STATE BANKING DEPARTMENT.

REPORT OF THE COMMISSIONER.

STATE OF MICHIGAN,

Banking Department, Lansing, December 31, 1910.

To the Honorable Fred M. Warner, Governor of Michigan:

Complying with the provisions of Section 43 of the General Banking Law of Michigan, I have the honor to submit for your consideration the twenty-second annual report of this Department for the year ending December 31, 1910.

NUMBER OF STATE BANKS AND TRUST COMPANIES.

There are at the date of this report under the supervision of this Department, 399 state banks and five trust companies transacting business in this state. In the statistics and tables the number is given as 397 state banks. This is due to the fact that two banks commenced business since the date of the last report, November 10, 1910.

FINANCIAL CONDITION.

On pages three to four hundred eight, inclusive, will be found reports showing the financial condition of all state banks and trust companies. Reports of condition were called for by the Department and made by the banks at the close of business November 16, 1909, January 31, March 29, June 30, September 1 and November 10, 1910. The last named report will be published in the Department's annual report for the year 1911. As explained in previous reports, this plan was adopted in order that the report might be in the hands of the bankers in time to be of appreciable value as a book of reference.

On pages 410 to 515 will be found statements of conditions of each of the national banks in Michigan.

I desire particularly to call attention to the tables contained in the text of this report, which show the increasing wealth of the people of our state since the organization of the Department in 1889, and contain

twenty-two years. I again include the statistics of the state and na tional banks located in reserve cities.

EXAMINATIONS.

The Departments, through its examining force, has made 792 examina tions during the year 1910. Each state bank has been examined twice. except such as were organized during the last months of the year. Each of the five trust companies has been examined once during the year to meet the requirements of the trust, deposit and security law.

The condition of the banks and trust companies, as revealed by the examiners' reports, is extremely gratifying. Each examiner's report has been carefully examined, and letters of criticism written the banks. These letters of criticism, as well as replies thereto, were required to be måde a part of the directors' records.

With the exception of the banks organized during the year, each bank has made to the Department five reports of condition, two reports of earnings and dividends, two reports showing the result of directors' examinations, and also special reports wherever circum stances have warranted asking for the same.

Oaths of directors, signatures of officers, and list of stockholders, together with a report as to the number of depositors are furnished the Department each year by each bank.

I am pleased to state that it has been necessary but in a few cases to require special reports. Where such reports have been required they have been promptly given, and steps have been taken by the banks to correct the irregularities to which their attention was called.

RESERVES.

In a few instances during the year, a few of the banks have allowed their cash and legal reserves to fall below the requirements of Sections 24 and 27, yet as a whole the total reserve for the state has been well maintained. As a matter of convenience and reference. I give the following tabulation: