HOUSTON, June 4 /PRNewswire/ -- American General Corporation (NYSE: AGC)
today announced that its consumer finance operation, American General Finance,
signed a definitive agreement for the sale of its home satellite dish loan
portfolio to an affiliate of Associates First Capital Corporation (NYSE: AFS).
    The receivables included in the transaction had an aggregate book value of
$253 million as of May 31, 1997, and include certain revolving-credit home
improvement loans in addition to the satellite dish loan portfolio.  The
company expects to report a small gain on the sale, which is scheduled to be
completed in the second quarter.  Proceeds from the sale will be used for
general corporate purposes.
    In February 1997, the company announced its decision to segregate and
offer for sale certain receivables consisting of satellite dish loans and
non-strategic bank credit card loans.  The sale of the satellite dish loan
portfolio is a significant step in the company's action plan to dispose of
these receivables.  American General Finance is currently negotiating for the
sale of the bank credit card receivables with another party.
    American General Finance, based in Evansville, Indiana, is a leading
provider of home equity and consumer loans.  The company ranks among the
nation's largest consumer finance companies with a nationwide network of
1,372 branch offices, 2.4 million customer accounts, and finance receivables
of $7.5 billion.
   American General Corporation is one of the nation's largest diversified
financial services organizations with assets of $67 billion and shareholders'
equity of $5.2 billion.  Headquartered in Houston, it is a leading provider of
retirement services, life insurance, and consumer loans to nine million
customers.  American General common stock is listed on the New York, Pacific,
London, and Swiss stock exchanges.
    Associates First Capital Corporation is a leading diversified finance
company providing consumer and commercial finance, leasing and related
services through 2,186 offices in the U.S. and internationally.  Based in
Dallas, it is an indirect, majority-owned subsidiary of Ford Motor Company and
has managed assets of more than $51.8 billion.

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