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BANC ONE CONFIRMS PURCHASE OF $65 MILLION CAPITAL NOTES IN PREMIER

 BANC ONE CONFIRMS PURCHASE OF $65 MILLION CAPITAL NOTES IN PREMIER
 COLUMBUS, Ohio, March 30 /PRNewswire/ -- Banc One Corporation (NYSE: ONE) announced today that it has completed the purchase of $65 million of newly issued capital notes of Premier Bancorp (NASDAQ: PRBC) headquartered in Baton Rouge, La. The announcement was made by John B. McCoy, chairman and chief executive officer of Banc One Corporation.
 The Federal Reserve in Washington, approved the transaction without the requirement that Banc One serve as the source of financial strength for Premier. The terms of the new agreements are similar to those signed last year, but there were modifications to eliminate Federal Reserve Board concerns that Banc One would control Premier during a period when the purchase option was outstanding.
 McCoy said, "We are pleased to complete this transaction with Premier. It represents an excellent example of how the banking industry can enhance the strength of otherwise good banks in recovering economic markets throughout the country." McCoy also noted that the transaction with Premier would not affect Banc One's first quarter earnings, which will be announced on April 21. In addition, McCoy continues to be comfortable with analysts' first quarter 1992 earnings estimates ranging from $.85 to $.90 a share.
 In conjunction with the purchase of the new capital note by Banc One, Premier's long-term lenders exchanged outstanding senior debt of $37.2 million held by them for cash of $12 million plus accrued interest and $25.2 million of newly issued convertible stock. The funding of the capital note and the exchange of the long-term debt for preferred stock meet the conditions which activate the terms of related agreements between Banc One and Premier whereby Banc One received an option to acquire Premier by merger during the fourth or fifth year following the issue of the capital note, and a warrant exercisable for up to 24.9 percent of Premier's common stock only if Premier merges with or sells its assets to a third party before Banc One exercises its option.
 Premier Bancorp has assets of $3.9 billion and serves most markets in Louisiana with 100 banking offices. Banc One Corporation had assets of $46.3 billion including Bank One, Texas, and total common equity of $3.5 billion as of Dec. 31, 1991. Banc One now operates 57 banks with 869 offices in Indiana, Illinois, Kentucky, Michigan, Ohio, Texas and Wisconsin. Banc One Corporation also operates several additional corporations that engage in data processing, venture capital, investment and merchant banking, trust, brokerage, equipment leasing, mortgage banking, consumer finance and insurance.
 -0- 3/30/92
 /CONTACT: George R.L. Meiling, 614-248-5908, or John A. Russell, 614-248-5989, both of Banc One/
 (ONE) CO: Banc One Corporation ST: Ohio IN: FIN SU: TNM


CG -- CL018 -- 2959 03/30/92 14:27 EST
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Publication:PR Newswire
Date:Mar 30, 1992
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