ANNOUNCEMENT BY. BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM (H.2, 1978 No. 16) Actions of the Board; Applications and Reports

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1 ANNOUNCEMENT BY BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM (H.2, 1978 No. 16) Actions of the Board; Applications and Reports Received During the Week Ending April 22, 1978 ACTIONS OF THE BOARD The Board authorized Federal Reserve Banks to provide services necessary to tie together facilities for a nationwide network for making payments electronically rather than by check, and also approved other Federal Reserve services to facilitate transfer of funds among member banks over a privately operated wire network (Docket No. R-0138). Fair housing advertising and poster requirements; the Federal Reserve System is updating its fair housing advertising and poster requirements for State-chartered banks that are members of the System to reflect the current provisions of the Equal Credit Opportunity and Fair Housing Acts. Regulation Z, disclosure of varying payments scheduled to repay the indebtedness: proposed revised interpretation; the Board asked for comment by May 24, 1978 (Docket No. R-0152). Regulation H amendment; to conform to the National Flood Insurance Program (Docket No. R-0153). Interlocking relationships; First Women T s Bank, New York, New York, request for Board's consent to employ Robert Beighley, Assistant Secretary, Chemical Bank, New York, Richard Gust, Assistant Vice President, Manufacturers Hanover Trust Company, New York, and Robert Fish, Assistant Manager, Manufacturers Hanover Trust Company, New York. Deregistration under Regulation G for Eastern Iowa Production Credit Association, De Witt, Iowa 1/ Republic of Texas Corporation, Dallas, Texas, requesting an extension of time to May 9, 1979, by which date Republic will have complied with (1) the requirements of section 4(a)(2) of the Bank Holding Company Act relating to various nonpermissible assets and activities; and (2) certain commitments to the Board relating to Republic's Dallas-area affiliate banks. V 1/ Application processed on behalf of the Board of Governors under delegated authority.

2 H. 2, 1978 No ACT'lONS OF THE BOARD-Contlnued Issuance of a subordinated capital note by Northeast Bank of Sanford, Sanford, Maine. 1/ Zions Utah Bancorporation, Salt Lake City, Utah, extension of time to August 13, 1978, within which to establish in Orem, Utah, a de novo office of its subsidiary, Zions Mortgage Company. J/ Independent Bank and Trust Company, West Trenton, New Jersey, extension of time to October 7, 1978 to establish its approved, relocated, not yet open, Mercer County Airport Branch. Marine Midland International Corporation, New York, New York, extension of time of one year within which to make an additional investment in Sociedad Financiera Union C.A., Caracas, Venezuela. 1/ Atlantic Bancorporation, Jacksonville, Florida, subsidiaries of, proposed merger with Atlantic Bank of Spring Field, Jacksonville, Florida, report to the Federal Deposit Insurance Corporation on competitive factors. JL/ First American National Bank of Hernando County, Spring Hill, Hernando County, Florida, proposed merger with Hernando State Bank, Brooksville, Florida, report to the Federal Deposit Insurance Corporation on competitive factors. 1/ First National Bank of Hawley, Pennsylvania, proposed merger with West Side Bank, Scranton, Pennsylvania, report to the Federal Deposit Insurance Corporation on competitive factors. 1/ North County Bank, Escondido, California, proposed merger with Southwest Bank, Vista, California, report to the Federal Deposit Insurance Corporation on competitive factors. V Swedesboro Trust Company, Swedesboro, New Jersey, proposed merger with Guarantee Bank, Atlantic City, New Jersey, report to the Federal Deposit Insurance Corporation on competitive factors. 1/ 1/ Application processed on behalf of the Board of Governors under delegated authority.

3 H.2, 1978 No ACTIONS OF THE BOARD-Continued To Establish a Domestic Branch Pursuant to Section 9 of the Federal Reserve Act Approved Bank of Virginia Beach, Virginia Beach, Virginia. Branch to be established at 5293 Princess Anne Road, Virginia Beach. 2/ United California Bank, Los Angeles, California. Branch to be established in the vicinity of the intersection of East Hillsdale and Foster City Boulevards, Foster City, San Mateo County. 2j -k }< -k -k * To withdraw from Membership in the Federal Reserve System without a Six-Month Notice as prescribed by Section 9 of the Federal Reserve Act Denied Franklin County Mercantile Bank, Washington, Missouri. International Investments and Other Actions Pursuant to Sections 25 and 25(a) of the Federal Reserve Act and Sections 4(c)(9) and 4(c)(13) of the Bank Holding Company Act of 1956, as amended Approved Bank of America National Trust and Savings Association, San Francisco, California: removal of the standard subsidiary conditions imposed on Bank of America's continued holding of the shares of Savannah Bank of Nigeria, Lagos, Nigeria for the imposition of the Board f s joint venture condition. 2/ Application processed by the Reserve Bank on behalf of the Board of Governors under delegated authority.

4 H.2, 1978 No. 16 _4_ ACTIONS OF THE BOARD-Continued To Form a Bank Holding Company Pursuant to Section 3(a)(1) of the Bank Holding Company Act of 1956 Approved P.N.B. Financial Corp., Chicago, Illinois, for approval to acquire percent of the voting shares of Park National Bank of Chicago, Chicago, Illinois. 2/ The Wedge Holding Company, Alton, Illinois, for approval to acquire per cent of the voting shares of Alton Banking & Trust Co., Alton, Illinois. Prairie Bankshares, Inc., Bucklin, Kansas, for approval to acquire 86.4 percent of the voting shares of The State Bank, Pretty Prairie, Kansas. To Expand a Bank Holding Company Pursuant to Section 3(a)(3) of the Bank Holding Company Act of 1956 Approved Bank of Montana System (formerly Bancorporation of Montana), Great Falls, Montana, for approval to acquire 100 per cent of the voting shares (less directors 1 qualifying shares) of Midstate Bank of Montana, Lewistown, Montana, a proposed new bank. First Bancorp, Inc., Corsicana, Texas, for approval to acquire 100 per cent of the voting shares (less directors! qualifying shares) of the successor by merger to Clifton Bank, Clifton, Texas. First City Bancorporation of Texas, Inc., Houston, Texas, for approval to acquire 100 per cent of the voting shares (less directors T qualifying shares) of the successor by merger to Lewisville State Bank, Lewisville, Texas, Lewisville, Texas. 2/ Application processed by the Reserve Bank on behalf of the Board of Governors under delegated authority.

5 H.2, 1978 No ACTIONS OF THE BOARD-Continued First International Bancshares, Inc., Dallas, Texas, for approval to acquire 100 per cent of the voting shares (less directors 1 qualifying shares) of the successor by merger to First State Bank and Trust Company of Houston, Houston, Texas. * * * A A To Expand a Bank Holding Company Pursuant to Section 4(c)(8) of the Bank Holding Company Act of 1956 Permitted Chemical New York Corporation, New York, New York, notification of intent to engage in d novo activities (making loans in excess of $3,000, under Chapter 57-2 of the code of Georgia) at 1101 Greene Street, Augusta; 906 S. Thornton Avenue, Dalton; 2000 Clearview Avenue, Atlanta; 567 Roswell Street, Marietta; 4021 Jonesboro Road S.E., Forest Park; 431 Pat Hell Road S.E., Marietta; 4598 Memorial Drive, Decatur; 1895 Phoenix Boulevard, College Park; th Street, Columbus; /2 Victory Drive, Columbus; 2003 B. Riverside Drive, Macon; 489 E. Clayton Street, Athens; 104 Bull Street, LaGrange; 1810 North Ashley Street, Valdosta; and 1836 E. Victory Drive, Savannah, all located in Georgia, through subsidiaries of SunAmerica Corporation ( ) 3/ Chemical New York Corporation, New York, New York, notification of intent to engage in de novo activities (making loans in excess of $2,500, as permitted under Sec , Florida statutes) at 710 East Colonial Drive, Orlando; North Florida Avenue, Tampa; 3008 D North West 13 Street, Gainesville; 2003 Appalachee Parkway, Tallahassee; 3225 University Boulevard South, Jacksonville; 1137 Harrison Avenue, Panama City; and 4404 South Florida Avenue, Lakeland; all located in Florida, through subsidiaries of SunAmerica Corporation ( ) 3/ C.I.T. Financial Corporation, New York, New York, notification of intent to retain shares of C.I.T. Realty Corporation and continue, through that subsidiary, to invest in Waterside Redevelopment Company and North Waterside Redevelopment Company, which were established de novo (to construct and operate in New York City three moderate-income residential apartment buildings with associated commercial and parking space. The companies operate under the private housing finance law of the State of New York) ( ) 3/

6 H.2, 1978 No ACTIONS OF THE BOARD-Continued Rainier Bancorporation, Seattle, Washington, notification of intent to engage in de_ novo activities (acting as insurance agent or broker with regard to consumer credit related property and casualty insurance on personal property subject to security agreements with Rainier Credit Company) at 3278 B Lancaster Drive N.E., Salem, Oregon, through its subsidiary, Rainier Credit Company ( ) 3/ Rainier Bancorporation, Seattle, Washington, notification of intent to engage in de novo activities (acting as insurance agent or broker with regard to consumer credit related property and casualty insurance on personal property subject to security agreements with Rainier Credit Company) at 1729 Tuily Road, Modesto, California, through its subsidiary, Rainier Credit Company ( ) 3/

7 H.2., 1978 No APPLICATIONS RECEIVED To Establish a Domestic Branch Pursuant to Section 9 of the Federal Reserve Act Peoples Bank and Trust Company, Cedar Rapids, Iowa. Branch to be established at Westdale Mall (south of the intersection of Williams Boulevard and Edgewood Road S.W.) Cedar Rapids, Linn County. To Become a Member of the Federal Reserve System Pursuant to Section 9 of the Federal Reserve Act South Aurora State Bank, Aurora, Colorado. To Form a Bank Holding Pursuant to Section 3(a)(1) of the Bank Holding Company Act of 1956 First Chandler Corp., Chandler, Oklahoma, for approval to acquire 80 percent of the voting shares of The First National Bank of Chandler, Chandler, Oklahoma. First State Bancshares, Inc., Raytown, Missouri, for approval to acquire percent of the voting shares of First State Bank of Raytown, Raytown, Missouri. Gering National Company, Gering, Nebraska, for approval to acquire 80 percent or more of the voting shares of The Gering National Bank & Trust Company, Gering, Nebraska. Weatherford Bancshares, Inc., Weatherford, Texas, for approval to acquire 80 percent or more of the voting shares of The First National Bank of Weatherford, Weatherford, Texas.

8 H.2, 1978 No APPLICATIONS RECEIVED-Continued To Expand a Bank Holding Company Pursuant to Section 3(a)(3) of the Bank Holding Company Act of 1956 Hawkeye Bancorporation, Des Moines, Iowa, for approval to acquire 100 percent of the voting shares of First State Bank, Chariton, Iowa. First Arkansas Bankstock Corporation, Little Rock, Arkansas, for approval to retain indirect ownership or control of 91.2 percent or more of the voting shares of First National Bank in Mena, Mena, Arkansas. Northeast United Bancorp, Inc. of Texas, Fort Worth, Texas, for approval to acquire 100 percent of the voting shares, (less directors 1 qualifying shares) of American National Bank of Dallas, Dallas, Texas, a proposed new bank. To Expand a Bank Holding Company Pursuant to Section 4(c)(8) of the Bank Holding Company Act of 1956 Industrial National Corporation, Providence, Rhode Island notification of intent to engage in cle novo activities (origination and sale of residential mortgages; servicing of residential mortgage loans; and insurance agency for the sale of credit life and credit accident and health insurance directly related to an extension of credit) at 3717 Brady Street, Davenport, Iowa, through its indirect subsidiary, Mortgage Associates, Inc. (A Rhode Island Corporation) which is a wholly-owned subsidiary of its direct subsidiary, MAI Financial Corporation, Milwaukee, Wisconsin, with its principal office in Providence, Rhode Island ( ) 3/ State Street Boston Corporation, Boston, Massachusetts, notification of intent to engage in de novo activities (real estate lending, mortgage banking, servicing mortgage loans; sale of credit life/accident and health insurance to mortgagors on loans serviced by Kentucky Mortgage Company, Incorporated) at 1536 Winchester Avenue, Ashland, Kentucky, through its existing subsidiary, Kentucky Mortgage Company, Incorporated with its principal office in Lexington, Kentucky. ( ) 2/ i

9 H.2, 1978 No APPLICATIONS RECEIVED-Continued Centran Corporation, Cleveland, Ohio, notification of intent to engage in de novo activities (the making and acquiring of consumer finance loans for its own account or the account of others (including loans to individuals secured by second mortgages or deeds of trust on residential property), the purchasing of installment sales contracts; the sale as agent of credit life and health and accident insurance to borrowers at their request in connection with extensions of credit to any person) at 108 East Washington Street, Syracuse, New York, through a subsidiary, Protective Loan Corp., a wholly-owned subsidiary of Centran Corporation and through Protective Credit Corp., a wholly-owned subsidiary of Protective Loan Corp. ( ) 3/ Mellon National Corporation Pittsburgh, Pennsylvania, notification of intent to engage in de novo activities (acting as insurance agent with respect to credit property insurance on personal property subject to security agreements with Local Loan Co., or its wholly-owned subsidiaries, such insurance will be provided only in conjunction with extensions of credit by Local Loan Co., or its wholly-owned subsidiaries, purchase of this insurance through Local Loan Co. is solely at the option of the borrower and the borrower is advised of this option in advance, Local Loan Co. does not act as a general insurance agent) at 7227 Broadway, Suite 102, Lemon Grove, California and 9205A Folsom Boulevard, Sacramento, California, through its wholly-owned subsidiary, Local Loan Co., Oak Brook, Illinois ( ) 3/ Mellon National Corporation, Pittsburgh, Pennsylvania, notification of intent to engage in de novo activities (acting as insurance agent with respect to credit property insurance on personal property subject to security agreements with Local Loan Co. or its wholly-owned subsidiaries, such insurance will be provided only in conjunction with extensions of credit by Local Loan Co. or its wholly-owned subsidiaries, purchase of this insurance through Local Loan Co., is solely at the option of the borrower and the borrower is advised of this option in advance, Local Loan Co., does not act as a general insurance agent) at various offices located throughout the State of Washington, through its wholly-owned subsidiary, Local Loan Co., Oak Brook, Illinois ( ) 3/

10 H.2, 1978 No APPL1CATI0NS RECEIVED-Continued Maryland National Corporation, Baltimore, Maryland, notification of intent to engage in de novo activities (making or acquiring, for its own account or for the account of others, loans and other extensions of credit such as would be made by a consumer finance company or a sales finance company; making or acquiring, for its own account or for the account of others, loans and other extensions of credit such as would be made by a credit card company; engaging generally in the business of leasing personal property including, but not limited to, the leasing of various types of equipment, machinery, vehicles, transportation equipment and data processing equipment; originating, buying, selling or otherwise dealing in consumer finance paper, sales finance paper, credit card receivables and personal property leases as principal or agent; and servicing consumer finance, sales finance and credit card receivables and personal property leases for affiliated or nonaffiliated individuals, partnerships, corporations and other entities) at Tysons Corner Center, McLean Virginia; 1114 MacArthur Drive, Greater Wilmington Airport, New Castle, Delaware; 225 N. Calvert Street, Baltimore, Maryland; and 10 Light Street, Baltimore, Maryland, through its subsidiary Homeowners Loan Corporation ( ) 3J United Virginia Bankshares Incorporated, Richmond, Virginia notification of intent to engage in de novo activities (originating loans as principal; originating loans as agent; servicing loans for nonaffiliated individuals, partnerships and corporations; servicing loans for affiliates of United Virginia Banshares Incorporated; the sale, as agent, of credit life, credit disability, mortgage redemption and mortgage cancellation insurance in connection with such loans and such other activities as may be incidental to the business of a mortgage corporation) at Piedmont Center Office Building, Suite 106, 33 Villa Road, Greenville, South Carolina, through its subsidiary, United Virginia Mortgage Corporation ( ) _3/ Deposit Guaranty Corporation, Jackson, Mississippi, notification of intent to continue to engage in de novo activities (making or acquiring, for its own account or for the account of others, loans and other extensions of credit such as would be made by a mortgage company and of servicing loans and other extensions of credit for any person) at 1413 West Main Street, Tupelo, Mississippi, through a subsidiary, Deposit Guaranty Mortgage Company ( ) 3/

11 # H.2, 1978 No APPLICATIONS RECEIVED-Continued First National Holding Corp., Atlanta, Georgia, notification of intent to engage in cte novo activities (acting as insurance agent and broker in selling insurance to include property damage and liability insurance with respect to extensions of credit) in Columbus, Richmond and Bloomington, Indiana, through a subsidiary, Gulf Finance Corp. (4/19/78) 3/ Florida National Banks of Florida, Inc., Jacksonville, Florida, notification of intent to engage in de novo activities (in the business of leasing personal and real property or acting as agent, broker, or advisor in leasing such property pursuant to Section 225.4(a)(6) of Regulation Y) at 214 Hogan Street, Jacksonville, Florida, through a subsidiary, Florida National Leasing Corporation ( ) 3/ First Chandler Corp., Chandler, Oklahoma, to acquire the beneficial interest in First Chandler Business Trust, Chandler, Oklahoma and thereby to indirectly acquire the shares of First Chandler Insurance Agency, Chandler, Oklahoma. First State Bancshares Inc., Raytown, Missouri, to engage in insurance agency business offering the sale of credit life, credit health and accident, and other insurance directly related to extensions of credit by First State Bank of Raytown, Raytown, Missouri. Gering National Company, Gering, Nebraska, for approval to retain the shares of Pioneer Savings Company, Gering, Nebraska. High Plains Bank Corp., Denver, Colorado, notification of intent to engage in _de novo activities (the sale of credit life and health and accident insurance which coverages are directly related to extensions of credit by The Kiowa State Bank, Kiowa, Colorado) ( ) 3/ Security Pacific Corporation, Los Angeles, California, notification of intent to engage in de novo activities (the financing of personal property and equipment and real property and the leasing of such property or the acting as an agent, broker or advisor in the leasing and/or financing of such property where at the inception of the initial lease the affect of the transaction (and, with respect to govermental entities only, reasonable anticipated future transactions) will yield a return that will compensate the lessor for not

12 * H.2, 1978 No APPLICATIONS RECEIVED-Continued less than the lessor's full investment in the property plus the estimated total cost of financing the property over the term of the lease and the servicing of such financings and/or leases as is authorized by the Federal Reserve Board under Regulation Y and the Bank Holding Company Act) at 3 Gateway Center, Pittsburgh, Pennsylvania, through its subsidiary, Security Pacific Leasing Corporation (4/11/78) 3/ None REPORTS RECEIVED None PETITIONS FOR RULEMAKING