Index

Bank Mergers. Fast-growing, the Manufacturer's Trust Co., 139 Broadway, last week absorbed two other Manhattan banks, became fifth largest of New York trust companies, acquired position among the ten largest U. S. financial institutions. The banks merged were Interstate Trust Co., formed in 1926 by onetime (1923-26) Governor George S. Silzer of New Jersey and State Bank and Trust Co., headed by Harold G. Richard. Resources of the combined banks are $531,000,000.

Manufacturers' Trust was formed in 1905 as Citizens' Trust Co. of Brooklyn (capital $500,000). Under the leadership of Founder Nathan S. Jonas, and with the assistance of his brother, Ralph Jonas, head of Financial and Securities Industrial Corp., the bank's expansion was rapid. Many a small bank was acquired by the Financial Corp., then transferred to the family bank. After the acquisition of the Manufacturers' National Bank, Citizens' Trust became (1916) Manufacturers' Trust.

Early in 1928, Manufacturers' Trust, which had gained control of the 116-year-old Bank of America, sold control to the A. P. Giannini interests, giving A. P. Giannini a Wall Street foothold. On Oct. 1, 1928, Manufacturers' Trust had resources of $356,000,000; deposits of $275,000,000.

Nathan S. Jonas was born in Montgomery, Ala., Aug. 1, 1868. He attended Brooklyn public schools, Wright's (Brooklyn) Business College, was office boy, bookkeeper, traveling salesman and insurance agent. From 1902-07 he served on the New York City Board of Education. He is a member of Brooklyn Institute of Arts & Sciences and has given liberally to Jewish charities.

The Manufacturers' Trust merger was announced the day following the Bank of the Manhattan Co. International Acceptance merger (see p. 28).

Patten Will. Many a fable has been told of James Patten, onetime grain operator, who died in Evanston, Ill., last fortnight (TIME, Dec. 17), but no fabulous fortune did his will reveal. His estate was valued at $20,000,000; his investments, sound, shrewd, included stocks in Chicago Daily News; Chicago Rapid Transit; Commonwealth Edison; First National Bank, Chicago; Pullman, Inc.; Swift & Co.; 20 Wacker Drive Building Corp. Estate income goes mainly to Widow Amanda Louise Patten. Upon her death, estate will be divided, one half to charity, one half between Son John L. Patten, Daughter (Mrs.) Agnes Patten Wilder of Santa Barbara, California.

Eastman Insurance. There are 20,000 employes in Eastman Kodak Co. When male employes reach 65 years, female employes 60 years, they will be retired on pensions. Each year they will receive a sum equal to 1% of salary, multiplied by years of service prior to Jan. i, 1929; plus 2% of total salary earned after that date. (Example: Employe retired in 1940. Salary at time of retirement, $5,000. Came to Eastman in 1920. Receives 1% of $5,000--which is $50,--multiplied by 9, which is $450,--plus 2% of all money earned since 1929 [say average of $4,000 for 11 years] which is $880. Pension therefore is $1,330 yearly. This plan, approved last week, also includes life insurance, disability benefits, which go into immediate effect. Insurance company is Metropolitan Life, which was paid $6,500,000 to cover insurance to date and will receive annual premiums of $300,000. Cost of insurance, of pensions, borne equally by Kodak Co., by Employes' Association.

Radio. After a five-year inquiry, the Federal Trade Commission last week dismissed its complaint against the Radio Corp. of America, General Electric Co., American Tel. & Tel. Co., Western Electric Co., Westinghouse Electric and Manufacturing Co. and United Fruit Co. Since January, 1924, these companies have been investigated on a charge of "conspiring and combining" to create a monopoly and restrain competition in making and selling radio apparatus and in radio communication. The complaint was dismissed by a vote of four to one.

French Line. Six trans-Atlantic liners will be built for the French Line during the next three years. Pierre A. de Malglaive, resident Manhattan director, said that French Line traffic had increased 32.1% over 1927, and that four of the six new ships will be ready in 1929 to operate from the Pacific Coast to France via Panama.

Boxing. Like others, the Boxing Business has ups, downs. Madison Square Garden directors last week announced a yearly dividend of $1 a share. Last year's dividend was $2. Reason: The company's chief product, the Tunney-Heeney fight, was overpriced, established meagre consumer demand, made relatively few sales.

Ponzi. Investors in Charles Ponzi's famed get-rich-quick enterprises of 1920 last week received checks for $80,000, the last of a series of payments by which Ponzi creditors have been given back about 37% of their losses. Ponzi, now in prison, had liabilities of $4,000,000, of which $1,500,000 has been paid back over a five-year interval.

Macfadden. Macfadden, Inc., is a holding company which controls the stock of the various Bernarr Macfadden publications. Federal Trade Commission charged it with having represented special subscription rates as being reductions from regular rates when these rates were actually no lower than the ordinary prices.

Automobile Production. The U. S. Department of Commerce announced last week that the production of automobiles* for the eleven months of 1928 ending

Nov. 30 totaled 4,124,225. This means that the final figure for the year 1928 will be about 1,000,000 more than the total 1927 output of 3,401,326.

Meanwhile, President Alfred Pritchard Sloan, Jr., of General Motors, predicted that 1929 would set an even higher record. Merely "a normal trend," he said.

Mr. Sloan's prediction was apparently based on three items: 1) Ford production, which did not get into full swing until the early autumn of 1928, may reach a much higher total in 1929; 2) Chevrolet, now a six-cylinder car, plans a greater push rather than a letdown in 1929; 3) Chrysler looms as a potent rival of General Motors.

* Passenger cars (including taxicabs), trucks (including ambulances, street-sweepers, buses, fire-engines).