NORSTAR <NOR> TO BUY CALLICOON BANK
Norstar Bancorp said it reached an
agreement in principle to buy United National Bank of Callicoon
through a stock exchange valued at 20 mln dlrs.
    Under terms of the agreement, Norstar would buy all 201,660
shares of United's common stock at a rate of three Norstar
shares for each United share.
    With year-end assets of 90 mln dlrs, United has branches
six upstate New York cities, all of which will become part of
Norstar Bank of the Hudson Valley, N.A.
    Norstar is an 11.1 billion dlr multibank financial services
company.
 Reuter
