INSTITUTE OF

MANAGEMENT

ACCOUNTANTS

SAINT LOUIS CHAPTER

Celebrating

Seventy-Five Years

Of Excellence

The purpose of this program is to provide a glimpse through the window of the past and to stir a memory or two. The chapter's first seventy-five years has been one of great accomplishment.

The future will be even greater. We are "proud of the past, preparing for the future".

HISTORY OF THE CHAPTER

The National Association of Cost Accountants began in New York with thirty-five members in the year 1919. The next few years, members and chapters spread to the larger cities. In 1920 St. Louis had twenty-one members but no chapter. In 1924 it had twenty-five members but still no chapter.

The chapter officially began with the issuance of its charter on May 14, 1926. Our life span has bridged generations of members; the original group of 39 members in 1926 grew to over 1,300 by 1982; talks and discussions have been held on almost every conceivable subject; the chapter has conducted hundreds of technical meetings and many seminars, discussion groups and social events.

The story really begins a few months earlier than our charter date with a letter by L. D. Stafford, manager of the St. Louis office of The American Appraisal Company, dated January 6, 1926, to the officers of the National Association of Cost Accountants in New York. This letter was answered by Stuart C. McLeod, Secretary of N.A.C.A., and included the following paragraphs:

"I have your letter of January 6th and I am mighty glad to know of your interest in the possibility of establishing a chapter in St. Louis. As a matter of fact we have been giving some thought to the same idea during the past few weeks. We would require thirty to thirty-five members on the petition for a charter for a chapter in St. Louis. I enclose a pamphlet describing the procedure for the organization of a chapter and the form of the petition. I would suggest as the first step that you get in touch with our members in St. Louis and find out who of them are most interested and try to get the most interested members together for an informal discussion. If you decide to go ahead a temporary committee should be formed and arrangements made for an open meeting at which the objects of the chapter could be explained and an attempt made to bring the membership up to the required minimum of thirty or thirty-five. After you get the thing advanced to the point where it seems reasonably sure of local support, I believe we can arrange to have one or more of our national officers go to St. Louis to address an open meeting,"

There were several other exchanges of letters outlining procedures for starting the chapter and on March 25, 1926 an organizational meeting was held at the Missouri Athletic Club. Stuart McLeod addressed the meeting and convinced those present that St. Louis should have an N.A.C.A. chapter.

Stuart McLeod was very helpful in advising on all aspects of chapter formation. He wrote: "One thing to keep in mind is two men for the offices of Secretary and President. The Secretary ought to be a livewire with some capacity for detail and organization. The President should be a good organizing executive, of some prominence whether through his personal reputation or his position. In some cases we find it desirable to start a chapter with an industrial president, although there is no fixed rule on this point and successful chapters have been started both ways. There is no objection to having a professional man as president providing it does not generate an ill feeling among our professional members nor create an impression that the Association is a professional body.

L. Dudley Stafford became the first Secretary of the chapter. The first President was Arthur F. Barnes, a Vice President of Mercantile Trust Company. Mr. Barnes was a Certified Public Accountant, was formerly an officer of the American Institute of Bankers, and had been active in organization work for a number of years.

At the meeting held on May 14, 1926 the Charter of the St. Louis Chapter was presented and the chapter officially began. There were thirty-nine charter members.

NATIONAL ASSOCIATION OF COST ACCOUNTANTS

CHARTER AND CONSTITUTION

OF

THE ST. LOUIS CHAPTER

Messrs.

A.L. Anderson, George F. Baker, G.H. Barlow, Arthur F. Barnes, M.A. Braun, Roy A. Burch, Grover R. Casper, Wm. M. Fogarty, C.W. Heberer, T.J. Hargadon, Alexander Henderson, M.T. Hennessy, H.W. Henry, Edwin F. Herold, P.L. Jacoby, A. Jannuzzo, W.F. Jones, John J. Lang, George J. Lehman, J.W. Ludwig, Sam A. Marsh, E.C. Moeloth, John K. Morgan, H.G. Morlock, Harry L. Oppenheimer, F. H. Parsons, W.R. Phemister, C.A. Renard, W.A. Robertson, August A. Saxer, D.A. Scott, F.F. Simon, L.D. Stafford, J.F. Steinhaufel, Victor H. Stempf, L. W. Tracy, Edwin H. Wagner, J. Spencer Wolling, A.C. Woods

being MEMBERS of the NATIONAL ASSOCIATION OF COST ACCOUNTANTS, having made application for authority to establish a local chapter of the Association in the St. Louis, Missouri district, as hereinafter defined, and such application having been approved by the Director in Charge of Chapters and by the Board of Directors of the National Association, the above mentioned MEMBERS of the NATIONAL ASSOCIATION OF COST ACCOUNTANTS are hereby authorized and empowered to establish a chapter of the Association in the said district subject to the provisions of the Constitution of Government hereinafter set forth and subject to such Rules and Regulations as have been established or may hereafter be established by the Board of Directors of the Executive Committee of the NATIONAL ASSOCIATION OF COST ACCOUNTANTS.

NAME OF CHAPTER

Section I

This chapter shall be known as the ST. LOUIS CHAPTER of the NATIONAL ASSOCIATION OF COST

ACCOUNTANTS.

BOUNDARIES OF THE CHAPTER

Section II

The Chapter is authorized to accept members from the Counties of Lincoln, Warren, St. Charles, Franklin,

St. Louis, St. Louis City, Jefferson, Washington, Francois, and Genevieve in the State of Missouri, and the

Counties of Calhoun, Jersey, Macoupin, Madison, Bond, St. Clair, Clinton, Washington, Randolph, and Monroe in the State of Illinois.

OBJECTS OF THE CHAPTER

Section III

The objects of the Chapter shall be as follows:

(a) To promote better acquaintance among the members of the National Association resident within the territory of the Chapter.

(b) To hold meetings for the discussion of cost questions and for the advancement of the science of cost accounting by the exchange of ideas.

(c) To aid in furthering the best interests and in carrying out the objects of the National Association.

MEMBERSHIP OF THE CHAPTER

Section IV

The membership of the chapter shall consist of such members of the NATIONAL ASSOCIATION OF COST ACCOUNTANTS, resident within the territory set forth in Section II of this instrument, as may from time to time apply for membership in the said Chapter in such manner as may be set forth in the Rules and Regulations for Local Chapters. The MEMBERS named as petitioners in this instrument shall be the CHARTER MEMBERS of said Chapter.

GOVERNMENT OF THE CHAPTER

Section V

The officers and governing bodies of the Chapter shall be elected in the manner prescribed in the Rules and

Regulations for Local Chapters.

FINANCES OF THE CHAPTER

Section VI

The financial affairs of the Chapter shall be conducted in accordance with the provisions set forth in the

Rules and Regulations for Local Chapters.

Section VII

This Charter may be revoked by vote of the Board of Directors of the NATIONAL ASSOCIATION OF COST ACCOUNTANTS, provided that the officers of the Chapter shall be given notice of such proposed action thirty days in advance of the meeting of the Board at which it shall be considered and may be represented before the Board when the questions of revocation is discussed.

Given under the seal of the Association this fourteenth day of May, in the year 1926.

Charles R. Stevinson

Director in Charge of Chapters

Clinton H. Scovell

President

Stuart C. McLeod

Secretary

1926-27

During the first year of the chapter's existence, nine meetings were held each third Tuesday of the month from September to May. All of the meetings were held at the American Annex, 6th and Market Streets and the price of the dinner was $2.00. Those early meetings were somewhat unlike our present meetings, as they did not include the one-hour cocktail hour. It was not by inclination, however, but rather because it was against the law (Prohibition).

During that first chapter year, membership increased about 150% by the active and agile Membership Director John J. Lang. The chapter began with 39 members and soon 45 additional members were acquired. Attendance averaged about 60, ranging from 44 as the lowest to 86 as the highest. Publicity was at a high level and the chapter succeeded in getting announcements in the daily papers, outlining the plans for meetings with speaker's names and subjects. Articles were also printed after the meetings outlining the fine points of the talks.

During that first year, the chapter published a brief booklet describing the accounting phases of the new Missouri Workmen's Compensation Act. Approximately 1000 of these booklets were printed and circulated to members, meeting guests and various businesses in St. Louis. Also, the first roster was published covering the following chapter year (1927-28) and listing seventy-one names.

PROGRAM

Subject Speaker

September What Do You Know About Insurance Charles M. Talbert, Stand Underwriters

October Progress in Waste Elimination L. D. Crusee, Fisher Body Corp., Detroit

November Pitfalls in Installing Cost Systems D. M. Doiseau, Haskins & Sells, NY

December Appraisals and Their Relation To Costs H. G. Baldwin, American Appraisal Co.

January Simplicity and Its Effect Upon Costs Dr. Raymond V. Phelan, St. Louis Univ.

February Bank Credits and Their Relationship To Costs H. F. Boettler, First National Bank

March Distribution of Overhead Four Speakers

April Coordination of Organization/Cost Accounts J. P. Jordan, Stephenson Corp. of NY

May Birthday Party and Annual Election

This memorable first year was described in the Outline of Secretary, L. D. Stafford:

1. Almost 600 people were in attendance at our meetings.

2. Our Treasurer received and disbursed almost $1500.

3. Approximately 6000 envelopes were mailed to members and guests containing

notice of meetings and other literature.

4. Approximately 1000 mailing cards were sent out to the membership.

5. Our speakers traveled a total of more than 5000 miles to address our meetings.

6. Our Chapter financially is broke.

Chapter Officers and Directors 1926-27

Arthur F. Barnes, President

Walter Phemister, Vice President

C. W. Heberer, Treasurer

L. Dudley Stafford, Secretary

John J. Lang, George Maurer, John K. Morgan, Victor H. Stempf and Charles A. Renard, Directors

During the early years, the chapter Board of Directors met at the City Club, located in the DeSoto Hotel. One of the original Directors, Victor H. Stempf, later went on to become the National President of N.A.C.A. at the annual convention held in St. Louis in 1940.

Other activities at this time were the National Convention in Chicago during the week of June 13, 1927 and the First Annual Midsummer Boat Ride on July 27, 1927 which was a tremendous success, except that the disbursements exceeded the receipts by $5.00.

1928-29

The second chapter year (1927-28) began with the Technical Meetings being held at the City Club. When City Club discontinued the dining room operation, the chapter meetings were moved to the Town Club located at 1120 Locust Street. The dinner charge there was only $1.75. In April 1928 L. Dudley Stafford changed positions and left town. George Hetlage filled his position, beginning a long and fruitful career in the chapter. The Board of Directors Meetings moved to the library of the Haskins & Sells office in the Planters Building. The first meeting of the chapter year 1928-29 was held at the Forest Park Hotel, with the dinner price still $1.75. One of the earliest plant visits was held at the Illinois Glass Company, Alton, Illinois on October 30, 1928. Charles Renard introduced a chapter song at the October Technical Meeting. A large group of members of the chapter planned to attend the June, 1929 Annual Convention at East Baden Springs, Indiana and a committee was formed to investigate the possibility of taking "aeroplanes", which they did not do. Because of the difficulty of traveling, many of the early speakers at chapter meetings were members of the chapter although some did come from distant cities. One of these was L. A. Baron, Comptroller of the Stutz Motor Car Company. His subject was "Manufacturing Budgets". Some of the red-hot subjects of that day were: Plant Property Accounting and Its Relation to Cost and Inventory Taking, Compiling and Valuation. In the 1928-29 Chapter year there were 99 members. The National Association had more than 5,000 by this time.

1929-30

Topics included "The Future Cost Accountant Must Be A Profit Prophet" and "The Economics of Differential Costs"

1930-31

The Chapter held its first Business Show. Topics included "Costing for Profits in Foundries and Machine Shops" and "Budgets as a Means of Cost Control"

1931-32

Topics included "Principles of Punched Card Accounting", "The Cost of Cost Accounting", "N.A.C.A. and Its Work", by Stuart C. McLeod.

1932-33

Topics included "The Accountant Talks to the Sales Manager", Plant Visitation: Monsanto Chemical Works, Monsanto, Illinois.

1933-34

Topics included Two Sessions on the N.I.R.A. (National Industrial Recovery Act). Plant Visitation to Anheuser-Busch Brewery. Prohibition ends; cocktail hour before meetings now possible.

1934-35

Topics included "Effect of New Deal Upon Basic Economic Principles", "Industrial Insurance Problems and How They May be Met". Plant Visitation to Southwestern Bell Telephone Co.

1935-36

Topics included "Labor and Overhead Expense Control", "Missouri Sales Tax".

1936-37

Chapter wins first banner. Also wins Carter Trophy for Sixth Place. Sam Marsh is President. Chapter is now ten years old with 100 members. Some subjects that year: Importance of Cost Production and Distribution Under the Robinson-Patman Act; Social Security Act; and The Education of The Cost Accountant.

1937-38

Chapter wins second banner. It is the Remington Rand Trophy for Second Place. Sam Marsh is President again. Technical meetings were first held at the Coronado Hotel, beginning a long association that would last about twenty-four years. A Regional Cost Conference at Springfield, Illinois in cooperation with Chicago and other chapters, organized by John J. Lang. Sam Marsh writes: "In our changing relationship between business and government the trend is towards a greater social and political control. No one individual can keep pace with the rapidly growing list of laws, regulations, decisions, rules, boards, etc. We must take counsel and advice and rely on the assistance and suggestions of our fellow-associates.”

1938-39

The Decatur Chapter is organized with the assistance of the St. Louis Chapter. Chapter wins banner for Twelfth Place. George Hetlage is President. Plant Visitation: Western Cartridge Company, East Alton, Illinois. Technical Programs include: Unemployment Compensation Insurance; and Distribution Cost-Analysis by Lines and Products.

1939-40

Chapter wins banner for Thirteenth Place. Norman Kerth is President. Education Forums began. Forums were a series of eight additional meetings, held weekly for members only, and conducted by members to supplement the regular technical sessions. Forums were designed as a study program developed around a general theme. Forum Theme: "Cost Accounting Control Problems". Technical meeting topics: Taxes-The Revenue Act of 1939; and The InterPlay of Brewery Costs-Prices-Volume and Profit. The St. Louis chapter now has about 200 members. The National Association has chapters in 64 of the principal cities of the United States and a membership of about 8,000. Annual dues are $20.00 and the initiation fee $10.00. Sam Marsh is National Director of Education.

CONVENTION - 1940

The 21st International Cost Conference was held in St. Louis June 24th thru June 27th at the Jefferson Hotel. This was the furthest West any national convention had been held up to that time and it was a tremendous success. The theme was "Meet Me in St. Looie, Looie" and hundreds of members from all parts of the country responded. Points of interest advertised for visitors to St. Louis included the Art Museum, one of the four leading museums in the United States; Forest Park, with the Zoo and the Jefferson Memorial, housing the presents sent to Col. Charles A. Lindbergh after his 1927 flight to Paris; the statues of Carl Milles in the Aloe Plaza; the Old Rock House which was to become part of the Jefferson National Expansion Memorial along the riverfront (so said the literature); and most of all, the Mississippi River.

Hotel Jefferson was the convention hotel, and all the important events were held in the Gold Room, with socializing and hospitality in the Club Continental. The Annual Golf Tournament was held at Norwood Hills Country Club in the daytime and the evenings were spent viewing Fritz Kreisler's "Apple Blossom" at the Municipal Opera. Interesting plant visits were arranged: the Owens-Illinois Glass Company at Alton, Illinois, at that time, one of the largest bottle making plants in the world; the KnappMonarch Company plant, then employing over 750 workers and producing a diversified line of electrical appliances; the Wagner Electric Corporation plant, then covering some 1,000,000 square feet of floor space devoted to the manufacture of motors, transformers, fans, and such automotive equipment as the Lockheed hydraulic brake. The plant tours went in three different directions, but all ended at the Anheuser-Busch Brewery for "rest and relaxation".

A daily newspaper at this convention carried the following announcement: "The United States Civil Service Commission announced that Cost Construction Accountant Examinations will be held. Salaries range from $2,600 to $3,800 a year." The cost of the annual banquet in the Gold Room was $5.00. As N.A.C.A'ers would "rather dance than eat", two dance bands were engaged to play continuous music for the President's Party. One was a fine ballroom orchestra which played modern and popular music, the other was a real hillbilly band for the Virginia Reel, and the then popular, "Boompsa-Daisy."

Sam Marsh was General Chairman of the convention. George M. Ebert and Lester M. Kincaid were Co-Chairmen. Mrs. N. E. Kerth and Mrs. G. C. Hetlage were in charge of the Ladies Entertainment Committee.

1940-41

Chapter wins banner for Ninth Place. George Ebert is President. Plant Visitations: Granite City Steel Company, Granite City, Illinois and Shell Oil Company Refinery, Wood River, Illinois. Educational Forum Theme: "Manufacturing Cost Control Problems". Topics were: Federal Tax Amendments of 1940 and Their Effects on Business Policies; Procedure Before the Bureau of Internal Revenue With Respect to Tax Disputes; and The Fair Labor Standards Act.

1941-42

"Realizing that many complex problems have arisen from our rearmament and defense program, we have attempted to cover those subjects which we feel will help the individual accountant in assisting management under the changing economic conditions", William Aitken, President. Educational Forum Theme: "Taxation of Industrial Corporation'@ Government and defense were predominant topics: Adjusting Business to Wartime Economic Conditions; Defense Contracts and the Industrial Accountant; Priorities and Effects of Government Spending.

1942-43

"The St. Louis Chapter enters the seventeenth year of its history with practically the entire world engaged in a titanic struggle to maintain the traditional freedom of the American way of life. Every individual and every institution must and should play its part in this war. What part should we play? Certainly many of us are not fitted for active combat duty. I believe we can all make the greatest contribution to the prosecution of the war by continuing to do the things we have learned to do, to work a little harder and do them a little better. Our national association was born during the last world conflict and since that time has steadfastly followed the policy of developing its members to do better and more effectively the things they are trained to do. Our chapter can make its contribution toward victory by helping you to meet and solve the problems imposed by the conflict as they arise", Elmer Conner, President. Educational Forum Theme: "Industrial Cost Problems" Wartime Subjects: Accounting Requirements Under War Contracts; Accounting Requirements of O.P.A. Financial Reports; Job Classification; and Job Evaluation During the War.

1943-44

"We, as a nation and as individuals, are facing today some of the most difficult problems in our experience, and we are also facing some of the greatest opportunities. Due to war conditions, cost accounting has received a tremendous impetus and has challenged the best that is in us. If ever there was a need for the interchange of accounting knowledge and a need for fraternity in our organization, it is now in these difficult days......... Ralph Rakestraw, President. The Speaker's Club, which began rather informally a year or so ago, is continued now on a more formal basis. Educational Forum Theme: "Internal Auditing". Conditions of the times were reflected in the technical subjects: Wartime Accounting Problems; War Contracts Cost and Profits; Cost Accounting as Applied to Contract Termination; War Outlook; and Preparing for Post War Problems and Inflation.

1944-45

This year the National Association observes its 25th Anniversary. The program of the Study Club has been especially designed to fit the accountant's needs during the reconversion and post war periods. The Speaker's Club, which is a unique activity of N.A.C.A. has won a permanent place in the agenda of this chapter. The chapter President, John Schlosser wrote the following: "The future is obscure, many of the old methods of doing business will be changed. But one thing is certain, we must face the future. To do so with confidence requires that we prepare for it. N.A.C.A., with its attendant activities provides the means for that preparation. 'Luck is what happens when preparation meets opportunity." Educational Forum Theme: "Accounting Procedures Under Federal Laws and Regulations". Programs included: Industrial Accounting in the Post War Era; Wage and Salary Stabilization; and War Contract Termination Accounting Problems.

1945-46

"We have every reason to be thankful for the Victory and Peace that is ours, and we hope and pray that it will be everlasting. Let us pledge in our hearts that we will, at every opportunity, lend a helping hand to those who made peace possible. From time immemorial, men having common interests have formed organizations for the sake of getting together, thereby seeking inspiration and strength. The objectives of N.A.C.A. are well set because it is apparent the problems of the membership will be many and complex during the coming year.", Harry Albrecht, President. Chapter wins banner for Fifth Place. Educational Forum Theme: "Fundamentals of Cost Control" Postwar Topics included: Economics of the Postwar Era; Breakeven Points - Their Importance in Costs and Postwar Management; and Labor Relations - Problems Ahead.

1946-47

Chapter wins banner for Twelfth Place. Lester Kincaid, President penned these words: "The demands on the Industrial Accountant have changed and are changing as the difficulties and problems of Business Management increase. Everyone wants to know today where he will be tomorrow and what he must do to reach his goal. This has practically nullified business management's interest in historical information only - the industrial accountant today must be prepared to forecast and budget and to assist in policy making that will avoid pitfalls and permit accomplishing the desired end result". Educational Forum Theme: "Standards-Their Development and Use". Subjects covered in technical programs: Cost Accounting's Role in the Management Picture; The Guaranteed Annual Wage and Its Accounting; and Relation of Company Accountant to Outside Auditor.

1947-48

“Our National Association was formed for the advancement of the science of industrial accounting and the mutual self-betterment of its members. To help you there is the Technical Program, the Plant Visits, the Educational Forum and the Speaker's Club. There is also the lighter side, the Bowling League, a Golf Tournament, the Ozark Conference, the Christmas Party, the Spring Dance and the Summer Stag…”, so stated Richard Risk, President in the preamble to that chapter year. Postwar topics were: Trends in Labor Controls; Pricing Policy and Its Relation to Cost and Volume; and Operating Controls Through Standard Costs. Education Forum Theme: "Accounting for Overhead".

1948-49

"These are fast moving and complex times in which we live. It is our duty to our companies, our clients and ourselves to keep in touch with the ever changing picture and to be alert to any changes, new ideas, and thoughts. The chapter's technical program together with other special educational activities is designed to be of tangible educational value and to afford an opportunity for close personal contact and exchange of practical ideas. A successful chapter, like a champion football team, develops only as a result of teamwork. No single individual functioning alone can produce either a football team or an N.A.C.A. chapter. Many minds, willing shoulders, and stout hearts are needed to produce the winning combination", the words of Art Schweighauser, President. The chapter meetings continue to be held at the Coronado Hotel, but the name has been changed to the Sheraton. Educational Forum Theme: "Budgeting. Programs that year: Cost Accounting From the Factory Management Point of View; Breathing Life Into Accounting Statements; and The Use of Standard Costs in Small Plants.

1949-50

President Harold Luenstroth said, "Your resolution has been that membership in the outstanding voluntary accounting organization is a must, since accounting is to be your life's work. Your job and the proper place in your community requires you to keep up with current thinking on this important universal language of all business". Discussion Forum Theme: "Internal Reports (The Inside Story)." Programs included: But Figures Do Lie; The Business Navigator Shoots the Sun; Cost Standards; and Changing Price Levels.

1950-51

It is the Silver Anniversary of Chapter as we celebrate twenty-five great years. "The measure of success which our Chapter achieves this year and the years to follow will not be recorded in terms of what anyone of us has done, but what all of us do together", Gene Godfrey, President. Discussion Forum Theme: "Getting Figure Facts More Effectively or Work Simplification in Accounting". Programs of the year included: Methods of Burden Application; Internal Control; Methods of Funding Pension Plans; and The Effect of Federal Taxes on Corporate Affairs.

1951-52

The Korean War is now upon us. "As our nation girds for defense, we as individuals face some of the most difficult problems in our experience. There has never been such unlimited opportunity for accountants to serve industry", Ray Burlew, President. Discussion Forum Theme: "Accounting for Supplementary Costs of Labor". Important subjects in program: Modern Fiction and Fables of Cost Accounting; Direct Cost Accounting vs Conventional Cost Accounting; Effective Management Through Probability Controls; and Evaluation of Product and Period Cost.