130.9 131.4 136.4 139.8 139.4 132.4 146.7 147.2 140.2 137.7 10.00 123.1 127.3 117.5 121.6 132.9 129.8 130.5 129.5 131.2 120.0 134.2 135.1 141.7 139.7 4.59 129.6 138.7 132.9 129.5 137.4 138.6 138.3 135.6 140.5 126.8 136.4 147.4 150.2 152.1 Appliances, TV, and radios 1.81 125.1 135.8 123.4 124.7 138.7 137.8 135.9 130.0 136.8 110.4 120.2 144.1 145.8 149.5 1.33 130.6 137.4 134.8 126.0 144.6 147.5 144.9 141.6 145.3 118.8 122.0 147.3 143.2 151.6 TV and home radios .47 109.5 131.2 91.3 121.0 122.2 110.2 110.5 97.4 112.9 86.6 115.1 134 8 153 1 143 5 1.26 131.3 138.1 139.7 133.1 135.8 137.3 137.2 135.6 140.2 137.0 146.1 147.1 152.3 152.4 Miscellaneous home coods . 1.52 133.6 142.7 138.5 132.1 137.2 140.6 142.0 142.1 145.2 137.9 147.7 151.6 153.8 155.1 Apparel, knit goods, and shoes 5.41 117.6 117.6 104.6 115.0 129.1 122.3 123.9 124.4 123.4 114.1 132.4 124.7 134.4 Consumer staples 19.10 123.7 123.5 122.2 124.1 122.5 122.6 124.8 125.0 129.2 128.8 137.2 137.9 136.7 129.8 8.43 116.6 119.9 115.2 113.5 111.1 109.8 112.7 114.1 116.9 117.8 129.4 135.2 134.3 124.1 Beverages and tobacco 2.43 116.9 109.4 101.2 102.3 107.4 117.6 127.6 131.0 136.5 132.0 136.1 124.9 129.5 Drugs soap and toiletries 2.97 140.1 142.4 139.8 141 1 139.7 139.4 142.8 144.6 153.8 140.8 152.4 154.1 154.9 Newspapers, magazines, and books.. 1.47 117.8 117.2 120.9 120.3 122.8 124.8 125.7 123.7 124.5 121.6 124.8 124.7 123.5 122> Consumer fuel and lighting 3.67 133.5 128.1 138.6 150.1 144.0 140.2 135.0 130.5 134.2 145.0 148.4 144.7 137.0 1.20 116.9 117.7 120.2 120.5 119.9 116.4 114.7 116.3 120.3 123.5 122.3 120.4 119.0"\\9J 2.46 141 5 Electricity 1.72 146.7 135.2 155.7 179.9 166.8 161.3 151.4 140.5 145.6 165.4 173.2 166.4 150.1 Gas . .74 Equipment Business equipment 11.63 128.3 130.1 132.8 132.5 132.4 135.9 137.8 138.8 141.2 137.1 138.7 142.2 140.1 143.8 6.85 123.0 125.6 129.4 129.2 127.3 132.0 133.9 135.8 138.8 137.1 139.2 141.7 139.6 142.0 2.42 142.4 140.7 142.6 141.7 139.4 139.7 140.4 140.2 144.1 142.8 145.8 149.8 151.8 152.8 Freight and passenger equipment... 1.76 132.2 136.9 135.0 132.9 139.2 141.9 146.4 148.2 147.0 136.2 136.2 139.0 128.6 146.1 .61 121.6 118.7 125.8 131.8 142.0 147.3 140.5 139.9 115.8 111.9 125.9 133.5 122.0 147.3 3.41 Materials 26.73 121.2 123.3 121.1 121.1 125.3 127.4 131.2 133.9 134.9 127.7 132.6 136.3 131.4 135 2 3.43 137.2 145.5 150.0 146.9 146.5 146.2 148.4 149.5 149.6 135.2 140.3 153.1 116.0 149.6 7.84 125.4 127.6 130.7 130,4 130.8 131.8 133.0 133.8 134.6 129.7 131.6 135.7 136.8 139 1 9.17 116.3 118.8 110.6 108.0 113.3 116.0 122.6 127.8 132.0 129.5 134.5 133.3 130.6 126.4 Metal materials nee 6.29 114.3 112.5 108.5 114.5 124.5 128.2 132.0 134.5 131.4 118.5 126.8 132.3 134.0 135.2 25.92 126.3 129.8 126.9 128.8 131.0 131.8 134.0 133.9 134.1 127.8 135.9 137.3 138.8 137 4 Business supplies 9.11 120.3 123.9 118.1 119.6 123.1 124.9 129.5 128.6 126.9 120.2 129.2 130 3 134 4 129 9 Containers 3.03 120.2 117.1 105.5 117 6 123.0 123.6 130.8 129.5 130.0 125.0 138.2 133.6 138.4 124.6 General business supplies 6.07 120.4 127.2 124.4 120.5 123.2 125.6 128.8 128.2 125.4 117.7 124.6 128 7 132 4 132 6 Nondurable materials nee 7.40 145.0 151.7 148.2 151.4 155.2 156.2 157.7 157.7 158.0 147.3 157.8 161.4 162.1 163.8 Business fuel and power 9.41 117.2 118.4 118.6 119.9 119.6 119.3 119.8 120.4 122.2 119.8 125 2 125 0 124 7 123 9 6.07 109.3 110.6 110.6 112.1 112.6 111.4 111.6 111.0 111.0 104.6 111.3 111.8 113.9 114 4 2.86 138.7 Electricity 2.32 139.5 139.7 139.9 141.5 138.9 141.3 141.9 146.0 152.5 158.9 162.9 159.9 152.6 General industrial 1.03 131.2 133.9 133.2 134.1 132.1 136.9 138.7 142.7 144.8 143.9 148.0 149.3 147.3 Commercial and other 1.21 149.6 147.7 148.7 151.0 147.8 148.0 147.9 152.2 163.0 177.0 181.2 174.3 162.2 Gas .54 Supplementary groups of consumer goods 7.80 134.4 147.7 141.7 138.7 144.4 144.1 148.3 145.9 149.6 128.6 117 1 144 0 135 6 152 7 24.51 122.3 122.2 118.3 122.1 124.0 122.5 124.6 124.9 127.9 125.6 136.1 135.0 136.2 129.6 See NOTE on opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 INDUSTRIAL PRODUCTION: N.S.A. 167 INDUSTRY GROUPINGS (1957-59= 100) Grouping 19 p p t 5 i o r o 7 o r n - - - 59 a 1 a v 9 g e 6 e r 3 - Nov 1 . 963 Dec. Jan. Feb. Mar. Apr. May J 1 u 9 n 6 e 4 July Aug. Sept.r Oct.r Nov. Total index 100.00 124.3 127.0 124.7 125.7 128.3 129.0 131.7 132.3 133.9 127.6 132.9 136.5 134.9 135.8 Manufacturing total 86.45 124.9 128.2 125.2 125.8 129.1 130.0 133.0 133.7 135.2 127.9 133.1 137.4 136.0 137.2 Durable 48.07 124.5 128.4 127.3 126.7 129.5 131.3 134.1 134.8 136.4 128.8 129.6 136.8 132.2 138.5 Nondurable 38.38 125.3 128.0 122.6 124.7 128.5 128.4 131.7 132.3 133.6 126 7 137 4 138 2 140 9 135.7 8.23 107.9 108.1 107.0 107.9 108.3 107.6 109.8 111.7 112.6 107.0 113.0 113.3 114 4 113.4 Utilities 5.32 140.0 Durable manufactures 12.32 117.7 117.8 115.5 119.3 124.4 127.4 130.7 131.9 131.2 123.5 131.5 135.4 133.9 136.5 Primary metals 6.95 113.3 110.8 107.2 114.7 124.3 128.4 132.1 132.9 128.6 117.4 125.9 131.3 133.2 135.5 5.45 109.6 104.5 102.3 110.5 119.4 124.0 128.6 130.4 125.2 116.1 124.3 129.1 132.3 Nonferrous metals and products.. 1.50 126.7 133.6 125.3 130.0 142.0 144.2 144.6 142.2 141.0 122.3 131.7 139.5 136.6 1 14 3 2 3 . . 1 7 Fabricated metal products 5.37 123.4 126.8 126.2 125.1 124.7 126.2 128.9 130.6 134.5 131.3 138.8 140 7 134 7 137.7 Structural metal parts 2.86 120.2 124.9 124.1 121.9 121.0 122.8 125.3 127.5 132.2 131.2 135.6 137.0 132.5 137.4 Machinery and related products 27.98 128.7 134.2 135.3 133.7 134.7 136.0 138.1 137.9 139.8 130.9 126.8 137.7 130.2 141.3 ^Machinery ... . 14.80 129.2 132.7 134.3 134.3 135.5 138.4 139.5 139.8 \A2.6 135.3 138.5 145.3 145.3 147.0 Nonelectrical machinery 8.43 126.9 129.3 134.4 135.1 135.3 140.5 142.2 143.1 145.3 140.0 138.8 143 1 142 8 144 6 Electrical machinery 6.37 132.3 137.2 134.3 133.3 135.8 135.6 135.8 135.4 139.0 129.1 138.0 148.1 148.7 150.3 Transportation equipment . . . 10.19 127.0 136.6 137.0 133.4 135.0 134.3 138.5 137.7 138.4 125.1 109.1 128.5 108.3 135.3 Motor vehicles and parts 4.68 146.1 163.2 162.2 157.0 160.1 158.1 166.7 165.0 167 A 142.0 106.7 145 8 102 3 155.0 Aircraft and other equipment.... 5.26 109.5 112.8 114.4 112.2 112.1 112.3 112.6 112.3 111.8 109.0 109.5 112.2 111.4 116.8 Instruments and related products... 1 1 . . 2 7 8 1 130.2 134.3 134.3 131.3 131.6 132.2 132.7 133.3 136.1 135.0 138.5 140.1 139.1 142.9 Clay, glass and lumber 4.72 114.4 117.3 106.6 104.2 112.0 113.9 120.4 125.4 129.2 126.0 132.4 129 9 128 2 120.7 Clay, glass, and stone products 2.99 117.5 122.1 111.5 107.3 111.7 115.9 124.6 129.3 134.6 133.4 136.3 134.6 134.5 129.3 Lumber and products 1.73 108.9 109.0 98.2 98.7 112.6 110.3 113.1 118.7 119.9 113.2 125.5 121.8 117.4 106.0 Furniture and miscellaneous . • 3.05 129.1 136.2 133.9 127.8 129.6 131.5 133.1 133.1 138.3 735.5 143.4 144.8 149.2 148.3 Furniture and fixtures 1.54 133.1 138.9 140.1 234.6 134.6 135.9 137.4 136.3 142.5 141.8 149.2 149 6 153 0 152.1 1.51 125.0 133.5 127.6 120.9 124.5 127.1 128.8 129.9 133.9 129.1 137.4 139.9 145.4 144.4 Nondurable manufactures 7.60 118.5 119.6 109.9 117.6 129.5 124.7 124.7 126.2 125.1 113.0 131.4 126 0 132.5 130.4 2.90 116.9 119.3 112.8 116.4 122.8 123.1 121.2 124.7 124.6 110.3 126.6 126.4 127.5 128.2 3.59 125.6 126.6 112.3 124.9 142.2 133.1 135.7 135.5 133.8 121.6 141.9 133 1 145 0 Leather and products 1.11 99.8 98.0 94.4 97.3 106.2 102.1 98.4 100.0 98.3 92.6 109.8 101.8 105.0 8.17 120.1 124.6 119.4 120.4 124.5 126.4 130.9 129.3 127.3 120.9 127.8 129.4 134.9 131.8 Paper and products 3.43 125.1 127.9 115.2 126.8 132.3 131.7 138.2 135.0 132.7 124.8 137.3 135 5 145 9 136 2 4.74 116.4 122.2 122.5 115.8 118.9 122.6 125.6 125.1 123.4 118.2 121.0 124.9 126.9 128.6 Newspapers . . ........ 1.53 108.0 124.5 118.6 104.9 110.7 117.5 125.5 124.8 117.8 104.4 107.1 116.7 122.6 128.7 Chemicals, petroleum, and rubber.... 11.54 141.8 145.6 142.8 145.3 147.7 148.3 151.7 152.2 155.4 145.3 154.7 157.8 157.7 154.4 Chemicals and products 7.58 148.6 153.1 150.7 152.8 155.0 156.5 160.3 159.9 163.0 152.9 160.9 164.5 163 4 161 6 Industrial chemicals 3.84 162.7 170.7 169.7 172.2 175.0 176.6 179.3 176.5 178.1 170.9 176.6 183.1 180.6 Petroleum products 1.97 117.1 116.7 114.9 114.3 117.3 115.5 116.0 120.2 125.8 128.3 127.3 125 2 123 5 120 6 Rubber and plastics products 1.99 140.0 145.7 140.7 147.2 150.4 149.7 154.0 154.5 155.7 133.5 158.2 164.5 170.0 Foods beverages, and tobacco....... 11.07 116.8 117.9 112.5 111.4 110.7 111.7 116.2 118.0 121.3 120.8 130.5 132.7 133.4 122.6 Foods and beverages. . 10.25 116.9 118.0 114.0 111.4 111.2 111.4 115.4 116.7 120.9 121.5 130.5 133 2 133 4 122 4 Food manufactures 8.64 116.8 120.4 115.6 114.0 111.7 110.1 113.0 114.3 117.0 117.7 129.0 134 9 134 6 124 7 Beverages 1.61 117.8 105.6 105.2 97.7 108.6 118.2 127.8 129.5 141.7 141.8 138.4 124.6 127.0 115.2 116.9 93.5 111.5 105.1 116.4 127.2 133.8 126.4 112.8 131.4 125.3 134.3 Mining 6.80 107.0 107.8 107.9 109.8 110.1 108.6 108.7 108.4 108.6 103.2 109.7 110.2 111.5 111.7 Coal 1.16 102.5 106.4 103.2 101.9 100.4 95.3 99.4 107.2 108.4 77.2 113.5 111.2 119.0 113.2 Crude oil and natural gas 5.64 107.9 108.0 108.8 111.4 112.1 111.4 110.7 108.7 108.6 108.5 108.9 109.9 110 0 111.4 Oil and gas extraction 4.91 110.9 111.6 112.3 114.5 115.4 115.2 114.5 111.9 111.6 111.1 110.8 111 9 112 7 114 7 4.25 108.1 108.1 107.7 110.1 111.0 111.2 111.4 109.0 109.1 108.1 107.6 108.9 109.7 110.5 Gas and gas liquids .66 128.7 133.8 141.7 143.0 144.0 140.5 134.1 130.0 127.6 130.7 131.1 131.3 87.4 84.1 85.5 90.4 89.3 85.1 87.3 88.2 91.1 96.2 96.4 "9\A "89 .*5 .73 85.3 Metal, stone, and earth minerals 1.43 112.2 109.9 102.5 98.7 100.1 102.7 114.8 127.0 131.8 125.0 128.8 128.4 128.0 121.7 .61 112.3 103.2 101.6 102.4 106.9 106.6 115.5 131.3 134.7 115.2 121.2 125.8 123.8 116.8 Stone and earth minerals .82 112.1 114.9 103.2 96.0 95.1 99.8 114.3 123.8 129.6 132.3 134.5 130.4 131.1 125.4 Utilities Electric 4.04 142.6 137.8 146.6 157.9 150.8 149.8 145.9 143.7 149.3 161.6 167.3 162.6 151.5 1.28 131.9 NOTE.—Published groupings include some series and subtotals not Industrial Production—1957-59 Base. Figures for individual series and shown separately. A description and historical data are available in subtotals (N.S.A.) are published in the monthly Business Indexes release. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

168 BUSINESS ACTIVITY; CONSTRUCTION JANUARY 1965 SELECTED BUSINESS INDEXES (1957-59= 100) Industrial production fa M ct a u n r u in - g 2 Prices 4 Nonag- Major market groupings Con- ricul- Freight Major industry stru- tural Total Period Total Final products Mate- ip-oupmgs t c t r i a o o c n n t - s m T p e e o l m o n t y a t - — l - i p m E l m o en y - t - P ro a l y ls - l i o n a g d s - s r a e l t e a s i l 3 s C um on e - r W m c s o o h a m d l o e i l - t e y - Con- Equip- rials Min- Util- Total sumer ment Mfg. ing ities goods 1950 . . 74.9 72.8 78.6 56.4 76.9 75.8 83.2 49.5 61 86.1 99.4 68.9 117.1 72 83.8 86.8 1951 81.3 78.6 77.8 78.4 83.8 81.9 91.3 56.4 63 91.1 106.1 80.2 121.5 76 90.5 96.7 1952 84.3 84.3 79.5 94.1 84.3 85.2 90.5 61.2 67 93.0 106.1 84.5 115.0 79 92.5 94.0 1953 . . 91.3 89.9 85.0 100.5 92.6 92.7 92.9 66.8 70 95.6 111.6 93.6 116.6 83 93.2 92.7 1954 85.8 85.7 84.3 88.9 85.9 86.3 90.2 71.8 76 93.3 101.8 85.4 104.6 82 93.6 92.9 1955 ... 96.6 93.9 93.3 95.0 99.0 97.3 99.2 80.2 91 96.5 105.5 94.8 115.3 89 93.3 93.2 1956 99.9 98.1 95.5 103.7 101.6 100.2 104.8 87.9 92 99.8 106.7 100.2 115.9 92 94.7 96.2 1957 100.7 99.4 97.0 104.6 101.9 100.8 104.6 93.9 93 100.7 104.7 101.4 108.2 97 98.0 99.0 1958 93.7 94.8 96.4 91.3 92.7 93.2 95.6 98.1 102 97.8 95.2 93.5 93.8 98 100.7 100.4 1959 105.6 105.7 106.6 104.1 105.4 106.0 99.7 108.0 105 101.5 100.1 105.1 97.9 105 101.5 100.6 I960 108.7 109.9 111.0 107.6 107.6 108.9 101.6 115.6 105 103.2 99.9 106.7 95.3 106 103.1 100.7 1961 . . 109.7 111.2 112.6 108.3 108.4 109.6 102.6 122.3 108 102.8 95.9 105.4 91.2 107 104.2 100.3 1962 118.3 119.7 119.7 119.6 117.0 118.7 105.0 131.4 120 105.7 99.1 113.8 92.4 115 105.4 100.6 1963 124.3 124.9 125.2 124.2 123.7 124.9 107.9 140.0 132 107.9 99.7 117.9 93.3 120 106.7 100.3 1964P 131 9 131 5 131 2 132 1 132 7 132 8 110.9 150 0 110 8 101 7 124.6 95 5 1963—Nov 126.1 127.0 126.9 127.1 125.7 126.9 107.5 142.1 144 108.7 100.0 119.9 92.3 120 107.4 100.7 Dec 127.0 128.0 128.0 128.1 125.9 127.9 107.3 143.0 148 109.1 100.4 121.2 93.9 123 107.6 100.3 1964—Jan 127.7 128.5 128.9 127.9 126.7 128.5 108.8 144.5 147 109.2 100.5 120.6 97.2 123 107.7 101.0 Feb 128,2 128.1 128.8 127.1 128.1 129.1 108.9 143.4 143 109.8 100.8 122.3 96.9 126 107.6 100.5 Mar 129.0 128.7 128.8 128.8 129.3 129.9 108.8 144.8 140 110.0 101.1 122.5 94.0 124 107.7 100.4 130.5 130.6 130.8 130.7 130.6 131.4 109.9 147.5 138 110.1 101.1 123.4 94.8 125 107.8 100.3 131.3 131.1 131.0 131.3 131.3 132.2 111.3 148.3 138 110.3 101.1 123.3 96.4 127 107.8 100.1 June 131.6 131.7 131.5 132.0 131.8 132.4 111.4 149.7 138 110.6 101.6 123.8 93.6 127 108.0 100.0 July 132.9 132.3 132.1 132.7 133.6 133.9 110.9 151.4 140 110.9 101.9 124.3 94.5 128 108.3 100.4 Aug 133.8 133.3 133.1 133.6 134.7 134.5 111.9 154.5 121 111.0 102.0 126.0 93.2 130 108.2 100.3 Sept 134.0 132.5 132.0 133.7 135.6 134.9 rUl .9 153.2 131 111.3 102.9 127.6 96.4 130 108.4 100.7 Oct . 131.4 130.3 129.2 132.6 132.1 131.8 111.9 153.6 136 111.2 100.5 122.9 94.6 125 108.5 100.8 Nov 134 8 134.7 133.7 136.7 135.4 135.7 112.8 153.5 143 112.1 103.3 128.1 98.5 126 108.7 100.7 137.0 137.3 136.8 138.5 136.8 138.2 112.3 154.5 112.5 103.8 130.2 99.1 133 100.8 1 Employees only, excludes personnel in the armed forces. NOTE.—Data are seasonally adjusted unless otherwise noted. 2 Production workers only. Construction contracts: F. W. Dodge Co. monthly index of dollar 3 Federal Reserve index based on Census Bureau figures. value of total construction contracts, including residential, ncnresidential, 4 Prices are not seasonally adjusted. and heavy engineering; does not include data for Alaska and Hawaii. Employment and payrolls: Based on Bureau of Labor Statistics data; includes data for Alaska and Hawaii beginning with 1959. Prices: Bureau of Labor Statistics data. Freight carloadings: Based on data from Association of American Railroads. CONSTRUCTION CONTRACTS (In millions of dollars) 1963 1964 Type of ownership and type of construction 1962 1963 Nov. Dec, Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Total construction 41,303 45,546 3,749 3,413 3,346 3,201 4,215 4,359 4,639 4,504 4,601 3,760 3,762 4,029 3,757 By type of ownership: Public , 13,599 14,653 1,157 1,155 1,197 1,041 1,339 1,318 1,535 1,491 1,619 1,101 1,124 1,310 Private 27,705 30,893 2,592 2,257 2,149 2,160 2,876 3,042 3,104 3,013 2,983 2,658 2,638 2,719 By type of construction: Residential building.... 18,039 20,502 1,519 1,325 1,372 1,427 1,991 2,006 2,050 1,996 2,000 1,679 1,717 1,702 1,482 Nonresidential building 13,010 14,377 1,082 1,102 1,158 1,082 1,252 1,420 1,362 1,400 1,548 1,275 1,228 1,425 1,263 Nonbuilding 10,255 10,667 1,148 985 816 692 972 933 1,227 1,107 1,054 807 817 902 1,012 NOTE.—Dollar value of total contracts as reported by the F. W. Dodge data exceed annual totals because adjustments—negative—are made to Co. does not include data for Alaska or Hawaii. Totals of monthly accumulated monthly data after original figures have been published. Nonbuilding construction formerly labeled public MCiks Erd utilities Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 CONSTRUCTION 169 VALUE OF NEW CONSTRUCTION ACTIVITY (In millions of dollars) Private Public Period Total Total d N f e r a e n o r s t m n i i - - al Total In tr d i u a B l s u - sine m C s e s o rc m i - al P u u ti b li l t i y c O n d r t e t o e i h s a n n i e l - - - r Total M ta i r l y i- H w ig a h y - S w a e a n w t d e e r r Other 1956 47,601 34,869 20,178 11,076 3 084 3 631 4 361 3 615 12 732 1 360 4,415 1,275 5,682 1957 49,139 35,080 19,006 12,029 3,557 3,564 4,908 4,045 14,059 1,287 4,934 1,344 6,494 1958 50,153 34,696 19,789 10,659 2,382 3,589 4,688 4,248 15,457 1,402 5,545 1,387 7,123 19591 55,305 39,235 24,251 10,557 2,106 3,930 4,521 4,427 16,070 1,465 5,761 1,467 7,377 1960 53,941 38,078 21,706 11,652 2,851 4,180 4,621 4,720 15,863 1,366 5,437 1,487 7,573 1961 55,447 38,299 21,680 11,789 2 780 4,674 4 335 4 830 17 148 cl,378 C5,854 1,581 C8,342 1962 59,453 41,695 24,292 12,222 2,949 4,955 4,318 5,181 17,758 1,222 6,378 1,754 8,404 1963... 62,451 43,772 25,843 12,656 2,962 5,200 4,494 5,273 18,679 6,670 1,966 1964*7 65,898 45,893 26,506 13,750 3,333 5,635 4,782 5,637 20,005 2 301 1963—Dec 65,193 45,778 26,896 13,426 3,158 5,515 4,753 5,456 19,415 6,713 2,176 1964 Jan 64,684 45,440 26,907 13,106 3,060 5,499 4,547 5,427 19,244 6,685 2,185 Feb 65,528 46 274 27,600 13,151 3 058 5,546 4 547 5 523 19 254 6,169 2,273 Mar 66,509 46,923 28,123 13,260 3,074 5,668 4,518 5,540 19,586 6,796 2,341 Apr . ... 66,615 46,449 27,538 13,297 3,076 5,561 4,660 5,614 20,166 7,068 2,371 May 64,983 45,780 26,678 13,437 3,149 5,542 4,746 5,665 19,203 6,410 2,404 June 66,576 46,006 26,612 13,598 3,204 5,562 4,832 5,796 20,570 6,888 2,402 July 66,641 46,261 26,708 13,736 3 334 5,574 4 828 5,817 20,380 7,549 2,368 65,991 45,906 26,342 13,784 3,505 5,609 4,670 5,780 20,085 7,021 2,325 Sent 66,454 45 861 25,972 14,183 3 514 5 746 4 923 5 706 20 593 7,273 2,264 Oct 65,335 45,521 25,679 14,231 3,540 5,776 4,915 5,611 19,814 6,667 2,199 Nov p 65,686 45,531 25,582 14,391 3,655 5,767 4,969 5,558 20,155 7 151 2 193 Decv 65,709 45,402 25,416 14,439 3,791 5,639 5,009 5,547 20,307 2,207 i Beginning with 1959, includes data for Alaska and Hawaii. NOTE.—Monthly data are at seasonally adjusted annual rates. Beginning with 1959, figues are Census Bureau estimates. Data before 1959 are joint estimates of the Dept. of Commerce and Labor. NEW HOUSING STARTS (In thousands of units) Annual rate, By area By type of ownership S.A. Government- (private only) underwritten Period Total N fa o rm n- Total p M o e li t t r a o n - p m N o e l o i t t r n a o - n - Total fam 1- il P y rivat f e am 2_ ily f M am ul i t l i y - Public Total FHA VA 1955 1,646 1,627 19 670 277 393 1956 1.349 1,325 24 465 195 271 1957 1,224 1,175 49 322 193 128 1958 ,382 1,314 68 439 337 102 1959 1,554 1,077 All 1,517 1,234 56 227 37 458 349 109 I960 ,296 889 407 1,252 995 44 214 44 336 261 75 1961 1,365 948 417 1,313 975 44 295 52 328 244 83 1962 1,492 1,054 439 1,463 992 49 422 30 339 261 78 1963 1.641 1,151 490 1,609 1,021 53 535 32 292 221 71 1963 Nov . . . 1,577 1,544 122 85 37 121 72 4 44 2 22 17 5 Dec 1,570 1,524 97 77 21 96 51 3 42 2 21 16 5 1964—Jan 1,718 1,688 101 75 26 100 55 4 41 1 16 11 4 Feb 1,657 1,613 101 74 27 100 64 5 32 1 17 12 4 Mar . . . 1,663 1,638 133 97 37 130 82 5 43 3 21 16 5 Apr 1,531 1,501 152 103 50 149 91 6 52 4 23 18 5 May 1,529 1,507 161 115 45 158 101 5 52 3 29 23 5 1,611 1,585 164 118 46 159 102 5 51 6 25 19 6 July 1,505 1,483 145 103 42 143 92 4 47 2 26 20 6 1,430 1,408 145 97 48 142 90 4 47 3 23 18 5 Sept 1,457 1,433 126 90 36 123 80 4 40 3 23 18 5 Oct Pi,599 Pi,567 99 45 P142 91 5 46 24 19 5 Nov Pi,420 P1,391 Pill 76 35 P109 21 16 5 NOTE.—Beginning with 1959, Census Bureau series includes both farm are pending. Data from Federal Housing Admin, and Veterans Admin, and nonfarm series developed initially by the Bureau of Labor Statistics. represent units started, based on field office reports of first compliance Series before 1959 reflect recent Census Bureau revisions which are not inspections. available by area or type of structure. Complete revisions pre-1959 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

170 EMPLOYMENT JANUARY 1965 LABOR FORCE, EMPLOYMENT, AND UNEMPLOYMENT (In thousands of persons unless otherwise indicated) Civilian labor force Unemploy- Period i T ns o t t i a tu l t n io o n n a - l T la o b t o a r l Employed1 Not in the r m at e e n 2 t population force Total Unem- (per cent) In nonagri- In ployed S.A. Total cultural agriculture industries 1958 121,950 71,284 68,647 63,966 58,122 5,844 4,681 50,666 6.8 1959 123,366 71,946 69,394 65,581 59,745 5,836 3,813 51,420 5.5 I960 3 125,368 73,126 70,612 66,681 60,958 5,723 3,931 52,242 5 6 1961 127,852 74,175 71,603 66,796 61,333 5,463 4,806 53,677 6 7 1962 130,081 74,681 71,854 67,846 62,657 5,190 4,007 55,400 5.6 1963 132,125 75,712 72,975 68,809 63,863 4,946 4,166 56,412 5 7 1964 134,143 76,971 74,233 70,357 65,596 4,761 3,876 57,172 5 2 1963—Dec... 133,025 75,201 72,461 68,615 64,576 4,039 3,846 57,824 5.5 1964 Jan 133,200 74,514 71,793 67,228 63,234 3,993 4,565 58,685 5 6 Feb 133,358 75,259 72,527 68,002 64,071 3,931 4,524 58,099 5.4 Mar 133,519 75,553 72,810 68,517 64,500 4,017 4,293 57,965 5 4 Apr 133,678 76,544 73,799 69,877 65,448 4,429 3,921 57,135 5 4 May 133,866 77,490 74,742 71,101 66,094 5,007 3,640 56,376 5.1 134,041 79,389 76,645 71,953 66,100 5,853 4,692 54,652 5 3 July 134,216 78,958 76,218 72,405 66,586 5,819 3,813 55,258 4 9 134,400 78,509 75,758 72,104 66,704 5,400 3,654 55,891 5 1 Scot ... 134,586 76,865 74,122 70,805 65,575 5,230 3,317 57,721 5.2 Oct 134,772 77,112 74,375 71,123 65,997 5,126 3,252 57,661 5 2 Nov 134,952 76,897 74,166 70,793 66,248 4,545 3,373 58,055 5.0 Dec 135,135 76,567 73,841 70,375 66,590 3,785 3,466 58,568 4.9 1 Includes self-employed, unpaid family, and domestic service workers. NOTE.—Information relating to persons 14 years of age and over is 2 Per cent of civilian labor force. obtained on a sample basis. Monthly data relate to the calendar week 3 Inclusion of figures for Alaska and Hawaii beginning with 1960 that contains the 12th day; annual data are averages of monthly figures. increased population by about 500,000 and total labor force by about Bureau of Labor Statistics estimate. 300,000. Most of the increase was in nonagricultural industries. EMPLOYMENT IN NONAGRICULTURAL ESTABLISHMENTS, BY INDUSTRY DIVISION (In thousands of persons) Period Total M t a u n r u in f g ac- Mining c C o o n t n i s o t t r n r a u c c t - T ti l o i r c a n n u s & t p il o i p t r i u t e b a s - - Trade Finance Service G m ov e e n r t n- 1957 52,894 17,174 828 2,923 4,241 10,886 2,477 6,749 7,616 1958 51,368 15,945 751 2,778 3,976 10,750 2,519 6,811 7,839 1959 53,297 16,675 732 2,960 4,011 11,127 2,594 7,115 8,083 I960 54,203 16,796 712 2,885 4,004 11,391 2,669 7 392 8 353 1961 53,989 16,326 672 2,816 3,903 11,337 2,731 7,610 8,594 1962 55,515 16,853 650 2,902 3,906 11,566 2,800 7 947 8 890 1963 56,643 17,005 635 2,983 3,914 11 803 2 873 8 230 9 199 1964P 58,178 17,301 636 3,105 3,974 12,184 2,945 8 532 9 501 SEASONALLY ADJUSTED 1963 Dec 57,291 17,115 636 3,052 3,931 11,950 2,904 8,366 9 337 1964 Jan 57,334 17,131 632 2,941 3,936 12 021 2,911 8 401 9 361 Feb 57,684 17,171 633 3,132 3,943 12,083 2,917 8,437 9 368 Mar 57,754 17,208 633 3,122 3,940 12,077 2,924 8 455 9 395 57,827 17,224 633 3,081 3,964 12,096 2,931 8,461 9 437 May 57,931 17,225 631 3,093 3,968 12 135 2,934 8 489 9 456 June 58,104 17,285 639 3,106 3,965 12,187 2,943 8 509 9 470 July 58,256 17,344 639 3,107 3,983 12,223 2,948 8,561 9,451 58,301 17,339 634 3,103 3,999 12 231 2 951 8 573 9 471 Sept 58,458 17,449 634 3,080 4,005 12,229 2,960 8 592 9 509 Oct 58,382 17,171 638 3,106 3,9% 12,278 2,964 8 633 9 596 Novp 58,871 17,512 640 3,167 3,997 12,307 2,970 8,630 9,648 Decp 59,097 17,593 644 3,225 4,003 12,318 2,979 8,644 9,691 NOT SEASONALLY ADJUSTED 1963—Dec 58,012 17,096 634 2,872 3,935 12,725 2,887 8,299 9 564 1964 Jan 56,328 16,893 618 2,579 3,877 11,855 2,882 8 233 9 391 Feb 56,445 16,937 614 2,631 3,880 11,772 2,891 8,277 9 443 Mar 56,783 17,005 615 2,707 3,885 11 862 2 901 8 328 9 480 Apr 57,329 17,058 627 2,921 3,924 11,919 2,919 8 453 9 508 May 57,874 17,135 634 3,130 3,952 12,031 2,931 8,548 9 513 June 58,596 17,350 651 3,308 4,005 12,180 2,964 8,654 9,484 July 58,418 17,299 646 3,424 4,031 12,173 2,998 8 698 9 149 Aug 58,680 17,498 647 3,482 4,043 12,201 2,998 8,676 9 135 Sept 59,258 17,792 645 3,391 4,045 12 243 2,972 8 661 9 509 Oct 59,164 17,428 644 3,376 4,028 12,341 2,961 8 676 9 710 Novp .... 59,437 17,649 644 3,278 4,013 12,514 2,958 8,604 9,777 Dec v 59,827 17,573 642 3,035 4,007 13,119 2,961 8,575 9,915 i Data include Alaska and Hawaii beginning with 1959. ending nearest the 15th of the month. Proprietors, self-employed persons. domestic servants, unpaid family workers, and members of the armed NOTE.—Bureau of Labor Statistics; data include all full- and part- forces are excluded. time employees who worked during, or received pay for the pay period Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 EMPLOYMENT AND EARNINGS 171 PRODUCTION WORKER EMPLOYMENT IN MANUFACTURING INDUSTRIES (In thousands of persons) Seasonally adjusted Not seasonally adjusted Industry group 1963 1964 1963 1964 Dec. Oct. Nov.? Dec* Dec. Oct. Nov.* Total 12,647 12,661 13,009 13,075 12,631 12,915 13,142 13,059 Durable goods 7,115 7,089 7,391 7,455 7,121 7,190 7,470 7,460 Ordnance and accessories 115 102 102 102 117 103 103 104 Lumber and wood products 537 528 533 540 522 543 535 525 Furniture and fixtures 327 339 339 343 328 347 345 344 Stone, clay, and glass products 492 498 501 498 480 511 507 486 Primary metal industries 954 1,022 1,040 1,046 946 1,013 1,028 1,037 Fabricated metal products 901 901 932 943 904 918 945 946 Machinery except electrical 1,088 1,146 1,143 1,154 1,083 1,132 1,129 1,148 Electrical machinery 1,026 1,053 1,066 1,075 1,040 1,075 1,087 1,089 Transportation equipment 1,128 942 1,170 1,183 1,161 964 1,206 1,217 Instruments and related products 233 232 235 236 234 234 238 237 Miscellaneous manufacturing industries. 314 326 330 335 307 351 348 327 Nondurable goods 5,532 5,572 5,618 5,620 5,510 5,725 5,672 5,599 Food and kindred products 1,158 1,132 1,148 1,148 1,135 1,224 1,165 1,125 Tobacco manufactures 78 78 80 78 82 95 85 82 Textile-mill products 797 803 808 810 794 811 813 807 Apparel and other finished textiles 1,140 1,173 1,182 1,185 1,135 1,189 1,196 1,180 Paper and allied products 489 494 496 493 491 499 499 494 Printing, publishing and allied industries 598 604 606 609 603 611 613 614 Chemicals and allied products 526 526 530 529 522 525 527 525 Products of petroleum and coal 119 116 114 112 117 116 113 110 Rubber products 321 334 339 341 323 342 345 344 Leather and leather products 306 312 315 315 308 313 317 317 NOTE.—Bureau of Labor Statistics; data cover production and related the pay period ending nearest the 15th of the month. workers only (full- and part-time) who worked during, or received pay for, HOURS AND EARNINGS OF PRODUCTION WORKERS IN MANUFACTURING INDUSTRIES Average hours worked Average weekly earnings Average hourly earnings (per week; S.A.) (dollars per week; N.S.A.) (dollars per hour; N.S.A.) Industry Group 1963 1964 1963 1964 1963 1964 Dec. Oct. Nov.*3 Dec.*3 Dec. Oct. Nov.? Dec? Dec. Oct. Total 40.7 40.5 40.9 41.1 102.66 102.97 104.70 106.55 2.51 2.53 2.56 2.58 Durable goods 41.3 41.2 41.6 41.9 111.90 111.51 113.57 116.47 2.69 2.70 2.73 2.76 Ordnance and accessories 40.9 40.6 40.4 40.8 123.26 123.83 123.83 127.10 2.97 3.05 3.05 3.07 Lumber and wood products 40.6 39.7 39.9 40.7 83.20 87.85 84.14 86.22 2.08 2.18 2.13 2.15 Furniture and fixtures 41.2 41.2 41.6 41.8 85.06 86.94 86.73 88.40 2.03 2.07 2.07 2.08 Stone, clay, and glass products 41.5 41.5 41.5 42.2 101.50 108.62 107.33 106.55 2.50 2.58 2.58 2.58 Primary metal industries 41.1 41.9 42.1 42.0 126.38 129.48 130.52 132.51 3.06 3.12 3.13 3.14 Fabricated metal products 41.7 41.4 42.0 42.1 111.04 110.24 112.98 114.21 2.65 2.65 2.69 2.70 Machinery except electrical 42.2 42.0 42.8 42.8 120.42 120.38 122.83 124.70 2.84 2.88 2.89 2.90 Electrical machinery 40.4 40.7 40.9 40.8 102.41 103.48 103.73 104.65 2.51 2.53 2.53 2.54 Transportation equipment 42.0 40.5 41.6 43.3 133.61 125.15 133.56 142.52 3.10 3.06 2.15 3.21 Instruments and related products 40.8 40.9 41.2 41.5 103.57 105.22 106.66 108.26 2.52 2.56 2.57 2.59 Miscellaneous manufacturing industries. 39.6 39.7 39.7 39.7 82.99 83.41 83.60 84.40 2.08 2.08 2.09 2.11 Nondurable goods 39.7 39.9 39.9 39.8 90.57 92.00 91.94 92.80 2.27 2.30 2.31 2.32 Food and kindred products 41.0 41.0 40.9 41.0 96.59 97.88 98.40 99.46 2.35 2.37 2.40 2.42 Tobacco manufactures 38.5 39.3 38.4 39.3 74.86 73.85 74.11 79.60 1.90 1.81 1.94 1.98 Textile-mill products 41.1 41.4 41.4 41.6 72.69 75.71 76.49 76.49 1.76 1.82 1.83 1.83 Apparel and other finished textiles 36.1 36.2 36.4 36.7 63.37 64.98 65.70 65.52 1.77 1.80 1.81 1.80 Paper and allied products 42.7 42.9 42.4 42.1 108.36 111.89 109.82 109.82 2.52 2.59 2.59 2.59 Printing, publishing and allied industries 38.5 38.6 38.4 38.6 113.98 116.10 114.82 117.39 2.93 3.00 2.99 3.01 Chemicals and allied products 41.5 41.6 41.7 41.5 115.51 117.45 118.01 118.43 2.77 2.83 2.83 2.84 Products of petroleum and coal 41.7 41.6 41.7 41.8 132.89 133.86 135.11 134.88 3.21 3.21 3.24 3.25 Rubber products 41.2 41.6 41.4 41.4 104.67 106.50 106.40 108.52 2.51 2.56 2.57 2.59 Leather and leather products 38.1 38.5 38.1 37.4 69.63 69.00 69.37 70.29 1.79 1.84 1.84 1.84 NOTE.—Bureau of Labor Statistics; data are for production and related workers only. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

172 PRICES JANUARY 1965 CONSUMER PRICES (1957-59= 100) Housing Health and recreation Period it A em ll s Food Total Rent H ow s o h n m i e p e r- - F c a o o u n i a e d l l l t e r G a i l c n e a i c d t s - y o n F i t p a n i i u n e o s g h r r d n s a - - - A u p p a p n k a d e r e e p l T p t o r i a o r n t n a s - - Total M c ic a e a r d e l - s P c o a e n r r a e - l r R e t a i c e i n n o r a g e d n d a - - g O s a i o e c t n o r h e v d d e s - r s 1929 59.7 55 6 85.4 1933 45.1 35.3 60.8 1941 51.3 44.2 6i.4 64.3 45.2 88.3 51 2 50.6 47.6 57.3 58.2 1945 62.7 58.4 67.5 66.1 53.6 86.4 55.4 57.5 63.6 75.0 67.3 1955. 93.3 94.0 94.1 94.8 92.6 91.9 94 9 97.3 95.9 89.7 91.4 88.6 90.0 92.1 94.3 1956 94.7 94.7 95.5 96.5 94.1 95.9 95.9 97.3 97.8 91.3 93.6 91.8 93.7 93.4 95.8 1957 98.0 97.8 98.5 98.3 98.2 100.8 96.9 99.4 99.5 96.5 97.0 95.5 97.1 96.9 98.5 1958 100.7 101.9 100.2 100.1 100.4 99.0 100.3 99.9 99.8 99.7 100.3 100.1 100.4 100.8 99.8 1959 101.5 100.3 101.3 101.6 101.4 100.2 102.8 100.7 100.6 103.8 102.8 104.4 102.4 102.4 101.8 I960 103.1 101.4 103.1 103.1 103.7 99.5 107.0 101.5 102.2 103.8 105.4 108.1 104.1 104.9 103.8 1961 104.2 102.6 103.9 104.4 104.4 101.6 107.9 101.4 103.0 105.0 107.3 111.3 104.6 107.2 104.6 1962 105.4 103.6 104.8 105.7 105.6 102.1 107.9 101.5 103.6 107.2 109.4 114.2 106.5 109.6 105.3 1963 106.7 105.1 106.0 106.8 107.0 104.0 107.9 102.4 104.8 107.8 111.4 117.0 107.9 111.5 107.1 1963 Nov 107.4 105.1 106.6 107.2 108.0 105.4 108.0 102.7 106.1 109.1 112.4 117.9 108.4 112.8 108.3 Dec 107.6 105.4 106.9 107.3 108.4 105.8 108.1 102.9 106.1 108.9 112.7 117.9 108.8 113.1 108.3 1964 Jan 107.7 105.8 106.9 107.3 108.5 106.6 108.1 102.7 105.0 109.4 112.7 118.2 108.5 113.1 108.3 Feb 107.6 106.0 106.9 107.5 108.8 106.6 106.2 102.7 105.1 108.6 112.9 118.5 108.4 113.3 108.4 Mar . . .. 107.7 105.7 107.1 107.5 108.9 106.1 107.1 102.8 105.3 108.9 113.1 118.7 108.7 113.6 108.5 Apr 107.8 105.7 107.0 107.7 108.6 103.3 108.0 102.9 105.6 109.0 113.4 119.0 108.7 114.0 108.6 May 107.8 105.5 106.9 107.7 108.4 102.1 108.0 102.9 105.7 109.1 113.5 119.1 108.9 114.1 108.7 June... .... 108.0 106.2 107.1 107.8 108.7 101.4 108.1 102.9 105.7 109.2 113.5 119.3 109.1 114.0 108.7 July 108.3 107.2 107.1 107.8 108.9 100.9 107.9 102.8 105.5 109.4 113.7 119.5 109.3 114.1 108.9 Aus 108.2 106.9 107.2 107.9 109.2 100.9 108.2 102.6 105.3 109.3 113.8 119.8 109.4 114.2 108.9 Sept 108.4 107.2 107.4 107.9 109.5 101.5 108.2 102.8 105.9 108.9 113.9 119.7 109.5 114.3 109.0 Oct 108.5 106.9 107.6 108.2 109.6 102.9 108.2 102.8 106.2 109.4 114.0 119.9 109.7 114.5 109.1 Nov 108.7 106.8 107.7 108.3 109.8 103.7 108.1 102.9 106.4 110.0 114.2 120.2 109.7 114.9 109.1 NOTE.—Bureau of Labor Statistics index for city wage-earners and clerical workers. The new series index begins with January 1964. WHOLESALE PRICES: SUMMARY (1957-59= 100) Other commodities Period m c t A o o ie m d l s l i - - F p u r a c o r t d m s - f P e o s r o s o e d c d s - Total t T e il e t e c x s . - , H e i t d c e . s, F e u tc e . l, C ic e h a t e c l m s . , - R b e u t e c b r . , - L b e u t e c m r . , - P e a t p c e . r, Metals c M e h r i a y n - - F t e u u t r r c e n . , i- N t m m a o l i e l n n i - c - - b T ac o c - o n c M e e o l i l s u a - - s erals 1955 93.2 97.9 94.3 92.4 100.7 89.5 94.5 96 9 99 2 102 3 91.1 90 0 85 8 94 3 91 3 94 6 99 1 1956 96.2 96.6 94.3 96.5 100.7 94.8 97.4 97.5 100.6 103.8 97.2 97.8 92.1 96.9 95.2 95.1 98.1 1957 99.0 99.2 97.9 99.2 100.8 94.9 102.7 99 6 100.2 98 5 99.0 99 7 97.7 99 4 98 9 98.0 96 6 1958 100.4 103.6 102.9 99.5 98.9 96.0 98.7 100.4 100.1 97.4 100.1 99.1 100.1 100.2 99.9 99.7 101.5 1959 100.6 97.2 99.2 101.3 100.4 109.1 98.7 100.0 99.7 104.1 101.0 101.2 102.2 100.4 101.2 102.2 101.9 1960 100.7 96.9 100.0 101.3 101.5 105.2 99.6 100.2 99.9 100.4 101.8 101.3 102.4 100.1 101.4 102.5 99.3 1961 100.3 96.0 100.7 100.8 99.7 106.2 100.7 99.1 96.1 95.9 98.8 100.7 102.3 99.5 101.8 103.2 103.9 1962 100.6 97.7 101.2 100.8 100.6 107.4 100.2 97 5 93.3 96.5 100.0 100 0 102 3 98 8 101 8 104.1 107 3 1963 100.3 95.7 101.1 100.7 100.5 104.2 99.8 96.3 93.8 98.6 99.2 100.1 102.2 98.1 101.3 106.1 110.4 1963—Nov 100.7 96.2 102.5 100.9 101.1 103.5 97.9 96.3 94.2 99.2 99.4 101 0 102 5 98 1 101 2 107 5 110 9 Dec 100.3 93.3 100.4 101.2 101.2 103.0 99.3 96.2 93.8 99.1 99.4 101.3 102.6 98.0 101.3 107.5 112.2 1964—Jan 101.0 96.3 102.5 101.3 101.2 102.7 99.5 96 3 93.7 99.0 99.8 101.7 102 5 98 4 101 1 107.6 112 6 Feb 100.5 94.5 100.9 101.2 101.2 102.5 99.0 96.4 93.6 99.9 99.9 101.8 102.5 98.5 101.2 107.1 110.9 Mar 100.4 95.2 100.5 101.1 101.2 102.5 97.0 96 5 93 9 101 0 99.3 102 0 102 7 98 5 101 1 107 1 109 8 Apr 100.3 94.4 100.4 101.1 101.1 104.5 96.1 96.6 93.1 101.8 99.1 102.2 102 9 98 6 101 3 107.1 109 5 May 100.1 93.7 99.4 101.1 101.2 104.7 96.4 96.7 92.6 101.8 98.7 102.1 103.3 98.6 101.3 107.3 107.2 June 100.0 93.2 100.2 100.9 101.0 104.8 96.3 96 5 91.6 101 4 98.7 102 3 103 0 98 5 101 4 107 4 106 7 July 100.4 94.1 101.2 101.1 101.1 105.4 96.7 96.6 91.8 101.2 98.7 102.5 103.1 98.6 101 5 107.3 107.5 Aue 100.3 93.6 101.0 101.1 101.2 105.6 96.4 96.5 91.8 100.9 98.7 103.0 102.9 98.6 101.7 107.5 107.3 Sept 100.7 95.7 102.2 101.1 101.2 105.4 95.2 96.6 91.9 100.6 98.7 103.0 102.9 98.6 101.8 107.5 109.2 Oct 100.8 93.8 101.7 101.5 101.4 rio6.o r96.7 96 9 92 1 100 3 99.1 103 8 103 0 r98 5 101 8 107 6r110 1 Nov 100.7 94.0 100.9 101.6 101.4 105.3 97.5 97.1 92.2 99.6 98.9 104.3 103.2 98.4 101.8 107.5 108.5 See next page for composition of other commodities. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 PRICES 173 WHOLESALE PRICES: DETAIL (1957-59= 100) 1963 1964 1963 1964 Group Group Nov. Sept. Oct. Nov. Nov. Sept. Oct. Nov. Farm Products: Pulp, Paper, and Allied Products: Fresh and dried produce 96.1 101.5 '98.2 108.0 Woodpulp 94.4 95.5 97.5 96.8 Grains 100.3 90.2 88.9 88.0 Wastepaper 91.0 92.2 92.2 92.5 Livestock and poultry 87.9 90.9 85.8 83.6 Paper 102.9 103.7 104.0 104.0 Plant and animal fibers. 99.8 94.4 93.8 93.9 Paperboard 96.6 96.4 96.4 96.4 Fluid milk 103.2 103.6 '104.5 105.5 Converted paper and paperboard... 99.4 97.6 98.1 97.9 Eggs 102.4 96.9 97.7 91.6 Building paper and board 95.1 '94.5 '94.3 93.9 Hay and seeds 117.5 108.8 111.0 115.6 Other farm products 90.7 96.8 99.3 98.4 Metals and Metal Products: Processed Foods: Iron and steel 99.9 100.5 100.7 100.9 Nonferrous metals 100.2 107.0 110.4 112.0 Cereal and bakery products 107.3 108.1 108.2 108.3 Metal containers 104.6 105.6 105.6 105.6 Meat, poultry, and fish. 91.7 96.1 '93.2 89.8 Hardware 104.4 104.9 104.8 104.5 Dairy products and ice cream 107.9 108.7 108.9 109.5 Plumbing equipment 100.6 103.0 103.9 104.0 Canned and frozen fruits, and veg- Heating equipment. 92.8 91.7 91.8 91.8 etables 106.4 102.2 102.9 102.2 Fabricated structural metal products. 98.8 99.6 99.6 99.7 Sugar and confectionery 131.2 105.1 105.8 104.7 Fabricated nonstructural metal prod- Packaged beverage materials 84.1 98.2 98.2 98.2 ucts 107.1 108.2 108.2 108.2 Animal fats and oils 93.5 97.7 109.8 107.3 Crude vegetable oils 84.0 87.7 '96.1 106.2 Machinery and Motive Products: Refined vegetable oils 84.1 84.0 91.2 99.0 Vegetable oil end products '87.7 '88.6 '90.4 94.4 Agricultural machinery and equip... 111.4 113.0 112.9 113.6 Miscellaneous processed foods 107.8 109.3 109.1 110.3 Construction machinery and equip... 110.9 112.4 112.4 113.2 Metalworking machinery and equip.. 110.5 113.6 114.0 114.0 Textile Products and Apparel: General purpose machinery and equipment 104.4 103.8 104.8 105.0 Cotton products. 101.3 98.9 99.0 99.1 Miscellaneous machinery 103.7 104.9 105.1 105.1 Wool products 101.6 102.9 103.1 103.3 Special industry machinery and Man-made fiber textile products 94.4 95.7 96.1 96.5 equipment (Jan. 1961= 100) 104.7 106.0 106.0 106.3 Silk products 130.5 117.0 116.6 117.8 Electrical machinery and equip 97.5 96.6 '96.5 96.6 Apparel 102.3 103.3 103.3 103.2 Motor vehicles 99.9 100.5 100.7 100.7 Other textile products 118.3 120.7 '120.7 118.3 Transportation equip., R.R. rolling stock (Jan. 1961= 100) 100.5 100.6 100.6 100.6 Hides, Skins, Leather, and Products: Hides and skins 82.7 95.5 95.4 90.4 Furniture and Other Household Dura- Leather 99.7 104.0 104.8 103.8 bles: Footwear 108.2 108.4 109.1 109.0 Other leather products 103.2 103.3 103.6 103.6 Household furniture 104.8 105.3 105.5 105.6 Commercial furniture 103.1 103.2 103.2 103.2 Fuels and Related Products, and Power: Floor coverings 97.9 99.0 99.0 99.0 Household appliances 91.2 91.3 '91.2 90.8 Coal 98.3 97.3 97.7 98.0 Television, radios, and phonographs. 87.8 87.3 87.3 87.2 Coke 103.6 107.3 107.3 107.3 Other household durable goods . 103.4 104.4 104.3 104.3 Gas fuels (Jan. 1958= 100) 122.3 118.4 120.4 121.9 Electric power (Jan. 1958= 100) 101.3 101.5 101.5 101.4 Petroleum products, refined 93.8 89.5 91.9 93.3 Nonmetallic Mineral Products: Chemicals and Allied Products: Flat glass 101.0 103.1 103.1 103.1 Concrete ingredients 102.9 102.8 102.8 102.8 Industrial chemicals 94.2 93.9 94.3 94.1 Concrete products 101.4 101.1 101.1 101.1 Prepared paint 104.9 104.8 104.8 104.9 Structural clay products 103.5 104.6 104.8 104.9 Paint materials 91.1 89.9 90.5 91.3 Gypsum products 106.1 108.6 108.6 108.6 Drugs and Pharmaceuticals 95.0 94.6 94.6 94.7 Prepared asphalt roofing 87.4 91.2 91.2 91.2 Fats and oils, inedible 90.2 106.2 107.7 112.6 Other nonmetallic minerals 101.4 101.5 101.5 101.5 Mixed fertilizers 103.7 104.4 104.3 104.4 Fertilizer materials 98.4 99.1 99.6 101.0 Tobacco Products and Bottled Bever- Other chemicals and products 99.0 99.6 99.8 99.6 ages: Rubber and Products: Tobacco products 105.9 106.1 106.1 106.1 Alcoholic beverages 100.9 100.8 100.8 100.5 Crude rubber 91.6 90.4 91.3 92.1 Nonalcoholic beverages 127.7 127.3 128.1 128.1 Tires and tubes 91.7 88.0 88.0 88.0 Miscellaneous rubber products 97.9 96.4 96.5 96.5 Miscellaneous Products: Lumber and Wood Products: Toys, sporting goods, small arms... 101.0 101.2 101.1 100.9 Manufactured animal feeds 117.2 113.7 115.3 112.4 Lumber 99.3 100.7 100.4 99.2 Notions and accessories 99.1 99.1 99.1 99.1 Millwork 106.2 109.1 109.0 109.0 Jewelry, watches, photo equipment.. 103.6 103.6 103.9 103.9 Plywood 92.5 91.8 91.2 90.7 Other miscellaneous products 101.4 103.1 103.1 103.4 NOTE.—Bureau of Labor Statistics. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

174 NATIONAL PRODUCT AND INCOME JANUARY 1965 GROSS NATIONAL PRODUCT OR EXPENDITURE (In billions of dollars) 1963 1964 Item 1929 1933 1941 1950 1959 1960 1961 1962 1963 HI IV Gross national product 104.4 56.0 125.8 284.6 482.7 502.6 518.7 556.2 583.9 587.2 599.0 608.8 618.6 628.4 Personal consumption expenditures. 79.0 46.4 81.9 195.0 313.5 328.2 337.3 356.8 375.0 377.4 381.3 390.0 396.1 404.6 Durable goods 9.2 3.5 9.7 30.4 43.6 44.9 43.7 48.4 52.1 52.2 53.6 55.9 57.0 58.7 Nondurable goods 37.7 22.3 43.2 99.8 147.1 151.8 155.4 162.0 167.5 168.6 168.9 172.9 175.3 179.5 Services 32.1 20.7 29.0 64.9 122.8 131.5 138.3 146.4 155.3 156.6 158.8 161.1 163.8 166.4 Gross private domestic investment. 16.2 1.4 18.1 50.0 72.7 71.8 68.8 79.1 82.0 82.8 87.1 85.9 87.2 87.3 New construction 8.7 1.4 6.6 24.2 40.2 40.7 41.0 44.2 46.6 47.2 48.3 49.2 48.9 48.9 Residential, nonfarm 3.6 .5 3.5 14.1 22.3 21.1 21.1 23.6 25.2 25.4 26.2 26.9 26.2 25.7 Other 5.1 1.0 3.1 10.1 17.9 19.7 19.8 20.6 21.3 21.9 22.1 22.3 22.7 23.1 Producers' durable equipment.. 5.9 1.6 6.9 18.9 25.9 27.6 25.9 29.0 31.0 31.4 32.4 34.2 34.6 35.6 Change in business inventories. 1.7 -1.6 4.5 6.8 6.6 3.5 1.9 5.9 4.4 4.2 6.4 2.5 3.7 2.8 Nonfarm only 1.8 4.0 6.0 6.5 3.2 1.5 5.3 3.9 3.7 6.0 2.2 3.4 2.7 Net exports of goods and services. .8 .2 1.1 .6 o 3.0 4.6 4.0 4.4 4.2 5.8 7.7 5.7 7.0 Exports 7.0 2.4 6.0 13.1 22^9 26.3 27.6 29.2 30.7 31.0 32.6 34.5 33.7 35.7 Imports 6.3 2.3 4.8 12.5 23.6 23.3 23.0 25.2 26.3 26.8 26.9 26.8 27.9 28.7 Government purchases of goods and services. 8.5 8.0 24.8 39.0 97.2 99.6 108.0 116.3 122.6 122.8 124.8 125.2 129.6 129.5 Federal 1.3 2.0 16.9 19.3 53.6 55.7 57.4 62.9 64.7 64.4 64.9 64.3 67.1 65.5 National defense I 13.8 14.3 46.2 45.7 49.0 53.6 55.2 55.5 55.3 54.0 57.0 55.2 Other > 1.3 2.0 f 3.2 5.2 7.9 8.0 8.9 10.2 10.3 9.5 10.5 11.5 11.0 11.2 Less: Government sales .1 .5 .6 .6 .9 .8 .6 .9 1.2 .9 .9 State and local 7.2 6.0 7.8 19.7 43.6 46.5 50.6 53.5 57.9 58.4 59.9 60.9 62.5 64.1 Gross national product in constant (1954) dollars 181.8 126.6 238.1 318.1 428.6 439.9 447.9 476.4 492.6 494.8 502.0 508.0 513.5 519.6 NOTE.—Dept. of Commerce estimates. Quarterly data are seasonally Business; U.S. Income and Output, A Supplement to the Survey of Current adjusted totals at annual rates. For back data and explanation of series Business (1958); and the July 1964 Survey of Current Business. see National Income 1954 Edition^ A Supplement to the Survey of Current NATIONAL INCOME (In billions of dollars) 1963 1964 Item 1929 1933 1941 1950 1959 1960 1961 1962 1963 III IV II III* National income 87.8 40.2 104.7 241.9 400.5 414.5 426.9 455.6 478.5 481.9 490.0 498.4 507.1 514.5 Compensation of employees 51.1 29.5 64.8 154.2 278.5 293.6 302.2 323.1 340.3 342.7 347.7 352.5 358.6 364.8 Wages and salaries 50.4 29.0 62.1 146.4 258.5 271.3 278.8 297.1 312.1 314.3 318.8 323.2 328.7 334.4 Private 45.5 23.9 51.9 124.1 213.1 222.9 227.0 241.6 252.9 255.0 257.6 260.8 265.3 269.4 Military .3 .3 1.9 5.0 9.9 9.9 10.2 10.8 10.9 10.7 11.7 11.7 11.7 11.8 Government civilian , 4.6 4.9 8.3 17.3 35.4 38.5 41.6 44.7 48.3 48.7 49.6 50.7 51.7 53.2 Supplements to wages and salaries .7 .5 2.7 7.8 20.1 22.3 23.4 25.9 28.2 28.4 28.8 29.4 29.9 30.4 Employer contributions for social insurance .1 .1 2.0 4.0 9.7 11.3 11.8 13.6 15.1 15.2 15.4 15.7 15.9 16.2 Other labor income .6 .4 .7 3.8 10.4 11.0 11.6 12.3 13.1 13.2 13.4 13.7 14.0 14.2 Proprietors' income 14.8 5.6 17.4 37.5 46.5 46.2 48.2 49.8 50.6 50.7 51.5 51.2 51.7 52.1 Business and professional 8.8 3.2 10.9 23.5 35.1 34.2 35.3 36.6 37.6 37.8 38.3 38.6 39.1 39.6 Farm 6.0 2.4 6.5 14.0 11.4 12.0 12.9 13.2 13.0 12.9 13.2 12.6 12.6 12.6 Rental income of persons 5.4 2.0 3.5 9.0 11.9 12.1 12.2 12.2 12.3 12.4 12.4 12.4 12.4 12.4 Corporate profits and inventory valuation adjustment 10.1 -2.0 14.5 35.7 47.2 44.5 44.1 48.4 50.8 51.4 53.1 56.4 57.9 58.1 Profits before tax 9.6 .2 17.0 40.6 47.7 44.3 44.2 48.2 51.3 51.3 54.3 56.6 57.9 58.0 Profits tax liability 1.4 .5 7.6 17.9 23.2 22.3 22.3 23.2 24.6 24.5 26.0 25.4 26.0 26.0 Profits after tax 8.3 -.4 9.4 22.8 24.5 22.0 21.9 25.0 26.7 26.7 28.3 31.2 31.9 32.0 Dividends 5.8 2.1 4.5 9.2 13.7 14.5 15.2 16.5 18.0 17.9 19.1 19.4 19.8 20.0 Undistributed profits 2.4 -2.4 4.9 13.6 10.8 7.5 6.7 8.5 8.7 8.9 9.2 11.8 12.1 12.0 Inventory valuation adjustment .5 -2.1 -2.5 -5.0 .2 -.1 .3 -.4 .2 -1.2 -.2 -.1 .1 Net interest 6.4 5.0 4.5 5.5 16.4 18.1 20.1 22.1 24.4 24.7 25.4 25.9 26.5 27.1 NOTE.—Dept. of Commerce estimates. Quarterly data are seasonally adjusted totals at annual rates. See also NOTE to previous table. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 NATIONAL PRODUCT AND INCOME 175 RELATION OF GROSS NATIONAL PRODUCT, NATIONAL INCOME, PERSONAL INCOME, AND SAVING (In billions of dollars) 1963 1964 Item 1929 1933 1941 1950 1959 1960 1961 1962 1963 in iv Gross national product 104.4 56.0 125.8 284.6 482.7 502.6 518.7 556.2 583.9 587.2 599.0 608.8 618.6 628.4 Less: Capital consumption allowances , 8.6 7.2 9.0 19.1 41.0 43.0 44.5 48.7 50.8 51.2 51.7 52.5 53. 53.7 Indirect business tax and nontax liability 7.0 7.1 11.3 23.7 42.6 46.4 49.0 52.8 55.9 56.1 57.3 57.9 59.0 60.1 B St u a s t i i n st e i s c s a l t r d a i n s s c f r e e r p a p n a c y y ments . . 6 3 . . 7 9 . . 5 4 -.7 .8 -3 2 . . 0 1 -3 2 . . 0 2 -2 2 . . 6 4 -1 2 . . 8 4 -2 2 . . 7 4 -3 2 . . 5 4 -1 2 . . 8 4 -1 2 . . 6 5 -2 2 . . 4 5 -1 2 .4 .5 Plus: Subsidies less current surplus of government enterprises -.1 .1 .2 .4 .5 1.6 1.6 1.0 .9 .7 1.0 .7 .9 Equals: National income , 87.8 40.2 104.7 241.9 400.5 414.5 426.9 455.6 478.5 481.9 490.0 498.4 507.1 514.5 Less: Corporate profits and inventory valuation adjustment 10.1 -2.0 14.5 35.7 47.2 44.5 44.1 48.4 50.8 51.4 53.1 56.4 57.9 58.1 Contributions for social insurance .2 .3 2.8 6.9 17.6 20.6 21.4 23.9 26.9 27.1 27.5 28.0 28.4 29.0 Plus: Government transfer payments.. .9 1.5 2.6 14.3 25.4 27.3 31.3 32.3 34.3 34.0 34.7 35.9 35.5 35.5 Net interest paid by government. 1.0 1.2 1.3 4.8 7.1 7.8 7.4 8.0 8.6 8.7 8.8 9.1 9.3 9.2 Dividends , 5.8 2.1 4.5 9.2 13.7 14.5 15.2 16.5 18.0 17.9 19.1 19.4 19.8 20.0 Business transfer payments , .6 .7 .5 .8 2.1 2.2 2.4 2.4 2.4 2.4 2.4 2.5 2.5 2.5 Equals: Personal income. 85.8 47.2 96.3 228.5 383.9 401.3 417.6 442.4 464.1 466.3 474.5 480.9 487.9 494.5 Less: Personal tax and nontax payments... 2.6 1.5 3.3 20.8 46.8 51.4 52.9 57.9 61.6 61.9 63.3 61.4 57.7 58.8 Federal 1.3 .5 2.0 18.2 40.4 44.0 45.1 49.1 51.9 52.2 53.4 51.2 47.3 48.2 State and local 1.4 1.3 2.6 7.8 9.6 10.2 10.5 10.6 1.0 6.4 7.3 8.8 9.7 9.9 Equals: Disposable personal income 83.1 93.0 207.7 364.7 402.5 419.5 430.2 435.6 45.7 337.1 349.9 384.6 404.4 411.2 Less: Personal consumption expenditures.. 79.0 81.9 195.0 337.3 375.0 390.0 396.1 404.6 46.4 313.5 328.2 356.8 377.4 381.3 Equals: Personal saving 4.2 11.1 12.6 27.3 27.5 29.5 34.0 31.0 -.6 23.6 21.7 27.8 27.0 29.9 Disposable personal income in constant (1954) dollars 134.9 102.1 175.1 231.0 310.7 317.8 328.2 343.4 354.9 356.3 360.7 366.7 374.7 378.8 NOTE.—Dept. of Commerce estimates. Quarterly data are seasonally adjusted totals at annual rates. See also NOTE to table at top of previous page. PERSONAL INCOME (In billions of dollars) 1963 1964 Item 1962 1963 Nov. Dec, Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov.* Total personal income 442.4 464.1 473.8 477.1 1479.4 480.5 482.9 486.6 487.8 489.3 491.4 494.9 497.9 498.7 502.0 Wage and salary disbursements 297.1 312.1 318.3 320.0 320.8 323.6 325.1 327.7 328.7 330.1 331.8 334.6 337.2 337.3 340.1 Commodity-producing industries.. 118.5 123.3 125.1 126.0 125.6 127.1 Ml. A 128.8 128.7 129 A 129.9 130.8 132.1 130.7 133.1 Manufacturing only 94.2 98.0 99.7 100.2 100.0 100.7 101.1 102.3 102.3 102.7 103.0 103.8 705.2 103.4 105.6 Distributive industries 76.6 80.3 81.8 82.0 82.4 82.8 83.1 83.7 84.2 84.6 85.2 85.7 86.3 86.8 87.1 Service industries 46.4 49.3 50.1 50.5 50.8 51.4 51.9 52.1 52.3 52.4 52.6 52.9 53.4 53.7 53.9 Government 55.6 59.2 61.3 61.5 62.1 62.4 62.7 63.0 63.4 63.8 64.1 65.1 65.4 66.0 65.9 Other labor income 12.3 13.1 13.5 13.5 13.6 13.7 13.8 13.9 14.0 14.1 14.2 14.2 14.3 14.4 14.5 Proprietors* income 49.8 50.6 51.5 51.6 51.1 51.3 51.2 51.5 51.7 51.9 51.9 52.2 52.4 52.5 52.7 Business and professional 36.6 37.6 38.2 38.4 38.3 38.7 38.8 39.0 39.1 39.3 39.5 39.6 39.7 39.8 39.9 Farm 13.2 13.0 13.2 13.2 12.8 12.6 12.4 12.5 12.6 12.6 12.4 12.6 12.7 12.7 12.8 Rental income 12.2 12.3 12.4 12.4 12.4 12.4 12.4 12.4 12.4 12.4 12.4 12.4 12.4 12.5 12.5 Dividends 16.5 18.0 18.8 20.1 19.3 19.4 19.6 19.8 19.8 19.9 20.0 20.0 19.9 19.9 19.9 Personal interest income 30.0 32.9 34.2 34.4 34.7 35.0 35.3 35.5 35.7 35.9 36.0 36.2 36.5 36.7 36.9 Transfer payments 34.7 36.7 37.2 37.2 139.7 37.5 37.8 38.2 38.0 37.6 37.8 38.0 38.0 38.3 38.5 Less: Personal contributions for social insurance 10.3 11.8 11.9 12.1 12.2 12.3 12.4 12.5 12.5 12.6 12.7 12.8 12.9 12.9 13.0 Nonagricultural income 424.9 446.6 456.1 459.5 1462.1 463.5 466.1 469.7 470.7 472.1 474.4 477.8 480.6 481.4 484.6 Agricultural income 17.6 17.5 17.6 17.5 17.2 17.0 16.8 17.0 17.1 17.2 U.9 17.1 17.2 17.3 17.4 1 Includes stepped-up rate of Govt. life insurance dividend payments NOTE.—Dept. of Commerce estimates. Monthly data are seasonally to veterans in the amount of $2.1 billion. adjusted totals at annual rates. See also NOTE to table at top of previous page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

1. SUMMARY OF FLOW OF FUNDS ACCOUNTS FOR THIRD QUARTER, 1964—Seasonally adjusted annual rates (In billions of dollars) ON Private domestic nonfinancial sectors Financial sectors Sector H h o o u ld se s - B n u e s s i s - an g S d o t v a lo t ts e c . al Total G U o . v S t . . Total M a o u n t e h t . ary C ba o n m k l s . N f o in n a b n a c n e k R w e t o h s r t e l d of sec A to ll rs Di a s n cr c e y p- and s N a v i a n i t n v l g e . stment Transaction category U S U S U S u s U S U S U S U S U S U S U S U 1 Gross saying 98.9 58.3 -2.9 154.3 -6.9 4.5 .1 2 8 1.6 * 152.0 6.3 152.0 1 2 Capital consumption 53.7 45.9 99.6 6 4 2 100.3 100.3 2 3 Net saving (1 -2) 45.2 12.4'.'.'.'.'.'. -2.9 54.7 3.9 ...... .1 2.4 1.4 51.7 51.7 3 4 Gross investment (5+10) 105.2 . ... 55.7 -3.3. .. 157.6 . -8.3.. .. 6.5 .1 3.1 2.8 3.3 .9 . 156.8 -11.1 144.8 4 5 Private cap. expend., net 81.8 63.5 145.3 .4 * .3 145.7 145.7 5 6 Consumer durables 58.7 58.7 58.7 58.7 6 7 Residential constr 19.3 6,4 25 7 25 7 25.7 7 3 9 54 3 58 2 .. 4 3 58 5 58.5 8 9 Inventory change 2 8 2.8 2.8 ... 2.8 9 10 Net financial infest. (11 -12). 23.4 —7.8 12.2 -8.3 6.2 .1 3.0 3.0 .9 11.1 -11.1 -.9 10 11 Financial uses, net 48.8 25.0 7.3 81.2 2.2 53.5 1.8 16.9 34.3 6.1 143.2 5.2 11 12 Financial sources. ..... 25 4 32.9 10 7 6S.9 10 6 47.4 1 7 13 9 31.3 5.2 132.1 6.1 12 13 Gold & off. U.S. fgn. exch.. - 5 .2 o -.1 -.4 -.4 -.4 13 14 Treasury currency 1 -.1 -1 -.1 .1 " .2"" 14 15 Dem. dep. and currency... 2 1 2.0 .1 5.6 2.1 15 6.6 -2.1 1.9 6.4 -.5 4.7 1.6 3.1 -•5 5.8 4.7 -1.2 16 17 US. Govt..... — 18 —4 1 4 —4 5 -1.8 -4.1 -2.3 17 18 Foreign 1.5 *.... 1.6 15 15 15 18 2 1 0 9 Tim At e c a o n m d l s . v b g a s n . k a s ccounts... 2 5 1 . 1 2 4.5 2.4 2 1 8 2 . 1 0 "ll'i -.1 2 1 8 2 . 9 9 12.9 — l 1.0 2 1 8 2 .9 9 2 1 8 2 .9 9 2 19 0 21 At svgs. instit 16.1 16.1 — 1 16 0 "-'.1 "16^0 16 0 16 0 21 22 Life insur. reserves 4 8 4.8 .1 4.8 4.8 22 23 Pension fund reserves 9.7 3.0 9.7 3.0 1.4 '.'.'.'.'.'. "5.Z 5.3 9.7 9.7 23 24 Consol. bank items * -A -A -.8 .3 .3 -.8 24 25 Credit mkt. instr 7.6 25.2 .5 22.7 3.0 7.5 11.0 55.4 2.6 7.7 55.3 4.3 2.5 15.4 .6 37.3 3.7 1.2 2.7 70.1 70.0 . 25 26 U.S. Govt. securities .4 -1.5 1 4 2 7 1 3 9 2 6 — 1 8 3.1 3.0 7 1 7 1 26 27 State and local oblig .5 -.2 7.5 .3 7.5 7.1 5.8 1 3 7 5 7 5 27 28 Corp. and foreign bonds. 2 6 4.0 1.4 4.0 4.0 2.0 2.0 n.a. . 6 2.0 1.5 .3 .2 6.2 6.2 28 29 Corp. stocks -1.2 1.1 1.2 1.1 4.6 1.9 4.6 1.9 -.7 -.2 2.7 2.7 29 30 1- to 4-family mortgages. .5 16.7 '""A '.'.'.'.'.'. .9 16.9 '-.3 '.'.'.'.'.'. 16.0 -.4 "'2.1 * 13.2 -.4 16.6 16.6 30 31 Other mortgages 4 8 6 . 14 1 4.8 14.7 A 9.5 2.0 7 5 14 7 14 7 31 32 Consumer credit 7 3 5 .5 7.3 6.8 2.8 4.0 7.3 7.3 32 33 Bank loans nee • 2 2 2 4 2.2 -1.4 "-'.1 '.'.'.'.'.'. 2.4 -1.4 '.'.'.'.'.'. "\.2 2.2 2.2 33 34 Other loans 1.5 1.1 1 1.5 1.5 2.5 .6 3.2 2.1 .1 1.5 1.6 2.1 -1.4 1.5 5.8 5.7 -.1 34 35 Open market paper... 1.5 .2 1 5 2 2 2 1 1 .9 1.2 2.1 -1.4 -.2 2.3 2.3 35 36 Federal loans 6 '.'.'." " .1 7 2.4 1 1 1 7 2.4 2.4 36 37 Security credit .9 -.1 9 - 1 — 19 —10 -.7. — 12 —10 1.1 -1.1 37 38 To brkrs. and dealers .9 .9 -1.8 -1.0 — 1.3 — 6 —1 01 -1.0 -1.0 .. 38 39 To others j 1 1 .6 -.1 -.1 39 40 Taxes payable .1 .1 * .6 2 .1 .7 .1 -.6 40 41 Trade credit 2 15.9 10.1 1 15.9 10.4 2 .2 16.5 11.2 -5.3 41 42 Equity in noncorp. business. -2.6 -2.6 -2.6 -2.6 .4 .8 -2 6 -2 6 .. 42 43 Misc. financial trans 6 6.3 2.7 6.9 2.7 '"i!6 .5 '"".5 " S.O -.6 1.9 1.0 -1.3 2.6 2.5 2.9 11.1 9.2 -1.8 43 44 Sector discrepancies (1 — 4)... -6.3 2 6 4 —3 2 —2 0 — 3 —1 7 — 9 —4 8 —4.8 7.2 44 1 5 v© 1 Claims between commercial banks and monetary authorities: member bank reserves, vault cash, NOTE.—For other periods see Table 4. For description of sectors and transaction types see Aug. 1959 in F.R. loans to banks, F.R. float, and stock of F.R. banks. See Table 4 (G) and (H). BULL., pp. 846-57 and Flow of Funds Accounts, 1945-62, 1963 Supplement. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 FLOW OF FUNDS 177 2. SAVING, INVESTMENT, AND FINANCIAL FLOWS (In billions of dollars) 1962 1963 1964 Transaction category, or sector 1959 1960 1961 1962 1963 III IV II III IV II III I. Saving and investment Gross national saving 116.1 119.4 116.1 130.4 140.3 132.6 132.2 132.5 140.0 141.6 147.3 145.8 148.8 152.0 Households 73.7 73.5 78.0 83.9 88. 83.3 84.3 84.9 87.4 87.8 92.4 94.5 100.3 98.9 Farm and noncorp. business. 11.7 11.9 11.8 12.4 14.0 12.5 12.9 13.4 13.9 14.3 14.5 12.8 13.1 13.6 Corporate noiifin. business. . 33.8 32.6 33.1 38.4 39.4 39.0 40.3 39.4 39.0 40.0 39.1 43.2 44.2 44.7 U.S. Government -2.1 2.4 -5. -5.2 -2.9 -3.7 -5.6 -5.9 -2.8 -2.0 -3.9 -9.5 -6.9 State and local govt -3.8 -3.3 -3.8 -2.2 -2.4 -2.1 -2.5 -2. -2.2 -2.3 -2.6 -2.7 -2.9 Financial sectors 2.8 2.3 2. 3.1 4.1 3.5 2.8 3.4 4.7 3.9 4^2 1.9 3.3 4.5 8 Gross national investment 114.4 117.3 114.4 128.8 136.6 129.7 130.9 130.2 134.5 136.4 145.5 147.1 148.3 144.8 8 9 Consumer durable goods... 43.6 44.9 43. 48.4 52.1 48.4 50.2 51.1 51.5 52.2 53.6 55.9 57.0 58.7 9 10 Business inventories 6.6 3.5 1.9 5.9 4.4 5. 5.4 3.6 3.6 4.2 6.4 2.5 3.7 2.8 10 11 Gross pvt. fixed investment. 66.1 68. 66.8 73.2 77.6 75.2 74.6 74.3 76.7 78.6 80.7 83.4 83.4 84.2 11 12 Households.... 22.1 21.6 20.0 21.4 21.9 21.7 22.4 21.6 21.5 22.2 22.4 22.4 22.8 23.1 12 13 Nonfinan. business 43.3 46.1 46.1 51.2 54.7 52.9 51.8 52. 54.3 55.3 57.0 59.8 60.1 60.7 13 14 Financial sectors .8 .6 1.0 .5 .4 .6 .9 1.2 1.3 1.2 .4 .4 14 15 Net financial investment -1.9 .7 2.0 1.3 2.5 1.0 .7 1.2 2.7 1.4 4.8 5.3 4. -.9 16 Discrepancy (1-8) 1.7 2.1 1.7 1.6 3.7 2.9 1.3 2.3 5.5 5.2 1.8 -1.3 7.2 II. Financial flows—Summary 17 Net funds raised—nonfinan. sectors. 52.3 35.0 46.9 58.3 62.3 47.5 59.1 59.8 72.8 54.2 62.4 67.2 77.7 65.7 18 Loans and short-term securities . .. 18.6 15.0 16.3 15.4 18.5 -7.5 21.5 18.1 28.8 5.0 22.1 26.0 27.3 15.3 19 Long-term securities and mtgs 33. 20.0 30. 42.9 43.8 53.2 37.6 41.7 44.1 49.2 40.3 41.2 50.4 50.5 By sector 20 U.S. Government 8.9 -2.0 7.6 7.5 4.8 -3. 6.4 10.8 11.5 -5.1 1.9 10.9 6.3 7.7 20 21 Short-term mkt. securities 5. 3.1 8.8 .5 1.4 -20.6 4.3 6.5 9.0 -10.5 .4 9.1 -.2 .8 21 22 Other securities 4. -5.6 -1.4 6.8 3.8 18.4 .9 4.0 3.3 6.4 1.7 2.7 6.1 6.3 22 23 CCC guaranteed loans .2 .2 A -.9 1.2 .3 -.7 -1.0 -.2 -1.0 .4 .6 23 24 Foreign borrowers .9 2.0 2.8 2.3 1A — .3 3.4 3.7 5.0 1.4 3.3 4.0 3.9 2.7 24 25 Loans .2 1.4 2.0 1.2 2.3 n 1.7 1.6 3.1 1.0 3.5 4.1 3. 2.7 25 26 Securities .8 .6 .8 1.0 1.0 A 1.7 2.1 1.8 .5 -.2 -.1 * 26 27 Pvt. domestic nonfin. sectors 42.5 35.0 36.6 48.6 54.2 49.1 49.3 45.2 56.3 57.9 57.2 52.3 67^5 55.4 27 28 Loans 13.8 10.0 5.3 13.5 15.2 14.7 14.3 9.7 17.4 15.5 18.4 13.7 24.0 11.2 28 29 Consumer credit 6.4 4.5 1.7 5.5 6.7 5.1 5.4 6.3 6.9 7.1 6.5 6.5 7.2 7.3 29 30 Bank loans n.e.c 5.4 2.9 2. 5.1 5.9 5.6 6.1 .8 7.0 5. 9.9 4.7 9. 2.4 30 31 Other loans 2.1 2.6 1.4 2.9 2.6 4.0 1.8 2.5 3.5 2.6 2.0 2.6 7.0 1.5 31 32 Securities and mortgages 28.6 25.0 31.3 35.1 38.9 34.4 35.0 35.6 39.0 42.4 38.9 38.6 43.5 44.1 32 33 State and local obligations.... 4.5 3.6 4.9 5.0 6.7 4.3 3.3 5.6 7.0 7.5 6.6 4.2 5.9 7.5 33 34 Corporate securities 5.3 5.3 7.3 5.3 3.4 4.6 4.1 5.0 2.8 4.2 1.7 6.5 6.9 5.1 34 35 1- to 4~family mortgages 13.0 10.5 11.4 13.0 15.1 13.4 13.5 13.5 15.8 16.3 15.1 15.3 16.5 16.9 35 36 Other mortgages 5.9 5.6 7.7 11.9 13.6 12.1 14.1 11.4 13.4 14.3 15.4 12.5 14.3 14.7 36 37 Net sources of credit (= 17) 52.3 35.0 46.9 58.3 62.3 45.7 59.1 59.8 72.8 54.2 62.4 61.2 77.7 65.7 37 38 Chg. in U.S. Govt. cash balance. .7 .9 1.3 -.4 -5.5 3.9 4.6 3.0 -7.6 -1.7 8.1 -.8 -4.1 38 39 U.S. Govt. lending 3.8 2.3 2.8 3.5 2.7 1.6 3.2 .2 2.5 3.6 4.5 2.8 5.1 2.6 39 40 Foreign funds 3.5 3.2 2.0 2.9 2.5 .7 2.3 3.3 7. -.4 2.5 2.6 3.6 40 41 Pvt. insur. & pension reserves... 8.8 8.2 8.7 9.0 10.2 8. 8.8 8.7 10.5 11.3 10.5 11.0 11.3 10.0 41 42 Sources n.e.c 3.3 4.0 3.7 2.6 4.0 4. 2.2 7.2 2.2 5.6 3.4 3.6 8.4 42 43 Pvt. domestic nonfm. sectors 32.2 16.5 29.7 39.0 43.3 36.7 38.8 35.8 47.6 41.6 48.3 39.4 55.9 45.3 43 44 Liquid assets 16.4 9.2 24.7 31.2 36.2 22.1 34.6 33.7 41.8 29.3 39.8 31.5 35.3 27.6 44 45 Deposits 10.8 13.8 24.2 29.8 33.0 26.8 34.2 29.7 36.1 28.4 37.9 27.9 36.3 33.3 45 46 Demand dep. and currency .2 -1.3 4.1 1.8 5.0 2.0 5.4 -2.3 10.8 2.4 8.9 9.3 5.2 46 47 Time and svgs. accounts... 10.6 15.0 20.1 28.0 28.1 24.8 28.8 32.0 25.3 26.0 28.9 27^6 27.0 28.1 47 48 At commercial banks.... 2.1 5.4 9.0 15.0 13.1 11.4 14.0 15.3 10.6 13.0 13.6 12.9 11.5 12.0 48 49 At savings instit 8.4 9.6 11.1 12.9 14.9 13.3 14.8 16.8 14.7 13.0 15.4 14.8 15.5 16.1 49 50 Short-term U.S. Govt. sec. . 5.6 -4.6 .5 1.4 3.2 -4.6 A 4.0 5.7 1.0 1.9 3.5 -1.0 -5.7 50 51 Other U.S. Govt. securities.... 7.5 -.5 -1.3 .6 1.9 5.6 -1.6 -1.5 2.1 5.8 1.3 1.2 4.5 6.0 51 52 Pvt. credit mkt. instruments. . . 8.4 7.5 7.6 7.0 7.2 10.3 7.2 5.4 6.6 8.3 8.6 6.6 16.7 10.8 52 53 Less security debt .2 2 1.3 -.2 2.0 1.5 1.4 1.8 2.9 1.4 -.1 .6 -.9 53 III. Direct lending in credit markets 54 Total funds raised 52.3 35.0 46.9 58.3 62.3 45.7 59.1 59.8 72.9 54.2 62.4 67.2 77.7 65.7 54 55 Less change in U.S. Govt. cash.... .7 .9 * 1.3 -.4 -5.5 3.9 4.6 3.0 -7.6 -1.7 8.1 -.8 -4.1 55 56 Total net of U.S. Govt. cash 51.6 34.2 57.0 62.7 51.2 55.2 55.2 69.9 61.8 64.1 59.0 78.5 69.9 56 46.9 57 Funds supplied directly to cr. mkts... 51.6 34.2 46.9 57.0 62.7 51.2 55.2 55.2 69.9 61.8 64.1 59.0 78.5 69.9 57 58 Monetary authorities .5 .8 1.5 1.9 2.6 1.2 1.6 4.1 2.6 1.0 2.6 5.5 1.4 2.1 58 59 Total .3 .7 1.5 2.0 2.9 .6 2.3 5.3 2.2 1.9 2.1 5.1 2.1 2.5 59 60 Less change in U.S. Govt. cash. -.1 .1 .3 -.6 .6 1.1 -.4 .9 -.5 -.4 .7 .4 60 61 Commercial banks, net 3.7 8.0 15.5 18.1 19.7 16.2 20.6 15.6 22.5 18.4 22.1 11.7 23.8 18.7 61 62 Total 4.6 9.0 15.7 19.5 19.3 11.4 24.0 19.1 26.0 10.1 21.8 21.0 22.8 14.7 62 63 Less chg. in U.S. Govt. cash... .9 1.3 -.7 -4.9 3.3 3.5 3.4 -8.5 -1.2 8.5 -1.5 -4.5 63 64 Security issues .1 .2 .1 .3 .1 .1 .1 .9 .9 .5 .6 64 65 Nonbank finance, net 18.9 19.2 21.0 23.1 26.8 22.3 24.7 28.3 25.6 27.8 25.3 28.0 26.5 33.4 65 66 Total ,, 23.3 21.5 23.4 27.8 33.6 29.1 30.4 28.9 36.3 38.6 30.6 30.6 37.3 34.3 66 67 Less credit raised 6.9 6.8 5.7 10.6 10.9 5.3 2.6 10.7 67 4.4 2.4 2.4 4.7 .6 68 U.S. Government 2.7 1.6 3.2 2.5 3.6 4.5 2.8 5.1 2.6 69 Foreign 3.8 2.3 2.8 3.5 .5 .2 5.1 -2.2 -.7 4 2.3 1.2 69 3.4 1.2 .7 1.3 1.1 70 Pvt. domestic nonfin 21.4 2.7 5.5 9.2 10.3 9.9 4.7 6.1 11.5 13.2 10.4 11.5 19.6 12.0 70 71 Consumers 12.6 1.0 4.1 4.2 7.2 4.1 5.0 2.9 5.9 9.4 10.8 3.8 13.6 7.6 71 7 7 3 2 B St u . s a in n e d s s local govts 3 6 . . 1 0 -1 3 . . 9 3 2. . 5 2 2 2 . . 6 3 2 2. . 9 1 3 3. . 7 5 - 1 .9 .9 3 1. . 1 9 4 3 . . 6 9 4 1 . . 3 3 1.5 2 5 . . 3 3 2 4 . . 7 0 3. . 0 5 7 7 2 3 74 Less net security credit .2 -.3 1.3 2 2.0 1.5 1.4 1.8 2.9 1.8 c -.1 .6 74 \A For notes see second page following. NOTE.—Quarterly data are seasonally adjusted totals at annual rates. Data are revised from those published in Dec. 1964 BULL. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

178 FLOW OF FUNDS JANUARY 1965 3. PRINCIPAL FINANCIAL TRANSACTIONS (In billions of dollars) 1962 1963 1964 Transaction category, or sector 1959 1960 1961 1962 1963 ni IV I II III IV I 11 III I. Demand deposits and currency 1 Net incr. in banking system liability.. 1.1 * 5.4 4.4 5.0 -4.1 11.4 2.2 14.4 -4.2 7.6 9.9 8.5 2.1 1 2 U.S. Govt deposits .7 .9 1.3 -.4 -5.5 3.9 4.6 3.0 -7.6 -1.7 8.1 -.8 -4.1 2 3 Other .4 -.8 5.3 3.1 5.5 1.4 7.5 -2.4 11.5 3.4 9.4 1.8 9.4 6.2 3 4 Domestic sectors . • • .4 -.7 5.1 3.0 5.2 2.6 7.4 -2.8 10.8 3.1 9.6 .2 10.0 4.7 4 5 Households 1.6 -.9 1.1 .8 3.9 6.9 -1.4 1.1 7.4 3.2 4.0 5.1 -1.2 6.6 5 6 Nonflnancial business -2.5 -1.0 1.7 .8 -2.4 -.3 2.9 -2.6 -2.0 -1.6 -3.6 -5.3 8.1 -2.1 6 7 State and local govts .1 -1.1 .3 .9 3.2 -2.9 4.2 -.2 3.6 2.3 7.2 1.4 .8 1.9 7 8 Financial sectors .2 .5 1.1 1.1 .3 .6 1.9 c * .8 .7 -.1 .7 -.5 8 9 Mail float 1.0 1.7 1.0 -.6 .3 -1.6 -.3 -.6 1.8 -1.5 1.4 -.9 1.7 -1.2 9 10 Rest of the world * -.1 .2 .1 .3 — 1 2 1 4 .6 .3 -.3 1.6 -.6 1.5 10 II. Time and savings accounts 11 Net increase—Total 9.5 15.3 20.7 28.7 29.2 24.6 30.6 34.1 26.0 26.6 29.9 29.3 28.4 28.9 11 12 At commercial banks—Total 1.1 5.8 9.4 15.6 14.1 11.4 15.6 16.6 11.6 13.7 14.4 13.9 12.8 12.9 12 13 Corporate business -.4 .8 1.3 2.6 3.8 .9 2.5 3.6 2.2 3.6 5.9 5.9 2.9 4.5 13 14 State and local govts . .. -.4 1.4 .9 1.0 1.6 .9 .5 2.9 .3 1.5 1.9 .4 .8 2.4 14 15 Foreign depositors -.9 .3 .3 .6 1.0 .1 1 6 1 4 .9 .8 .8 1.0 1.3 1.0 15 16 Households 3.0 3.3 6.8 11.5 7.6 9.7 11.0 8.8 8.1 7.9 5.7 6.5 7.9 5.1 16 17 At savings institutions 8.4 9.5 11.3 13.1 15.1 13.2 15.1 17.5 14.4 12.9 15.5 15.4 15.6 16.0 17 18 Memo: Households total 11.4 12.8 17.9 24.4 22.6 23.0 25.8 25.6 22.8 20.8 21.1 21.3 23.3 21.2 18 III. U.S. Govt. securities 19 Total net issues . 9.5 -2.5 7.3 7.3 5.2 -2.2 5.2 10.5 12.3 -4.1 2.1 11.9 5.9 7.1 19 20 Short-term marketable 5.2 3.1 8.8 .5 1.4 -20.6 4.3 6.5 9.0 -10.5 .4 9.1 -.2 .8 20 21 Other 4.3 -5.6 -1.4 6.8 3.8 18.4 .9 4.0 3.3 6.4 1.7 2.7 6.1 6.3 21 22 Net acquisitions, by sector 9.5 -2.5 7.3 7.3 5.2 -2.2 5.2 10.5 12.3 -4.1 2.1 11.9 6.0 7.1 22 .3 .7 1.5 1.9 2.8 .8 2.0 5.4 2.4 1.8 1.6 5.4 2.1 2.6 23 24 Short-term -.8 -1.0 -1.1 2.0 4.9 3.3 2.9 13.5 7.8 .4 -1.9 5.0 -2.8 6.5 24 25 Commercial banks -7.8 1.7 5.4 .8 -2.5 -6.9 1.7 4.0 -.1 -13.5 -.6 1.3 -2.9 -1.8 25 26 Short-term direct -3.7 7.0 9.3 -5.2 -3.6 -22.0 -2.3 -5.2 -3.3 -10.2 4.5 2.3 2.0 -2.4 26 27 Other direct -3.6 -5.2 -4.1 5.2 .5 14.2 2.7 10.2 2.0 -4.0 -6.2 .7 -5.9 -.4 27 28 Non guaranteed — .5 _ 1 3 .8 5 g 1 3 — 1 1 1.3 .7 1.1 -1.7 .9 28 .8 -.3 .8 1.3 -.7 2.6 1.8 -2.5 -1.2 3.2 -2.2 2.0 2.2 3.1 29 30 Short-term direct .2 1.2 1.6 .7 -1.3 .8 2.1 -4.1 -1.3 2.1 -1.8 .4 2.3 .2 30 31 Other direct .2 -1.7 o .5 .5 1.2 * 1.8 * .6 -.6 1.6 A 2.5 31 33 Foreign . . .. 3. . 0 4 .2 5 ]l 4 1 2 .2 6 .5 4 3 8 - 1 .2 2 3. 14 -2. . 4 6 . .1 2 -1.5 .1 ' .9 .3 3. . 0 3 3 3 2 3 34 Short-term 2.1 •» 2.0 -.7 2.5 1.4 1.2 -2.6 -1.1 -1.2 .2 3.0 34 3 3 5 6 Pv S t. h d o o rt m -t e e s r t m ic d n i o r n ec fi t n. sectors 1 7 3 . . 4 2 - - 5 4 ! .3 l -'.$ 2 1 . . 0 0 2 5. . 1 0 -5 1 .2 .0 -1.2 .2 2 2 i . 5 6 7 4 . . 8 6 - 6 .1 .8 3. . 2 7 4 2 . . 7 7 -1 3 . . 9 6 -6. . 6 2 3 3 6 5 37 Other direct 5.3 4 -l!6 * 1.0 4.8 — 1.6 .7 * 4.2 -.8 1.9 2.9 6.7 37 2.2 -.1 .3 .6 .9 .8 * -2.2 2.1 1.5 2.1 -.6 1.6 -.7 38 39 Savings bonds Households .. — 1.8 — .3 .8 .4 1.2 6 2 1 4 1.1 1.1 1.2 .8 .9 .8 39 IV. Other securities 40 Total net issues, by sector 11.7 11.1 13.7 11.7 13.0 9.5 9.8 13.2 13.6 14.0 11.4 13.2 16.5 14.6 40 4 4 4 2 3 1 C N St o o a m n te f m in a e a n r n d c c i l i a o a l l c b a c l a o n g r k p o s o vt r s a t . ions 4 5 . . 5 3 1 3 5. . 3 6 1 4 7 . . 9 3 2 5 5 . . 0 3 1 6 3 . . 7 4 3 4 4 . . 3 6 4 3 . . 1 3 1 5 5 . . 6 0 • 7 2 . . 0 8 1 7 4 . . . 5 2 1 6 1 . . . 6 9 7 4 6 . . . 2 5 9 5 6 . . . 9 9 5 7 5 . . . 5 1 6 4 4 4 1 3 2 44 Finance companies . • • 1.1 1 5 5 .3 1 6 2 7 4 1.9 1.7 2.4 1.7 2.4 1.5 44 45 Rest of the world .8 .6 .8 1.0 1.0 .4 1.7 2.1 1.8 -.2 -.1 .8 * 45 46 Net purchases 11.7 11.1 13.7 11.7 13.0 9.5 9.8 13.2 13.6 14.0 11.4 13.2 16.5 14.6 46 4 4 7 8 H St o a u te s e a h n o d l d l s ocal govts 3 1 . . 2 0 2 2 .2 1 2 1 . 4 8 - 1 .6 .2 « 1 1 . 2 3 -1 1 . 4 5 18 -3 1 . . 4 5 1 1 . . 0 0 1. .9 0 - 1 .1 .0 6 1 . 0 5 1 1 . . 2 9 4 4 8 7 .3 .4 2.6 4.4 51.32 3.5 3.8 5.6 5.8 6.1 3.3 4.7 .8 5.8 49 50 Insurance and pension funds 7.2 7 l 8 0 7.5 7.7 5 7 7 4 7 5 8.4 7.7 7.1 8.9 8.7 8.4 50 — 9 9 1 3 7 2 3 1 4 1 3 1.1 -2.0 -1.3 5 -2.2 51 52 Security brokers and dealers... 2 -.4 Y * —. 2 « -.9 -1.1 1.0 -1.1 -1.0 .6 -2.0 52 *7 5 5 g e 2 1 -.9 -i!o -.3 -1.1 -.2 53 54 Portfolio purchases 1.2 1 0 1 4 1.1 8 1 5 .4 .9 .9 9 .6 1.6 54 55 Net issues of own shares.... 1.8 1 5 2.0 1.9 1.3 1.6 I 0 .6 .8 1.8 1.8 .4 1.6 1.9 55 56 Rest of the world .4 3 . 2 .1 * * <j .1 — .2 .1 -.4 56 *2| V. Mortgages 57 Total net lending 19.1 16.0 19.5 25.3 29.3 25.9 28.2 25.4 29.7 31.2 31.0 27.6 30.3 31.2 57 58 1- to 4-family 13.2 10.4 11.8 13.4 15.7 13.8 14.1 14.C 16.4 16.9 15.6 15.1 16.1 16.6 58 59 In process .1 -.1 .4 .4 .3 .6 .6 — .A -.4 59 60 Disbursed 13.0 10.5 11.4 13.0 15.2 13.4 13.5 13.5 15.8 16.3 15.1 15.3 16.5 16.9 60 61 Other 5.9 5.6 7.7 11.9 13.6 12.1 14.1 11.4 13.4 14.3 15.4 12.5 14.3 14.7 61 62 Net acquisitions 19.1 16.0 19.5 25.3 29.3 25.9 28.2 25.4 29.7 31.2 31.0 27.6 30.3 31.2 62 63 Households 1.8 2.1 2.4 4.C 4.3 4.1 5.6 3.5 4.5 4.S 3.S 4.0 5.3 63 64 U.S. Government 2.2 .6 -1.0 -1.3 -1.9 .8 .1 64 65 Commercial banks 2.5 .7 1.6 4.0 4.9 4.5* 4.4 4.2 5.6 5!: 4.i 4!f 4.6 4.7 65 66 Savings institutions 9.6 8.9 11.0 13.2 16.0 13.4 13.9 15.3 16.4 16.5 16.0 14.6 14.8 15.4 66 67 Insurance 2.4 2.9 2.7 3.0 3.9 3.0 4.2 3.: 3.7 4.1 4.4 4.: 4.5 5.1 67 .1 • .6 < .8 .6 1.1 1.1 1.0 1.2 .2 68 VI. Bank loans n.e.c. 69 Total net borrowing 7.2 2.8 3.0 6.5 8.1 6.1 7.8 1.9 9.0 8.5 13.1 6.7 13.9 2.4 69 7 7 1 0 N N o o n n f b l a n n an k c f ia in l a b n u ce siness 5 1 . . 1 6 2.] 1. . 7 1 4 l. . ( 6 5 1 . . 6 7 5. . 0 4 2 5 . . ( 3 i!: 6 1 . . 6 3 5 2. . 1 7 1 1 0 . . 9 0 4.1 9 3 . . 7 6 -1 2 . . 4 2 7 7 ! 0 .1 .6 * .6 1.4 2'.: .6 1.2 72 For notes see following page. NOTE.—Quarterly data are seasonally adjusted totals at annual rates. Data are revised from those shown in Dec. 1964 BULL. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 FLOW OF FUNDS 179 Notes to Table 2 business, and state and local govts. Line 50 includes household savings I. Saving and investment. Derived statistically from Commerce Dept. bonds as well as marketable issues; see Table 3, line 39. Line 52 includes income and product accounts. Tables presenting the relation to those consumer credit and open-market paper in addition to private securities accounts are available on request. Gross national saving (line 1) is the and mortgages. Line 53 is net of free credit balances at brokers. sum for domestic sectors of gross-saving entries in Table 4. It is before III. Direct lending in credit markets. Monetary authority total is deduction of capital consumption allowances. Govt. saving is net of Table 4(G), lines 5 less 14. Commercial-bank total, line 62, is Table public outlays for capital goods as well as current operations. Gross 4(H), line 5; includes security credit. Nonbank finance totals include national investment (line 8) is gross private domestic investment in in- security credit both in lending and funds raised and exclude investment come-and-product accounts plus consumer durables plus net foreign company shares on both sides; line 66 is lines 3 and 4 of Table 4(1), less investment. Net foreign investment differs from corresponding income- line 4 of 4(1.8), and line 67 is line 7 of Table 4(1) plus line 5 of 4(1.7) less and-product series by amount of errors and omissions in balance of pay- line 4 of (1.8). Line 70 is the net sum of lines 50-53 in Table 2-II. ment statement. Relation of saving-investment discrepancy to flow of funds matrix is Notes to Table 3 described in Aug. 1959 BULL., p. 859. I. Demand deposits and currency. Lines 5-8 are holder record; line 9 II. Financial flows-summary. This table is described in Nov. 1962 is difference between holder and bank record. BULL., p. 1405. Total net funds raised (line 17) is borrowing through III. U.S. Govt. securities. All holdings stated in par values; excludes credit markets (line 25 of Table 1) by households, nonfinancial business, special issues to international organizations and includes nonguaranteed govts., and foreign. Credit market funds raised by all sectors consists of issues of Govt. agencies. Short-term category consists of direct marketline 17 plus financial-sector borrowing (Table 4-1, line 7). able issues due in less than one year plus part of those due in less than U.S. Govt. short-term securities are direct marketable issues due in less two years. than one year and part of those due in less than two years. For further IV. Other securities. Total excludes open-end investment co. shares; detail see Table 4(E), lines 26-29. these are shown as a deduction on line 55, offsetting net purchases of Demand deposits on lines 39 and 46 are on bank-record basis rather such shares included in the other lines (mainly consumer) under "net than holder records shown in Table 4. Difference is described in Aug. purchases." Net purchases includes small amounts for mutual savings 1959 BULL., p. 852 ff. Foreign funds consist of lines 8-12 of Table 4(J). banks and nonfinancial corporations not shown separately. Sources n.e.c. (line 42) is mainly financial institution net sources of funds V. Mortgages. Loans in process at savings and loan associations are other than deposits, insurance and pension reserves, security credit, and included in totals outstanding and treated as savings and loan liability. credit mkt. funds. Line 62 includes holdings by State and local govts. not shown separately. Private domestic nonfinancial sectors (line 43) consists of acquisition Line 69 includes liability of consumers not shown separately. of deposits and credit market instruments by households, nonfinancial 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS (In billions of dollars) 1962 1963 1964 Category 1959 1960 1961 1962 1963 in iv II III IV in (A) Households i 1 Personal income 383.9 401.3 417.6 442.4 464.1 444.5 449.6 455.1 460.1 466.4 474.6 480.9 487.9 494.5 2 Less: Personal taxes & nontaxes.... 46.8 51.4 52.9 57.9 61.6 58.5 59.3 60.1 61.1 61.9 63.3 61.4 57.7 58.7 3 Consumption 313.5 328.2 337.3 356.8 375.0 358.5 364.0 369.2 372.0 377.4 381.3 390.0 396.1 404.6 4 Equals: Personal saving 23.6 21.6 27.3 27.8 27.5 27.5 26.3 25.9 27.1 27.1 30.0 29.5 34.0 31.1 5 Less: Saving by mutual finance 2.., 1.2 1.6 2.0 2.1 2.1 2.1 2.1 2.1 2.1 2.1 2.1 2.1 2.2 2.3 6 Plus: Dur. goods in consumption.., 43.6 44.9 43.7 48.4 52.1 48.4 50.2 51.1 51.5 52.2 53.6 55.9 57.0 58.7 7 Hshold capital consumptions. 4.9 5.3 5.7 6.1 6.5 6.1 6.1 6.3 6.4 6.6 6.8 6.8 6.9 6.9 8 Credits from Govt. insur. *... 2.8 3.2 3.2 3.6 4.1 3.4 3.9 3.9 4.5 4.0 4.1 4.3 4.6 4.6 9 Equals: Household gross saving.... 73.7 73.5 78.0 83.9 88.2 83.3 84.3 84.9 87.4 87.8 92.4 94.5 100.3 98.9 10 Gross investment (11+15) 79.4 73.6 82.9 90.3 94.4 92.7 89.7 88.9 95.3 94.1 99.2 96.5 103.1 105.2 10 11 Capital expend, (net of sales) 65.7 66.5 63.7 69.8 74.0 70.1 72.6 72.6 73.0 74.5 76.0 78.4 79.9 81.8 11 12 Residential construction 19.2 18.4 16.7 17.9 18.2 18.1 18.7 17.9 17.8 18.5 18.7 18.7 19.0 19.3 12 f 3 Consumer durable goods 43.6 44.9 43.7 48.4 52.1 48.4 50.2 51.1 51.5 52.2 53.6 55.9 57.0 58.7 13 14 Plant and equip, (nonprofit)..., 2.9 3.1 3.3 3.5 3.7 3.6 3.7 3.7 3.7 3.7 3.7 3.7 3.8 3.9 14 15 Net finan. investment (16-34) 13.7 7.1 19.2 20.5 20.3 22.5 17.1 16.2 22.3 19.6 23.2 18.1 23.2 23.4 15 16 Net acquis. of finan. assets 5..., 34.4 23.8 35.0 40.5 45.6 43.5 41.5 39.7 48.5 47.2 47.1 41.8 48.7 48.8 16 17 Demand dep. and currency., 1.6 n 1.1 .8 3.9 6.9 -1.4 1.1 7.4 3.2 4.0 5.1 -1.2 6.6 17 18 Savings accounts , 11.4 12!8 17.9 24.4 22.6 23.0 25.8 25.6 22.8 20.8 21.1 21.3 23.3 21.2 18 19 At commercial banks 3.0 3.3 6.8 11.5 7.6 9.7 11.0 8.8 8.1 7.9 5.7 6.5 7.9 5.1 19 20 At savings institutions 8.4 9.6 11.1 12.9 14.9 13.3 14.8 16.8 14.7 13.0 15.4 14.8 15.5 16.1 20 21 Life insurance reserves 3.4 3.3 3.4 3.8 4.3 3.8 4.0 4.1 4.2 4.4 4.5 4.6 4.7 4.8 21 22 Pension fund reserves 8.3 8.1 8.6 8.9 10.1 7.7 8.6 8.4 10.7 11.0 10.1 10.6 11.1 9.7 22 23 Cr. and equity mkt. instr.. . , 12.6 1.0 4.1 4.2 7.2 4.1 5.0 2.9 5.9 9.4 10.8 3.8 13.6 7.6 23 2 2 5 4 U. S S a . v G in o g v s t . b s o e n c d u s r ities , , -1 7 . . 8 5 - - 3 . . 3 2 !8 »r . . 8 4 3 1. . 2 4 -1.2 .6 . . 7 2 1.4 * 4 1 . . 8 1 4 1 . . 0 1 5 1 . . 0 2 #.8 1 3. . 6 9 .4 2 2 4 5 26 Short-term mkt 2.8 -2.8 -.6 .5 2.6 -2.6 1.7 5.3 -.6 4.0 1.7 .3 -4.5 26 2 2 7 8 O N t o h n e g r u d a i r r a e n c t t eed , 4 1 . . 6 9 -.1 * -1.0 .2 -.6 .4 -1.3 .9 .7 * -1.1 * - - 4 2 . . 6 1 2 1 . . 5 8 -2 1 . . 2 1 2.1 * -1.1 11 5 1 . . 6 6 -1.0 .5 2 2 7 8 29 State and local oblig 1.8 1.8 .9 -.1 1.4 .7 -.5 2 1.0 1.4 3.5 -1.2 3.9 .5 29 30 Corporate and fgn. bonds. .4 .1 .5 .6 .8 .7 -.4 1.4 -.5 .4 1.9 .8 -.2 2.6 30 31 Corporate stock 1.1 .3 .9 -1.1 -2.7 2 -.5 -1.7 -3.9 -.8 -4.6 .2 2.3 -1.2 31 32 Mortgages 1.8 2.1 2.4 4.0 4.3 4!l 5.6 3.5 4.5 4.3 4.9 3.8 4.0 5.3 32 33 Net invest, in noncorp. bus... -3.1 -1.2 -.9 -2.2 -2.8 -2.1 -1.3 -2.3 -2.8 -2.8 -3.3 -3.5 -3.0 -2.6 33 34 Net increase in liabilities 20.7 16.8 15.7 20.0 25.3 21.0 24.3 23.4 26.2 27.6 24.0 23.7 25.5 25.4 35 Households 20.0 16.2 14.8 18.9 24.3 19.5 22-9 22.0 25.2 26.6 23.3 22.9 24.8 24.4 3 6 Credit market instruments 19.8 16.2 13.3 18.9 22.2 18.4 21.1 20.8 22.3 23.6 22.0 23.2 24.3 24.3 37 1 - to 4-family mortgages 12.9 11.0 11.1 12.8 14.9 12.6 14.2 13.9 15.3 15.5 14.8 16.1 16.4 16.7 38 Consumer credit 6.4 4.5 1.7 5.5 6.7 5.1 6.4 6.3 6.9 7.1 6.5 6.5 7.2 7.3 39 Other loans 6 .5 .7 .6 .6 .6 .6 .5 .5 .9 .6 .6 .8 .3 * -.1 1.3 -.1 2.0 1.0 1.7 1.1 2.1 2.8 1.2 -.5 .3 -.1 40 Security credit .7 .5 .9 1.1 1.0 1.4 1.4 1.4 1.0 1.0 .6 .8 .7 1.0 41 41 Nonprofit organizations i.. -5.7 -.1 -4.9 -6.5 -6.2 -9.4 -5.4 -4.0 -7.9 -6.2 -6.7 -2.1 -2.8 -6.3 42 42 Discrepancy (9-10) For numbered notes see p. 185. Data are revised from those shown in Oct. 1964 BULL. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

180 FLOW OF FUNDS JANUARY 1965 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (In billions of dollars) 1962 1963 1964 Category 1959 1960 1961 1962 1963 III IV II III IV III (B) Nonfinancial business—Total i 1 Income before taxes 2 89.6 91.0 96.6 100.1 96.6 97.4 97.8 98.7 100.6 103.2 106.3 108.3 109.0 1 2 Gross saving 45.4 44.5 44.9 50.9 53.4 51.6 53.2 52.8 52.9 54.3 53.5 55.9 57.3 58.3 2 3 Gross investment 38.0 40.2 41.0 45.4 47.7 44.0 47.3 47.1 45.1 52.3 46.4 52.8 52.1 55.7 4 Capital expenditures 49.8 49.6 48.0 57.1 59.1 58.0 57 2 55.7 58.0 59.4 63.4 62.2 63.8 63.5 5 Fixed investment 43 3 46.1 46.1 51.2 54.7 52.9 51.8 52.1 54.3 55.3 57.0 59.8 60.1 60.7 6 Business plant & equipment. 40.1 43.5 41.7 45.5 47.7 46.7 46.6 45.7 47.0 48.4 49.5 51.5 52.9 54.3 7 1-4 family residential const. 3 -.5 .4 .1 .4 4 - 8 .6 .4 .6 .3 -.3 -.8 8 Other residential 2.9 3.1 4.0 5.6 6.6 5.8 6.0 6.4 6.8 6.5 6.9 7.9 7.5 7.2 9 Change in inventories 4 6.6 3.5 1.9 5.9 4.4 5.1 5.4 3.6 3.6 4.2 6.4 2.5 3.7 2.8 10 Net financial investment 11.8 -9.4 -7.0 -11.6 -11.4 -14.1 -9.9 -8.6 -12.9 -7.2 -16.9 -9.5 -11.7 -7.8 11 Net acquis. in finan. assets 12.6 7.9 17.5 16.6 17.9 19.6 9.9 18.9 22.0 18.5 12.2 13.9 24.3 25.0 12 Net increase in liabilities 7 24.4 17.3 24.4 28.3 29.4 33.6 19.7 27.5 34.9 25.7 29.2 23.4 36.0 32.9 13 Credit mkt. instr 17.4 14.5 17.2 23.1 24.1 24.9 22.6 17.3 25.8 25.5 27.7 24.2 36.3 22.7 14 Securities 5.3 7.3 5.3 3.4 4.6 4.1 5.0 2.8 4.2 1.7 6.5 6.9 5.1 15 1-4 family mortgages — .4 .3 1 3 8 — 6 — 3 5 .8 3 — 8 .1 .2 16 Other mortgages 5.7 5.4 7.4 11.4 13.1 11.7 13.5 11.0 12.9 13.8 14.8 12.1 13.8 14.1 17 Bank loans n.e.c 5.1 2.7 1.7 4.6 5.6 5.0 5.3 .2 6.6 5.7 10.0 4.7 9.7 2.2 18 Other loans 7 1 ? 1.5 .5 1.6 1.6 2 8 .3 1 5 3.1 1.0 1.0 1.7 5.8 1.1 19 Trade debt 4.1 2.3 5.0 3.5 4.3 7.1 -5.5 10.8 3.6 1.2 1.4 2.3 .3 10.1 20 Other liabilities 2.9 .5 2.2 1.7 1.0 1.6 2.6 -.6 5.5 -1.0 * -3.1 -.6 .1 21 Discrepancy 7.5 4.3 3.9 5.4 5.7 7.7 5.9 5.7 7.9 2.0 7.1 3.2 5.2 2.6 21 (C) Noncorporate nonfinancial business 1 Net income 2 52.2 52.1 54.0 55.6 56.6 55.5 55.6 56.3 56.0 56.6 57.4 57.1 57.7 58.1 2 Gross saving 5 11.7 11.9 11.8 12.4 14.0 12.5 12.9 13.4 13.9 14.3 14.5 12.8 13.1 13.6 3 Gross investment 11.7 11.9 11.8 12.4 14.0 12.6 12.9 13.4 13.9 14.3 14.5 12.8 13.1 13.6 3 4 Capital expenditures 15.1 15.2 15.6 18.1 19.3 19.0 19.3 17.4 18.9 19.5 21.4 18.4 20.0 20.8 4 5 Fixed investment 6 9 14.7 14.4 15.0 16.9 18.1 17.5 17.5 17.4 18.1 18.2 18.9 19.0 18.8 19.2 5 6 Change in inventories 4 .5 .8 .6 1.2 1.2 1.5 1.7 .8 1.3 2.5 -.6 1.2 1.6 6 7 Net financial investment -3.5 -3.3 -3.8 -5.7 -5.3 -6.4 -6.3 -4.0 -5.0 -5.2 -6.9 -5.6 -6.9 -7.3 8 Net acquis. in finan. assets -.9 -.1 .5 .6 .6 .7 1.3 1.0 .7 .5 .1 * 1.3 -.1 9 Net increase in liabilities 7 2.6 3.2 4.3 6.3 5.9 7.2 7.7 5.0 5.7 5.7 7.1 5.6 8.2 7.1 10 Credit mkt. instr 5.8 4.1 5.5 8.8 10.5 9.4 9.6 7.2 11.6 11.1 12.3 11.3 14.0 9.9 11 Mortgages 3.3 2.7 4.3 6.2 7.2 6.6 6.9 5.8 7.4 7.9 7.9 6.5 7.9 7.8 12 Bank loans n.e.c 1.5 .8 1.0 1.7 2.1 1.3 2.2 .1 2.4 2.4 3.4 3.6 3.1 1.3 13 Other loans 7 8 .9 .6 .2 .9 1.2 1.5 .6 1.3 1.9 .7 1.0 1.2 3.0 .8 14 Trade debt, net 1 .3 -.3 -.4 -1.8 -.2 -.6 \ -3.1 -2.5 -1.9 -2.1 -2.8 -.1 15 Proprietors'net investment.... -3A -1.2 -.9 -2.2 -2.8 -2.1 -1.3 -2.3 -2.8 -2.8 -3.3 -3.5 -3.0 -2.6 (D) Corporate nonfinancial business 1 Profits 40.8 37.5 37.0 41.0 43.5 41.1 41.9 41.5 42.7 44.0 45.8 49.2 50.6 50.9 1 2 Profits tax accruals 20.7 19.1 19.4 20.4 21.7 20.3 20.8 20.6 21.6 21.6 23.1 22.5 23.1 23.1 2 3 Net dividend payments 11 10.3 11.0 11.0 12.2 13.8 12.5 12.2 13.1 13.6 13.6 14.8 15.0 15.3 15.4 3 4 Net saving (1-2-3) 9.8 7.3 6.6 8.4 8.0 8.4 8.9 7.8 7.5 8.7 7.9 11.7 12.3 12.4 4 5 Capital consumption 24.0 25.3 26.5 30.0 31.4 30.6 31.4 31.6 31.5 31.3 31.1 31.5 31.9 32.4 5 6 Current surp.= gross saving (4-J-5). 33.8 32.6 33.1 38.4 39.4 39.0 40.3 39.4 39.0 40.0 39.1 43.2 44.2 44.7 6 7 Gross investment 26.3 28.3 29.3 33.0 33.7 31.4 34.4 33.7 31.1 38.0 31.9 40.0 38.9 42.1 7 8 Capital expenditures 34.7 34.4 32.4 39.0 39.8 39.0 37.9 38.3 39.0 39.9 41.9 43.8 43.8 42.7 8 9 Fixed investment 28.6 31.7 31.1 34.3 36.5 35.4 34.2 34.8 36.2 37.1 38.1 40.8 41.3 41.6 9 10 Plant and equipment 27.0 30.4 28.9 31.5 33.0 32.3 31.6 31.5 32.6 33.6 34.3 36.7 37.7 38.3 10 11 Residential construction 1.6 1.3 2.2 2.9 3.5 3.1 2.6 3.2 3.7 3.4 3.7 4.1 3.6 3.2 11 12 Change in inventories 4 6.1 2.7 1.3 4.7 3.3 3.6 3.7 3.5 2.8 2.9 3.8 3.1 2.5 1.1 12 13 Net financial investment -8.4 -6.1 -3.2 -6.0 -6.1 -7.6 -3.6 -4.6 -7.9 -1.9 -10.0 -3.8 -4.9 -.6 13 14 Net acquis. of finan. assets 12... 13.5 8.0 17.0 16.0 17.3 18.8 8.5 18.0 21.3 18.0 12.1 13.9 22.9 25.2 14 15 Liquid assets 2.2 -2.4 2.7 3.6 1.8 A 5.3 1.0 1.0 2.1 3.0 1.8 9.0 .7 15 16 Demand dep. and curr — 12 4 1.6 .8 -2.4 -.6 2.2 -3.2 -2.2 -1.4 -3.1 -4.9 8.2 -2.3 16 17 Time deposits -'.4 !8 1.3 2.6 3.8 .9 2.5 3.6 2.2 3.6 5.9 5.9 2.9 4.5 17 18 U.S. Govt. securities 3.8 -2.8 -.2 .2 .4 .1 .6 .6 .9 -.2 .1 .8 -2.1 -1.5 18 19 Consumer credit .8 .2 .1 .9 .7 .9 .8 -.2 1.6 .9 .4 .4 1.4 1.0 19 20 Other loans (finance paper)... .5 .6 .1 .8 .7 2.3 .1 .5 1.8 .1 .5 .9 2.2 1.5 20 21 Trade credit 7.0 6.4 9.5 7.9 8.1 12.2 -.6 12.6 8.3 8.1 3.5 9.2 4.9 15.9 21 22 Other financial assets 13 2.3 3.4 4.6 2.9 6.1 3.1 2.8 4.1 8.6 6.8 4.7 1.6 5.5 6.1 22 23 Net increase in liabilities 21.8 14.1 20.2 22.0 23.4 26.5 12.1 22.6 29.2 19.9 22.1 17.7 27.8 25.7 23 24 Cr. and equity mkt. instr 11.6 10.4 11.7 14.3 13.6 15.5 13.0 10.1 14.2 14.4 15.4 12.9 22.2 12.8 24 25 Corporate bonds 3.0 3.5 4.6 4.7 3.7 4.2 3.8 5.0 2.7 3.5 3.6 3.9 3.5 4.0 25 26 Corporate stock 2.3 1.8 2.7 .5 -.3 .4 .3 * .7 -1.9 2.6 3.3 1.1 26 27 Mortgages 2.5 2.2 3.5 5.4 6.2 5.9 6.0 4.8 6.*0 6.7 7.1 4.8 6.0 6.5 27 28 Bank loans n.e.c 3.5 1.9 .7 2.9 3.5 3.7 3.1 .1 4.2 3.2 6.6 1.0 6.6 .9 28 29 Other loans 14 .3 .9 .3 .7 .4 1.3 -.3 .2 1.2 .3 * .5 2.8 .3 29 30 Profit tax liability 2.5 -2.2 .9 .9 1.4 1.3 -.3 -1.1 4.2 1.4 1.2 -.2 -2.3 * 30 31 Trade debt 4.2 2.0 5.4 3.9 6.1 7.3 -4.8 10.7 6.7 3.7 3.3 4.4 3.1 10.2 31 32 Other liabilities 3.5 3.9 2.2 3.0 2.4 2.4 4.2 2.8 4.1 .5 2.2 .6 4.7 2.7 32 33 Discrepancy 7.5 4.3 3.9 5.4 5.7 7.7 5.9 5.7 7.9 2.0 7.1 3.2 5.2 2.6 33 34 Memo: Net trade credit 2.9 4.4 4.2 4.0 2.0 4.8 4.3 1.9 1.6 4.4 .2 4.8 1.8 5.7 34 35 Profits tax payments 15 18.5 21.2 18.8 20.0 21.0 20.7 20.3 21.0 21.8 20.1 21.0 22.7 26.5 22.5 35 For numbered notes see p. 185. Data are revised from those shown in Oct. 1964 BULL. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 FLOW OF FUNDS 181 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (In billions of dollars) 1962 1963 1964 Category 1959 1960 1961 1962 1963 III IV II III IV III (E) U.S. Government i 1 Tax receipts (net of refunds) , 75.4 79.0 80.1 85.9 90.6 86.4 87.6 88.0 90.0 90.9 93.7 90.9 88.1 89.1 1 2 Individual income , 40.4 44.0 45.1 49.1 51.9 49.6 50.2 50.7 51.5 52.2 53.4 51.2 47.3 48.1 2 3 Corp. profits tax accruals 22.0 21.0 20.9 21.8 23.0 21.7 22.3 21.9 22.9 22.9 24.4 23.9 24.4 24.4 3 4 Other 13.0 14.0 14.1 15. 15.6 15.0 15. 15.4 15.5 15.7 15.9 15.9 16.4 16.6 4 Social insurance programs 2 5 Premiums received 13.0 15.7 16.3 18.5 20.9 18.6 18.7 20.5 20.8 21.1 21.3 21.7 22.0 22.5 6 Benefits paid 12.9 14.1 16.8 17.3 18.2 17.2 18.0 18.9 17.8 17.8 18.2 18.9 18.5 18.5 Life insur. & retirement programs 3 7 Premiums received 1.9 1.9 2.0 2.0 2.1 2.0 2.0 2.0 2.1 2.1 2.2 2.2 2.2 2.2 7 8 Benefits paid 2.4 2.6 2.9 2.9 3.1 2.9 2.9 2.9 3.1 3.2 3.3 3.2 3.1 8 9 Net grants and donations paid 4... 16.1 16.2 18.8 20.2 21.5 20.0 20.6 20.7 21.2 21.7 22 22.6 23.1 23.8 10 Net interest paid 6.4 7.1 6.7 7.1 7.7 7.3 7.4 7.6 7.5 7.8 7 8.3 8.4! 8.4 11 Net purchases of goods & services. 53.6 53.1 57.4 62.9 64.7 62.5 63.9 65.2 64.3 64.4 64.9 64.3 67.1 65.5 12 Net surplus -1.1 3.5 -4.3 -4.1 -1.5 -2.9 -4.4 -4.8 -1.0 -.8 .5 -2.6 -7.8 -5.3 13 Credits imputed to consumers 5 .9 1.1 1.0 1.1 1.4 .9 1.2 1.2 1.8 1.2 1.3 1.4 1.6 1.5 14 Gross saving -2.1 2.4 -5.2 -5.2 -2.9 -3.7 -5.6 -5.9 -2.8 -2.0 -3.9 -9.5 -6.9 15 Net finan. investment (16-23) -3.0 2.2 -5.1 -2.1 -3.5 -6.8 -4.2 .2 2.4 -.6 -8.3 15 16 Net acquis. of finan. assets 6.9 1.9 3.9 4.5\ 3.9 -4.6 6.3 6.1 7.8 -4.1 5,9 11.0 2.2 16 17 Demand deposits & currency.. .7 .9 .3 1.0 -.3 -4.7 1.6 4.2 3.2 -8.3 -A 8.3 -1.6 -1.8 17 18 Credit market instruments.... 3.8 2.3 2.8 3.5 2.7 1.6 3.2 .2 2.5 3.6 4.5 2.8 5.1 2.6 18 19 Mortgages 2.2 1.2 .6 .3 -1.0 * 3 -1.3 -1.9 -.4 -.4 .3 .8 .1 19 20 Other loans 1.6 1.1 2.2 3.1 3.7 1.5 4.5 4.0 4.8 2.5 4.3 2.5 20 Excess of tax accruals over 1.7 21 receipts 2.0 -1.6 .3 .3 .7 -.3 1.0 .1 * 1.3 1.4 -.7 -3.7 .6 21 22 Other financial assets 6 .3 .2 .5 -.3 .9 -1.2 .5 1.6 2.0 -.6 .5 .3 .9 22 23 Net increase in liabilities 9.9 o 9.0 9.0 6.0 -1.1 8.1 12.9 12.0 -4.3 3.5 11.6 6.6 Life insurance and retirement 70.6 23 24 reserves .9 1.1 1.0 1.4 .9 1.2 1.2 1.8 1.2 1.3 1.4 1.6 25 U.S. Govt. securities? 9.5 -2.5 7.3 7.3 5.2 -2.2 5.2 10.5 12.3 -4.1 2.1 11.9 5.9 1.5 24 2 2 7 6 S S h vg o s rt . - b te o r n m d s d 8 irect 9 -1 5 . . 8 2 - 3 . . 3 1 8. . 8 8 . . 4 5 1 1 . . 2 4 -20. . 6 6 4. . 3 2 6 1 . . 5 4 9 1 . . 0 1 -10 1 . . 5 1 1. . 2 4 9. . 1 8| * Q 2 7. . 1 8 2 2 5 6 28 Other securities 3.9 -5.3 -.29 4.8 l.l 15.6| -.3 6.1 -1.3 2.5 -2.9 4.1 .8 27 29 Nonguaranteed issues 2.2 * .7 1.6 1.5 2.2 1.0 -3.5 3.5 2.8 -2.3 3.0 5.0 28 30 Other loans i o -.6 .5 .2 .2 A -.9 1.2 .3 -.7 -1.0 -1.0 4 .5 29 31 Other liabilities .6 .5 .4 1.2 .5 .9 -1.3 -.4 -.6 -K3 .6 30 1.4 31 32 Discrepancy (14-15) .9 .3 -.1 -.7 -.8 -.2 -3.9 .9 1.4 -2.3 -3.2 -3.3 -2.9 1.5 32 33 Memo: Corp. tax receipts, net.... 20.0 22.5 20.6 21.5 22.4 22.0 21.3 21.8 23.0 21.7 23.0 24.5 28.1 23.8 33 (F) State and local governments 1 1 Tax receipts 37.2 41.1 44.1 48.0 51.4 48.3 49.2 50.1 50.8 51.7 52.9 53.9 54.6 55.7 2 Social ins. and grants rec 9.4 9.3 10.4 11.5 13.0 11.5 11.9 12.2 12.5 13.3 13.9 13.9 14.6 14.9 3 Purch. of goods and services 43.6 46.5 50.6 53.5 57.9 53.6 55.0 56.4 56.8 58.5 60.0 60.9 62.5 64.1 4 Net interest & transfers paid 12 3.4 3.5 3.8 3.9 4.1 3.9 4.0 4.1 4.1 4.0 4.1 4.4 4.3 4.2 5 Net surplus .3 .4 2.1 2.4 2.4] 2.1 1.9 2.5 2.5 2.7 2.4 2.4 2.3 6 Less: Real estate purchases 1.5 1.6 \ 1.8 2.0 1.9 2.0 2.0 2.0 2.0 2.0 2.1 2.1 2.2 7 Retirement cr. to hsholds. 1.9 2.1 2!3 2.5 2.8 2.5 2.6 2.7 2.8 2.8 2.9 2.9 3.0 3.0 8 Equals: Gross saving -3.8 -3.3 -3.8 -2.2 _2.4 -2.1 -2.5 -2.8 -2.2 -2.3 -2.1 -2.6 -2.7 -2.9 9 Net financial investment ((1)0—18) . . -3.7 -2.4 -3.9 -3.6 -2.0 -5.6 -3.2 -2.1 -2.2 -2.7 -1.0 * -3.7 -3.3 9 10 Net acquis. of finan. assets 3.0 3.7 5.7 4.5 7.9 1.6 3.8 6.6 7.8 8.2 8.8 7.3 5.6 7.3 10 11 Liquid assets 1.6 .7 1.0 2.4 .1 -1. 2.6 2.3 7.6 2.7 8.0 2.^ 4. 2.8 11 12 Demand deposits and cur... .1 -1.1 .3 9 3.2 -2.9 4.2 -.2 3.6 2.3 7.2 1.4 1.9 12 13 Time deposits .4 1.4 .9 \\0 1.6 .9 .5 2.9 .3 1.5 1.9 .4 2.4 13 14 Short-term U.S. Govt. sec.. 1.9 .5 —.2 5 .3 .3 -2.0 -.4 3.8 -1.1 -1.1 .4 3.3 -1.5 14 1 1 1 5 6 7 S O O t t t a h h t e e e r r a ^ U nd .S l . o G ca o l v o t. b l s i e g c a u ti r o it n i s es.. . 1 . . . 1 1 2 2. . . 4 4 1 2 . . * 3 4 — 1 . . 5 3 8 — 2 1. . . 0 4 0 1. 3 -.5 ! 3 - 2 2 .2 . . 3 2 - - 1 2 . . 6 . 7 4 - 4 1 .2 . . 0 6 — 2 . . . 8 6 1 - 3 1 . . . 2 4 6 j 2 2 - 2 1 .2 . . 9 8 1 1 1 6 5 7 2.\ 18 Net increase in liabilities 6.7 6.7 7.6 8.2 9.9 7.3 7.0 8.8 10.0 10.9 9.9 7.4 9.3 10.7 19 State and local obligations 4.5 3.6 4.9 5.0 6.7 4.3 3.3 5.6 7.0 7.5 6.6 4.2 5.9 7.5 20 Short-term .3 * .4 4 .7 .2 .9 .7 .9 .6 .6 .5 .5 1.3 21 Other 4.1 3.5 4.5 4!6 6.0 4.0 2.5 4.9 6.1 6.9 6.1 3.7 5.4 6.1 22 Employee retirement reserves. 1.9 2.1 2.3 2.5 2.8 2.5 2.6 2.7 2.8 2.8 2.9 2.9 3.0 3.0 23 Other liabilities 14 .3 .4 .4 7 .4 .4 1.0 .5 .3 .6 .4 .2 .5 .2 24 Discrepancy (8—9). * -.9 .1 1.4 -.3 3.6 .7 -.6 .4 1.1 -2.5 1.0 .4 24 For numbered notes see p. 185. Data are revised from those shown in Oct. 1964 BULL. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

182 FLOW OF FUNDS JANUARY 1965 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (In billions of dollars) 1962 1963 1964 Category 1959 1960 1961 1962 1963 in iv in rv II III (G) Monetary authorities i 1 Current surplus -.2 * .1 .1 .1 .1 .1 .1 * .1 .1 .1 1 2.3 2 Net acquis. of financial assets -1.1 1.4 1.7 2.2 .1 2.0 1.8 1.6 2.9 4.1 2.0 1.8 3 Gold and foreign exchange 2... -1.1 -1.7 -.8 -.8 -.4 -1.8 -1.4 ** -.7 -.5 -.1 .5 -.8 .2 4 7 9 5 6 8 T C F r . r e R U e a d . . s O S i S u t f h . t r l m h o o y G e r a k t o r c t - t u v t . e r t i r r . n e m s s n e t c r c d u y u i m r r e it e c ie n t s ts - 1 .8 . . . . . 1 1 3 3 3 -1 1 . . . . . . 0 3 1 7 7 7 -1 2 1 1 . . . . . 1 . 6 2 5 5 5 - 2 2 1 .1 . . . . 0 0 6 9 * . - - 2 2 2 4 . . 3 . . . 2 9 9 8 * - - 2 3 1 . . 2 . . . 5 . 3 6 8 7 — 2 2 2 1 . . . . . 3 0 9 1 2 .9 - - 1 8 2 5 5 3 . . . . 6 1 . 4 3 5 — 2 2 7 5 . . . . 2 8 4 1. * 4 -1 1 1 .2 . . . . 4 9 4 8 * -1 2 3 1 1 . * . . . 9 4 . 5 6 i l -1 5 5 5 . . . . 9 0 1 4 * -2 4 2 2 . . . . . 8 9 1 1 6 • - - - 3 1 2 2 6 . . . 1 . . . 8 1 5 5 6 10 F.R. loans to domestic banks.. .4 -.4 .1 j * -.1 * .2 .4 -.5 .4 .1 .4 11 Net increase in liabilities .2 -1.1 1.3 1.6 2.1 .1 1.9 2.3 1.8 1.6 2.8 4.0 1.9 1.7 12 Member bank reserves -j -1.1 .3 .1 -.4 -.4 -.2 -1.2 q -.6 .5 2.7 j 2 -.5 13 D V e a m ul a t n c d a s d h e p o o f s c it o s m a l n . d b a c n u k rr s e 3 nc . y .. -'.2 .3 .3 .9 .5 1.7 .3 1.8 -.3 -.3 1.4 -.6 .8 14 Due to U.S. Govt -.1 * * .1 .3 -.6 .6 4 .9 .-.5 -.4 .7 .4 14 15 Due to rest of the world 4... .1 -.1 .1 * -.1 -.4 .2 -.2 -!i * * -.1 * * 15 1 1 7 6 Ot C he u r rrency outside banks . . 2 6 - -. . 1 1 -.2 .7 .6 * - 1 .1 .9 2 * 1.0 • .8 * 1.9 * - 1 .1 .7 - 3 .1 .2 .3 * 2. . 9 3 - 1 . . 6 6 1 1 7 6 (H) Commercial banks 5 1 Current surplus 2.3 1.3 .8 1.6 2.5 2.1 1.0 1.7 3.1 2.3 2.8 .2 1.6 2.8 1 2 Net increase in financial assets 4.3 9.1 17.0 20.7 19.6 12.2 26.6 19.6 27.4 8.2 23.0 26.2 19.4 16.9 3 Member bank reserves $ -.3 -1.1 .3 .1 -.4 -.4 -.2 -1.2 -.3 -.6 .5 2.7 -1.3 -.5 4 Vault cash .3 .3 .9 .5 1.7 .3 1.8 .7 2 -.3 1.4 -.6 .8 5 Total loans and investments 4^6 9.0 15.7 19.5 19.3 11.4 24.0 19.1 26.0 IO'A 21.8 21.0 22.8 14.7 6 Credit market instruments 4.4 8.7 14.6 18.4 18.4 9.2 21.8 20.1 22.9 7.3 23.1 19.8 20.1 15.4 7 U.S. Govt. securities 7 -7.8 1.7 5.4 .8 -2.5 -6.9 1.7 4.0 -.1 -13.5 -.6 1.3 -2.9 -1.8 8 Short-term direct -3.7 7.0 9.3 -5.2 -3.6 -22.0 -2.3 -5.2 -3.3 -10.2 4.5 2.3 2.0 -2.4 9 Other direct -3.6 -5.2 -4.1 5.2 .5 14.2 2.7 10.2 2.0 -4.0 -6.2 .7 -5.9 -.4 10 Nonguaranteed c -.1 .3 .8 .5 .8 1.3 -1.1 1.3 .7 1.1 -1.7 1.1 .9 11 Other securities & mortgages. 2.8 1.1 4.2 8.4 10.1 8.0 8.2 9.8 11.4 11.3 7.8 9.1 5.5 10.5 12 State and local oblig .4 .6 2.8 4.4 5.0 3.6 3.5 5.3 6.1 6.3 2.4 4.7 .8 5.8 13 Corporate bonds -.1 -.2 -.2 * .2 -.1 .4 .2 -.3 -.1 .8 * n.a. 14 1- to 4-family mortgages.. 1.5 • .8 2.1 2.7 2.5 2.4 2.5 3.3 2.9 2.3 '"2.S 2.4 2.7 15 Other mortgages 1.0 .6 .8 1.9 2.1 2.0 2.0 1.8 2.3 2.3 2.1 1.7 2.3 2.0 16 Other credit exc. security 9.5 6.0 5.0 9.2 10.8 8.1 11.8 6.3 11.7 9.5 15.9 9.5 17.5 6.7 17 Consumer credit 2.9 1.7 .9 2.3 3.0 2.0 2.6 3.5 3.1 2.5 2.8 2.9 2.7 2.8 18 Bank loans n.e.c 7.2 2.8 3.0 6.5 8.1 6.1 7.8 1.9 9.0 8.5 13.1 6.7 13.9 2.4 19 Other loans 8 -.6 1.4 1.1 .4 2 .1 1.4 .9 A -1.4 * -.2 .9 1.5 20 CCC loans -.6 .5 .2 .2 -A -.9 1.2 .3 ' J -1.0 -.2 -1.0 .4 .6 21 Open market paper .9 .8 .2 .1 1.0 .2 .6 '.3 -.5 .1 .7 .3 .9 22 Security credit .2 .2 1.1 1.1 .9 2.3 2.1 -1.0 3.1 2.8 -1.3 1.2 2.7 -.7 23 Misc. assets .2 .8 .7 .3 .2 -.6 2.5 2 1.0 —1.0 1.0 1.0 -1.5 1.9 24 Net increase in liabilities 3.0 8.0 16.3 19.7 17.8 11.1 25.6 18.2 25.1 7.2 20.9 25.9 18.6 13.9 25 Demand deposits, net .5 .3 4.6 3.8 3.0 -2.8 9.6 .6 13.1 -6.7 5.0 10.4 5.0 .1 26 U.S. Govt. 9 .8 .9 * 1.3 -.7 -4.9 3.3 F3.5 3.4 -8.5 -1.2 8.5 -1.5 -4.5 27 Foreign i o -.1 * # i .1 .3 -.7 .6 .7 .3 -.3 1.7 -.6 1.6 28 Other, net ii -.2 -.7 4.4 2.4 3.3 2.8 6A -3.5 9.0 1.5 6.4 .2 7.1 3.1 29 Time deposits 1.1 5.8 9.4 15.6 14.1 11.4 15.6 16.6 11.6 13.7 14.4 13.9 12.8 12.9 29 30 F.R. float .3 .3 .5 .6 -.3 1.7 1.2 -2.6 .1 -.2 1.5 -1.9 .6 -1.1 30 31 Borrowing at F.R. Banks .4 -.4 .1 -.1 * -.1 * * .2 .4 e .4 .1 .4 31 32 Other liabilities .7 2.1 1.8 -.3 1.1 1.0 n 3.6 .1 * !5 3.2 * 1.7 32 33 Security issues .1 .1 .2 .1 .3 .1 \\ * .1 .1 .9 .9 .5 .6 33 34 Discrepancy .7 * 2 .2 .2 .8 -.2 * .3 .6 -.1 -.6 .9 -.3 34 35 Memo: Total loans exc. mortgages.. 9.7 6.2 6.0 10.3 11.7 10.4 14.0 5.3 14.7 12.3 14.6 10.7 20.2 6.0 35 (I) Nonbank financial institutions 1 Net acquis. of financial assets.... 25.3 24.5 28.1 31.7 36.3 31.8 34.5 31.1 37.7 40.8 35.7 32.5 42.2 34.3 2 Demand deposits and currency. .2 .5 1.1 1.1 .3 .6 1.9 -.5 • .8 .7 -.1 .7 -.5 3 Cr. and equity mkt. instr.... 25.1 23.1 24.3 30.0 33.0 29.4 29.9 28.5 33.9 38.1 31.3 32.2 38.5 37.3 4 Security credit * • 1.1 -.3 1.9 1.3 1.5 1.0 3.1 2.3 1.1 -1.2 .4 -1.2 5 Other financial assets -.1 .9 1.6 .9 1.2 .5 1.2 2.0 .6 -.4 2.5 1.6 2.6 -1.2 6 Net increase in liabilities 25.0 24.2 27.4 30.5 35.6 31.4 33.4 30.0 38.1 38.8 35.5 30.2 41.3 31.3 7 Cr. and equity mkt. instr. 2.... 6.2 3.4 3.5 5.7 7.3 6.4 4.5 2.9 8.1 9.4 8.8 2.9 10.0 3.7 For numbered notes see p. 185. Data are revised from those shown in Oct. 1964 BULL. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 FLOW OF FUNDS 183 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (In billions of dollars) 1962 1963 1964 Category 1959 1960 1961 1962 1963 III IV III IV III (1.1) Savings and loan associations 1 Net acquis. of financial assets 8.4 7.9 10.7 11.5 13.8 11.4 13.0 13.1 14.0 13.4 14.8 11.1 12.1 11.0 4 2 3 5 D C e r U 1 m . - a . a S t n n o . d d G 4 e - d o q f e v a u p m t i . t o y i s s l y e i m t c s u m k a r t i . o n t i i r d e n t s c g st u a r r . g r 6 e e . n s c . . y . .. . . 5 8 6 . . 5 68 7 5 . . . 1 9 1 9 7 . . . . 4 0 4 6 1 7 0 . . . . 4 6 3 2 1 9 3 . . . . 3 1 9 1 1 7 0 . . . 3 4 6 7 1 7 1 1 . . . . 7 3 5 1 1 8 1 2 . . 4 3 i 2 1 9 3 . . 7 2 4 8 1 1 4 0 . . . 8 1 0 1 9 2 . . . 3 2 7 6 1 8 0 . . . 6 1 9 * 1 - 7 0 .2 . . . 9 6 2 1 8 2 . . . . 3 1 7 3 6 Other mortgages .9 1.0 1.7 2.6 2.7 2.7 2.7 2.6 2.9 2.9 2.6 2.2 2.7 2.3 7 Misc. financial transactions .7 .9 .7 .6 .3 .7 9 .8 -1.2 2.0 .2 2.2 -1.4 8 Net increase in liabilities 7.8 7.4 9.9 10.7 13.1 10.7 11.9 12.3 13.5 12.6 14.1 10.5 11.3 10.3 9 Savings shares 6.6 7.6 8.7 9.4 11.0 9.4 10.7 13.1 10.6 9.1 11.0 10.3 10.6 10.5 10 Mtg. loans in process 1 -.1 .4 .4 .5 .3 .6 .5 .6 .5 .5 -.3 -.4 -.4 11 Borrowing from FHLB .8 -.2 .7 .8 1.3 .9 .6 -1.3 1.7 2.8 2.0 1.1 .1 12 Memo: FHLB loans less deposits. 1.1 -.5 .4 .8 1.4 .9 .2 -1.6 1.9 3.2 2.0 .7 .7 -.1 12 a2) Mutual savings banks 1 Net acquis. of financial assets4 1.2 1.6 2.3 3.3 3.6 3.7 3.2 4.4 3.2 3.6 3.2 4.5 4.7 5.2 2 3 U Co .S r . p o G r o a v te t . b s o e n cu d r s ities - - . . 2 2 —. . 6 2 — —. . 2 1 * * -.2 j * * -.2 2 —m .2 i -.4 * — . . 1 3 - -. . 3 4 3 * .4 * -.1 .3 4 1- to 4-family mortgages 1.5 1.5 .7 2.1 2*.6 2.3 2*. 3 2.8 2.5 2.4 2.5 2.3 2.6 3.0 5 Other mortgages .5 .5 .6 1.0 1.3 1.0 1.0 1.3 1.2 1.1 1.6 1.4 1.6 1.7 6 Savings deposits 1.2 1.4 1.9 3.1 3.3 3.4 3.6 3.2 3.1 3.1 3.6 4.0 3.9 4.7 a. 3)Life insurance companies 1 Net acquis. of financial assets4 5.6 5.7 6.1 6.8 6.7 6.2 6.9 6.5 5.9 7.7 6.8 7.3 7.0 8.1 2 4 5 3 Cr S C U . t o a . a S r n te p . d o G a e r n o a q v d t u e t i . t l b y o s o c e m n a c l d u k s r o t i . b t i i l e n i s g s a tr tions 2 5 . . '. 2 2 5 o 5 1 . A . 4 8 c 2 5 . . '. 5 7 3 A 2 6 . . . 5 4 1 * - - 2 6 . . 2 5 . . 7 4 2 5 . . . 0 8 1 - - 2 6 . . 1 2 . . 9 6 -1 — 3 6 . . . 1 m 3 5 i -1 5 3 . ^ . 0 6 3 2 - - 2 7 . . 1 3 . . 4 1 6 1 . . . 5 4 9 * - - 2 6 . . 6 2 . . 8 9 — 2 6 . . ' m 1 8 * \ 2 8 . . 1 0 6 Corporate stock .2 .4 .5 .4 .2 .2 .4 .4 .2 .2 .1 .5 .5 .6 7 1- to 4-family mortgages 1.2 1.3 .9 .6 .9 .6 .9 .8 1.0 1.0 .7 1.1 1.7 1.5 8 Other mortgages .9 1.3 1.5 2.1 2.7 2.1 3.0 2.1 2.3 2.8 3.5 2.8 2.5 3.4 9 Other loans .5 .8 .4 .7 .5 .8 -.3 1.1 2 1.1 * .6 .1 .4 10 Net increase in liabilities 5.6 5.4 5.7 6.1 6.5 6.1 6.1 6.2 6.4 6.6 6.8 6.8 6.7 6.6 10 11 Life insurance reserves 3.3 3.2 3.4 3.6 4.1 3.7 3.8 3.9 4.0 4.2 4.3 4.4 4.6 4.7 11 12 Pension fund reserves 2.0 1.2 1.4 1.3 1.7 1.3 1.4 1.2 1.5 1.9 2.1 1.5 1.6 1.2 12 13 Other -.1 .4 .4 .5 .5 .6 .8 .7 .6 .5 .4 .4 .4 .4 13 a-4) Noninsured pension plans 1 Net acquis. of financial assets4 3.5 3.8 3.9 4.0 4.4 3.2 4 0 3 6 4 9 5.3 4.0 4.6 5.3 4.3 1 2 U.S. Govt. securities .2 —.1 1 .2 .4 .2 1 2 5 .8 .2 . i .5 -.1 2 3 Corporate bonds 1.2 1.6 1.2 1.2 1.5 .7 14 7 15 1.9 .8 1.6 1.8 1.9 3 4 Corporate stock 1.7 1.9 2.3 2.2 2.2 1.9 2 2 1 4 2 5 2.2 2.6 2.6 2.7 2.5 4 (I. 5) Other insurance companies 1 Net acquis. of financial assets4 1.8 1.0 1.3 1.3 1.5 1.0 1.0 .8 1.5 1.7 1.9 1.9 1.5 2.1 2 Cr. and equity mkt. instr 1.6 .9 1.2 1.1 1.3 .8 .8 .6 1.3 1.6 1.8 1.7 1.3 1.8 3 U.S. Govt. securities .3 -.2 -.1 .1 1 * .2 -.2 .3 .2 .1 .1 -.2 .5 4 State and local obligations 1.0 .8 1.0 .7 .8 .6 .5 .6 .7 .9 1.1 1.2 1.1 1.0 5 Corporate bonds .1 * 1 1 , i .1 .1 .1 . 1 .1 .1 .1 .1 6 Corporate stock .2 .3 .2 .3 .1 * .1 .2 .3 .5 .4 .4 .3 (1.6) Finance companies 1 Net acquis. of financial assets 3.4 2.1 .5 2.6 4.1 3.6 2.2 3.4 4.7 4.1 4.2 2.9 7.5 2.1 2 1- to 4-family mortgages .2 * .6 .5 .8 .6 .2 .2 1.1 1.1 1.0 -.2 1.2 .2 3 Consumer credit 1.8 1.5 * 1.3 1.8 1.2 1.8 2.3 .9 2.1 2.1 2.4 1.8 1.9 4 Other loans 1.0 .5 -.3 .8 1.4 1.7 * .9 2.7 1.0 1.1 .7 4.6 * 5 Net increase in liabilities 3.3 2.2 .5 2.6 4.1 3.6 2.2 3.3 4.7 4.1 4.3 2.9 7.5 2.1 6 Corporate bonds 1. 1.5 .5 .3 1.6 .2 .7 .4 1.9 1.7 2.4 1.7 2.4 1.5 7 Bank loans n.e.c 1.5 -.2 .1 1.0 1.6 .4 1.9 1.5 1.0 2.1 1.7 .1 3.4 -1.5 8 Other loans (open mkt. paper)... .7 .8 -.1 1.2 1.0 3.0 -.3 1.4 1.9 .4 .2 1.2 1.7 2.1 For numbered notes see p. 185. Data are revised from those shown in Oct. 1964 BULL. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

184 FLOW OF FUNDS JANUARY 1965 4. SECTOR STATEMENTS OF SOURCES AND USES OF FUNDS—Continued (In billions of dollars) 1962 1963 1964 Category 1959 1960 1961 1962 1963 II III IV II III IV (1.7) Security brokers and dealers 1 Net acquis. of financial assets... .1 .4 .4 .3 1.6 1.7 -2.1 2.8 2.8 -2.2 -.4 1.8 -1.5 2 3 U Ot .S he . r G s o e v c t u . ri s t e ie c s urities .6 A — -.7 .1 .6* -.2 - 1 .5 0 - 1 .9 .7 - - 2 1 . . 0 1 — 1. 0 .8 -1 1 . 1 9 — 3 . 2 4 -1 1 . . 0 1 1 .6 2 -2 1 . . 0 2 4 Security credit 1.1 -.2 1.5 1.2 1.0 .9 2.5 1.9 .8 -.7 n 5 Net incr. in liab.—security credit '.5 .9 .9 .8 2.0 2.2 -1.7 3.3 3.3 -1.6 .1 2.3 -1.0 6 7 F F r r o o m m b ag a e n n k c s ies of fgn. banks.. . . 3 1 .8 • 1.1 2 . . 5 4 2.5 * 1. . 5 4 -1.2 .1 2. . 8 6 1. . 9 5 — 1 . . 3 7 - 1 .5 .0 2. . 4 4 -1 - . . 3 6 8 Customer credit balances -.2 .2 A * * -.5 .2 -.6 -.1 1.0 o -.4 -.4 .9 (1.8) Open-end investment companies 1 Net financial investment -.4 _ .4 _ .5 -.5 c -.6 -.3 -.4 -.5 .5 _ .6 -.4 _ .5 -.6 1 2 Net acquis. of financial assets. 1.4 1.1 15 1.4 '.8 1.0 .7 .2 .3 1 1.3 * 1.1 1.3 2 3 Corporate stocks 1.0 .8 1'.2 .7 .9 .1 -.6 1.2 .9 '.6 \l -.2 -1 .0 2.4 3 4 Net stock issues 3 1.8 1•5 2.0 1.9 1.3 1.6 1.0 .6 .8 1.8 1.8 .4 1.6 1.9 4 (J) Rest of the world 1 Net purch. of goods and serv. (2-3). 3.0 4.6 4.0 4.4 4.4 3.9 3.4 4.3 4.2 5.8 7.7 5.7 7.0 1 2 Purch. of goods and services i.. 22.9 26.3 27.6 29.2 30.7 29.7 29.4 28.8 30.5 31.0 32.6 34.5 33.7 35.7 2 3 Sales of goods and services i.... 23.6 23.3 23.0 25.2 26.3 25.3 25.5 25.4 26.3 26.8 26.9 26.8 27.9 28.7 3 4 Net unilateral receipts from Govt. i. 1.5 1.6 1.6 1.6 1.6 1.5 1.6 1.5 1.6 1.6 1.7 1.5 1.6 6.9 4 5 Current surplus (4-1) 2 2.3 -1.4 -3.0 -2.4 -2.8 -2.9 -2.3 -1.9 -2.6 -2.6 -4.1 -6.2 -4.1 5 6 Net financial investment (7-14) 1.9 -.7 -2.0 -1.3 -2.5 -1.0 -.7 -1.2 -2.7 -1.4 -4.8 -5.3 -4.1 .9 6 7 Net acquis. offinan. assets 6.0 4.2 3.1 3.2 3.4 1.9 3.8 5.4 6.6 .9 .5 1.6 3.6 6.1 7 8 Gold 1.1 1.7 .9 .9 .5 1.8 .4 .5 .8 .2 .2 -.3 -.1 8 8 U.S. dem. dep. and currency.. -.1 .2 . 1 .3 -1.2 A .4 .6 .3 -.3 1.6 -.6 1.5 9 10 Time deposits -.9 .3 .3 .6 1.0 . i 1.6 1.4 .9 .8 .8 1.0 1.3 1.0 10 11 U.S. Govt. securities 3.0 .5 .4 1.2 .6 .4 .8 1.2 3.4 -2.4 .1 -1.5 .9 3.0 11 12 Other credit market instr .4 .7 .3 .2 -.3 -.4 -.1 1.7 .2 -.9 1.2 1.3 -1.8 12 13 Misc. financial assets 2.5 1.1 1.0 .4 .8 1.2 1.6 2.1 -.5 1.3 .6 -.9 1.1 2.5 13 14 Net increase in liabilities 4.1 5.0 5.1 4.5 5.9 3.0 4.5 6.6 9.3 2.3 5.3 6.9 7.7 5.2 14 1 1 5 6 S O e f c fi u c r ia it l i e U s .S. foreign exchange 3 -.4 .6 . . 3 8 - 1 .6 .0 1. . 0 1 -1.7 .4 -1 1 . . 5 7 2. . 1 3 1.8 * # ! 5 1 -.2 .2 -.1 .4 -1.5 .8 ' A * 1 1 5 6 17 Loans < .2 1.4 2.0 1.2 2.3 -.7 1.7 1.6 3.1 1.0 3.5 4.1 3.1 2.7 17 18 Miscellaneous 5 3.1 3.4 2.0 2.9 2.4 5.0 2.6 2.5 4.3 1.0 1.8 2.4 5.3 2.9 18 19 Discrepancy (5-6)6 .4 --.7 -1.0 -1.1 -.3 1 n -1.6 -.7 .1 -1.2 .7 -.8 ** -.9 19 For numbered notes see following page. NOTE.—Quarterly data are seasonally adjusted totals at annual rates. Data are revised from those shown in Oct. 1964 BULL. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 FLOW OF FUNDS 185 Notes to Table 4 (A) Households 4 Table 4(E), line 13 and 4(F), line 7. 5 Includes net free balances with security brokers aot shown separately. 1 Includes nonprofit organizations serving individuals. 6 Revision from Oct. BULL, reflects mainly new estimates for holdings 2 Retained funds of savings institutions and insurance imputed to by security brokers and dealers. personal saving in income and product accounts. 7 Policy loans and hypothecated deposits. 3 On owner-occupied houses and nonprofit plant and equipment. 8 Commercial mtgs., bank loans, loans from Govt., and trade debt. (B, C, D) Business Table 4(E), line 30. 8 Loans from U.S. Govt. and commercial loans from finance cos. 1 Sum of Tables 4(C) and 4(D); for detail see below. 9 Includes half of residential items in Table 4(B). 2 Profits and noncorporate income as defined in national income. Ex- 10 Excludes corporations in Tables 4(H), (I), and (J). cludes imputed rental income of owner-occupied houses, included in Table 1 * Includes branch profits paid to fgn. parents less branch profits 4(A) received from abroad. 3 Change in work in process. 12 Includes state and local obligations not shown separately. 4 After inventory valuation adjustment. 13 Direct investments abroad, fgn. currency holdings, and unallocated 5 Net income is treated as payment in full to households, and gross current assets. saving is equal only to capital consumption allowances. 14 Mainly commercial paper and commercial loans from finance cos. 6 Includes farm residential construction. 15 Includes state and local profit taxes. 7 Excludes CCC-guaranteed loans, treated as Govt. borrowing; see (E, F) Govts. govts., subsidies less current surplus of Govt. enterprises. 5 Govt. life ins., employee retirement, and R.R. retirement programs. 1 Lines 1 through 12 are derived from national-income data, while Excludes social security, which is treated as nonfinancial operation. lines 15 through 31 are based on data behind Treasury cash budget. Line 6 Mainly nonconvertible fgn. currencies and official fgn. exchange 21 is a link between the two accounting systems on treatment of corporate position of Treasury. taxes, and the discrepancy (line 32) represents differences on other matters. 7 Public debt held by public and Federal Reserve, plus nonguaranteed Net cash borrowing in Treasury cash budget corresponds closely to line issues of Govt. agencies. Includes interest accruals on savings bonds and 25 less accrual of interest on savings bonds and Treasury bills. Cash Treasury bills; excludes special notes to international organizations. surplus is closely indicated by line 17 less net cash borrowing. Lines 18, 8 E and H bonds held by households. 22, 30, and 31 are in cash outgo in cash budget except for small amounts 9 Marketable issues due in less than one year plus part of those due in in receipts. Lines 13 and 24 are imputations reflected in neither national- less than two years. income nor cash budget. !0 CCC-guaranteed loans; net movement of inventory under guarantee 2 OASI, disability insurance, and unemployment programs. Line 5 is included in line 11. includes U.S. Govt. employment taxes; line 6, U.S. Govt. benefit payments 1! Includes employee retirement funds. to households. 12 Net of current surplus of govt. enterprises. 3 Veterans' life insurance and Govt. employee and R.R. retirement 13 Corporate bonds and mortgages. funds. Line 7 excludes Govt. contributions to these funds. 14 Trade debt and loans from Federal Govt. 4 Transfers other than lines 6 and 8, grants in aid to state and local (G, H) Banking 5 Based on balance sheet estimates for last day of quarter. Reported bank data, as on p. 132, are frequently for last Wednesday of month or 1 Federal Reserve System plus those Treasury accounts included in other reporting date. Excludes banks in U.S. possessions. "Member Bank Reserves, Federal Reserve Bank Credit, and Related 6 Deposits with F.R. Banks; vault cash in reserves is in line 4. Items." Excludes Exchange Stabilization Fund, which is in U.S. Govt. 7 Net change in par value of holdings. accounts. 8 Includes consumer loans secured by hypothecated deposits not 2 Includes F.R. holdings of fgn. currencies, which are net in "other F.R. shown separately. accounts" in table mentioned in note 1. 9 Includes deposits held outside Treasury, 3 Includes vault cash of nonmember banks. i o Bank and nonbank. 4 Includes deposits of international organizations other than IMF; 11 Net of F.R. float, shown separately in line 30. IMF deposits are net in line 3. (I) Nonbank Finance 3 Includes retained capital-gains dividends. 4 Includes cash and other assets, not shown separately. 1 In addition to types shown, includes credit unions, agencies of foreign 5 Excludes deposits at FHLB, which are included in Miscellaneous, banks, and banks in possessions. line 7. 2 Lines 10, 11 of LI; lines 6, 7, and 8 of 1.6; and line 4 of 1.8. 6 Includes consumer credit, not shown separately. (J) Rest of the World. IMF position consists of U.S. capital subscription less IMF holdings of special U.S. Govt. notes and deposits with Federal Reserve. 1 Lines 2, 3, and 4 are exports, imports, and net transfers from Govt. in 4 Bank loans, acceptances, loans from U.S. Govt., and security credit. national income accounts. 5 Direct investment abroad, foreign currencies held by other than in 2 Net foreign investment in national income accounts with opposite line 15, subscriptions to international organizations except IMF, and sign. unidentified liabilities. 3 Official foreign currency holdings and net IMF position of U.S. 6 Errors and omissions in U.S. balance of payments statement. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Financial Statistics * International * Reported gold reserves of central banks and governments 188 Gold production. 189 Net gold purchases and gold stock of the United States 190 Estimated foreign gold reserves and dollar holdings. 191 International capital transactions of the United States. 192 Money rates in foreign countries. . 201 Arbitrage in Treasury bills. . 202 Foreign exchange rates . 203 U.S. balance of payments. .. 204 Foreign trade . 205 Guide to tabular presentation. . , 116 Index to statistical tables . 211 The figures on international capital transactions piled largely from regularly published sources are collected by the F.R. Banks from reports such as central bank statements and official made on Treasury foreign exchange forms col- statistical bulletins. For some of the series, back lected by the F.R. Banks in accordance with data are available in Banking and Monetary Executive Orders No. 6560, dated Jan. 15, 1934, Statistics and its Supplements (see list of publiand No. 10033, dated Feb. 8, 1949, and Treas- cations at the end of the BULLETIN). ury regulations thereunder. Other data are com- 187 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

188 GOLD RESERVES JANUARY 1965 GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS (In millions of dollars) Esti- Intl. Esti- E pe n r d i o o d f m to a t t a e l d M ta o r n y e- U S n ta i t t e e s d r m es a t t e o d f A t r i g n e a n- t A ra u l s ia - A tr u ia s- g B iu e m l- Brazil Burma Canada Chile lo C m o b - ia world i Fund world 1957 38 765 1 180 22 857 14 730 126 126 103 915 324 1 100 40 62 1958 39,445 1,332 20,582 17,530 60 162 194 1,270 325 1,078 40 72 1959 40,195 2,407 19,507 18,280 56 154 292 ? 114 327 960 43 71 I960 40 540 2 439 17 804 20 295 104 147 293 I 170 287 885 45 78 1961 41,140 2,077 16,947 22,115 190 162 303 1,248 285 946 48 88 1962 41,465 2,194 16,057 23,215 61 190 454 1,365 225 42 708 43 57 1963—Nov 2,312 15,609 78 206 525 1,367 150 42 800 43 61 Dec .... 42,315 2,312 15,596 24,405 78 208 536 1,371 150 42 817 43 62 1964 Jan 2,314 15,540 78 210 547 1,373 150 42 837 44 62 Feb 2,322 15,518 78 211 558 1,374 150 42 850 43 63 Mar 42,420 2,328 15,550 24,540 76 211 569 1,376 150 42 871 43 63 Apr 2,334 15,727 76 215 579 1,390 120 42 892 43 64 May 2,353 15,693 74 216 579 1,392 120 42 910 42 64 42,940 2,359 15,623 24,960 74 218 592 1,392 120 42 931 43 65 July 2,359 15,629 74 219 592 1,393 42 949 43 66 A.U2 2 424 15 657 73 221 592 I 395 42 969 43 67 Sept P43.020 2^425 15,643 24,950 73 223 592 ,395 42 990 43 57 Oct 2,425 15 606 224 592 404 42 1,001 43 58 Nov 2,430 15,566 224 592 ,434 1,007 43 Domin- Ger- E pe n r d io o d f Cuba R i e c p a u n b- E d c o u r a- E v l a d S o a r l- l F a i n n d - France m F a e n d y . , Greece G m u a a l t a e- India I n n e d si o a - Iran Iraq lic Rep. of 1957 136 11 22 31 35 581 2,542 13 27 247 39 138 20 1958 80 11 22 31 35 750 2 639 17 27 247 37 141 34 1959 50 10 20 30 38 1,290 2,637 26 24 247 33 140 84 1960 1 10 20 30 41 1,641 2,971 76 24 247 58 130 98 1961 3 19 18 47 2,121 3 664 87 24 247 43 130 84 1962 3 19 18 61 2,587 3,679 77 24 247 44 129 98 1963 Nov 3 19 18 61 3 128 3 823 77 23 247 142 98 Dec . . 3 19 18 61 3 175 3 843 77 23 247 142 98 1964 Jan 3 19 18 66 3 210 3 844 77 23 247 142 98 Feb 3 18 18 66 3,248 3,849 77 23 247 142 98 Mar 3 18 18 66 3 298 3 953 77 23 247 141 98 Apr 3 17 18 65 3,366 4,060 77 23 247 141 112 May 3 17 18 65 3,404 4 070 77 23 247 141 112 June . 3 11 18 65 3 451 4 081 77 23 247 141 112 July 3 11 18 65 3,489 4 117 77 23 247 141 112 A.UB 3 11 18 65 3 527 4 139 77 23 247 141 112 Sept 3 11 18 65 3,564 4 149 93 247 141 112 Oct 11 64 3 598 4 149 98 247 141 Nov 11 64 3,632 4,149 247 141 End of Italy Japan Leb- Mex- Nether- New Nor- Paki- Peru Phil- Portu- Saudi South period anon ico lands Zealand way stan ippines gal Arabia Africa 1957 452 93 91 180 1AA 33 45 49 28 6 461 217 1958 1,086 124 91 143 I 050 33 43 49 19 10 493 211 1959 1,749 244 102 142 1,132 34 30 50 28 9 548 18 238 I960 2,203 247 119 137 1,451 35 30 52 42 15 552 18 178 1961 2,225 287 140 112 1,581 30 53 47 27 443 65 298 1962 2,243 289 172 95 1,581 30 53 47 41 471 78 499 1963—Nov 2,331 172 134 1,581 31 53 57 27 497 78 629 Dec 2,343 289 172 139 1,601 31 53 57 28 497 78 630 1964—Jan 2,343 172 151 1,601 31 53 57 30 497 78 632 Feb 2,343 172 157 1,601 31 53 57 21 497 78 631 Mar 2,143 ""289* 172 156 1,601 31 53 57 23 497 78 627 Apr 2,143 172 162 ,601 31 53 57 24 497 78 627 May 2,146 172 168 1,601 31 53 67 25 497 78 626 2,148 '"296' 172 168 1,601 31 53 67 26 497 78 607 July 2,153 172 172 1,601 31 53 67 28 497 78 615 Aug 2,100 172 170 1,601 31 53 67 29 497 78 597 Sept . 2,104 172 170 601 31 53 67 30 78 589 Oct 2,104 172 1*611 31 53 67 78 601 Nov 2,104 1,621 31 53 67 592 For notes see end of table. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 GOLD RESERVES AND PRODUCTION 189 GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS—Continued (In millions of dollars) Bank E p n er d i o o d f Spain Sweden Sw la it n z d er- Syria T la h n a d i- Turkey ( U E . g A y . p R t) . U K d n o in i m t g ed - U gu r a u y - V zu e e n l e a - Y sl u av g i o a - S I e f n t o t t r l l e . - E E P F U 3 ments 2 1957 101 219 1,706 24 112 144 188 1 554 180 719 14 24 254 1958 57 204 1,925 24 112 144 174 2,808 180 719 17 -42 126 1959 68 191 1,934 19 104 133 174 2,514 180 652 10 — 134 40 I960 178 170 2,185 19 104 134 174 2,800 180 401 4 -19 55 1961 316 180 2,560 19 104 139 174 2,268 180 401 6 115 56 1962 446 181 2,667 19 104 140 174 2,582 180 401 4 —50 56 1963 Nov. 573 182 2,522 19 104 102 174 171 401 14 —77 Dec 573 182 2,820 19 104 115 174 2,484 171 401 14 -279 47 1964 Jan 573 182 2,549 19 104 115 174 171 401 14 Fcb 573 182 2,551 19 104 115 174 171 401 14 —7 Mar 573 182 2,542 19 104 115 174 2,458 171 401 15 22 47 573 182 2,524 19 104 115 174 171 401 15 —82 Mav!!!!!!!!!! 573 182 2,526 19 104 115 174 171 401 15 47 June 575 182 2,599 19 104 115 174 2,439 171 401 15 40 28 July r577 182 2,560 19 104 115 174 171 401 16 64 AuE r576 182 2 530 19 104 105 174 171 401 16 95 Sent 576 182 2,532 19 104 105 174 2,302 171 401 16 66 28 Oct 575 182 2 532 19 104 105 174 401 17 71 Nov 576 182 2,532 104 174 401 i Includes reported or estimated gold holdings of international and 2 Net gold assets of BIS, i.e., gold in bars and coins and other gold regional organizations, central banks and govts. of countries listed in assets minus gold deposit liabilities. this table and also of a number not shown separately here, and gold to be 3 European Payments Union through 1958 and European Fund theredistributed by the Tripartite Commission for the Restitution of Monetary after. Gold; excludes holdings of the U.S.S.R., other Eastern European countries, and China Mainland. NOTE.—For back figures and description of the data in this and the The figures included for the Bank for International Settlements are following tables on gold (except production), see "Gold," Section 14 of the Bank's gold assets net of gold deposit liabilities. This procedure Supplement to Banking and Monetary Statistics, 1962. avoids the overstatement of total world gold reserves since most of the. gold deposited with the BIS is included in the gold reserves of individual countries. GOLD PRODUCTION (In millions of dollars at $35 per fine troy ounce) Africa North and South America Asia Other World Period produc- Congo tion i A So fr u ic th a R de h s o ia - Ghana ( p L o e ld o - - U S n ta it t e e d s C a a d n a - M ic e o x- r N a i g c u a a - Co b l i o a m- India P p h in il e ip s - t A ra u l s i - a oth A er D i ville) 1958 1,050.0 618.0 19.4 29.8 12.3 61.6 158.8 11.6 7.2 13.0 6.0 14.8 38.6 58.9 1959 1,125.0 702.2 19.8 32.0 12.2 57.2 156 9 11.0 7.3 13.9 5.8 14 1 38.1 54.5 I960 1,175.0 748.4 19.6 30.8 11.1 58.8 162.0 10.5 7.0 15.2 5.6 14.4 38.0 53.6 1961 1,215.0 803.1 20.1 29.2 8.1 54.8 156.6 9.4 7.9 14.0 5.5 14.8 37.7 53.8 1962 1,295.0 892.2 19.4 31.1 7.1 54.5 145.5 8.3 7.8 13.9 5.7 14.8 37.4 57.3 1963 1,350.0 960.1 19.8 32.2 7.5 51.4 139.0 8.3 7.2 11.4 4.8 13.2 35.8 59.3 1963—Oct 82.0 1.7 12.2 .8 .6 .4 1.2 2.6 Nov 81.6 7 11 7 g g 4 1 3 3 1 Dec 78.6 1.8 10.8 .8 .9 .4 1.2 2.8 1964—Jan 78.7 1.7 2.6 ....... ....... 10.7 .8 1.2 .4 3.1 Feb 79.9 6 2.6 9.8 1.0 1.2 .4 2.5 Mar 84.9 1.6 2.6 21.9 10.3 .5 1.0 .5 23.8 2.6 Apr 82.3 6 2.6 11.6 .7 1.2 .4 2.6 May 83.4 7 2.6 10 7 4 1.1 4 2.7 June 85.4 6 2 4 22 5 10 8 3 4 2 3 8 3 0 July 86.9 1.7 11.3 .4 1.0 3.0 Aug 87.2 7 11.3 1.0 3.1 Sept oo 2 10 9 Oct 11 5 1 Estimated; excludes U.S.S.R., other Eastern European countries, NOTE.—Estimated world production based on report of the U.S. China Mainland, and North Korea. Bureau of Mines. Country data based on reports from individual 2 Quarterly data. countries and Bureau of Mines. Data for the United States are from the Bureau of the Mint. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

190 U.S. GOLD JANUARY 1965 NET GOLD PURCHASES OR SALES BY THE UNITED STATES, BY COUNTRY (In millions of dollars at $35 per fine troy ounce) 1963 1964 Area and country 1956 1957 1958 1959 1960 1961 1962 1963 III IV I II III Western Europe: Austria -84 -83 -1 -143 -82 -32 —32 —23 Belgium 3 3 -329 -39 -141 -144 -63 -34 -266 -173 -456 -518 -214 -101 -ioi -101 -101 Germany, Fed. Rep. of -34 -23 -200 -25 Italy — 349 100 200 25 -261 -30 -249 -25 -20 -10 31 32 -114 -156 -146 -130 -2 — 8 -215 20 -324 -125 102 30 United Kinsdom 100 -900 -350 -550 -306 -387 329 74 131 109 221 163 Bank for Intl. Settlements -178 -32 -36 -23 Other 18 8 -21 -38 -96 -53 -12 1 * A -7 ii -1 Total 80 68 -2,326 -827 -1,718 -754 -1,105 -399 -139 -7 -31 79 35 Canada 15 5 190 Latin American republics: Argentina 115 75 67 -50 -90 85 -30 — 30 Brazil -1 -11 -2 -2 57 72 -1 28 -1 28 — 1 Colombia 28 — 6 38 10 -30 -20 -4 -4 -200 65 Other 29 6 2 -5 -22 -17 -5 -7 -11 -1 -3 -3 -2 Total -28 81 69 19 -100 -109 175 32 -16 2 -4 25 7 Asia: Japan -30 -157 -15 Other * 18 -4 -28 -97 1-101 2-93 3 12 * -4 5 -1 Total * 18 — 34 — 186 — 113 — 101 -93 12 • —4 5 _2 All other . . 14 -3 -5 -38 -6 -1 -36 -25 -1 2 -9 -1 Total foreign countries 80 172 -2,294 -998 -1,969 -970 -833 -392 -180 -15 -28 95 41 Intl. Monetary Fund 4200 600 5-44 4300 150 280 772 -2,294 -1,041 -1,669 -820 -833 -392 -180 -15 -28 95 41 1 Includes sales of $21 million to Lebanon and $48 million to Saudi 4 Proceeds from this sale invested by the IMF in U.S. Govt. securities; Arabia. upon termination of the investment the IMF can reacquire the same 2 Includes sales of $21 million to Burma, $32 million to Lebanon, and amount of gold from the United States. $13 million to Saudi Arabia. 5 Payment to the IMF of $344 million as increase in U.S. gold sub- 3 Includes purchases of $25 million from the Philippines. scription less sale by the IMF of $300 million (see also note 4). U.S. GOLD STOCK AND HOLDINGS OF CONVERTIBLE FOREIGN CURRENCIES BY U.S. MONETARY AUTHORITIES (In millions of dollars) End of period Changes in— End of period Changes in— Year Total To G ta o P ld s T to r c e k a s i ury c h F u o o r l r d r e e i i n n g g c n y s Total T g o o t ld al Month Total To G ta o l 2 ld s T to r c e k as i ury h c F o u o l r d r r i e e n i n g g c n s y 3 Total T g o o t l a d l 1952.. 23,252 23,252 23,187 379 379 1963—Dec. 15,808 15,596 15,513 212 28 -13 1953.. 22,091 22,091 22,030 -1,161 -1,161 1954.. 21,793 21,793 21,713 -298 -298 1964—Jan... 15,847 15,540 15,512 307 39 -56 1955.. 21,753 21,753 21,690 -40 -40 Feb.. 15,865 15,518 15,462 347 18 -22 1956.. 22,058 22,058 21,949 305 305 Mar.. 15,990 15,550 15,461 440 125 32 1957.. 22,857 22,857 22,781 799 799 Apr.. 15,991 15,727 15,462 264 1 177 May. 15,946 15,693 15,463 253 -45 -34 1958.. 20,582 20,582 20,534 -2,275 -2,275 June. 15,805 15,623 15,461 182 -141 -70 1959.. 19,507 19,507 19,456 -1,075 4-1,075 July.. 15,840 15,629 15,462 211 35 6 I960.. 17,804 17,804 17,767 -1,703 -1,703 Aug.. 15,890 15,657 15,460 233 50 28 1961.. 17,063 16,947 16,889 116 -741 -857 Sept.. 15,870 15,643 15,463 227 -20 -14 1962.. 16,156 16,057 15,978 99 -907 -890 Oct.. 15,702 15,606 15,461 96 -168 -37 1963.. 15,808 15,596 15,513 212 -348 -461 Nov.. 16,324 15,566 15,386 758 622 -40 1964*. 15,903 15,471 15,388 432 95 -125 Dec* 15,903 15,471 15,388 432 -421 -95 1 Includes gold sold to the United States by the International Mone- 4 Includes payment of $344 million increase in U.S. gold subscription tary Fund with the right of repurchase, which amounted to $800 million to the IMF. on Dec. 31, 1964. 2 Includes gold in Exchange Stabilization Fund. NOTE.—See Table 11 on p. 199 for gold held under earmark at F.R. 3 For holdings of F.R. Banks only see pp. 126 and 128. Banks for foreign and international accounts. Gold under earmark is not included in the gold stock of the United States. See also NOTE to table on gold reserves. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 GOLD RESERVES AND DOLLAR HOLDINGS 191 HOLDINGS OF FOREIGN COUNTRIES AND INTERNATIONAL ORGANIZATIONS (In millions of dollars) Dec. 3t, 1962 Sept. 30, 1963 Dec. 31, 1963 Mar. 31, 1964 June 3(>, 1964 Sept. 30,1964* U.S. Govt. Area and country Gold& U.S. Gold& U.S. Gold& bonds & notes * Gold& U.S. Gold& U.S. Gold& U.S. short- Govt. short- Govt. short- short- Govt. short- Govt. short- Govt. term bonds term bonds term term bonds term bonds term bonds dollars & notes dollars & notes dollars Old New dollars & notes dollars & notes dollars & notes series series Western Europe: 783 • 903 2 901 2 3 911 3 902 3 947 3 1,542 * 1,678 1 1,791 1 • 1,782 • 1,832 • 1,821 * 159 16 208 15 253 13 259 289 352 14 134 2 134 • 160 * 141 176 141 167 141 174 1 3,744 4,510 3 4,653 3 6 4,709 7 5 003 7 5,093 7 Germany Fed Rep of 6,409 3 6,634 3 6,884 3 1 6,811 1 6,616 1 6,437 1 Greece 196 • 258 * 265 * * 239 • 224 • 222 * I N ta e l t y herlands 3 1 , ,8 6 2 2 9 7 • 1 3 1 , ,9 5 1 4 0 0 21 3 1 , ,9 1 6 4 1 6 21 41 2 1 , , 9 89 2 8 7 41 3 1 ,8 0 2 3 3 9 51 3 1, , 9 2 6 2 3 5 4 1 155 87 158 133 164 126 131 135 131 188 131 205 101 Portugal 632 1 646 1 688 1 * 689 * 687 * 721 * 623 1 751 1 778 1 2 807 2 839 2 972 2 Sweden 671 93 616 123 591 133 129 610 130 615 130 733 90 3,575 83 3 325 82 3 726 83 75 3 528 77 3 737 77 3 653 78 165 • 128 * 136 • * 135 * 129 * 123 * United Kingdom 4,191 370 4,253 312 3,967 361 328 4,245 380 4 153 402 4,222 402 Other 2 481 48 441 50 369 49 46 559 49 514 48 462 49 Total 28,916 708 30,093 729 30,433 779 741 30,420 800 30,757 822 31,325 753 Canada 4,057 389 3,882 700 3,805 686 687 3,555 686 3,674 686 3,863 695 Latin American republics: 271 453 1 453 * 452 * 424 * 386 Brazil 429 360 1 329 • 329 • 294 • 330 * Chile 178 176 * 186 • 181 * 227 * 224 * 205 216 1 231 1 244 1 238 1 226 1 Cuba 16 14 * 12 • 11 * 11 • 10 * 626 759 5 808 2 837 1 817 1 808 1 98 117 1 129 10 91 1 105 • 89 1 Peru 2 1 8 5 1 2 2 1 6 9 3 8 *1 2 28 1 4 5 • * 2 2 7 3 7 0 • • 2 2 7 7 6 1 • • 2 2 8 7 0 1 « * 806 933 1 992 * 1,017 * 1 057 * 1,077 * Other 336 3 376 1 424 1 463 2 487 2 465 2 Total 3,398 13 3,865 12 4,063 12 14 4,132 5 4,207 4 4,166 5 Asia: India 288 6 302 5 298 5 • 302 • 311 * 307 * 72 1 67 1 92 1 1 90 1 86 1 72 1 2,484 3 2,674 3 2,743 3 5 2,735 5 2,731 5 2,847 5 215 * 222 • 237 * • 232 * r230 * 260 * 437 • 486 * 486 * * 513 * 529 • 546 * Other 1,490 40 1,581 42 1,687 42 41 1,892 38 1,944 42 1,998 45 Total 4,986 50 5,332 51 5,543 51 47 5,764 44 5,831 48 6,030 51 Africa: South Africa 540 * 683 * 671 * • 670 * 645 • 635 * U.A.R. (Egypt) 188 * 186 * 188 * 198 196 196 Other 373 10 331 10 291 10 9 287 10 280 10 280 14 Total 1,101 10 1,200 10 1,150 10 9 1,155 10 1,121 10 1,111 14 Other countries: Australia 337 * 348 • 388 • • 373 • 384 • 392 * All other 287 29 326 28 314 30 26 308 25 351 26 359 28 Total 624 29 674 28 702 30 26 681 25 735 26 751 28 43,082 1,199 45,046 1,530 45,696 1,568 1,524 45,707 1,570 46,325 1,596 47,246 1,546 International and regional 4 7,349 911 7,093 1,163 6,958 1,213 1,218 7,068 1,170 7,294 1,068 7,498 923 Grand total 3 50,431 2,110 52,139 2,693 52,654 2,781 2,742 52,775 2,740 53,619 2,664 54,744 2,469 1 The first column continues the series based on a 1960 survey and pean regional organizations, except the Bank for International Settlements subsequently reported securities transactions; the second is based on a and European Fund, which are included in "Other Western Europe.'* survey as of July 31, 1963, and reported securities transactions for Aug.- Dec. Data are not available to reconcile the 2 series. NOTE.—Gold and short-term dollars include reported and estimated 2 Includes, in addition to other Western European countries, unpub- official gold reserves, and official and private short-term dollar holdings lished gold reserves of certain Western European countries; gold to be (principally deposits and U.S. Treasury bills and certificates); excludes distributed by the Tripartite Commission for the Restitution of Mone- nonnegotiable, non-interest-bearing special U.S. notes held by the Intertary Gold; European Fund; and the Bank for International Settlements American Development Bank and the International Development Assn. (the figures for the gold reserves of the BIS represent the Bank's net U.S. Govt. bonds and notes are official and private holdings of U.S. gold assets). Govt. securities with an original maturity of more than 1 year; excludes 3 Excludes gold reserves of the U.S.S.R., other Eastern European nonmarketable U.S. Treasury bonds and notes held by official institutions countries, and China Mainland. of foreign countries as shown in Table 7 on p. 198. 4 Includes international organizations and Latin American and Euro- See also NOTE to table on gold reserves. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

192 INTL. CAPITAL TRANSACTIONS OF THE U.S. JANUARY 1965 1. LIABILITIES TO FOREIGN OFFICIAL INSTITUTIONS AND INTERNATIONAL ORGANIZATIONS (Amounts outstanding; in millions of dollars) End of period G to ra ta n l d reg I a i n o n t n d l a . l 1 c F o o u r n e t i r g ie n s E W ur e o st p e e r n 2 Canada 3 A re m L pu e a b r ti i l n c ic a s n Asia Africa co O u t n h t e ri r es 1963—Dec... 19,505 5,855 13,650 7,867 1,653 1,058 2,731 154 187 1964—Jan... 19,265 5 838 13,427 7,602 1,621 1,137 2,741 157 169 Feb... 19,241 5 945 13,296 7,531 ,568 1,107 2,756 156 178 Mar.. 19.152 5 900 13,252 7,500 1,470 1,135 2,815 157 175 Apr... 18,949 5 951 12,998 7,155 ,464 1,249 2,808 151 171 May.. 19,047 5 901 13,146 7,249 ,474 1,240 2,864 146 173 June.. 19,337 5 994 13,343 7,490 1,478 1,153 2,911 137 174 July.. 19,318 5 979 13,339 7,425 ,460 1,239 2,889 147 179 Aug.. 19,412 5 925 13,487 7,635 ,482 1,149 2,906 140 175 Sept.. 19,516 5, 13,528 7,713 1,510 1,074 2,928 146 157 Oct.*3. 19,414 5,958 13,456 7,512 ,561 1,170 2.904 158 151 Nov.33 19,789 5,953 13,836 7,814 1,611 1,188 2,929 151 143 1 Includes international organizations, and Latin American and Euro- NOTE.—Data represent short-term liabilities to the official institutions pean regional organizations, except the Bank for International Settlements of foreign countries and to official international and regional organizations, and the European Fund which are included in Western Europe. as reported by banks in the United States, and estimated foreign official 2 Includes Bank for International Settlements and European Fund. holdings of marketable U.S. Govt. securities with an original maturity 3 Data are as reported by the Canadian Dept. of Finance, adjusted to of more than one year. Data exclude nonnegotiable, non-interest-bearing exclude holdings of nonmarketable U.S. Treasury notes, foreign series. special notes held by the Inter-American Development Bank and the Data on holdings of such notes appear in Table 8. International Development Association, and also nonmarketable U.S. Treasury notes and bonds, payable in dollars and in foreign currencies. 2. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY (Amounts outstanding; in millions of dollars) International and regional * Foreign E pe n r d io o d f G to ra ta n l d Total Intl. g E i p o r u e n e a r a - o n l - 2 g L i r o . e A n - a . l Total c O ia ff l i 3 - Other Europe Canada Am La e t r i i n ca Asia Africa O c t o r t u h ie n e s r - 1960 21,272 4 012 3 897 115 17,260 10,212 7,048 9 046 2,439 2,308 3,115 227 125 1961 422 533 3,752 3,695 57 418,781 10,940 47,841 10,322 2,758 2,340 42,974 283 104 1962 25,019 5,145 4,938 34 173 19,874 11,963 7,911 10,162 3,349 2,448 3,444 319 152 1963—Nov.... 26,428 4,668 4,528 17 122 21,760 12,394 9,367 10,819 3,493 3,034 3,955 274 185 Dec 25,938 4,637 4,501 18 118 21,301 12,467 8,834 10,770 2,988 3,137 3,971 241 194 1964—Jan 26,122 4,668 4,537 17 115 21,454 12,217 9,237 10,752 3,100 3,171 4,012 246 172 Feb 26,119 4,775 4,649 17 109 21,344 12,059 9,285 10,618 3,034 3,191 4,077 238 184 Mar 25,905 4,731 4,603 19 108 21,174 12,015 9,159 10,679 2,684 3,192 4,194 248 177 Apr 26,334 4,780 4,591 16 172 21,554 11,758 9,796 10,643 2,903 3,365 4,224 236 184 May.... 26,340 4,833 4,654 16 163 21,507 11,906 9,601 10,618 2,932 3,332 4,209 231 185 June.... 26,300 4,926 4,755 25 146 21,374 12,102 9,272 10,658 2,743 3,313 4,245 228 186 July 26,863 4,910 4,748 18 144 21,953 12,121 9,832 10,788 3,030 3,400 4,312 234 190 Aug 27,243 4,918 4,757 18 143 22,325 12,309 10,016 11,144 3,064 3,358 4,352 225 183 Sept 27,367 5,064 4,910 17 137 22,303 12,350 9,953 11,281 2,873 3,291 4,438 231 189 Oct.23... 27,976 5,057 4,890 18 148 22,919 12,291 10,629 11,226 3,392 3,411 4,459 245 188 NOV.P... 28,921 5,050 4,889 17 144 23,871 12,711 11,160 11,995 3,458 3,485 4,514 238 181 2a. Europe Ger- End of period Total Austria Belgium m D a e r n k - l F a i n n d - France m F a ed n . y, Greece Italy N l e a t n h d e s r- Norway Po g r a t l u- Spain Sweden Rep. of I960 9,046 243 142 54 46 519 3,476 63 877 328 82 84 149 227 1961 10,322 255 326 52 91 989 2,842 67 1,234 216 105 99 153 406 1962 10,162 329 177 67 73 1,157 2,730 119 1,384 248 125 161 177 490 1963—Nov 10,819 347 401 144 86 1,499 3,041 183 877 361 119 162 172 431 Dec 10,770 365 420 161 99 ,478 3,041 188 803 360 133 191 205 409 1964—Jan 10,752 360 440 176 93 ,487 2,999 177 685 319 107 199 206 421 Feb 10,618 322 431 157 108 ,467 3,157 167 536 289 96 200 217 431 Mar.... 10,679 342 406 167 no ,411 2,858 162 784 297 104 192 234 428 Apr 10,643 297 437 191 111 1,406 2,386 156 849 254 117 189 218 415 May ... 10,618 341 439 195 112 1,518 2,303 148 866 264 159 193 241 420 June.... 10,658 310 440 197 102 1,552 2,535 147 891 222 157 190 264 433 July 10,788 327 396 213 105 1,558 2,360 143 928 309 167 216 296 451 Aug 11,144 355 424 229 105 1,525 2,361 130 1,057 316 171 230 376 509 Sept 11,281 355 426 260 109 1,529 2,288 129 1,121 362 174 224 396 551 Oct.P... 11,226 293 444 269 112 ,523 2,184 157 1,260 355 186 228 409 563 Nov.*5... 11,995 349 474 280 110 1,599 2,152 172 1,431 446 182 224 410 653 For notes see following two pages. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 INTL. CAPITAL TRANSACTIONS OF THE U.S. 193 2 SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANES IN THE UNITED STATES, BY COUNTRY—Continued (Amounts outstanding; in millions of dollars) 2a. Europe—Continued 2%. ILatin America End of period Sw la i n tz d er- Turkey U K d n i o n i m t g e - d Y sl u av g i o a - W E O u e t s r h o te e p r r e n 5 U.S.S.R. E E O a u t s r h t o e e p r r e n Total AtinaD" Brazil Chile Co b l i o a m- Cuba Mexico I960 678 18 1,667 10 357 12 14 2,308 315 194 135 158 77 397 1961 875 26 2,227 12 325 5 16 2,340 235 228 105 147 43 495 1962 908 25 1,609 11 351 3 19 2,448 210 204 135 148 615 531 1963—Nov.... 831 25 1,706 16 395 2 20 3,034 360 189 135 162 11 654 Dec.... 906 21 1,483 16 465 2 24 3,137 375 179 143 169 11 669 1964 Jan 915 18 1,777 14 334 3 23 3,171 381 169 131 174 11 684 Feb 919 28 ,735 13 320 2 22 3,191 392 172 136 173 11 708 Mar.... 986 20 1,787 13 357 3 19 3,192 376 179 138 181 11 681 1,043 16 i,008 13 514 3 21 3,365 377 178 142 190 12 707 May'.'.".' 1,063 15 1,931 14 372 4 20 3,332 402 189 135 178 11 659 June.... 1,138 14 1,714 14 309 3 25 3,313 350 174 184 173 11 649 July.... 1,121 13 1,864 14 278 4 23 3,400 336 176 168 164 10 666 Aug 1,102 12 1,951 13 254 3 21 3,358 307 221 172 149 10 674 Sept 1,121 18 1,920 16 260 3 20 3,291 313 210 181 169 10 638 Oct.^... 1,083 22 1,848 12 254 2 23 3,411 305 233 163 162 10 663 NOV.P... ,196 27 1,997 16 251 3 21 3,485 279 253 151 183 10 111 2b. Latin America—Continued 2c. Asia E pe n r d i o o d f Paaama Peru g U u r a u y - V zu e e n l e a - O R L t . e h A p e . . r B B e a r h m & a u m d a a s 7 A S n u N t r i e i ll n t e h a s . m & Am O L e a t r h t i i e c n r a 7 Total C M la h a n i i n d n a - K H o o n n g g India n d I e n o s - i - a Israel I960 123 72 51 398 235 69 72 12 3 115 35 57 54 178 75 1961 87 84 57 418 226 111 89 15 42,974 35 56 78 76 63 1962 98 105 101 405 267 123 97 10 3,444 36 65 41 28 81 1963—Nov.... 125 155 110 581 306 134 82 30 3,955 35 69 49 27 113 Dec 129 158 113 591 355 136 93 15 3,971 35 66 51 48 112 1964—Jan 111 168 105 646 358 128 88 16 4,012 35 78 51 44 121 Feb 113 173 104 592 391 125 87 14 4,077 36 72 52 54 129 Mar.... 91 173 106 616 397 141 88 13 4,194 36 74 55 46 126 Apr 90 191 98 717 412 154 86 11 4,224 36 72 56 45 132 May ... 90 197 104 687 425 155 85 14 4,209 36 71 67 40 140 June.... 105 204 105 656 426 166 93 16 4,245 36 71 64 42 135 July 85 218 106 769 427 171 93 14 4,312 35 75 62 40 133 Aug 92 214 112 707 419 166 96 19 4,352 35 80 56 27 129 Sept 89 204 109 676 404 175 98 16 4,438 36 77 60 28 134 Oct.p... 96 199 113 763 405 178 105 16 4,459 36 74 55 36 132 Nov.2'... 103 196 111 714 407 174 113 18 4,514 35 85 63 37 140 2c. Asia—Continued 2d. Africa 2e. Other countries E pe n r d i o o d f Japan Korea P p h i i n l e ip s - T w a a i n - T la h n a d i- O A t s h i e a r Total (L C e v o o il n p le g o ) o ld- ro M cc o o - 7 A So fr u ic th a ( U E . g A y . p R t) . A O f t r h ic e a r Total t A ra u l s ia - ot A h l e l r7 I960 1 887 152 203 84 186 204 227 32 64 29 22 80 125 88 37 1961 41 672 199 185 92 264 254 283 34 93 32 15 109 104 98 6 1962 2,195 136 174 75 333 280 319 35 68 41 14 161 152 147 5 1963—No v 2,456 108 196 141 379 381 274 25 59 55 14 121 185 171 14 Dec 2 454 113 209 149 382 353 241 26 49 41 14 112 194 180 13 1964—Jan 2,424 122 201 166 385 384 246 25 48 42 17 114 172 157 15 Feb 2,388 126 203 177 400 441 238 25 41 43 19 110 184 170 14 Mar 2,446 124 209 200 409 472 248 26 33 43 24 123 177 162 15 Apr 2,415 120 205 215 416 512 236 25 24 46 26 114 184 162 22 May .... 2,393 115 203 219 416 510 231 24 19 49 21 118 185 164 21 June.... 2,441 106 204 232 425 490 228 25 17 38 22 126 186 166 19 July 2,451 100 218 249 426 523 234 24 20 44 24 120 190 168 22 Aug 2,514 101 216 248 439 507 225 23 18 38 20 125 183 162 20 Sept 2,557 103 230 238 442 533 231 24 17 46 22 123 189 169 20 Oct.p. 2,548 103 227 229 447 571 245 16 8 48 23 149 188 165 23 Nov.*. .. 2,569 106 228 221 444 585 238 25 7 51 19 135 181 163 18 1 International Bank for Reconstruction and Development, Inter- 4 Includes $82 million reported by banks initially included as of Dec. national Monetary Fund, International Finance Corp., International 31, 1961, of which $81 million reported for Japan. Development Assn., and other international organizations; Inter-Amer- 5 Includes Bank for International Settlements and European Fund. ican Development Bank, European Coal and Steel Community, European 6 Decline from end of 1961 reflects principally reclassification of de- Investment Bank and other Latin American and European regional posits for changes in domicile over the past few years from Cuba to other organizations, except Bank for International Settlements and European countries. Fund which are included in "Europe." 7 Data based on reports by banks in the Second F.R. District only for 2 Not reported separately until 1962. year-end 1960-1962. 3 Foreign central banks and foreign central govts. and their agencies, and Bank for International Settlements and European Fund. For NOTE see end of Table 2. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

194 INTL. CAPITAL TRANSACTIONS OF THE U.S. JANUARY 1965 2. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY—Continued (Amounts outstanding; in millions of dollars) 2f. Supplementary Data 8 (end of period) 1963 1964 1963 1964 Area or country 1962 Area or country 1962 Apr. Dec. Apr. Apr. Dec. Apr. Other Western Europe: Other Asia (Cont.): Iceland 5.6 5.2 7.0 4.7 Iran 918.7 49.4 23 5 33 4 Ireland Rep of 2.9 4 7 10 7 6 0 Iraq 8 5 11 1 19 8 n a Luxembourg 10.8 8.9 7.4 8.6 Jordan 1.2 1.7 2.8 2.7 1.7 2.0 2.7 2.4 Kuwait 33.0 38.2 46.5 49.9 Laos 14.0 12.8 8.8 6.5 Other Latin American Republics: Lebanon 65.9 77.9 76.3 108.1 Bolivia . .... 923 2 21 2 32 6 35 1 Malaysia 18 4 18 9 24 1 24 3 Costa Rica 16.5 32.8 29.1 35.9 Pakistan 15.9 15.9 17.3 16.1 942.0 47.4 58.0 40.6 Ryukyu Islands (incl. Okinawa). 17.0 32.7 21.7 31.6 Ecuador 36.3 37 8 53.4 62.1 Saudi Arabia 28 4 37 1 61 7 151 0 El Salvador 922.5 48.6 41.7 57.8 Syria 4.9 3 4 2 1 5 7 Guatemala 940.9 74.8 47.9 65.1 Viet-Nam 10.1 11.6 12.1 17 9 Haiti 10.5 11.9 12.9 17.3 13.8 23.7 20.0 26.3 Other Africa: Jamaica . 3.3 5.8 6.5 4.7 Algeria 1.6 .5 .9 1.0 Nicaragua 14.8 42.5 35.0 52.3 Ethiopia, incl Eritrea 17.0 20.8 22.3 32.1 Paraguay . 5 7 6 8 8 9 8 4 Ghana 4 1 10 8 6 4 6 3 Trinidad & Tobago 3.1 4.1 5.7 5.5 Liberia 17.6 13.4 22.0 17.8 Libya 5.5 10.5 14.1 14 9 Other Latin America: Mozambique 2.5 1.1 1.4 1.4 British West Indies 9.0 22.6 7.3 6.3 Nigeria 26.8 24.5 17.8 n.a. French West Indies & French Somali Republic .6 .6 .8 g Guiana 1.0 1.3 1.3 .6 Southern Rhodesia n.a. n.a. 3.6 3.5 Sudan 2.4 2.4 2.5 2 0 Other Asia: Tunisia 10.9 11.6 1.0 .8 Afghanistan 5.3 13.3 5.0 4.2 Burma 2.5 8.9 9.9 n.a. All other: Cambodia 12.6 10.2 6.9 2.1 New Zealand .. .... 4.7 8.8 10.5 18.8 Ceylon 4.9 9.6 3.1 3.7 8 Represent a partial breakdown of the amounts shown in the "other" time) and U.S. Govt. securities maturing in not more than 1 year from categories (except "Other Eastern Europe") in Tables 2a-2e. their date of issue; the latter, however, exclude nonnegotiable, non- Except as indicated by note 9, data for 1962 based on reports by banks interest-bearing special U.S. notes held by the International Developin the Second F.R. District only; thereafter data based on reports by ment Assn. and the Inter-American Development Bank. For data banks in all F.R. Districts. on long-term liabilities, see Table 6. For back figures and further 9 Based on reports by banks in all F.R. Districts. description of the data in this and the following tables on international capital transactions of the United States, see "International Finance," NOTE.—Short-term liabilities are principally deposits (demand and Section 15 of Supplement to Banking and Monetary Statistics, 1962. 3. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY TYPE (Amounts outstanding; in millions of dollars) Payable in dollars To banks and official institutions To all other foreigners Payable in End of period Total foreign Total Dem D an e d pos T it i s me i c T b er i r l t U e l i s f a . i s S c a u . a n r t d e y s n S o U p t e . e c S s i . a 2 l Other 3 Total Dema D n e d pos T it i s me * c T b er i r l t e U l i s f a . i s S c a u a . n r t d e y s Other 3 currencies I960 21,272 18,929 7,568 7,491 2,469 1.401 2,230 49 148 233 113 1961 22,450 19,944 8,644 7,363 2,388 1,549 2,356 1,976 149 231 150 1961 4 22,533 20,025 8,707 7,363 2,388 1,567 2,358 1,977 149 232 150 1962 25,019 22,311 8,528 9,214 3,012 1,557 2,565 2,096 116 352 143 1963—Nov 26,428 23,277 5,994 3,806 8,555 3,036 1,886 3,022 1,454 949 134 485 130 Dec 25,938 22,758 5,629 3,673 8,571 3,036 1,849 3,047 1,493 966 119 469 134 1964—Jan 26,122 22,990 5,900 3,756 8,531 3,036 1,767 3,002 1,425 980 120 477 131 Feb 26,119 22,923 5,796 3,842 8,371 3,166 1,748 3,070 1.443 994 127 506 125 Mar 25,905 22,682 5,818 3,800 7,972 3,171 1.921 3,111 1,424 1,023 136 528 112 Apr 26,334 23,069 6,063 3,938 7,687 3,166 2,215 3,148 1,457 1,038 116 537 117 May 26,340 23,116 5,901 3,923 7,800 3,164 2,328 3,107 1,467 1,057 87 495 118 26,300 23,044 5,772 3,723 7,866 3,289 2,394 3,132 1,496 1,077 75 484 123 July 26,863 23,611 6,210 3,788 7,914 3,289 2,409 3,130 1,464 1,093 86 487 123 Aug 27,243 23,962 6,359 3,770 8,163 3,275 2,395 3,158 1,450 1,132 91 485 124 Sept 27,367 24,002 6,243 3,753 8,180 3,425 2,401 3,234 1,478 1,175 101 480 132 Oct.* 27,976 24,622 6,750 3,847 8,130 3,394 2,501 3,247 1.449 1,193 105 500 106 28,921 25,510 7,310 3,873 8,467 3,385 2,475 3,300 1,500 1,208 84 509 111 * Excludes negotiable time certificates of deposit which are included Bank, which amounted to $350 million on Nov. 30, 1964. in "Other." 3 Principally bankers* acceptances, commercial paper, and negotiable 2 Nonnegotiable, non-interest-bearing special U.S. notes held by the time certificates of deposit. International Monetary Fund; excludes such notes held by the Inter- 4 These figures reflect the inclusion of data for banks initially included national Development Assn. and the Inter-American Development as of Dec. 31, 1961. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 INTL. CAPITAL TRANSACTIONS OF THE U.S. 195 4. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRY (Amounts outstanding; in millions of dollars) End of period G to ra ta n l d I r n e t g l i . o a n n a d l Europe Canada A L m a e t r in ica Asia Africa i co O un th tr e i r es 2 1960. 3,614 717 421 ,356 1,052 69 1961. 3 4,820 767 556 ,522 3 1,891 85 1962. 5,163 877 526 ,606 2,017 137 1963—Nov.. 5,759 989 634 ,688 2,298 97 52 Dec. 5,975 939 638 ,742 2,493 104 58 1964—Jan.... 6,158 954 680 ,761 2,601 104 55 Feb... 6,265 1,001 636 ,753 2,716 100 56 Mar... 6,372 940 713 ,781 2,796 98 44 Apr... 6,497 1,002 735 ,818 2,794 102 45 May.. 6,561 1,028 764 ,795 2,825 98 50 June.. 6,901 1,164 855 ,856 2,874 100 52 July... 6,731 1,075 744 ,917 2,837 98 58 Aug 6,779 1,048 746 ,936 2,891 98 60 Sept... 6,810 1,064 675 _,988 2,923 101 58 Oct.*. . 6,903 1,163 633 2,022 2,911 108 65 Nov.*. 6,981 1,140 636 2,097 2,934 108 66 4a. Europe End of period Total A tr u ia s- g B iu e m l- m D a en rk - l F a i n n d - France G Fe e d r . m o f R an e y p , . Greece Italy N la e e n r t d - h s - N w o a r y - t P u o g r a - l Spain S d w en e- 1960 717 65 13 9 32 82 34 33 17 4 8 28 1961 767 20 11 23 42 165 35 54 27 5 11 35 1962 877 32 14 30 68 186 54 27 35 9 19 IS 1963—Nov.. 989 27 11 49 65 170 82 36 41 16 29 36 Dec.. 939 26 13 52 70 121 97 33 40 14 26 30 1964—Jan.. 954 25 13 53 74 160 96 40 39 12 26 25 Feb.. ,001 30 15 69 80 165 95 42 34 12 24 25 Mar.. 940 28 15 69 85 123 83 43 33 17 27 23 Apr.. ,002 29 12 75 86 135 85 47 34 17 25 29 May. ,028 30 15 63 92 158 90 38 35 15 25 29 June. ,164 31 16 63 86 135 114 45 41 16 28 32 July. ,075 29 17 65 79 114 100 46 34 19 31 31 Aug.. ,048 31 18 62 72 133 94 40 33 20 32 31 Sept.. ,064 31 17 65 74 127 92 40 33 17 31 36 Oct.* ,163 35 15 66 78 173 113 40 36 21 28 43 ,140 34 16 71 76 175 135 42 40 20 32 41 4a. Europe—Continued 4b. Latin America End of period S l w a e n r i - t d z- T k u e r y - U K d n i o i n m t g e - d Y sl u av g i o a - W E O u e t r s h o te e p r r e n 4 U.S.S.R. E E O u as t r h o te e p r r e n 5 Total A t r i g n e a n- Brazil Chile l C o b m i o a - - Cuba M ic e o x- 1960 60 49 245 11 11 1,356 121 225 73 26 343 1961 105 16 181 9 9 1,522 192 186 127 125 19 425 1962 75 42 221 6 19 1,606 181 171 186 131 17 408 1963—Nov.. 78 23 262 10 22 15 ,688 184 172 192 185 18 443 Dec... 70 48 237 7 23 16 ,742 188 163 187 208 18 465 1964—Jan... 79 36 212 8 23 18 ,761 179 170 184 218 17 468 Feb... 74 50 219 11 23 18 ,753 175 166 184 219 17 477 Mar.. 77 46 198 14 23 18 ,781 176 155 182 222 16 498 Apr... 81 25 246 17 25 17 ,818 180 147 192 226 17 519 May.. 76 23 255 24 24 17 ,795 175 141 186 230 17 511 June.. 85 42 347 29 22 15 ,856 171 147 191 246 17 543 July.. 91 52 285 26 22 16 ,917 175 147 187 251 16 575 Aug... 88 35 277 23 21 20 ,936 175 153 187 250 16 572 Sept.. 82 49 290 21 22 18 1,988 187 158 196 273 16 569 Oct.*. 89 31 312 17 26 20 2,022 196 155 183 291 17 583 Nov.* 91 15 278 15 21 20 2,097 205 146 188 300 17 604 For notes see following page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

196 INTL. CAPITAL TRANSACTIONS OF THE U.S. JANUARY 1965 4. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANES IN THE UNITED STATES, BY COUNTRY—Continued (Amounts outstanding; in millions of dollars) 4b. Latin America—Continued 4c. i\.sia E pe n r d i o o d f Panama Peru U gu r a u y - V zu e e n l e a - R O L l e i t c p . h A s u e 6 . b r - m B B m u a e d & h a r a s a - - i A N S n n u e a t & i m t r l h i l - e . s A O L i m c a th a t e i e 7 n r r - Total M C la h a n i i n d n a - K rl o o n n g g India I n n e d s o ia - Israel I960 23 44 57 234 55 8 66 1 052 2 9 9 24 1961 32 74 55 144 56 13 74 31 891 2 9 8 36 1962 30 85 122 102 66 9 98 2 017 2 13 20 37 1963—No v 33 98 82 106 121 33 8 14 2,298 2 12 16 25 Dec... 35 99 65 114 135 42 9 16 2,493 2 11 17 22 1964—Jan... 47 106 54 109 148 37 9 15 2,601 2 11 18 25 Feb... 45 107 50 112 145 33 1( 12 2,716 2 11 17 29 Mar... 50 110 50 115 147 34 12 14 2,796 2 12 26 31 Apr... 46 113 48 123 147 37 11 11 2,794 2 13 22 34 May.. 41 113 51 125 144 35 12 11 2,825 2 13 23 i 38 June.. 44 114 54 128 140 37 12 10 2,874 2 15 21 39 July.. 40 112 55 140 160 38 11 10 2,837 2 16 20 t 44 Aug... 38 104 62 137 169 41 19 13 2,891 2 16 19 « 39 Sept... 37 102 63 140 173 42 U 13 2,923 2 20 24 39 Oct.P. 35 95 62 140 188 44 19 16 2,911 2 21 20 40 NOV.P. 38 97 67 153 200 50 17 16 2,934 2 20 19 3 45 4c. Asia—Continued iId. Africa 4e. Other countries Congo End of period Japan Korea P p h i i n l e ip s - T w a a i n - T la h n a d i- O A t s h i e a r Total 1 ( p v L o il e l l o d e - ) - M c o o r o i c- A So fr u ic th a ( U E . g A y . p R t) . A O f t r h ic e a r ^ Total 2 A t l r u i a a s - - ot A he n r - « I960 806 2 19 7 24 150 3 11 3 69 28 24 1961 31 528 4 114 10 34 145 6 in 13 85 29 27 1962 1 740 3 70 9 41 80 2 10 26 137 41 57 1963—Nov 2 017 26 74 g 45 73 97 16 27 51 52 44 8 Dec 2,171 25 113 8 52 71 104 15 28 59 58 48 9 1964—Jan.. 2 247 28 129 9 52 80 104 ? is 25 61 55 47 8 Feb 2 340 30 142 10 58 76 100 1 15 28 55 56 49 8 Mar. 2 400 31 150 9 58 77 98 1 17 24 55 44 36 8 Apr 2 394 29 161 8 57 74 102 1 70 24 56 45 37 8 May 2,421 28 155 7 54 84 98 2 18 29 49 50 40 9 June 2 469 27 158 7 57 78 100 ? 19 26 52 52 43 9 July 2,416 27 174 7 53 78 98 2 19 26 50 58 49 9 Aug 2 472 23 179 7 56 77 98 19 26 50 60 50 9 Sept 2,493 25 179 8 53 80 101 18 29 52 58 49 10 Oct p 2 479 21 185 8 54 80 108 18 29 58 65 56 10 Nov.? 2,496 25 183 8 55 79 108 2 19 28 58 66 57 9 1 Not reported separately until 1963. 8 Until 1963 includes also African countries other than Congo (Leo- 2 Includes Africa until 1963. poldville), South Africa, and U.A.R. (Egypt). 3 Includes $58 million reported by banks initially included as of Dec. 1961, of which $52 million reported for Japan. NOTE.—Short-term claims are principally the following items payable 4 Until 1963 includes Eastern European countries other than U.S.S.R., on demand or with a contractual maturity of not more than 1 year: loans Czechoslovakia, Poland, and Rumania. made to and acceptances made for foreigners; drafts drawn against 5 Czechoslovakia, Poland, and Rumania only until 1963. foreigners where collection is being made by banks and bankers for « Bolivia, Dominican Republic, El Salvador, and Guatemala only until their own account or for account of their customers in the United States; 1963. and foreign currency balances held abroad by banks and bankers and 7 Until 1963 includes also the following Latin American Republics: their customers in the United States. Excludes convertible currencies Costa Rica, Ecuador, Haiti, Honduras, Jamaica, Nicaragua, Paraguay, held by U.S. monetary authorities. and Trinidad and Tobago. See also NOTE to Table 2. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 INTL. CAPITAL TRANSACTIONS OF THE U.S. 197 5. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY TYPE (Amounts outstanding; in millions of dollars) Payable in dollars Payable in foreign currencies Loans to— Foreign End of period Total Total Total O i t n io f s f n t i i c s t i u a i - l Banks Others C s t t o o i i a o n u l n l n g t e d - s c - - e f A o o i a m g c r f n n c a a c f e e d o c e p r e r c s s t - t - 2 . Other 3 Total D w ei e i g t p h n o e f s r o i s t r s - g c c p a n o u o a n a v r m p d i n t e t . m i c r f e s e i e s l - 2 . , - Other 4 I960 3,614 3,135 1,296 290 524 482 605 1,233 480 242 238 1961 4 762 4 177 1,646 329 699 618 694 1 837 586 385 200 1961 5 4,820 4,234 1,660 329 709 622 700 1,874 586 386 200 1962 5,163 4,606 1,954 359 953 642 686 1,967 557 371 186 1963—Nov 5,759 5,121 1,919 201 961 757 801 2,052 350 639 432 156 51 Dec 5,975 5,344 1,915 186 955 774 832 2,214 384 631 432 157 42 1964 Jan 6,158 5,509 2,024 191 1,037 796 863 2,248 373 649 399 207 43 Feb 6,265 5,620 2,057 176 1.090 791 891 2,325 348 644 410 197 36 Mar 6,372 5,710 2,051 162 1,086 803 932 2,394 333 662 397 211 55 Apr 6,497 5,788 2,098 152 1,108 838 911 2,413 367 709 444 210 56 6,561 5,826 2,143 140 1,138 865 932 2,373 378 735 452 221 62 June 6,901 6,093 2,196 168 1,143 885 933 2,438 526 808 494 254 60 July 6,731 6,043 2,237 168 1,152 917 956 2,401 448 688 419 207 62 Aug . 6,779 6,087 2,269 151 1,176 942 956 2,403 460 692 416 202 74 Sept 6,810 6,136 2,314 159 1,207 948 980 2,414 428 674 416 176 83 Oct.p 6,903 6,227 2,384 163 1,252 969 968 2,431 444 677 416 177 83 Nov.*5 6,981 6,309 2,473 166 ,329 978 990 2,419 428 672 404 183 84 1 Includes central banks. 5 These figures reflect the inclusion of data for banks initially included 2 Not reported separately until 1963. asofDec31,1961. 3 Until 1963 includes acceptances made for account of foreigners. * Until 1963 includes foreign government securities, commercial and finance paper. 6. LONG-TERM CLAIMS ON AND LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY TYPE (Amounts outstanding; in millions of dollars) Claims End of period Payable in dollars Total Payable in liabilities Total foreign Total Loans All other currencies I960 1,698 7 1961 . . 2,034 2 1962 2,160 4 1963 Nov 2,584 2.581 2.545 36 2 64 Dec 'i 3.030 '13 028 r2,811 217 2 69 1964 Jan r3,073 '•3,071 '2,854 217 2 73 Feb '3,126 '3 123 '2 907 217 2 74 Mar '3,272 '3,271 '3,056 215 1 104 Apr '3,305 '3,304 '3,091 213 145 May '3,331 '3 330 '3 118 212 154 June '3,344 '3,343 '3,141 202 156 July '3,408 r3 407 '3 213 194 174 AUR ''3,474 '3,473 '3.276 198 173 S O e c p t t p 3 3 , , 5 6 8 8 5 2 3 3 , , 5 6 8 8 5 2 3 3 , . 3 4 8 7 8 9 2 1 0 9 3 7 * 1 1 6 7 1 0 Nov." 3,851 3,851 3,650 201 * 284 1 Includes $193 million reported by banks for the first time as of December 1963, representing in part claims previously held but not reported by banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

198 INTL. CAPITAL TRANSACTIONS OF THE U.S. JANUARY 1965 7. PURCHASES AND SALES BY FOREIGNERS OF LONG-TERM SECURITIES, BY TYPE (In millions of dollars) U.S. Govt. bonds and notesl U. s S e . c u c r o i r t p ie o s r a 2 te Foreign bonds Foreign stocks Net purchases or sales Period Intl. Foreign c P ha u s r e - s Sales c N ha s e a s t e l e p s s u o r r - c P ha u s r e - s Sales c N ha s e a s t e le p s s u o r r - c P ha u s r e - s Sales c N ha s e a t s e l p e s s u o r r - - mnA regional Total Official Other 1961 512 532 -20 3,384 3,161 223 802 1,262 -460 596 966 -370 1962 -728 -521 -207 2 568 2 508 60 1 093 2 037 -944 702 806 — 104 1963 671 302 369 2,980 2,773 207 991 2,086 -1,095 696 644 51 1963 Nov 105 61 44 43 1 258 227 31 29 61 -32 70 28 42 Dec -25 — 14 -11 -6 -5 277 254 23 40 62 -22 63 28 34 1964 Jan -5 -48 43 27 17 309 296 13 40 37 3 77 45 32 Feb 30 1 29 26 3 230 264 -34 51 134 -83 62 36 26 Mar -27 * -27 -27 299 334 -35 43 40 66 36 31 Apr -4 1 -5 4 -8 340 360 -20 70 192 -121 71 50 22 May -83 -103 20 * 20 313 296 16 53 157 -103 62 50 12 12 * 12 1 10 313 297 17 67 112 -44 64 47 17 julv -16 1 -17 -23 6 284 353 -68 70 76 -5 61 42 19 -98 -61 -37 -40 3 260 262 -2 37 32 6 49 32 16 Sept -81 -84 3 3 267 301 -34 51 97 -46 49 42 7 Oct p -30 -21 -9 -13 4 335 353 -17 252 395 -144 60 59 1 Nov P -37 * -37 -40 3 296 292 3 86 342 -256 55 50 5 1 Excludes nonmarketable U.S. Treasury bonds and notes held by NOTE.—Statistics include transactions of international and regional official institutions of foreign countries; see Table 8. organizations. 2 Includes small amounts of State and local govt. securities. See also NOTE to Table 2. NONMARKETABLE U.S. TREASURY BONDS AND NOTES HELD BY OFFICIAL INSTITUTIONS OF FOREIGN COUNTRIES (In millions of dollars) Payable in foreign currencies Payable in dollars End of period Total Austria Belgium Germany Italy Switzerland Total Canada Italy Sweden 1962—Dec 251 200 51 1963—Dec 730 50 30 275 200 175 163 125 13 25 1964—Jan 730 50 30 275 200 175 160 125 10 25 Feb 730 50 30 275 200 175 160 125 10 25 Mar 680 50 30 275 150 175 158 125 8 25 Apr 732 50 30 477 175 158 125 8 25 May 802 50 30 477 »245 158 125 8 25 802 50 30 477 1245 152 125 2 25 July 953 50 30 628 1245 152 125 2 25 1,005 50 30 628 1297 152 125 2 25 Sept 1,005 50 30 628 1297 354 2 329 25 Oct 1,086 50 30 679 i 327 354 2 329 25 Nov 1,086 50 30 679 1 327 354 2 329 25 Dec 1,086 50 30 679 1327 354 2 329 25 i Includes the equivalent of $70 million payable in Swiss francs to the 2 Includes $204 million of nonmarketable bonds issued to the Govern- Bank for International Settlements. ment of Canada in connection with transactions under the Columbia River treaty. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 INTL. CAPITAL TRANSACTIONS OF THE US. 199 9. NET PURCHASES OR SALES BY FOREIGNERS OF U.S. CORPORATE SECURITIES, BY TYPE OF SECURITY AND BY COUNTRY (In millions of dollars) Type of security Country or area Period Total Stocks Bonds France S l z a w e n r i d - t- U K d n i o n i m t g e - d E O u t r h o e p r e E T u o r t o a p l e Canada A L m i a c t a e in r- Asia Africa i O c tr o t i u h e n e s2 r - re I g a n i n o t d l n . al \ 1961 223 323 -99 21 166 -17 61 232 -112 44 44 12 1962 60 111 -51 4 129 -33 24 124 -43 -20 -18 ii 17 1963 207 198 9 -8 -14 206 16 199 -47 14 17 L 22 1963—Nov... 31 38 -7 3 6 22 6 36 -14 5 1 4 2 Dec... 23 21 3 8 7 18 2 1 1 1 2 1964—Jan... 13 4 9 -2 -2 -16 8 -12 11 10 1 t 1 Feb... -34 -26 -9 -6 -22 4 -25 -10 1 -2 t 2 Mar... -35 -51 16 2 -13 -19 5 -25 -5 -10 2 4 3 Apr... -20 -17 * -6 -24 -27 10 4 > N S J A O M J u e u o c u a p n v l t g . y y t e . ? . . P . . . . . . . . . . . . - - - 6 - 3 1 2 1 1 8 4 7 3 7 6 - - - - - 5 4 2 - 2 7 6 0 3 7 5 4 2 4 3 1 3 8 9 6 8 0 4 - - - - - - - 9 4 4 3 5 6 2 - - - - - - - 1 2 1 2 3 2 2 5 1 9 4 2 2 6 -3 2 4 1 1 2 8 1 4 9 4 -1 ~ 5 8 6 2 * 1 - - - - 1 - 1 1 l 4 7 6 3 l 2 -1 - - 8 7 1 8 9 3 0 — -3 2 4 3 * * 4 -2 3 2 2 * 1 4 4 2 1 1 1 1 1 1 Not reported separately until May 1963. NOTE.—Statistics include small amounts of State and local govt. securi- 2 Yearly figures include Africa. ties. 10 NET PURCHASES OR SALES BY FOREIGNERS OF LONG-TERM 11. DEPOSITS, U.S. GOVT. SECURITIES, AND FOREIGN SECURITIES, BY AREA GOLD HELD AT F.R. BANKS FOR FOREIGNERS (In millions of dollars) (In millions of dollars) Intl. Total Assets in custody Period Total g a i r o n e n - d al c t e f o r o i u i g r e n - n s - r E o u p - e C a a d n a - A L i m a c t a e in r- Asia Africa* O c tr o t i u h es n e r 2 - E pe n r d io d of Deposits U se .S cu . r G it o ie v s t 1 . Ear g m o a ld rked 1961 -830 1 -832 —262 -318 —58 — 121 —73 1960 217 5,726 11,843 1962 -1,048 -235 -813 -188 -360 -41 -175 -50 1961 279 6,006 11,905 1963 -1,044 -96 -949 -49 -614 -26 -252 -8 1962 247 6,990 12,700 1963—Nov.... 10 2 8 2 8 2 -5 • • 1963—Dec... 171 8,675 12,954 Dec... 12 2 10 16 -2 1 -11 6 1 1964—Jan.... 136 8,740 12,899 1964—Jan 35 3 32 24 16 1 -10 1 Feb... 155 8,731 12,884 Feb.... -57 -4 -53 22 -80 -4 8 1 Mar... 167 8,105 12,775 Mar.... 33 2 31 23 10 1 -4 1 166 7,860 12,726 Apr.... -100 -48 -52 24 -58 -14 -5 2 M^yi! 161 7,892 12,747 May... -91 1 -92 8 -93 3 -12 1 June.. 156 8,043 12,795 June... -28 9 -36 13 -49 2 -8 4 July... 135 8,201 12,752 July.... 14 4 9 19 6 -13 — 5 1 2 Aug... 163 8,247 12,741 Aug.... 22 1 20 4 16 1 -2 1 1 Sept... 148 8,373 12,738 Sept -39 * -39 -5 -35 1 -1 * 1 Oct.... 120 8,201 12,707 Oct.*. . -143 7 -149 2 -167 12 -5 2 6 Nov... 256 8,278 12,672 Nov.*.. -251 -95 -156 15 -129 -30 -15 * 2 Dec... 229 8,389 12,698 * Not reported separately until May 1963. i U.S. Treasury bills, certificates of indebtedness, 2 Yearly figures include Africa. notes, and bonds; includes securities payable in foreign currencies. NOTE.—Excludes deposits and U.S. Govt. securities held for international organizations. Earmarked gold is gold held for foreign and international accounts (for back figures, see "Gold," Section 14 of Supplement to Banking and Monetary Statistics, 1962). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

200 INTL. CAPITAL TRANSACTIONS OF THE U.S. JANUARY 1965 12. SHORT-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY NONFINANCIAL CONCERNS (End of period; in millions of dollars) Liabilities to foreigners Claims on foreigners Area and country 1963 1964 1963 1964 n m IV I II* II ni IV I IIP Europe: Austria 2 2 2 2 3 5 6 8 7 6 Belgium 20 23 26 19 21 27 26 22 18 19 Denmark 3 3 1 1 7 5 8 6 7 Finland 1 1 1 1 1 3 3 4 5 32 31 33 31 28 50 48 47 52 70 Germany Fed Rep of . 33 35 34 32 36 106 106 103 114 82 Greece 2 2 2 2 5 6 7 9 13 9 Italy 30 26 25 26 24 89 102 106 101 101 Netherlands 50 56 46 43 46 28 24 32 34 30 Norway 3 2 3 2 3 5 6 7 6 7 1 1 1 1 1 7 7 8 8 10 Spain 7 6 7 7 9 23 26 29 32 47 Sweden 8 7 9 7 7 20 19 17 20 17 Switzerland 27 40 25 20 19 35 30 27 23 19 Turkey 4 5 2 4 5 7 6 5 5 5 118 127 100 110 102 201 218 234 244 265 Yugoslavia . 3 3 4 6 1 3 3 3 4 3 Other Western Europe 2 3 3 1 3 3 4 4 5 6 U Ot S he S r R Ea . s . tern Europe * * * 1 * * * 1 * 1 * 3 3 3 1 4 * 2 * Total 346 373 325 319 316 629 650 678 701 712 Canada . 59 62 72 68 62 918 887 ••688 861 847 Latin America: Argentina 6 6 7 6 6 30 28 40 39 34 Brazil 19 21 13 13 11 103 112 113 119 127 Chile 4 4 3 3 3 26 23 25 24 23 Colombia 5 5 7 6 8 20 22 19 19 22 Cuba * * * * * 6 6 5 5 5 10 6 8 11 8 56 53 60 59 62 11 17 20 29 21 14 13 13 10 11 Peru 4 3 6 8 7 19 19 27 26 25 3 4 1 3 1 5 4 9 7 15 Venezuela 27 25 22 20 22 37 38 36 37 40 Other L.A Republics 11 11 13 10 9 38 40 39 42 44 Bahamas and Bermuda 2 5 1 2 2 10 11 10 20 21 9 9 6 6 7 9 10 5 5 5 Other Latin America 2 2 4 5 6 11 8 11 10 11 Total 113 118 110 122 112 382 388 412 424 447 Asia: China Mainland 2 2 1 2 2 * * * • Hong Kong 2 2 2 2 2 3 4 4 6 5 16 15 14 14 14 49 42 42 39 39 7 2 3 3 5 4 7 10 5 5 Israel 2 1 1 2 1 7 7 7 7 8 Japan 43 29 24 23 28 140 130 161 170 160 3 1 1 1 1 4 4 6 5 4 Philippines 5 7 5 5 5 11 11 9 12 11 1 1 6 3 4 3 4 4 1 2 1 1 5 4 11 7 7 Other Asia 19 21 18 22 21 44 42 41 46 53 Total 104 82 72 76 81 273 254 295 300 298 Africa: Congo (Leopoldville) 1 * 1 1 2 2 3 2 2 * * * * * 1 2 1 1 South Africa 11 12 10 9 10 8 9 9 8 13 U.A.R. (Egypt) 9 10 6 4 2 15 12 11 14 13 Other Africa 14 10 8 6 6 15 18 18 23 26 Total 35 33 25 21 19 41 42 43 50 55 Other countries: Australia. 13 18 17 25 27 28 28 32 33 37 All other 4 6 5 4 6 8 7 9 5 6 Total 17 24 22 30 33 35 35 42 38 43 * * * 3 2 2 1 1 Grand total 674 691 627 635 624 2,282 2,257 2,159 2,375 2,402 NOTE.—Reported by exporters, importers, and industrial and com- U.S. banks, and intercompany accounts between U.S. companies and marcial concerns in the United States. Data exclude claims held through their foreign affiliates. See also NOTE to Table 2 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 MONEY RATES 201 CENTRAL BANK RATES FOR DISCOUNTS AND ADVANCES TO COMMERCIAL BANES (Per cent per annum) Rate as of Changes during the last 12 months Dec. 31, 1963 Rate as of Country 1964 Dec. 31, 1964 Per Month cent effective Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Argentina* 6.0 Dec. 1957 6.0 4.5 June 1963 4.5 4.25 Oct. 1963 4.75 4.75 10.0 Apr. 1958 10.0 4.0 Feb. 1962 4.0 4.0 Aug. 1963 4.25 4.25 Ceylon 4.0 Aug. 1960 4.0 Chile2 14.21 July 1963 14.39 14.63 14.63 China (Taiwan) 3 14.04 July 1963 14.04 8.0 May 1963 8.0 3.0 Apr. 1939 3.0 5.5 Nov. 1963 6.5 6.5 5.0 Nov. 1956 5.0 El Salvador 6.0 June 1961 4.0 4.0 7.0 Apr. 1962 7.0 4.0 Nov. 1963 4.0 Germany, Fed. Rep. of..... 3.0 May 1961 3.0 Ghana 4.5 Oct. 1961 4.5 Greece 5.5 Jan. 1963 5.5 3.0 Jan. 1962 3.0 Iceland 9.0 Dec. 1960 9.0 India 4.5 Jan. 1963 5.0 5.0 9.0 Aug. 1963 9.0 4.0 Oct. 1963 4.0 Ireland 3.98 Dec. 1963 3.94 4.5 4.62 4.69 4.87 4.89 4.94 6.87 6.87 6.0 Feb. 1955 6.0 Italy 3.5 June 1958 3.5 4.0 Nov. 1963 5.0 5.0 Japan 5.84 Apr. 1963 6.57 6.57 10.22 June 1960 10.5 10.5 Mexico 4.5 June 1942 4.5 Netherlands 3.5 Jan. 1963 4.0 4.5 4.5 New Zealand 7.0 Mar. 1961 7.0 6.0 Apr. 1954 6.0 3.5 Feb. 1955 3.5 4.0 Jan. 1959 4.0 Peru . 9.5 Nov. 1959 9.5 Philippine Republic 5 6.0 Jan. 1962 6.0 2.0 Jan. 1944 2.0 South Africa 3.5 Nov. 1962 4.0 4.5 4.5 Spain . . 4.0 June 1961 4.0 Sweden 4.0 June 1963 4.5 5.0 5.0 2.0 Feb. 1959 2.5 2.5 Thailand 7.0 Feb. 1945 7.0 4.0 Oct. 1962 4.0 Turkey 7.5 May 1961 7.5 United Arab Rep. (Egypt).. 5.0 May 1962 5.0 United Kingdom 4.0 Jan. 1963 5.0 7.0 7.0 Venezuela 4.5 Dec. 1960 4.5 1 On June 24, 1962, the bank rate on advances to chartered banks shown is the one at which it is understood the central bank transacts was fixed at 6 per cent. Rates on loans to money market dealers will the largest proportion of its credit operations. Other rates for some continue to be .25 of 1 per cent above latest weekly Treasury bill tender of these countries follow: average rate but will not be more than the bank rate. Argentina—3 and 5 per cent for certain rural and industrial paper, de- 2 Beginning with Apr. 1, 1959, new rediscounts have been granted at pending on type of transaction; the average rate charged by banks in the previous half year. Old redis- Brazil—8 per cent for secured paper and 4 per cent for certain agricultural counts remain subject to old rates provided their amount is reduced by paper; one-eighth each month beginning with May 1, 1959, but the rates are Colombia—5 per cent for warehouse receipts covering approved lists of raised by 1.5 per cent for each month in which the reduction does not products, 6 and 7 per cent for agricultural bonds, and 12 and 18 per cent occur. for rediscounts in excess of an individual bank's quota; 3 Rate shown is for call loans. Costa Rica—5 per cent for paper related to commercial transactions 4 Rate shown is for advances only. (rate shown is for agricultural and industrial paper); 5 Beginning with June 1, 1962, the rediscount rate for commercial Ecuador—6 per cent for bank acceptances for commercial purposes; bank loans financing the purchase of surplus agricultural commodities Indonesia—various rates depending on type of paper, collateral, comunder U.S. Law 480 was reduced from 6 to 3 per cent; and on Aug. 22, modity involved, etc.; 1962, the rediscount rate for commercial bank financing of 9 categories Japan—penalty rates (exceeding the basic rate shown) for borrowings of development loans was reduced from 6 to 3 per cent. from the central bank in excess of an individual bank's quota; Peru—8 per cent for agricultural, industrial and mining paper; and Venezuela—4 per cent for rediscounts of certain agricultural paper and for advances against govt. bonds or gold and 5 per cent on advances against securities of Venezuelan companies. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

202 MONEY RATES; ARBITRAGE JANUARY 1965 OPEN MARKET RATES [Per cent per annum] Germany, Canada United Kingdom France Fed. Rep. of Netherlands Switzerland Month 3 T m r b e o i a l n s ls u t , h ry sl D m a o d y n a - y e t y o 2 - 3 B a a a m c n n c c o k e e n p e s t t r , h - s s ' 3 T r m b e i a o l s l n s u t , r h y s D m a d o y a n - y e to y - a B d ll e a o p n o w o k n a s e i n r t s c s ' e D m a o d y n a - e y t y o - 3 Tr 6 d b e 0 a i a l - y s l 9 s s u 0 , 4 ry D m a o d y n a - y e t y o 5 - 3 T r m b e i a o l s l n s u , t r h y s D m a d o y a n - y e to y - d P is r r c i a v o t a e u t n e t 1961—Dec 2.82 2.37 5.61 5.35 4.83 4.00 3.58 2.00 3.06 1.32 1.11 2.00 1962—Dec 3.88 3.75 3.86 3.64 3.30 2.50 3.51 2.63 3.50 1.98 L.24 2.00 1963—Nov 3.64 3.22 3.91 3.75 3.02 2.00 4.14 2.63 2.75 2.10 1.14 2.00 Dec 3.71 3.55 3.91 3.74 3.00 2.00 4.66 2.63 2.56 2.25 1.56 2.00 1964—Jan 3.76 3.51 3.91 3.72 3.03 2.00 4.13 2.63 2.69 2.31 L.67 2.00 Feb 3.81 3.57 4.00 3.91 3.10 2.08 4.33 2.63 2.69 2.33 1.88 2.00 Mar 3.88 3.70 4.53 4.30 3.79 3.00 4.98 2.63 3.38 2.88 2.51 2.00 Apr 3.75 3.52 4.53 4.30 3.81 3.00 5.03 2.63 3.44 3.00 2.42 2.38 May 3.66 3.33 4.56 4.35 3.77 3.00 6.18 2.63 3.38 3.10 2.78 2.50 June 3.56 3.28 4.64 4.44 3.80 3.00 4.91 2.63 3.31 3.81 2.05 2.50 July 3.60 3.49 4.73 4.57 3.67 3.00 4.83 2.63 3.38 4.26 3.53 2.50 Aug 3.80 3.79 4.84 4.65 3.92 3.00 4.70 2.63 3.38 3.74 2.06 2.50 Sept 3.79 3.77 4.84 4.65 3.94 3.00 4.74 2.63 3.69 3.70 2.09 2.50 Oct 3.69 3.60 4.88 4.69 3.99 3.00 4.30 2.63 3.25 3.80 3.14 2.50 Nov 3.73 3.68 5.42 5.18 4.54 3.56 4.13 2.63 3.13 3.84 2.88 2.50 1 Based on average yield of weekly tenders during month. 5 Based on average of lowest and highest quotation during month. 2 Based on weekly averages of daily closing rates. 3 Rate shown is on private securities. NOTE.—For description of rates and back data, see "International 4 Rate in effect at end of month. Finance," Section 15 of Supplement to Banking and Monetary Statistics. 1962. ARBITRAGE ON TREASURY BILLS (Per cent per annum) United States and United Kingdom United States and Canada Treasury bill rates Treasury bill rates Date United P d ( r i e s + c m ) o o i u u r n m t inc N en e t t ive Canada P d ( r i e + s m c ) o i u o u n m r t in N ce e n t tive Kingdom Spread (-)on (favor Spread (-)on (favor quotation U S n ta i t t e e s d L ( o f n a o v d f o o r n) f p or o w un ar d d Lon o d f on) qu A i o n t s ed qu A o U d t j . a . S t . i t o o n U S n ta i t t e e s d C ( a fa n o v a f o d r a) C fo a d n r o w a ll d a a i r r a d n Can o a f da) basis) Canada basis 1964 4.50 3.47 1.03 -.72 .31 3.76 3.67 3.47 .20 -.14 .06 4.50 3.48 1.02 — .67 .35 3.83 3.74 3.48 .26 — .34 -.08 21 4.50 3.48 1.02 -.60 .42 3.80 3.71 3.48 .23 — .34 -.11 28 4.50 3.46 1.04 — .64 .40 3.79 3.70 3.46 .24 — .21 .03 Sept. 4 4.50 3.48 1.02 -.62 .40 3.80 3.71 3.48 .23 — .30 -.07 4.50 3.50 1.00 -.66 .34 3.81 3.72 3.50 .22 -.27 — .05 18 4.50 3.52 .98 -.72 .26 3.84 3.75 3.52 .23 -.20 .03 25 4.50 3.52 .98 -.75 .23 3.75 3.66 3.52 .14 -.20 — .06 Oct. 2 4.50 3.53 .97 -.75 .22 3.71 3.63 3.53 .10 -.20 -.10 9 4.53 3.56 .97 -.76 .21 3.67 3.59 3.56 .03 — .20 — .17 16 4.59 3.56 1.03 -.96 .07 3.68 3.60 3.56 .04 -.14 -.10 23 4.59 3.56 1.03 -.91 .12 3.71 3.63 3.56 .07 -.20 -.13 30 4.59 3.53 1.06 -.82 .24 3.70 3.62 3.53 .09 — .20 — .11 Nov 6 4.53 3.54 .99 -.91 .08 3.70 3.62 3.54 .08 -.20 — .12 13 4.53 3.56 .97 -.92 .05 3.67 3.59 3.56 .03 -.17 — .14 20 4.62 3.59 1.03 -1.01 .02 3.68 3.60 3.59 .01 — .13 — 12 27 6.41 3.79 2.62 -2.65 -.03 3.86 3.78 3.79 -.01 — .27 -.28 Dec 4 6.41 3.76 2.65 -2.54 .11 3.86 3.77 3.76 .01 -.13 — 12 11 6.41 3.80 2.61 -2.68 -.07 3.83 3.74 3.80 -.06 -.07 — 13 18 6.41 3.84 2.57 -2.62 -.05 3.86 3.77 3.84 -.07 -.07 — .14 24 6 41 3.84 2.57 -2.69 -.12 3.85 3.76 3.84 -.08 — 07 — 15 31 6.41 3.80 2.61 -2.72 -.11 3.83 3.74 3.80 -.06 — .14 — 20 1965 Jan. 8 6.44 3.77 2.67 -2.61 .06 3.80 3.71 3.77 -.06 -.14 -.20 NOTE.—Treasury bills: All rates are on the latest issue of 91-day bills. All series: Based on quotations reported to Federal Reserve Bank of U.S. and Canadian rates are market offer rates 11 a.m. Friday; U.K. New York by market sources. rates are Friday opening market offer rates in London. For description of series and for back figures see Oct. 1964 BULL., Premium or discount on forward pound and on forward Canadian dollar: pp. 1241-60. For description of adjustments to U.K. and Canadian Rates per annum computed on basis of midpoint quotations (between Treasury bill rates, sec notes to Table 1, p. 1257, and to Table 2. p. 1260. bid and offer) at 11 a.m. Friday in New York for both spot and forward Oct. 1964 BULL. pound sterling and for both spot and forward Canadian dollars. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 FOREIGN EXCHANGE RATES 203 FOREIGN EXCHANGE RATES (In cents per unit of foreign currency) Aus- Period Ar ( g p e e n so ti ) na (p tr o a u l n ia d) (s A ch u i s l t l r in ia g) B ( e fr l a g n iu c m ) C (d a o n l a la d r a ) C (r e u y p l e o e n ) D ( e k n ro m n a e r ) k ( F m i a n r l k an k d a) F (f r r a an n c c ) e 1959 1.2730 223.81 3.8619 2.0012 104.267 21.055 14.508 .3115 .2038 1960 1.2026 223.71 3.8461 2.0053 103.122 21.048 14.505 .3112 20.389 1961 1.2076 223.28 3.8481 2.0052 98.760 21.023 14.481 .3110 20.384 1962 .9080 223.73 3.8685 2.0093 93.561 21.034 14.490 .3107 20.405 1963 .7245 223.10 3.8690 2.0052 92.699 21.015 14.484 131.057 220.404 1964 .7179 222.48 3.8698 2.0099 92.689 20.988 14.460 31.067 20.404 1963—Dec. .7391 222.83 3.8690 2.0067 92.629 21.019 14.489 31.059 20.404 1964—Jan... .7514 222.97 3.8702 2.0071 92.551 21.025 14.471 31.063 20.402 Feb.. .7582 222.86 3.8681 2.0068 92.575 21.021 14.457 31.068 20.403 Mar.. .7438 222.95 3.8675 2.0070 92.534 21.019 14.484 31.077 20.404 Apr.. .7287 223.03 3.8687 2.0082 92.498 21.020 14.494 31.077 20.405 May. .7312 223.06 3.8686 2.0089 92.499 21.021 14.482 31.066 20.405 June. .7272 222.64 3.8694 2.0060 92.499 21.009 14.470 31.063 20.401 July.. .7279 222.29 3.8710 2.0085 92.473 20.977 14.459 31.063 20.405 .7075 222.04 3.8725 2.0103 92.690 20.953 14.438 31.059 20.405 Sept. .6980 221.79 3.8712 2.0126 92.913 20.955 14.435 31.056 20.402 Oct., .6979 221.79 3.8699 2.0146 92.984 20.954 14.430 31.054 20.403 .6725 221.90 3.8693 2.0149 93.100 20.953 14.430 31.076 20.405 Dec.'.' .6652 222.36 3.8707 2.0144 93.039 20.944 14.459 31.084 20.405 Period ( G d m e e r u a m t r s k a c n ) h y e (r I u n p d e ia e) ( I p r o el u a n n d d ) ( I l t i a r l a y ) J ( a y p en a ) n ( M do a s l i l l a a a y r - ) M (p e e x s i o c ) o ( e g N r u l e i a l t n d h d e - r s ) ( Z p e N o a u e la w n n d d ) 1959. 23.926 21.031 280.88 .16099 .27781 32.857 8.0056 26.492 278.10 1960. 23.976 20.968 280.76 .16104 .27785 32.817 8.0056 26.513 277.98 1 1 9 9 6 6 1 2 . . 2 2 4 5 . . 9 0 0 1 3 3 2 2 0 1 . .0 9 2 8 6 0 2 2 8 80 0 . . 7 2 8 2 . . 1 1 6 6 0 1 9 0 9 7 . .2 i 76 n 90 n 3 3 2 2 . . 6 7 5 5 9 7 8 8 . . 0 0 0 0 5 5 6 6 2 27 7 . . 7 5 5 5 5 5 2 2 7 7 7 8 . . 4 0 5 0 1963. 25.084 20.966 280.00 .16087 .21'663 32.664 8.0056 27.770 277.22 1964. 25.157 20.923 279.21 .16014 .27625 32.566 8.0056 27.724 276.45 1963—Dec. 25.165 20.954 279.65 .16065 .27564 32.697 8.0056 27.765 276.88 1964—Jan... 25.148 20.963 279.83 .16065 .27589 32.706 8.0056 27.753 277.06 Feb... 25.169 20.959 279.69 .16063 .27567 32.694 8.0056 27.733 276.92 Mar.. 25.163 20.968 279.81 .16029 .27603 32.645 8.0056 27.731 277.04 Apr.. 25.160 20.970 279.90 .16000 .27583 32.595 8.0056 27.711 277.13 May. 25.159 20.977 279.94 .16001 .27579 32.606 8.0056 27.681 277.17 June. 25.165 20.945 279.42 .16002 .27580 32.571 8.0056 27.627 276.65 July.. 25.159 20.912 278.97 .16001 .27576 32.524 8.0056 27.657 276.21 Aug.. 25.152 20.886 278.66 .16002 .27580 32.474 8.0056 27.674 275.91 Sept.. 25.154 20.862 278.34 .16002 .27665 32.431 8.0056 27.712 275.59 Oct.., 25.158 20.859 278.35 .16003 .27658 32.467 8.0056 27.772 275.59 Nov.. 25.148 20.867 278.48 .16003 .27686 32.507 8.0056 27.824 275.73 Dec. 25.149 20.898 279.06 .16003 .27837 32.569 8.0056 27.831 276.30 Period N (k o r r o w n a e y ) R P ( e p p h p e i i u n l s i b o e p l ) - ic (e P s o g c r u a t l d u o - ) (pou S n o d u ) th Afr ( i r c a a nd) (p S e p s a e i t n a) S (k w r e o d n e a n ) z ( e f S r r w a la n i n t c - d ) ( U p K d o n i o u n it m n g e d d - ) 1959 14.028 49.721 3.4967 279.83 2.0579 19.324 23.142 280.88 1960 14.018 49.770 3.4937 279.71 .6635 19.349 23.152 280.76 1961 14.000 3.4909 279.48 139.57 .6643 19.353 23.151 280.22 1962 14.010 3.4986 139.87 .6654 19.397 23.124 280.78 1963 13.987 3.4891 139.48 .6664 19.272 23.139 280.00 1964 13.972 3.4800 139.09 .6663 19.414 23.152 279.21 1963—Dec... 13.972 3.4874 139.30 .6666 19.250 23.170 279.65 1964—Jan... 13.969 3.4861 139.39 .6665 19.272 23.168 279.83 Feb... 13.962 3.4848 139.32 .6664 19.290 23.122 279.69 Mar.. 13.976 3.4867 139.38 .6663 19.430 23.110 279.81 Apr... 13.989 3.4879 139.43 .6664 19.451 23.143 279.90 May.. 13.992 3.4874 139.45 .6664 19.464 23.171 279.94 June.. 13.984 3.4847 139.19 .6663 19.467 23.172 279.42 July.. 13.972 3.4796 138.96 .6663 19.441 23.139 278.97 Aug.. 13.962 3.4746 138.81 .6662 19.466 23.145 278.66 Sept.. 13.956 3.4714 138.65 1.6661 19.461 23.148 278.34 Oct... 13.956 3.4680 138.65 1.6662 19.376 23.164 278.35 Nov.. 13.956 3.4686 138.72 1.6665 19.396 23.172 278.48 Dec... 13.980 3.4777 139.01 1.6666 19.439 23.172 279.06 * A new markka, equal to 100 old markkaa, was introduced on Jan. 1. NOTE.—Averages of certified noon buying rates in New York for 1963. cable transfers. For description of rates and back data, see "International 2 Effective Jan. 1, 1963, the franc again became the French monetary Finance," Section 15 of Supplement to Banking and Monetary Statistics, unit. It replaces, at a 1 to 1 ratio, the new franc introduced Jan. 1, 1960. 1962. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

204 U.S. BALANCE OF PAYMENTS JANUARY 1965 U.S. BALANCE OF PAYMENTS (In millions of dollars) 1963 1964 Item 1961 1962 1963 m IV A. Transactions other than changes in foreign liquid assets in U.S. and in U.S. monetary reserve assets, and other than special U.S. Govt. transactions— Seasonally adjusted Exports of goods and service*—Total l. 28,438 30,084 32,020 7,977 8,037 8,471 9,000 8,839 9,164 Merchandise 19,913 20,576 21,989 5,472 5,610 5,917 6,112 6,036 6,362 Military sales 402 656 659 206 117 155 210 151 179 Investment income receipts, private.. 3,464 3,850 3,969 969 963 1,001 1,225 1,194 1,164 Investment income receipts, Govt.... 380 471 498 124 125 126 131 132 133 Other services 4,279 4,531 4,905 1,206 1,222 1,272 1,322 1,326 1,326 Imports of goods and services—Total. -22,852 -25,021 -26,335 -6,531 -6,733 -6,744 -6,748 -7,008 -7,201 Merchandise -14,497 -16,134 -16,996 -4,212 -4,368 -4,379 -4,366 -4,576 -4,747 Military expenditures -2,954 -3,044 -2,897 -731 -711 -708 -717 -728 -684 Investment income payments -882 -995 -1,194 -279 -308 -332 -317 -319 -326 Other services -4,519 -4,848 -5,248 -1,309 -1,346 -1,325 -1,348 -1,385 -1,444 Balance on goods and services * 5,586 5,063 5,685 1,446 1,304 1,727 2,252 1,831 1,963 Remittances and pensions -705 -738 -826 -209 -206 -202 -197 -208 -214 1, Balance on goods, services, remittances and pensions 4,881 4,325 4,859 1,237 1,098 1,525 2,055 1,623 1,749 2. U.S. Govt. grants and capital flow, net, excluding advance debt repayments -3,396 -3,547 -3,785 -1,170 -791 -925 -773 -939 -890 Grants 2,3 -1,854 1,919 -1,896 -500 -455 -496 -467 -549 -459 Long-term loans and subscriptions 3 -1,939 -2,129 -2,181 -620 -441 -562 -514 -693 -606 Change in foreign currency holdings and short-term claims, net (increase,—) 3 -261 -245 -445 -261 -33 -101 75 66 56 Seasonal adjustment on three preceding items combined 45 -80 42 -22 46 -66 Change in associated liabilities 147 94 10 35 29 -9 36 14 Scheduled loan repayments 578 599 643 156 183 163 164 155 171 3. U.S. private capital, net -4,180 -3,434 -4,307 -1,637 -534 -1,008 -1,380 -1,451 -1,408 Direct investments abroad -1,599 -1,654 -1,888 -477 -235 -558 -521 -571 -519 Other long-term capital -1,025 -1,227 -1,685 -598 -303 -238 -227 -263 -586 Short-term capital -1,556 -553 -734 -562 4 -212 -632 -617 -303 4. Foreign capital, net, excluding liquid assets in 622 162 311 267 115 -47 26 130 159 Foreign long-term investments in U.S 447 272 329 199 96 29 13 114 -88 Foreign short-term capital 175 -106 -19 67 17 -74 9 17 43 Miscellaneous U.S. Govt. nonliquid liabilities. 2 -2 4 -1 204 -4 1 5. Errors and unrecorded transactions -998 -11 -267 57 -170 -54 -176 -1,111 -339 Balance of A (=1+2+3+4+5) -3,071 -1,314 -379 -398 -242 -691 -566 Less: Net seasonal adjustments -3,605 -3,261 -102 441 18 -311 -104 450 Balance of A before seasonal adjustment. -3,07i -1,212 -820 -416 69 -587 -1,016 -3*, 605 B. Changes in foreign liquid assets in U.S. and in U.S. monetary reserve assets, and special U.S. Govt. transactions—Not seasonally adjusted Total 3,071 3,605 3,261 1,212 820 416 -69 587 1,016 696 681 326 34 241 26 52 33 30 5 470 334 -5 80 239 151 -64 -24 Sales of nonconvertible nonmarketable securities, 5 net 251 —43 -10 —95 — 1 — 55 — 8 2 Dollar securities6 31 19 —45 -1 5 -8 — 2 251 -74 -29 -50 -50 * * Sales of convertible nonmarketable securities,* net 702 152 175 25 122 203 Dollar securities 150 25 ForeiffP currencv securities. t», - •, •» T 552 152 150 25 122 203 Change in U.S. short-term liabilities reported by U.S. banks 7 and foreign holdings of marketable 1,764 670 1,564 917 192 132 -166 201 739 International and regional organizations 8 407 211 -238 -46 -15 -112 -85 -25 -138 Foreign private holders excluding banks 9 81 131 394 115 93 110 34 54 122 595 -129 438 75 -31 8 284 80 574 Foreign official holders 681 457 970 773 145 126 -399 92 181 Change in U.S. monetary reserve assets (increase,—). 606 1,533 378 124 227 -5 -51 303 70 IMF position. — 135 626 30 2 59 15 131 118 135 — 116 17 — 113 6 —28 —58 — 228 258 45 Gold 857 890 461 116 196 38 46 -73 -20 * Excludes military transfers under grants. ? Includes official liabilities. 2 Excludes military grants, 8 Includes, for International Monetary Fund, only changes in its 3 Not seasonally adjusted separately. holdings of income-earning U.S. Govt. securities. 4 Includes sell-offs. 9 Including undetermined holders. 5 With maturities over 12 months. NOTE.—Dept. of Commerce data. Minus sign indicates net payments « Includes certificates sold abroad by Export-Import Bank. (debits); absence of sign indicates net receipts (credits). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JANUARY 1965 FOREIGN TRADE 205 MERCHANDISE EXPORTS AND IMPORTS (In millions of dollars, seasonally adjusted) Exports 1 Imports 2 Export surplus Period 1961 1962 1963 1964 1961 1962 1963 1964 1961 1962 1963 1964 Month: 1,623 1,668 3 985 2,037 1.161 1.327 3 1,092 1.422 462 341 3 -107 615 Feb 1,712 1,809 32,118 2,029 ,150 ,320 31,497 ,445 562 489 3 621 584 Mar 1,751 1,672 31,960 2,078 ,163 ,342 31,487 ,523 588 330 3 473 555 Apr 1,662 1,795 3 1,913 2,046 1,152 1,365 3 1,417 1,542 510 430 3 496 504 May 1,585 1,762 1,893 2,052 1,153 1,404 1,420 ,548 432 358 473 504 June •. 3 1,582 1,836 1,785 2,004 3]1,174 t 351 1,421 ,506 3 408 485 364 498 July 31,689 1,748 1,823 2,111 3 ,379 1,347 1,458 1,590 3 310 401 365 521 1,689 1,703 1,895 2,085 1,254 .346 1,508 ,592 435 357 387 493 Sept 1,678 3 1,908 1,980 2,271 1,262 3 1J471 1,450 S*5R 416 3 437 530 713 Oct 1,780 3 1,523 1,946 2,134 1,300 31,312 1,459 1,551 480 3 211 487 583 Nov 1,733 1,725 1,945 2,184 1,309 1,425 1,472 1,698 424 300 473 486 Dec 1,725 3 1,839 2,049 L315 3 1,377 1,480 410 3 462 569 Quarter: 5,086 5,149 3 5,063 6,144 3,474 3,989 3 4,076 4,390 1,612 1 160 3 987 1,754 II 3 4,829 5,393 3 5,591 6,102 3 3,479 4,120 3 4,258 4,596 3 1,350 1,273 3 1,333 1,506 HI 3 5,056 3 5,359 5,698 6,467 3 3,895 34,164 4,416 4,740 3 1 161 3 1 195 1 282 1 727 IV 5 238 3 5 087 5 940 3 924 3 4 114 4 411 1 314 3 973 1 529 Year 4 20,152 20,945 22,288 14,713 16,389 17,151 5,439 4,556 5,137 1 Exports of domestic and foreign merchandise; excludes Dept. of 3 Significantly affected by strikes. Defense shipments of grant-aid military equipment and supplies under 4 Sum of unadjusted figures. Mutual Security Program. 2 General imports including imports for immediate consumption plus NOTE.—Bureau of the Census data. entries into bonded warehouses. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

BOARD OF GOVERNORS of the Federal Reserve System WM. MCC. MARTIN, JR., Chairman C. CANBY BALDERSTON, Vice Chairman A. L. MILLS, JR. CHAS. N. SHEPARDSON GEORGE W. MITCHELL J. L. ROBERTSON J. DEWEY DAANE RALPH A. YOUNG, Adviser to the Board GUY E. NOYES, Adviser to the Board CHARLES MOLONY, Assistant to the Board ROBERT L. CARDON, Legislative Counsel CLARKE L. FAUVER, Assistant to the Board OFFICE OF THE SECRETARY DIVISION OF EXAMINATIONS MERRITT SHERMAN, Secretary FREDERIC SOLOMON, Director KENNETH A. KENYON, Assistant Secretary GLENN M. GOODMAN, Assistant Director ELIZABETH L. CARMICHAEL, Assistant Secretary ARTHUR L. BROIDA, Assistant Secretary BRENTON C. LEAVITT, Assistant Director KARL E. BAKKE, Assistant Secretary JAMES C. SMITH, Assistant Director ANDREW N. THOMPSON, Assistant Director LEGAL DIVISION LLOYD M. SCHAEFFER, Chief Federal Reserve HOWARD H. HACKLEY, General Counsel DAVID B. HEXTER, Assistant General Counsel Examiner THOMAS J. O'CONNELL, Assistant General Counsel DIVISION OF PERSONNEL ADMINISTRATION JEROME W. SHAY, Assistant General Counsel WILSON L. HOOFF, Assistant General Counsel EDWIN J. JOHNSON, Director DIVISION OF RESEARCH AND STATISTICS H. FRANKLIN SPRECHER, JR., Assistant Director DANIEL H. BRILL, Director ROBERT C. HOLLAND, Associate Director DIVISION OF ADMINISTRATIVE SERVICES ALBERT R. KOCH, Associate Director FRANK R. GARFIELD, Adviser JOSEPH E. KELLEHER, Director J. CHARLES PARTEE, Adviser HARRY E. KERN, Assistant Director ROBERT SOLOMON, Adviser KENNETH B. WILLIAMS, Adviser LEWIS N. DEMBITZ, Associate Adviser OFFICE OF THE CONTROLLER DIVISION OF INTERNATIONAL FINANCE JOHN KAKALEC, Controller RALPH A. YOUNG, Director A. B. HERSEY, Adviser SAMPSON H. BASS, Assistant Controller SAMUEL I. KATZ, Adviser ROBERT L. SAMMONS, Adviser REED J. IRVINE, Associate Adviser OFFICE OF DEFENSE PLANNING JOHN E. REYNOLDS, Associate Adviser INNIS D. HARRIS, Coordinator RALPH C. WOOD, Associate Adviser DIVISION OF BANK OPERATIONS JOHN R. FARRELL, Director DIVISION OF DATA PROCESSING GERALD M. CONKLING, Assistant Director M. B. DANIELS, Assistant Director M. H. SCHWARTZ, Director JOHN N. KILEY, JR., Assistant Director LEE W. LANGHAM, Assistant Director 206 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

OPEN MARKET COMMITTEE AND ADVISORY COUNCIL 207 Federal Open Market Committee WM. MCC. MARTIN, JR., Chairman ALFRED HAYES, Vice Chairman C. CANBY BALDERSTON A. L. MILLS, JR. HARRY A. SHUFORD J. DEWEY DAANE GEORGE W. MITCHELL ELIOT J. SWAN W. BRADDOCK HICKMAN J. L. ROBERTSON EDWARD A. WAYNE CHAS. N. SHEPARDSON RALPH A. YOUNG, Secretary DANIEL H. BRILL, Associate Economist MERRITT SHERMAN, Assistant Secretary GEORGE GARVY, Associate Economist KENNETH A. KENYON, Assistant Secretary ROBERT C. HOLLAND, Associate Economist ARTHUR L. BROIDA, Assistant Secretary HOMER JONES, Associate Economist HOWARD H. HACKLEY, General Counsel ALBERT R. KOCH, Associate Economist DAVID B. HEXTER, Assistant General Counsel MAURICE MANN, Associate Economist GUY E. NOYES, Economist BENJAMIN U. RATCHFORD, Associate Economist ROBERT W. STONE, Manager, System Open Market Account CHARLES A. COOMBS, Special Manager, System Open Market Account Federal Advisory Council LAWRENCE H. MARTIN, BOSTON EDWARD B. SMITH, CHICAGO WILLIAM H. MOORE, NEW YORK JAMES P. HICKOK, ST. LOUIS WILLIAM L. DAY, PHILADELPHIA JOHN A. MOORHEAD, MINNEAPOLIS L. A. STONER, CLEVELAND ROGER D. KNIGHT, JR., KANSAS CITY JOHN F. WATLINGTON, JR., RICHMOND JAMES W. ASTON, DALLAS SAM M. FLEMING, ATLANTA RANSOM M. COOK, SAN FRANCISCO HERBERT V. PROCHNOW, Secretary WILLIAM J. KORSVIK, Assistant Secretary Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

208 FEDERAL RESERVE BULLETIN • JANUARY 1965 Federal Reserve Banks and Branches Federal Reserve Bank Chairman President Vice President or branch Zip Code Deputy Chairman First Vice President in charge of branch Boston 02106 Erwin D. Canham George H. Ellis William Webster Earle O. Latham New York 10045 Philip D. Reed Alfred Hayes Everett N. Case William F. Treiber Buffalo 14240 Maurice R. Forman Insley B. Smith Philadelphia 19101 Walter E. Hoadley Karl R. Bopp Willis J. Winn Robert N. Hilkert Cleveland 44101 Joseph B. Hall W. Braddock Hickman Logan T. Johnston Edward A. Fink Cincinnati 45201 Walter C. Langsam Fred O. Kiel G. L. Bach Clyde E. Harrell Pittsburgh 15230 Edwin Hyde Edward A. Wayne Richmond 23213 William H. Grier Aubrey N. Heflin Leonard C. Crewe, Jr. Donald F. Hagner Baltimore 21203 Edmund F. MacDonald Charlotte 28201 Jack Tarver Malcolm Bryan J. M. Cheatham Harold T. Patterson Atlanta 30303 C. Caldwell Marks Edward C. Rainey Claude J. Yates Thomas A. Lanford Birmingham 35202 Andrew D. Holt Robert E. Moody, Jr. Jacksonville 32201 George Benjamin Blair Morgan L. Shaw Nashville 37203 New Orleans 70160 Franklin J. Lunding Charles J. Scanlon James H. Hilton Hugh J. Helmer Chicago 60690 James William Miller Russel A. Swaney Detroit 48231 Raymond Rebsamen Harry A. Shuford Smith D. Broadbent, Jr. Darryl R. Francis St. Louis 63166 Fred Burton Donald L. Henry Little Rock 72203 E. Francis DeVos Louisville 40201 Atherton Bean (Vacancy) Memphis 38101 Judson Bemis M. H. Strothman, Jr. Edwin G. Koch Clement A. Van Nice Minneapolis 55440 Homer A. Scott George H. Clay Helena 59601 Dolph Simons Henry O. Koppang Robert T. Person John W. Snider Kansas City 64106 James E. Allison Howard W. Pritz Clifford Morris Hardin George C. Rankin Denver 80217 Oklahoma City 73101 Robert O. Anderson Watrous H. Irons Carl J. Thomsen Philip E. Coldwell Omaha 68102 Fredric W. Reed J. Lee Cook Dallas 75222 Carl H. Moore El Paso 79999 F. B. Whitman Eliot J. Swan Houston 77001 John D. Fredericks H. Edward Hemmings Arthur G. Coons Clifford H. Watkins San Antonio 78206 Graham J. Barbey William M. Brown Howard W. Price Arthur L. Price San Francisco 94120 William McGregor Erwin R. Barglebaugh Los Angeles 90054 Portland 97208 Salt Lake City 84110 Seattle 98124 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Federal Reserve Board Publications The material listed may be obtained from Publications Services, Division of Administrative Services', Board of Governors of the Federal Reserve System, Washington, D.C. 20551. Where a charge is indicated, remittance should accompany request and be made payable to the order of the Board of Governors of the Federal Reserve System. For a more complete list, including periodic releases, see pp. 1623-26 of the December 1964 BULLETIN. (Stamps and coupons not accepted.) THE FEDERAL RESERVE SYSTEM—PURPOSES AND FLOW OF FUNDS IN THE UNITED STATES, 1939-53. FUNCTIONS. 1963. 297 pp. 1955. 390 pp. $2.75. DEBITS AND CLEARINGS STATISTICS AND THEIR ANNUAL REPORT OF THE BOARD OF GOVERNORS OF USE. 1959. 144 pp. $1.00 a copy; in quantities THE FEDERAL RESERVE SYSTEM. of 10 or more sent to one address, $.85 each. FEDERAL RESERVE BULLETIN. Monthly. $6.00 THE FEDERAL FUNDS MARKET—A Study by a per annum or $.60 a copy in the United States Federal Reserve System Committee. 1959. Ill and its possessions, Bolivia, Canada, Chile, pp. $1.00 a copy; in quantities of 10 or more Colombia, Costa Rica, Cuba, Dominican Re- sent to one address, $.85 each. public, Ecuador, Guatemala, Haiti, Republic ALL-BANK STATISTICS, 1896-1955. 1959. 1,229 pp. of Honduras, Mexico, Nicaragua, Panama, $4.00. Paraguay, Peru, El Salvador, Uruguay, and Venezuela. (In quantities of 10 or more of INDUSTRIAL PRODUCTION—1957-59 Base. 1962. same issue sent to one address, $5.00 per annum 172 pp. $1.00 a copy; in quantities of 10 or or $.50 each.) Elsewhere, $7.00 per annum more sent to one address, $.85 each. (The 1959 or $.70 a copy. revision available at $.50 a copy.) THE FEDERAL RESERVE ACT, as amended through FEDERAL RESERVE CHART BOOK ON FINANCIAL Oct. 1, 1961, with an appendix containing pro- AND BUSINESS STATISTICS. Monthly. Annual visions of certain other statutes affecting the subscription includes one issue of Historical Federal Reserve System. 386 pp. $1.25. Chart Book. $6.00 per annum or $.60 a copy in the United States and the countries listed SUPPLEMENT TO BANKING AND MONETARY STATISabove. (In quantities of 10 or more of same TICS. Sec. 1. Banks and the Monetary System. issue sent to one address, $.50 each.) Else- 1962. 35 pp. $.35. Sec. 10. Member Bank Rewhere, $7.00 per annum or $.70 a copy. serves and Related Items. 1962. 64 pp. $.50. Sec. 11. Currency. 1963. 11 pp. $.35. Sec. 14. HISTORICAL CHART BOOK. Issued annually in Sept. Gold. 1963. 24 pp. $.35. Sec. 15. International Subscription to monthly chart book includes Finance. 1962. 92 pp. $.65. one issue. $.60 a copy in the United States and the countries listed above. (In quantities of 10 REGULATIONS OF THE BOARD OF GOVERNORS OF or more sent to one address, $.50 each.) Else- THE FEDERAL RESERVE SYSTEM. where, $.70 a copy. RULES OF ORGANIZATION AND PROCEDURE—BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYS- TREASURY-FEDERAL RESERVE STUDY OF THE GOV- TEM. 1962. 40 pp. ERNMENT SECURITIES MARKET. Pt. I. 1959. 108 pp. Pt. II. 1960. 159 pp. Pt. III. 1960. 112 PUBLISHED INTERPRETATIONS of the Board of pp. Individual books $1.00 each; set of 3, $2.50. Governors, as of Dec. 31, 1962. $2.50. 209 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

210 FEDERAL RESERVE BULLETIN • JANUARY 1965 REPRINTS BANK CREDIT AND MONEY IN 1963. Feb. 1964. (From Federal Reserve BULLETIN unless preceded 7 pp. by an asterisk) SURVEY OF FINANCIAL CHARACTERISTICS OF CON- THE HISTORY OF RESERVE REQUIREMENTS FOR SUMERS. Mar. 1964. 9 pp. BANKS IN THE UNITED STATES. NOV. 1938. 20 pp. TREASURY AND FEDERAL RESERVE FOREIGN EX- CHANGE OPERATIONS AND THE GOLD POOL. Mar. •PART I, ALL-BANK STATISTICS, 1896-1955. Re- 1964. 14 pp. print of the U.S. Summary containing a description of revised statistics for all banks in U.S. TRADE AND PAYMENTS IN 1963. Apr. 1964. the United States, by class of bank, together 7 pp. with revised statistics. Apr. 1959. 94 pp. FLOWS THROUGH FINANCIAL INTERMEDIARIES. STATISTICS ON THE GOVERNMENT SECURITIES May 1964. 9 pp. MARKET. Apr. 1961. 8 pp. BANKING AND MONETARY STATISTICS, 1963. Se- REVISION OF CONSUMER CREDIT STATISTICS. Dec. lected series of banking and monetary statis- 1961. 15 pp. tics for 1963 only. Feb., Mar., and May 1964. REVISED INDEXES OF FREIGHT CARLOADINGS. Dec. 15 pp. 1961. 3 pp. REVISION OF THE MONEY SUPPLY SERIES. June INDUSTRIAL PRODUCTION—1957-59 BASE. Oct. 1964. 14 pp. 1962. 10 pp. REVISION OF BANK CREDIT SERIES. June 1964. FLOW OF FUNDS SEASONALLY ADJUSTED. NOV. 5 pp. 1962. 15 pp. RECENT MONETARY AND CREDIT DEVELOPMENTS. FARM DEBT AS RELATED TO VALUE OF SALES. July 1964. 9 pp. Feb. 1963. 9 pp. FEDERAL RESERVE SECURITY TRANSACTIONS, CHANGES IN STRUCTURE OF THE FEDERAL DEBT. Mar. 1963. 10 pp. 1954-63. July 1964. 16 pp. NEGOTIABLE TIME CERTIFICATES OF DEPOSIT. NEW SERIES ON FEDERAL FUNDS. Aug. 1964. Apr. 1963. 11 pp. 31 pp. NEW FOREIGN BOND ISSUES IN THE U.S. MINISTERIAL STATEMENT OF THE GROUP OF TEN MARKET. May 1963. 13 pp. AND ANNEX PREPARED BY DEPUTIES. Aug. BANK LOANS SECURED BY STOCKS AND BONDS. 1964. 25 pp. July 1963. 19 pp. TREASURY AND FEDERAL RESERVE FOREIGN EX- A BANK EXAMINER LOOKS AT AGRICULTURAL CHANGE OPERATIONS. Sept. 1964. 16 pp. LENDING. July 1963. 8 pp. U.S. BALANCE OF PAYMENTS, 1963-64. Oct. 1964. MEASURING AND ANALYZING ECONOMIC GROWTH. 8 pp. Aug. 1963. 14 pp. YIELD DIFFERENTIALS IN TREASURY BILLS, 1959- BANK AND PCA LENDING TO FARMERS. Sept. 1963. 64. Oct. 1964. 20 pp. 11 pp. U.S. GOVERNMENT SECURITIES in 1964. Nov. THE OPEN MARKET POLICY PROCESS. Oct. 1963. 1964. 8 pp. 11 pp. RECENT INTEREST RATE TRENDS. NOV. 1963. RESEARCH INTO BANKING STRUCTURE AND COM- 10 pp. PETITION. Nov. 1964. 17 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Index to Statistical Tables (For list of tables published quarterly, semiannually or annually, with latest BULLETIN reference, see page 116.) Acceptances, bankers', 125, 142, 144 Deposits—Continued Agricultural loans of commercial banks, 136, 138 Banks, by classes, 124, 132, 137, 140, 144 Arbitrage, 202 Federal Reserve Banks, 126, 199 Assets and liabilities {See also Foreign liabilities and Postal savings, 124, 131 claims): Discount rates, 123, 201 Banks and the monetary system, consolidated, 131 Discounts and advances by Federal Reserve Banks, Corporate, current, 156 118, 126, 128 Domestic banks, by classes, 132, 136, 138 Dividends, corporate, 155, 156 Federal Reserve Banks, 126 Dollar assets, foreign, 191, 199 Automobiles: Consumer instalment credit, 160, 161, 162 Earnings and hours, manufacturing industries, 171 Production index, 164, 165 Employment, 168, 170, 171 Bankers' balances, 137, 139 Farm mortgage loans, 157, 158 {See also Foreign liabilities and claims) Federal finance: Banks and the monetary system, consolidated Cash transactions, 146 statement, 131 Receipts and expenditures, 147 Banks for cooperatives, 151, 152 Treasurer's balance, 146 Bonds {See also U.S. Govt. securities): Federal funds, 122 New issues, 152, 153, 154 Federal home loan banks, 151, 152, 159 Prices and yields, 142, 143 Federal Housing Administration, 143, 157, 158, 159 Brokers and dealers in securities, bank loans to, Federal intermediate credit banks, 151, 152 136, 138 Federal land banks, 151, 152 Business expenditures on new plant and Federal National Mortgage Assn., 151, 152, 159 equipment, 156 Federal Reserve Banks: Business indexes, 168 Condition statement, 126 Business loans {See Commercial and industrial loans) U.S. Govt. securities held by, 118, 126, 128, 148, 149 Federal Reserve credit, 118, 126, 128 Captital accounts: Federal Reserve notes, 126, 129 Banks, by classes, 132, 137, 140 Federally sponsored credit agencies, 151, 152 Federal Reserve Banks, 126 Finance company paper, 142, 144 Carloadings, 168 Financial institutions, loans to, 136, 138 Central banks, foreign, 188, 201 Float, 118 Coins, circulation of, 129 Flow of funds, 176 Commercial and industrial loans: Foreign central banks, 188, 201 Commercial banks, 136 Foreign currency operations, 126, 128, 190, 198 Weekly reporting member banks, 138, 141 Foreign deposits in U.S. banks, 118, 126, 127, 137, Commercial banks: 140, 199 Assets and liabilities, 132, 135, 136 Foreign exchange rates, 203 Consumer loans held, by type, 161 Foreign liabilities and claims: Number, by classes, 132 Banks, 192, 194, 195, 197, 199 Real estate mortgages held, by type, 157 Nonfinancial concerns, 200 Commercial paper, 142, 144 Foreign trade, 205 Condition statements {See Assets and liabilities) Construction, 168, 169 Gold: Consumer credit: Certificates, 126, 129 Instalment credit, 160, 161, 162, 163 Earmarked, 199 Noninstalment credit, by holder, 161 Net purchases by U.S., 190 Consumer price indexes, 168, 172 Production, 189 Consumption expenditures, 174, 175 Reserves of central banks and govts., 188 Corporations: Reserves of foreign countries and international Sales, profits, taxes, and dividends, 155, 156 organizations, 191 Security issues, 153, 154 Stock, 118, 131, 190 Security prices and yields, 142, 143 Gross national product, 174, 175 Cost of living {See Consumer price indexes) Currency in circulation, 118, 129, 130 Hours and earnings, manufacturing industries, 171 Customer credit, stock market, 143 Housing starts, 169 Debits to deposit accounts, 128 Income, national and personal, 174 Debt {See specific types of debt or securities) Industrial production index, 164, 168 Demand deposits: Instalment loans, 160, 161, 162, 163 Adjusted, banks and the monetary system, 131 Insurance companies, 145, 148, 149, 158 Adjusted, commercial banks, 128, 130, 137 Insured commercial banks, 134, 136 Banks, by classes, 124, 132, 140 Interbank deposits, 124, 132, 137 Turnover of, 128 Interest rates: Type of holder, at commercial banks, 137 Bond yields, 142 Deposits {See also specific types of deposits): Business loans by banks, 141 Adjusted, and currency, 131 Federal Reserve Bank discount rates, 123 211 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

212 FEDERAL RESERVE BULLETIN • JANUARY 1965 Interest rates—Continued Reserves—Continued Foreign countries, 201, 202 Commercial banks, 137 Money market rates, 142, 202 Federal Reserve Banks, 126 Mortgage yields, 143 Foreign countries and international Stock yields, 142 organizations, 191 Time deposits, maximum rates, 124 Member banks, 118, 120, 124, 137, 139 International capital transactions of the U.S., 192 Residential mortgage loans, 157, 158, 159 International institutions, 188, 190, 191 Retail credit, 160 Inventories, 174 Retail sales, 168 Investment companies, new issues, 154 Investments (See also specific types of investments): Sales finance companies, consumer loans of, 160, Banks, by classes, 132, 136, 139, 144 161, 163 Commercial banks, 135 Saving: Federal Reserve Banks, 126, 128 Flow of funds series, 176 Life insurance companies, 145 National income series, 175 Savings and loan assns., 145 Savings and loan assns., 145, 149, 158 Savings deposits (See Time deposits) Labor force, 170 Savings institutions, principal assets, 144, 145 Loans (See also specific types of loans): Securities (See also U.S. Govt. securities): Banks, by classes, 132, 136, 138, 144 Federally sponsored agencies, 151 Commercial banks, 135 International transactions, 198, 199 Federal Reserve Banks, 118, 126, 128 New issues, 152, 153, 154 Insurance companies, 145, 158 Silver coin and silver certificates, 129 Insured or guaranteed by U.S., 157, 158, 159 State and local govts.: Savings and loan assns., 145, 158 Deposits of, 137, 140 Holdings of U.S. Govt. securities, 148, 149 Manufacturers, production index, 165, 168 New security issues, 152, 153 Margin requirements, 124 Ownership of obligations of, 136, 144, 145 Member banks: Prices and yields of securities, 142, 143 Assets and liabilities, by classes, 132, 136 State member banks, 134 Borrowings at Federal Reserve Banks, 120, Stock market credit, 143 126, 140 Stocks: Deposits, by classes, 124 New issues, 153, 154 Number, by classes, 133 Prices and yields, 142, 143 Reserve position, basic, 122 Reserve requirements, 124 Tax receipts, Federal, 147 Reserves and related items, 118 Time deposits, 124, 130, 131, 132, 137, 140 Weekly reporting series, 138 Treasurer's account balance, 146 Mining, production index, 165, 168 Treasury cash, 118, 129, 131 Money rates (See Interest rates) Treasury currency, 118, 129, 131 Money supply and related data, 130 Treasury deposits, 118, 126, 146 Mortgages (See Real estate loans) Turnover, deposit, 128 Mutual funds, 154 Mutual savings banks, 131, 132, 134, 144, 148, Unemployment, 170 149, 157 U.S. balance of payments, 204 U.S. Govt. balances: National banks, 134 Commercial bank holdings, by classes, 137, 140 National income, 174, 175 Consolidated monetary statement, 131 National security expenditures, 147, 174 Treasury deposits at Federal Reserve Banks, 118, Nonmember banks, 134, 136, 137 126, 146 U.S. Govt. securities: Open market transactions, 125 Bank holdings, 131, 132, 136, 139, 144, 148, 149 Dealer transactions, positions, and financing, 150 Payrolls, manufacturing, index, 168 Federal Reserve Bank holdings, 118, 126, 128, Personal income, 175 148, 149 Postal Savings System, 124, 131 Foreign and international holdings, 126, 191, 199 Prices: International transactions, 198 Consumer, 168, 172 New issues, gross proceeds, 153 Security, 143 Open market transactions, 125 Wholesale commodity, 168, 172 Outstanding, by type of security, 148, 149, 151 Production, 164, 168 Ownership of, 148, 149 Profits, corporate, 155, 156 Prices and yields, 142 ,143, 202 Real estate loans: United States notes, outstanding and in Banks, by classes, 136, 144, 157 circulation, 129 Mortgage yields, 143 Utilities, production index, 165, 168 Type of holder, 157, 158, 159 Vault cash, 118, 124, 137 Type of property mortgaged, 157, 158, 159 Reserve position, basic member banks, 122 Veterans Administration, 157, 158, 159 Reserve requirements, member banks, 124 Reserves: Weekly reporting member banks, 138 Central banks and govts., 188 Yields (See Interest rates) Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

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BOUNDARIES OF FEDERAL RESERVE DISTRICTS AND THEIR BRANCH TERRITORIES (j THE FEDERAL RESERVE SYSTEM Boundaries of Federal Reserve Districts Boundaries of Federal Reserve Branch Territories © Board of Governors of the Federal Reserve System ® Federal Reserve Bank Cities • Federal Reserve Branch Cities Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis