PRESS RELEASES

Connolly joined First Union in 1998 through the merger with CoreStates Bank, where his 28-year tenure included service as Vice Chairman, Senior Executive Vice President and Chief Risk Policy Officer. He began his banking career with Philadelphia National Bank, a CoreStates predecessor. A life-long resident of the Philadelphia region, Connolly will continue his active involvement in the community through various board memberships.

"Charley Connolly played a pivotal role in guiding the Pennsylvania and Delaware organization through one of the largest mergers in banking history," said Ben Jenkins, First Union Corp. Vice Chairman and head of the General Bank. "Throughout, his concern was to do the best for our employees, customers and the community. Having completed that outstanding work, Charley said he was ready for a change of pace and the opportunity to pursue new interests. While we will miss his expertise, capable leadership and passionate commitment to this market, we respect his decision and wish him all the best."

Connolly will be succeeded by Robert L. Reid, the current President of First Union's Atlantic Region, which encompasses New Jersey, New York and Connecticut. Prior to assuming that position in 1997, Reid had served as President of the Philadelphia region and President for Tennessee. Reid joined First Union in 1978 from Wake Forest University and has worked as a commercial lender, commercial bank manager and area executive.

"We are fortunate to have an executive of Bob Reids caliber to succeed Charley upon his retirement," said Jenkins. "Bob combines a deep understanding of First Union with a knowledge of this market that has developed during the years he and his family have lived here. He is familiar with our employees, customers and the community, which should ensure a seamless leadership transition."

First Union (NYSE:FTU), with $258 billion in assets and stockholders' equity of $14 billion at June 30, 2000, is a leading provider of financial services to 15 million retail and corporate customers throughout the East Coast and the nation. The company operates full-service banking offices in 12 East Coast states and Washington, D.C., and full-service brokerage offices in 41 states and international offices worldwide. Online banking products and services can be accessed through www.firstunion.com.