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CAPITOL BANCORP LTD. AND FINANCIAL CENTER CORPORATION ANNOUNCE MERGER INTENT

 LANSING/HOLLAND, Mich., Sept. 15 /PRNewswire/ -- In a joint release today, Joseph D. Reid, chairman and CEO of Capitol Bancorp Ltd. (NASDAQ-NMS: CBCL), and John R. Pattison, president of Financial Center Corporation, announced that both corporations' boards of directors have approved a letter of intent for the merger of the two companies.
 In making this announcement, Reid said, "The opportunity to expand into the Holland marketplace has been one of the objectives of Capitol Bancorp's business plan." Further, he said, "The addition of Financial Center Corporation's operating units, Paragon Bank & Trust and Consolidated Bank Services, fulfills our goal of enhanced financial services to augment our independently operated banks."
 Pattison added, "The business focus of Financial Center Corporation's operations on personalized customer service parallels the business philosophy of Capitol Bancorp's banks." Further, he said, "The opportunity to combine resources will contribute favorably to our western Michigan presence while Paragon Bank & Trust will continue to be managed by its independent board of directors."
 Under the terms of the letter of intent, Financial Center Corporation will join Capitol Bancorp through issuance of previously unissued common stock and warrants of Capitol Bancorp in exchange for the common stock of Financial Center Corporation. The proposed transaction is subject to regulatory agency approval and approval by the shareholders of Financial Center Corporation.
 Financial Center Corporation, based in Holland, is the parent company of Paragon Bank & Trust. Paragon Bank & Trust has total assets of approximately $40 million in addition to trust assets of $30 million. The bank's main office is in Holland and has a full-service branch in neighboring Grand Haven. Consolidated Bank Services, also a Financial Center Corporation subsidiary based in Holland, is engaged in providing a variety of proprietary services to Michigan community banks.
 Capitol Bancorp has full-service locally operated commercial banking units in Lansing (Capitol National Bank), Portage (Portage Commerce Bank), Ann Arbor (Ann Arbor Commerce Bank) and Farmington Hills (Oakland Commerce Bank) and is also engaged in mortgage banking activities through Mortgage Connection, Inc. The corporation's total assets at June 30, 1993, approximated $240 million.
 -0- 9/15/93
 /CONTACT: Joseph D. Reid, chairman and CEO of Capitol Bancorp Ltd., 517-487-6555/
 (CBCL)


CO: Capitol Bancorp Ltd.; Financial Center Corporation ST: Michigan IN: FIN SU: TNM

KE -- DE012 -- 2352 09/15/93 15:31 EDT
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Publication:PR Newswire
Date:Sep 15, 1993
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