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FIRST EASTERN COMPLETES EUROPEAN STOCK PLACEMENT

 WILKES-BARRE, Pa., Feb. 10 /PRNewswire/ -- First Eastern Corp. (NASDAQ: FEBC) today completed the previously announced sale of 2 million shares of its common stock to Fox-Pitt, Kelton N.V., an investment banking firm with affiliates in London and New York.
 Fox-Pitt, Kelton N.V., in conjunction with Alex. Brown & Sons International, has placed the shares with over 75 institutional investors, primarily mutual funds and pension funds, in Great Britain and continental Europe. No one investor or investor group received more than 100,000 shares. Following the placement, First Eastern has 12,141,092 shares outstanding.
 Sale of the stock was completed under Regulation S of the U.S. Securities and Exchange Commission which does not require that the shares be registered with the SEC and does not allow sale of the shares within the United States or to any U.S. resident.
 The proceeds of the stock placement will be used to increase the capital levels of First Eastern Bank, N.A., the corporation's principal subsidiary. Under an agreement with the Office of the Comptroller of the Currency (OCC), the bank is required to achieve a Tier I risk- weighted capital ratio of 8.25 percent and a leverage ratio of 6.5 percent by June 1993.
 Commenting on the stock placement, Frederick A. Deal, president and chief executive officer of First Eastern Corp., said, "We have taken a number of steps to improve our capital levels in efforts to comply with regulatory guidelines. In addition to generating increased earnings, we have exited non-essential businesses, sold non-strategic assets, and reduced the size of our balance sheet. All of these initiatives have had positive effects on our capital ratios. The additional capital received from this stock placement, which was done at a price which did not dilute our existing book value, will help us meet the regulatory requirements."
 First Eastern Corp. is a $2.3 billion one-bank holding company headquartered in Wilkes-Barre. Its principal subsidiary, First Eastern Bank, N.A., serves a nine-county region in northeast Pennsylvania through 60 branch offices.
 /delval/
 -0- 2/10/93
 /CONTACT: Karen Shonk of First Eastern Bank, 717-826-4859/
 (FEBC)


CO: First Eastern Corp. ST: Pennsylvania IN: FIN SU:

CC -- PH031 -- 5317 02/10/93 16:09 EST
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Publication:PR Newswire
Date:Feb 10, 1993
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