MEMPHIS BANK APPLIES FOR OK TO BUY CAPE'S CAPITAL BANK

Union Planters Corp., a bank holding company headquartered in Memphis, Tenn., has announced it intends to apply to the Federal Reserve Board for permission to acquire Capital Bancorporation Inc. of Cape Girardeau.

The two multibank holding companies announced an agreement in June for Capital Bancorporation to sell to Union Planters.

The Federal Reserve considers a number of factors before deciding to approve the application, including the record of performance of banks owned by Union Planters.

People are invited to submit comments concerning the application, in writing, to the Federal Reserve Bank of St. Louis, P. O. Box 442, St. Louis, Mo., 63166.

The comment period will not end before Sept. 20 and may be somewhat longer.

Additional information about submitting comments are available by calling Randall Sumner, Federal Reserve Board community affairs officer, telephone (314)-444-8644.

Capital Bancorporation operates 35 facilities through seven subsidiary banks in Southeast, central and eastern Missouri and northern Arkansas. Three of the Capital banks are in Southeast Missouri -- Cape Girardeau, Sikeston and Perryville -- one in Columbia; one in the St. Louis suburbs, one In Springfield and one in Jonesboro, Ark.

The company employs more than 550 people.

Union is a $9.7 billion multibank holding company, with 38 subsidiary banks and 375 banking facilities in Tennessee, Mississippi, Arkansas, Louisiana, Alabama and Kentucky.

Under the agreement, announced by Union Planters and Capital Bancorporation, Union will acquire all of Capital's outstanding stock in a transaction valued at about $114 million. Union will exchange 1.185 shares of common stock for each common share of Capital. The acquisition, expected to be completed during the first quarter of 1996, is subject to approval by shareholders and various regulatory agencies, including the Federal Reserve Board.