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East 3157 30th, Spokane 10, Wash.

Ella M. Letteman Lanning, estate by 2042 Blaine St., Pullman, Wash.

James Latham.

H. Phillips Lowry.

Harold M. Martin.

Francis J. McCormack.

Alma McMath

Mrs. Nina Lee Matzgeo-
Mrs. Minnie P. Miller.
Jack W. Nicholson.
Channon P. Price.

Florence D. Reed.

Truman Gervair Reed, f. r.
Andrew H. Rumpettes.
Mrs. Lillian M. Rusch.
Ed. Russell..

Lillian A. Siegler.

The board of trustees of Whitman College, J. R. L. Stirling, treasurer.

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South 729 Bernard, Spokane, Wash..

611 East Hoffman Ave., Spokane, Wash. 1223 West 4th, Spokane, Wash. Walla Walla, Wash

East 118 12th, Spokane, Wash. Paulsen Bldg., Spokane 8, Wash. Paulsen Bldg., Spokane 8, Wash.

1032 Tenth St., Clarkston, Wash. Okanogan, Wash..

50

465,

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306 East Nora St., Spokane, Wash. Dishman, Wash

59

100

100

do..

100

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Berlin Apts., Spokane, Wash.

575

70

189

1,000

100

500

300

425

35

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NOTE. Where stock is of record in name of broker, customer's name is listed.

SUPPLEMENT TO EXHIBIT A OF STATEMENT OF JOHN RICHARDSON, DATED JUNE 2, 1947, REGARDING S. 829

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attorney.

1449 Poinsettia Pl., Hollywood 46, Calif.
405 Lamson St., San Francisco, Calif.
112 Market St., San Francisco 11, Calif.
276 Ewing Terrace, San Francisco, Calif.
Post Office Box 274, San Anselmo, Calif.

33, 894 50

(1)

50

200

130

5232 Golden Gate Ave., Oakland, Calif.
2566 Valley St., San Francisco, Calif.
1 Montgomery St., San Francisco, Calif.
803 South Rempau Blvd., Los Angeles 5, Calif.
4433 Camero Ave., Los Angeles, Calif..

(1)

155

635

200

100

255 LaSalle Ave., Piedmont 10, Calif.

485

100 North Sycamore Ave., Los Angeles 36, Calif.
Box 684, Santa Monica, Calif..

10

200

901 Mendocino Ave., Berkeley 7, Calif.

590

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Estate John G. Payton, by F. R. (?), 915 Paulsen Bldg., Spokane, Wash..

Horace R. Williams.

Total..

1 Unknown.

EXHIBIT B

SHAWMUT ASSOCIATION REPort for Year Ended December 31, 1946

To the shareholders of the Shawmut Association:

SHAWMUT ASSOCIATION,
Boston, January 24, 1947.

We submit herewith the balance sheet of the Shawmut Association as of December 31, 1946, together with a statement of income and surplus for the year ended December 31, 1946. There are submitted also a classification of investments, a list of holdings as of December 31, 1946, and a combined statement of condition of the 11 suburban banks as of December 31, 1945, and December 31, 1946. Shawmut Association owns a majority of the outstanding common shares of each bank.

WALTER S. BUCKLIN,
NORMAN I. ADAMS,
GEORGE E. PIERCE,
GEORGE H. CLOUGH,
ROBERT G. DODGE,

Shawmut Association balance sheet Dec. 31, 1946 1

Securities at quoted market prices:

ASSETS

Railroad bonds (aggregate cost per books $483,280) -
Preferred stocks (aggregate cost per books $527,948.50) -
Common stocks (aggregate cost per books $3,923,040.29)

Shares of capital stock of 11 suburban banks 2.
Cash in banks....

Trustees.

$555, 759. 00 618, 544. 00 4, 901, 731. 00 3, 382, 009. 45 371, 996. 79

9, 830, 040. 24

1 Dividends receivable of $41,349.76 declared on stocks selling ex-dividend at Dec. 31, 1946, are not included in the above statement, as dividends are accounted for on the books on a cash basis.

2 The shares of stock owned in each of the 11 suburban banks are a majority of each bank's outstanding common shares and a majority of the preferred B shares of the Wakefield Trust Co. The banks stocks are stated above at the amount of the net assets, per statements of condition of the respective banks Dec. 31, 1946, applicable to the shares owned by Shawmut Association.

Commitment: At Dec. 31, 1946, the association had a conditional commitment to underwrite an issue of 5,000 additional shares of common capital stock of the Wakefield Trust Co. at a price not to exceed $40 per share.

Shawmut Association balance sheet Dec. 31, 1946-Continued

LIABILITIES AND CAPITAL

Accounts payable_.
Reserve for Federal income tax.

Provision for estimated additional Federal income taxes on net gains which would be realized if all investments were sold at amounts carried above_ --

Common shares of no par value, amount determined by the
trustees as capital Dec. 19, 1933-
Surplus per books and annexed statement_

Add unrealized appreciation (excess of quoted market over cost)
of securities other than bank stocks ($1,141,765.21) less above
provision of $254,000 for related taxes..

Balance for 390,000 shares outstanding after deducting
13,622 Treasury shares..

$1, 492. 84 196, 315. 00

254, 000. 00

5, 000, 000. 00 3, 490, 467. 19

8, 490, 467. 19

887, 765. 21.

9, 378, 232. 40

9, 830, 040. 24

Shawmut Association statement of income, and surplus for the year ended Dec. 31, 1946 Income:

Cash dividends from securities other than bank stocks (including $2,475 dividends on preferred stock in excess of the stated annual rate thereon)_

$246, 405. 00

Cash dividends from bank stocks_

110, 650. 60

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Net earnings before participation by the National Shawmut Bank and before dividends to shareholders _ _

940, 600. 83

Net participation of the National Shawmut Bank.

17, 691. 58

Net earnings for the year.

922, 909. 25

Deduct:

Dividends to shareholders (80 cents per share) - $311, 971. 80
Amount required to state capital surplus at the
amount paid in on shares in excess of capital
as determined by the trustees, Dec. 19, 1933,
less cost of shares repurchased__.

394, 769. 44

706, 741. 24

216, 168. 01

Add:

Adjustment of tax provision for prior year. Increase due to adjusting the book amounts of bank stocks to the net assets applicable thereto at Dec. 31, 1946, per statements of condition of the respective banks_

10, 345. 74

30, 225. 85

40, 571. 59

Shawmut Association statement of income, and surplus for the year ended Dec. 31, 1946-Continued

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NOTE. Change in unrealized appreciation (excess of quoted market over cost) of securities (other than bank stocks) after allowances of $510,400 for 1945 and $254,000 for 1946 for Federal income tax that would have been payable on the gains had they been realized:

Dec. 31, 1945.

Dec. 31, 1946

Change for the year

SHAWMUT ASSOCIATION

$256, 739. 60

3, 233, 727. 59

3, 490, 467. 19

1,686, 420 887, 765

798, 655

BOSTON, MASS., January 24, 1947.

To the Trustees and Shareholders of Shawmut Association:

We have examined the balance sheet of Shawmut Association at December 31, 1946, and the statement of income and surplus for the year then ended, have reviewed the system of internal control and the accounting procedures of the association, have examined accounting records and other supporting evidence by methods and to the extent we deemed appropriate, and have inspected securities held by the custodian for account of the association. Our examination was made in accordance with generally accepted auditing standards applicable in the circumstances and included all procedures which we considered necessary.

In our opinion, the annexed balance sheet and statement of income and surplus, on the basis of carrying bank stocks as indicated therein, present fairly the position of Shawmut Association as at December 31, 1946, and the results of its operations for the year then ended, in conformity with generally accepted accounting principles applied on a basis consistent with that of the preceding year. LYBRAND, Ross BROS. & MONTGOMERY.

Classification of investments at Dec. 31, 1946

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1 The shares of stock owned in each of the 11 suburban banks are a majority of each bank's outstanding common shares and the majority of the preferred B shares of the Wakefield Trust Co. The bank stocks are stated above at the amount of the net assets, per statements of condition of the respective banks Dec. 31, 1946, applicable to the shares owned by Shawmut Association.

2 Before deducting $254,000 provision for estimated additional Federal income taxes on net gains which would be realized if all securities were sold at market as shown above. This is the equivalent of $0.65 per share.

Shawmut Association list of holdings at Dec. 31, 1946

RAILROAD BONDS

Market

Par value

Dec. 31, 1946

$598, 000

105, 000

St. Louis, San Francisco Ry. Co. 48, series A, due 1950.
St. Louis, San Francisco Ry. Co. 58, series B, due 1950..

1 $555, 759

1 Represents proceeds from sales on a "when issued" basis of securities and cash to be received under plan of reoganization of this railway effective Jan. 2, 1947, in exchange for the bonds now owned.

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Shawmut Association list of holdings at Dec. 31, 1946-Continued

PREFERRED STOCKS

Electric Power & Light Corp., $7.
Great Northern Ry. Co., $6_.
New England Public Service Co., $7.

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Shawmut Association holds a majority of the outstanding common shares of the following banks and a majority of the preferred B shares of the Wakefield Trust Co.:

County Bank & Trust Co., Cambridge, Mass.
Everett National Bank, Everett, Mass.

Hingham Trust Co., Hingham, Mass.

7,999

common
common

Lexington Trust Co., Lexington, Mass.
Melrose Trust Co., Melrose, Mass

5, 720

common

823

common

7, 687

common

1, 845

3, 9161⁄2 5, 242

common

common

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Merchants National Bank, Salem Mass,
Needham National Bank, Needham, Mass.
Newton National Bank, Newton, Mass..

preferred B Wakefield Trust Co., Wakefield, Mass.
Wakefield Trust Co., Wakefield, Mass.
Waltham Citizens National Bank, Waltham,
Mass...

Winchester National Bank, Winchester, Mass

$3,382, 009

1 The bank stocks are stated above at the amount of the net assets, per statements of condition of the respective banks, Dec. 31, 1946, applicable to shares owned by Shawmut Association.

NOTE.-15,000 preferred A shares of the Wakefield Trust Co. outstanding Dec. 31, 1946, are not owned by Shawmut Association. It is contemplated that these preferred A shares will be retired at an early date in 1947.

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