Reynolds Bros. Banks

They were each Chicago's big banks--the Continental & Commercial National Bank and the Continental & Commercial Trust & Savings Bank. They were owned by practically the same stockholders and led by the very same men-- the brothers Reynolds--George McClelland Reynolds the elder and chairman of the boards of both banks, and Arthur Reynolds, younger by three years and president of both. Practically, the same banks were one Continental & Commercial institution; legally they were separate, for until the passage of the McFadden Branch Banking act by Congress last session (TIME, Jan. 31), national banks might not function as trustees. Banks incorporated under state laws might do so--a condition which drove national banks to subterfuge. They created separate incorporations of what might have been their trust departments.

Under the liberties of the McFadden act, the Continental & Commercial banks might merge. Last week they did so; pooling resources of nearly $640,000,000. Chicago now has the sixth largest bank in the U. S.* But Chicago must break a habit learned in 1910 when the Commercial National Bank consolidated with the Continental National Bank to form the Continental & Commercial National Bank. After Dec. 1, Chicago will be obliged to say Continental National Bank & Trust Co.

When the 1910 merger took place, George M. Reynolds was president of the Continental factory. His first banking job had been at Panora, Iowa, where he had charge of the broom and polish rag. He flourished; made his banking way to Des Moines, then to Chicago. President Taft in 1909 wanted him for secretary of the treasury. He refused. George is known as the quickest and the firmest to say yes or no to a banking matter.

In Panora younger Arthur, with another brother, had founded a drugstore business. But Arthur saw George beating a road to bank success and abandoned mortar and pestle to pound down the road that his elder was making before him.