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posits. One bank has paid a dividend of 51 per cent. five of 5 per cent.: four of 41 per cent.: one of 41 per cent.: thirty-nine of 4 per cent.: two of 3g per cent. and two of 3 per cent. The amount of these dividends was $1,399,515. 38, and at the close of the year there remained in undivided profits, $770,499. The amount invested in United States bonds has decreased during the year from $4,421,784.12 to $3,207,924.12. The investment in county and city bonds has increased $468,997.48, and the aggregate is now $12,526,728.47. The amount invested in railroad bonds is $6,843,913.85, an increase since last year of $1,514,377.38. The savings banks have absorbed in the stock of national banks $1,900,238.83. This is an increase of $192,127.00. Railroad stocks and other corporation stocks and bonds have increased $49,251,33, and the aggregate is $1,371,618.11. The real estate owned by savings banks has decreased $31,252.04, the amount at the present time being $1,102,727.80. Loans on mortgages of real estate have increased from $5,645,969.08 to $6,113,414.72, while other loans have increased from $4, 219,574.47 to $4,760, 804.56. The uninvested cash on the first day of November was $1,063,749.22. It appeared by the appraisement of the assets of the savings banks in May, that their value was $4,583,719.76 in excess of the actual liabilities. There has been a considerable appreciation in the value of some of the choicest bonds held, and the next appraisement would show a handsome increase in the surplus but for the loss of $40 per share on the 2,178 shares of the capital stock of the First National Bank of Portland, the depreciation amounting to $87,120. This loss has materially reduced the surplus of some of the smailer banks, and prudent management will require a slight reduction in dividends until the amount of this shrinkage has been restored. The receiver of the Newport Savings Bank has not been able to make a final settlement of its affairs on account of the suit pending against the stockholders of the Pacific National Bank of Boston, the savings bank being one of the creditors of that bank. Now that that suit is practically decided by the decision of the United States Court against the stockholders of the Pacific Bank, an early settlement and a larger dividend than could otherwise have been realized would seem to be assured. TRUST COMPANIES. The Portland Trust Company commenced business in January, 1885, and the People's Trust Company of Farmington the September following. Each has a paid-up capital of $100,000, and the stockholders are liable to assessment to an amount equal to the par value of the shares held. The business to be transacted by these companies is, as the name implies, in the nature of dealing in trusts. Their charters are exceedingly liberal, no restriction being placed upon their loans or investments. With almost unlimited discretionary powers, great responsibilty devolves upon the managers of these corporations, both in the econominal management of these trusts, and the character of the securities in which they invest. The soundness of investments, convertibility of assets and the economy in the management of their trusts can be the only proper basis for the increase of their deposits and the legitmate expansion of their business. LOANS AND BUILDING ASSOCIATIONS. Under this head the Examiner gives a history of the Building Associations existing in this State and their method of operation. The People's Loan and Building Association of Richmond was organized under a special charter, March 15, 1875, and is still in successful operation. On the first day of November of the present year, it had 186 stockholders, representing 744 shares, with assets amounting to $55,664.41. During the eleven years the association has been in operation it has aided in building fifty-one dwelling houses in Richmond. Three other similar associations have recently been organized under the general law of the State, viz.: At have Bangor. Dexter and Skowhegan. They been reasonably successful so far. STATE TAX. The State tax on deposits in the savings banks last year was $232,973,74, or $26,788.97 more than in 1885. The Examiner inclines to the opinion that the rate of taxation on deposits ought to be reduced. INVESTMENTS. Under this head the Examiner says: With the reduction of the national debt by the repeated calls for the optional bonds, trust funds invested in them have been involuntarily converted into money, and the underlying mortgage bonds of well-established railroad properties have been substituted; so that the low rate of interest derived from investment securities dates its origin from the commencement of the reduction of the national bonded debt. As the rate of interest has moved down, the premium on investment securities has moved up. The average
