LIABILITIES.

The deposits show an increase for the year of $22,898,390.96.
The total amount of deposits, $631,313,800.55, is divided
among 1,766,614 open accounts, being an average of $357.36
to each, or $4.25 more than at the corresponding period last

year.

The guaranty fund, amounting to $28,675,690.11, is 4.54

per cent. of the amount due depositors, as compared with 4.51

per cent. a year ago.

The increase in undivided earnings, of $1,006,782.13, shows

a satisfactory condition of the banks over the year ending

Oct. 31, 1903.

ASSETS.

In the report of last year reference was made to the fact
that the holdings of national bank stocks by the savings banks
had been materially reduced, owing to the liquidation or con-
solidation of many national banks, and principally through the
same causes the amount held by the various institutions has
again been materially reduced.

The total decrease in this investment for the year 1904 has
been $1,282,717.44, as compared with the year previous, of
$2,264,698.83.

Of the $131,225,339.92 classified as loans on personal secu-
rity, $84,412,807.80, or 64.33 per cent. of the total amount, is
secured by the pledge of collateral, in addition to the names
of principal and sureties which the law requires.

In connection with the table of assets, it is worthy of men-
tion to note the fact that for the first time in many years the
amount invested in real estate by foreclosure shows a decrease.

DIVIDENDS.

During the year covered by the reports, -

2 banks declared dividends at the rate of 3 per cent.

The Assabet Institution for Savings, Maynard, incorporated

March 31, 1904, had not declared any dividend at the date of
its report.

The total amount of the dividends declared was $21,941,039.80, being $893,103.11 in excess of the amount for the year 1903.

The average rate of dividends was 3.75+ per cent., as compared with 3.709+ per cent. in the preceding year.

* Including the Blackstone Savings Bank, Boston, which, having recently commenced business, paid only one dividend (2 per cent.) during the year.

1 bank paid 0 per cent. the first term, 0 per cent. the second term.

During the year there were 1,756,003 deposits, amounting to $105,466,148.68, an average of $60.06 each as compared with $59.25 the year previous.

There were during the year 1,420,421 withdrawals, amounting to $104,508,951.49, being an average of $73.58 to each withdrawal as against $78.67 last year.

The above figures show a slight increase in the average deposits, and quite a decrease in the average withdrawals.

CLASSIFICATION OF DEPOSITS.

Under the provisions of section 48 of chapter 113, Revised Laws, a classification of the deposits received during the year was embodied in the annual reports of the banks, and from the figures rendered the following consolidated statements are collated:

(A.)

Classification of Deposits received during the Year ending Oct. 31, 1904.

Twelve thousand eight hundred and sixteen transfers, amounting to $5,449,870.92, are not included in the above table.

Following the practice which prevailed in former reports of this character, there has been eliminated from the total number and amount of deposits received the number and amount of transferred accounts, so that the table as above printed exhibits the amount of cash deposits received during the year ending Oct. 31, 1904.

The following table is prepared from the three last reports, and a careful inspection of its figures seems to substantiate the oft-expressed opinion, that the savings banks of this Commonwealth are being patronized principally by that class whom they were designed to serve.

(B.)

Classification of Deposits received during the Year ending Oct. 31, 1904..

The above tables disclose the fact that nearly 79 per cent. of the total number of deposits received during the year ending Oct. 31, 1904, were of $50 or less, an average of $18.09 each; while nearly 95 per cent. were in sums of $200 or less, averaging $32.21 each.

(C.)

Classification of Deposits received during the Year ending Oct. 31, 1904.

The figures in this table are included in Table A on the preceding page.

VERIFICATION OF DEPOSITORS' BOOKS.

During the year 1904 the pass books of depositors in the various savings banks were called in for verification, under rules prescribed by the respective boards of investment and approved by this Board. The Board endeavored to have the work performed in as nearly a uniform manner as possible, the party making the examination being in almost every case one who was not employed in the bank at other times.

A compilation of returns reveals the fact that in the aggregate only about 21.53 per cent. of the outstanding books were presented.

No differences were discovered between the books of the depositors and those of the bank in sixty-one banks; in the others the differences were slight, few in number and wholly of a clerical nature.

The number of books reported as verified was 376,777, representing deposits of $146,797,130.67, being nearly 23.62 per cent. of the amount of deposits reported as outstanding at the time the books were called in.

TRUST COMPANIES.

Reference is made in the preceding pages to trust companies which have commenced business during the year, making the number now in operation forty-one, not including the Massachusetts Hospital Life Insurance Company, which has heretofore been included. Eighteen of these maintain trust departments.

The condition of the forty-one companies, both the banking and trust departments, at the close of business, Oct. 31, 1904, is shown in the following consolidated statement :