Show NATIONAL BANKS SOLID AS ROCK Important Impo tant Statement Made Public by Comptroller W B Ridgely PACIFIC STATES IN FRONT FAST LIVING CAUSE OF ALL THE TROUBLE Washington Dee Dec De 81 W B RidgelY comptroller of the currency today save gave ve out a statement dealing largely with financial conditions during the year ye r 1907 In which he be says that the condi concH conditions thins Hons which made this tills exists crisis possible ble are the accumulated composite results re of mall years of f The whole world l ham haa b been overtrading and sad ex expanding expanding expanding and nowhere has hu It been more mare rampant than thanin in the United States The reaction was inevitable and though it might not have taken the I form of bank panic had bed ws w been bet better better better ter prepared with such sueh a 8 banking and currency system as IlS we hould have havethe the time has come when some BOrne or all must pay PRy for our overindulgence First Duty of the Banks It IK is the duty of the banks bank say s the comptroller to restore business to normal conditions by resuming their functions a all as promptly and a fully as possible tely there is not only the strongest desire and disposition tUon on oa onI the part of the banks to do this but I conditions are such as aa to make it com corn comparatively easy euy and to lead us to ex cx expect reet r oct a much more prompt recovery than has followed folio woo other similar finan financial cia cial I crises The reports report r to the comp cemp comptroller show that the reserve re MM in the central reserve cities were but per percent percent percent cent against the legal requirement of 25 2 per cent What Forty Reserve Cities Show The forty reserve cities clUes show per cent of legal leat reserve of or almost the full legal minimum while their total cash ash means are 55 per cent of f their t deposits Of the forty cities show legal le al reserves above 36 per cent while ten of them show over 30 per cent of legal reserve and all 8 but eight of them show more than 25 5 per cent of total cash means me ml The largest reserves re erve are In the Texas cities dUes Galve ton and San Stin Antonio showing over 38 31 S per cent of le legal legal legal gal reserve and Calves Galveston ton aver 48 41 per percent perC test cent C of total ih The returns as tai fl by states are also significant tand and nd rt as asto asto to the general conditions There I ia not one state which does d not show an ex cx excess x cess cel of reserve above legal require requirements requirements requirements ments of 15 IS per cent and an increase U in legal reserve rE erva and total cash means means on Dec Dee 3 I above those tho e held on Aug 22 2 Pacific States Take the Lead LeadIn In the subdivision by states the Pacific states show the largest legal reserve re erve E 2238 28 per cent white while the western weFt ern States states Mates show how the largest each means per cent The most moat im lam significance of or these fi figures ures is that the readjustment of bank reserves has taken place with so few bank fail fall failures failures ures I From Oct 20 to Dec Dee M 19 O 1997 theme have been but sixteen or failures of national banks bank Of f these I two have resumed and several more should do so In the very near neer future The reports of condition of national banks show that from Aug Au J 2 to Dee Dec i individual deposits decreased bat but 14 or about per cent while the tho decrease in cash CRith on hand wee was but 49 4 and the increase in bills pay payable payable payable able and rediscounts was about 42 We Ve have had a very erk us bank panic It have hate been muck much worse but for the aid given by b the treasury t department and some of the leading financial men of the country Have Hive Been Going Too Fast It will probably never be known I how much credit is due to a few men who furnished vast sums of money mone and supplied l credit from their enormous resources in the patriotic effort to stop sp the panic and relieve situations which might have led to far greater disasters If they had not been so promptly met and so 90 successfully handled From these facts in regard re rd to the banking situation it would s seem MI em but a Do fair conclusion that the acute bank trouble is past but values of all kinds wm will have to be rearranged We e shall all have more failures and probably some somo mere bank failures but these theae the e will be individual cases eases the of particular p lar conditions We have been be n going too fast in business and all aU classes cf f people have been living too extravagantly extravagantly gantly It will be good for all aU of ot us to check this |