The Associates Acquires Fleet Leasing Unit From AT&T Capital

4 December 1997
The Associates Acquires Fleet Leasing Unit From AT&T Capital

    DALLAS, Dec. 4 -- Associates First Capital Corporation
(The Associates) today announced it has agreed, pending regulatory
approval, to purchase the commercial auto fleet leasing operation of AT&T
Capital Corporation (AT&T Capital), expanding its existing fleet management
unit and gaining a Canadian presence.  Terms were not disclosed.
    "This acquisition will significantly enhance our auto fleet management
operation," said Keith W. Hughes, chairman and chief executive officer of The
Associates.  "It will also provide critical mass in Canada, a market that
offers us major growth opportunities in this business."
    Mani Sadeghi, group president at AT&T Capital, added, "With this
transaction, AT&T Capital continues the process of focusing its capital and
resources on its core businesses while ensuring that our clients will be
served by a respected industry leader."
    This acquisition adds approximately $334 million in receivables to The
Associates.  AT&T Capital owns the fourth-largest commercial auto fleet
leasing operation in Canada, which is a new auto fleet management market for
The Associates.  The largest segment of AT&T Capital's U.S. fleet operation
provides fleet management services for AT&T Corp. and other Fortune 500
companies.
    Associates First Capital Corporation is the largest publicly traded
finance company in the United States.  It provides consumer and commercial
financing, leasing, fee-based products and related services through 2,223
offices in the U.S. and internationally.  Based in Dallas with managed assets
of more than $57.5 billion, it is an indirect, majority-owned subsidiary of
Ford Motor Company .
    AT&T Capital Corporation is a global leader in providing equipment
leasing, financing and related services to approximately 500,000 commercial
customers of all sizes in 23 countries.  The company had total owned and
managed assets of $13.6 billion at September 30, 1997.

SOURCE  Associates First Capital Corporation