FLEET &lt;FLT> COULD FACE CONNECTICUT DIVESTITURE

  Fleet Financial Group said it might
  have to sell its First Connecticut Corp subsidiary as a result
  of its proposed 1.3 billion dlr acquisition of Norstar Bancorp
  &lt;NOR>.
      Under Connecticut banking law, New England based bank
  holding companies such as Fleet are not allowed to operate
  Connecticut banks if they merge with companies from outside the
  region.  Norstar is based in Albany, N.Y.
      First Connecticut has assets of about two billion dlrs. 
  Fleet has total assets of about 21 billion dlrs.
      Fleet said it will seek to have the Connecticut law amended
  to allow it to retain First Connecticut, which is based in
  Hartford.
      Fleet's acquisition of Norstar is now expected to be
  completed around July 1, 1988, when a change in laws in Fleet's
  home state of Rhode Island allowing interstate banking outside
  New England will go into effect.
  

