in thirty days or less a reserve of at least 15 per cent. shall be maintained, and against all acceptances outstanding which mature in more than thirty days a reserve of at least 3 per cent. shall be maintained. Reserves against acceptances must be in liquid assets of any or all of the following kinds: (1) cash; (2) balances with other banks; (3) bankers' acceptances; and (4) such securities as the Federal Reserve Board may from time to time permit.

XIV. DEPOSITS.

In the United States. No corporation shall receive in the United States any deposits except such as are incidental to or for the purpose of carrying out transactions in foreign countries or dependencies of the United States where the corporation has established agencies, branches or where it operates through the ownership or control of subsidiary corporations. Deposits of this character may be made by individuals, firms, banks or other corporations, whether foreign or domestic, and may be time. deposits or on demand.

Outside the United States.-Outside the United States a corporation may receive deposits of any kind from individuals, firms, banks or other corporations, provided, however, that if such corporation has any of its bonds, debentures or other such obligations outstanding it may receive abroad only such deposits as are incidental to the conduct of its exchange, discount or loan operations.

Reserves. Against all deposits received in the United States a reserve of not less than 13 per cent. must be maintained. This reserve may consist of cash in vault, a balance with the Federal Reserve Bank of the district in which the head office of the corporation is located, or a balance with any member bank. Against all deposits received abroad the corporation shall maintain such reserves as may be required by local laws and by the dictates of sound business judgment and banking principles.

XV. GENERAL LIMITATIONS AND RESTRICTIONS.

Liabilities of one borrower.-The total liabilities to a corporation of any person, company, firm or corporation for money borrowed, including in the liabilities of a company or firm the liabilities of the several members thereof, shall at no time exceed 10 per cent. of the amount of its subscribed capital and surplus, except with the approval of the Federal Reserve Board: Provided, however, That the discount of bills of exchange drawn in good faith against actually existing values and the discount of commercial or business paper actually owned by the person negotiating the same shall not be considered as money borrowed within the meaning of this paragraph. The liability of a customer on account of an acceptance made by the corporation for his account is not a liability for money borrowed within the meaning of this paragraph unless and until he fails to place the corporation in funds to cover the payment of the acceptance at maturity or unless the corporation itself holds the acceptance.

Aggregate liabilities of the corporation. The aggregate of the corporation's liabilities outstanding on aecount of acceptances, average deposits, domestic and foreign, debentures, bonds, notes, guaranties, indorsements and other such obligations shall not exceed at any one time ten times the amount of the corporation's subscribed capital and surplus except with the approval of the Federal Reserve Board. In determining the amount of the liabilities within the meaning of this paragraph, indorsements of bills of exchange having not more than six months to run, drawn and accepted by others than the corporation, shall not be included.

Operations abroad.-Except as otherwise provided in the law and these regulations, a corporation may exercise abroad not only the powers specifically set forth in the law but also such incidental powers as may be usual in the determination of the Federal Reserve Board in connection with the transaction of the business of banking or other financial operations in the countries in which it shall transact business. In the exercise of any of these powers abroad a corporation must be guided by the laws

of the country in which it is operating and by sound business judgment and banking principles.

XVI. MANAGEMENT.

The directors, officers or employees of a corporation shall exercise their rights and perform their duties as directors, officers or employees, with due regard to both the letter and the spirit of the law and these regulations. For the purpose of these regulations the corporation shall, of course, be responsible for all acts of omission or commission of any of its directors, officers, employees or representatives in the conduct of their official duties. The character of the management of a corporation and its general attitude toward the purpose and spirit of the law and these regulations will be considered by the Federal Reserve Board in acting upon any application made under the terms of these regulations.

XVII. REPORTS AND EXAMINATIONS.

Reports. Each corporation shall make at least two reports annually to the Federal Reserve Board at such times and in such form as it may require.

Examinations. Each corporation shall be examined at least once a year by examiners appointed by the Federal Reserve Board. The cost of examinations shall be paid by the corporation examined.

XVIII. AMENDMENTS TO REGULATIONS.

These regulations are subject to amendment by the Federal Reserve Board from time to time, provided, however, that no such amendment shall prejudice obligations undertaken in good faith under regulations in effect at the time they were assumed.

EXHIBIT X.

AMENDMENT TO THE CLAYTON ACT.1

An Act to amend section 8 of an Act entitled "An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes," approved October 15, 1914, as amended May 15, 1916.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 8 of an Act entitled "An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes," approved October 15, 1914, as amended by the Act of May 15, 1916, be further amended by inserting in the proviso at the end of the second clause of said section after the word "prohibit" the words "any private banker or," so that the proviso as amended shall read:

"And provided further, That nothing in this Act shall prohibit any private banker or any officer, director or employee of any member bank or class A director of a Federal reserve bank, who shall first procure the consent of the Federal Reserve Board, which board is hereby authorized, at its discretion, to grant, withhold or revoke such consent, from being an officer, director or employee of not more than two other banks, banking associations or trust companies, whether organized under the laws of the United States or any State, if such other bank, banking association or trust company is not in substantial competition with such banker or member bank.

"The consent of the Federal Reserve Board may be procured before the person applying therefor has been elected as a class A director of a Federal reserve bank or as a director of any member bank."

Approved May 26, 1920.

1Act of May 26, 1920.

EXHIBIT XI.

FORM FOR FIRST REPORT FROM EXPORT ASSOCIATION.

FEDERAL TRADE COMMISSION

WASHINGTON, D. C.

FIRST REPORT FROM EXPORT ASSOCIATIONS DUE WITHIN 30 DAYS AFTER CREATION.

I.

Name

Address

(Here insert address of principal office.)

2.

Statement. This corporation or association was organized or entered into for the sole purpose of engaging in export trade and is now or about to be solely engaged in the export trade as defined in the Export Trade Act, approved April 10, 1918, viz.: "Trade or commerce in goods, wares or merchandise exported or in the course of being exported from the United States or any territory thereof, to any foreign nation."

3. There is hereunto annexed and made a part hereof a schedule, showing in paragraph "A" the location of its offices or places of business; in paragraph "B," the names and addresses of all its officers and directors; in paragraph "C," the names and addresses of all its stockholders or members; in paragraph "D," the products to be exported; and in paragraph "E," the capital authorized and paid in.

4. There is also annexed (F) a brief statement describing its methods and plan under which it is doing business, a statement of its relations with other associations, corporations and individuals, and such other information as this company or association deems should be in the export files of the Federal Trade Commission.

5. If a corporation, a copy of its certificate or articles of in