FOR IMMEDIATE RELEASE:  November 10, 1995

Contact:   Mr. William H. Buckland
           Chairman
           MCC Financial Corporation
           (703) 847-6597


                      MCC FINANCIAL CORPORATION ACQUIRES A
                CONTROLLING INTEREST IN CAPITAL ASSOCIATES, INC.

         McLean,  Virginia -- MCC Financial  Corporation  (MCC)  announced today
that it has acquired voting control of Capital Associates, Inc. (CAI) of Denver,
Colorado,  through a private stock  transaction  and the delivery of proxies for
shares to be purchased in the future pursuant to agreements  executed today with
Gary M. Jacobs and Jack M. Durliat, two of CAI's largest shareholders.

         The purchase price for the shares  purchased  today is $3.30 per share.
This price per share reflects the CAI one for two reverse stock split  effective
as of  November  3, 1995.  The total  purchase  price for the  1,310,120  shares
purchased or to be purchased is approximately $4.7 million.

         As a result  of the  transaction,  MCC's  share  ownership  of CAI will
increase  from  1,523,249  to  2,833,369  shares or  approximately  55% of CAI's
outstanding shares on a post split basis.

         MCC is an aircraft and  equipment  lessor  located in McLean,  Virginia
that specializes in aircraft  operating leases to the regional airline industry.
William H. Buckland and James D. Walker acquired MCC from Fairchild  Industries,
Inc. in 1988.

         CAI is one of the larger  independent  leasing  companies in the United
States, and principally engaged in (1) buying, selling,  leasing and remarketing
new and used equipment, (2) managing equipment on and off-lease, (3) sponsoring,
co-sponsoring,  managing and co-managing  publicly-registered  income funds, and
(4)  arranging  equipment-related  financing.  In its fiscal  year ended May 31,
1995, CAI had net income of $1.1 million on revenues of $104.9 million and total
assets of $158.7 million. CAI is headquartered in Denver, Colorado and is listed
on NASDAQ.

         MCC  originally  acquired 23% of CAI in a private  transaction  in June
1994.  Both  Buckland  and  Walker  are  currently  members  of  CAI's  Board of
Directors.  Walker was elected chairman of the CAI Board at the October 27, 1995
stockholder's meeting.

         In  commenting  on the  acquisition,  Buckland,  MCC's  Chairman of the
Board,  stated "this  represents a strategic  investment for MCC in a company we
understand  and believe we can add value,  especially  in the areas of marketing
and acquisitions".  MCC's President and CEO and CAI's Chairman of the Board, Jim
Walker  stated "We believe  CAI is now  positioned  for growth in  revenues  and
profitability.  In the last year that we have been  associated with the Company,
it has  settled  its  lawsuit  on MBank  and  collected  $8.5  million  in cash,
refinanced  its bank  line of credit  and has  significantly  rebuilt  its sales
force".

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