71-1

San Francisco, California

October 21, 1971

Dear Mr. ___________:

This will confirm our telephone conversation of October 12, 1971.

From the standpoint of the California Banking Law, factoring is a permissible activity for the San Francisco branch office of _____________________, and we will not object if the branch office engages in factoring.

If we may be of further assistance, please feel free to contact us.

Very truly yours,

DONALD E. PEARSON
Superintendent of Banks

By

JAMES F. CARRIG
Counsel