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CENTRAL HOLDING COMPANY'S WHOLLY OWNED SUBSIDIARY EXECUTES AGREEMENT TO SELL ITS MAIN OFFICE BUILDING

 CLINTON TOWNSHIP, Mich., Dec. 8 /PRNewswire/ -- Central Holding Company (the "Company" or "CHC") (NASDAQ: CHOL) reported that its wholly owned subsidiary, Colonial Central Savings Bank, F.S.B. ("Colonial") has executed an agreement to sell its main office building to an unaffiliated third party for $6.0 million in cash. The main office building is located at 22500 Metropolitan Parkway in Clinton Township, contains approximately 69,000 gross square feet of office space and is situated on approximately 6.5 acres. The sale of the main office building is contingent on the completion of a due diligence review by the purchaser over a 45-day period commencing Dec. 7, 1993. The transaction is expected to close in January 1994.
 CHC expects to record a pre-tax loss of approximately $2.0 million on the sale of the main office building. As a result, CHC also expects to report a net loss for the quarter ending Dec. 31, 1993. However, the company anticipates a future increase in pre-tax earnings of approximately $450,000 annually due to reduced net occupancy costs and interest income from the investment of the sale proceeds as a result of this transaction.
 As previously announced, CHC and Standard Federal Bank (NYSE: SFB) executed a definitive agreement on Oct. 26, 1993, under the terms of which Standard Federal Bank intends to acquire CHC for a purchase price of $5.50 per share in cash. Standard Federal Bank has approved the terms of the sale of Colonial's main office building.
 CHC is a financial services organization headquartered in Clinton Township. Its main operating subsidiaries include: Colonial Central Savings Bank, F.S.B., a federally chartered stock savings bank with six branches in Michigan, and Central Mortgage Corporation, which originates residential mortgage loans.
 -0- 12/8/93
 /CONTACT: Robert N. Shuster or Margaret S. Makela of Central Holding, 313-792-7000/
 (CHOL SFB)


CO: Central Holding Company; Colonial Central Savings Bank, F.S.B.;
 Standard Federal Bank ST: Michigan IN: FIN SU:


ML -- DE012 -- 1688 12/08/93 10:33 EST
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Publication:PR Newswire
Date:Dec 8, 1993
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