Cape Cod Bank and Trust Co. has agreed to buy two Massachusetts branches from Fleet Financial Group for an undisclosed price, in a deal stemming from the divestiture of banking offices in connection with Fleet's merger with BankBoston Corp.

Cape Cod, which has $1.2 billion of assets, will purchase Fleet branches in Falmouth and Wareham. After the branches are converted, Cape Cod will operate 28 offices.

The plan calls for Fleet to shed 306 branches in New Hampshire, Rhode Island, Massachusetts, and Connecticut. Sovereign Bancorp in Wyomissing, Pa., recently announced a deal to buy 278 of the branches, and Eastern Bank Corp. of Lynn, Mass., said it would buy four others. -- Louis Whiteman

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