to go out of business as banks, or were refused, by this department, authority to do business as such.

This report therefore deals with incorporated "state" banks and mutual savings banks only, and mention is made of private banks merely for the purpose of comparison and to show the changes effected.

The total number of banks which have reported on November 17th, 1903, is 347, namely, 345 state banks and 2 mutual savings banks.

There were in the aggregate 327 banks at the time of my last annual report, and the increase during the intervening period is twenty banks.

The following table shows the various changes:

Cuba City

The Farmers Bank.

5,750

7,500

Rewey

Rewey Bank

4,000

6,000

25,000

Two state banks have organized under the laws of the United States as national banks, since my last annual report. They

Two state banks have paid their depositors in full and gone

Finally, two of the state banks are winding up their business for the purpose of consolidating with the new Union State Bank of Lancaster, under section. 22, chapter 2 of the banking law. They are:

State Banks in Process of Consolidation.

Lancaster

Name of Bank.

Meyer-Showalter State Bank.

Capital.

$25,000

During the year, the department was obliged to close two private banks and one state bank, to-wit:

The causes of the closing and the present status of these banks will be discussed, under proper caption, in another part of this report, where also their present condition will be shown, as required by law.

The new law, requiring that not less than five reports each year should be called for from banks went into effect May 15th, 1903, previous to which date but one report was received, under the old law. In the remaining seven months, three additional reports were called for from banks, making a total of four reports for the current year. The aggregates of the varios items of resources and liabilities on the several dates are shown in Table A, in which the item of "unpaid capital" has been omitted, because the law fixes February 1st, 1904, as the date when all banks must have their capital paid in in full, and the present is a period of transition, during which no just comparison of