CREDITORS FILE FOR PROTECTION

ST. LOUIS Two companies that have borrowed heavily from First Exchange Bank have filed for protection from creditors while they reorganize under Chapter 11 of the federal bankruptcy laws.

The companies, Missouri Leather Products and Quality Business Accessories, filed for protection earlier this month. Bill Chilton of St. Louis, a brother of former First Exchange president Don Chilton, is affiliated with both companies.

According to court papers, both companies borrowed from First Exchange Corp., headquartered in Cape Girardeau County.

Bill Chilton is listed as president of Quality Business and is a shareholder of Westpac, a company that owns two-thirds of Missouri Leather. His brother, Don Chilton, resigned last summer as chief executive officer of First Exchange Corp., which owns the First Exchange banks, including two in the St. Louis area.

Exchange Bank officials said they could not comment on loans to the two companies.

In filing for Chapter 11 protection, Quality Business listed assets of $11.1 million and liabilities of $11.5 million. Leather listed assets at $2.9 million and liabilities at $2.5.