<DOCUMENT>
<TYPE>EX-1.(B)
<SEQUENCE>4
<FILENAME>doc3.txt
<TEXT>
                              ASSOCIATED BANC-CORP
                            (a Wisconsin corporation)
                                 ASBC Capital I
                      (a Delaware statutory business trust)


                               Capital Securities
                                 TERMS AGREEMENT
                                 ---------------

                                                                    May 23, 2002

To:  Associated  Banc-Corp
     1200  Hansen  Road
     Green  Bay,  WI  54304

Ladies  and  Gentlemen:

     We  understand that ASBC Capital I, a statutory business trust formed under
the  laws of the state of Delaware for the purpose of issuing capital securities
(the  "Trust"),  and  Associated  Banc-Corp,  a  Wisconsin  corporation  (the
"Company"),  propose to issue and sell $175,000,000 aggregate liquidation amount
of  capital  securities  (the  "Capital Securities") (such securities also being
hereinafter  referred  to as the "Initial Underwritten Securities").  Subject to
the  terms  and conditions set forth or incorporated by reference herein, we the
underwriters  named  below (the "Underwriters") offer to purchase, severally and
not  jointly,  the  liquidation amount of Underwritten Securities opposite their
names set forth below at the purchase price set forth below, and a proportionate
share  of  Option Underwritten Securities set forth below, to the extent any are
purchased.

<PAGE>
<TABLE>
<CAPTION>

                                               Amount of Initial Underwritten
Underwriter                                      Securities to be Purchased
=============================================  ==============================
<S>                                            <C>
Merrill Lynch, Pierce, Fenner & Smith
   Incorporated . . . . . . . . . . . . . . .                       1,152,000
Lehman Brothers Inc.. . . . . . . . . . . . .                       1,147,000
Salomon Smith Barney Inc. . . . . . . . . . .                       1,147,000
Sandler O'Neill & Partners, L.P.. . . . . . .                       1,147,000
UBS Warburg LLC . . . . . . . . . . . . . . .                       1,147,000
Robert W. Baird & Co. Incorporated. . . . . .                         175,000
Credit Suisse First Boston Corporation. . . .                         175,000
J.P. Morgan Securities Inc. . . . . . . . . .                         175,000
A.G. Edwards & Sons, Inc. . . . . . . . . . .                          35,000
CIBC World Markets Corp.. . . . . . . . . . .                          35,000
Deutsche Bank Securities Inc. . . . . . . . .                          35,000
First Union Securities, Inc.. . . . . . . . .                          35,000
H&R BLOCK Financial Advisors, Inc.. . . . . .                          35,000
HSBC Securities (USA) Inc.. . . . . . . . . .                          35,000
Jefferies & Company, Inc. . . . . . . . . . .                          35,000
Keefe, Bruyette & Woods, Inc. . . . . . . . .                          35,000
Legg Mason Wood Walker, Incorporated. . . . .                          35,000
McDonald Investments Inc., a KeyCorp Company.                          35,000
Prudential Securities Incorporated. . . . . .                          35,000
Quick & Reilly, Inc.. . . . . . . . . . . . .                          35,000
Raymond James & Associates, Inc.. . . . . . .                          35,000
RBC Dain Rauscher Inc.. . . . . . . . . . . .                          35,000
Charles Schwab & Co., Inc.. . . . . . . . . .                          35,000
Stifel, Nicolaus & Company, Incorporated. . .                          35,000
US Bancorp Piper Jaffray. . . . . . . . . . .                          35,000
ABN AMRO Incorporated . . . . . . . . . . . .                          10,000
Advest, Inc.. . . . . . . . . . . . . . . . .                          10,000
BB&T Capital Markets, A division of Scott and
Stringfellow, Inc.. . . . . . . . . . . . . .                          10,000
D.A. Davidson & Co. . . . . . . . . . . . . .                          10,000
Fahnestock & Co. Inc. . . . . . . . . . . . .                          10,000
Fifth Third Securities, Inc.. . . . . . . . .                          10,000
J.J.B. Hilliard, W.L. Lyons, Inc. . . . . . .                          10,000
Janney Montgomery Scott LLC . . . . . . . . .                          10,000
Mesirow Financial, Inc. . . . . . . . . . . .                          10,000
Morgan Keegan & Company, Inc. . . . . . . . .                          10,000
NatCity Investments, Inc. . . . . . . . . . .                          10,000
Parker/Hunter Incorporated. . . . . . . . . .                          10,000
SWS Securities, Inc.. . . . . . . . . . . . .                          10,000
SunTrust Capital Markets, Inc.. . . . . . . .                          10,000
                                                                   __________
         Total. . . . . . . . . . . . . . . .                       7,000,000
</TABLE>


                                        2
<PAGE>
The  Underwritten  Securities  shall  have  the  following  terms:

                            Capital  Securities

DESIGNATED  TRUST:          ASBC  Capital  I

TITLE:                      7  5/8% Trust Preferred Securities due June 15, 2032

RATINGS  (MDY/S&P/FITCH):   Baa1/BBB-/BBB+

NUMBER  OF  INITIAL
UNDERWRITTEN  SECURITIES:   7,000,000

NUMBER  OF  OPTION
UNDERWRITTEN  SECURITIES:   1,050,000

DISTRIBUTION  RATE  PER
SECURITY:                   7.625%

DISTRIBUTION PAYMENT DATES: On each September 15, December 15, March 15 and June
                            15  commencing  on  September  15,  2002

LIQUIDATION  AMOUNT  PER
SHARE:                      $25

MATURITY  DATE:             June  15,  2032

REDEMPTION  PROVISIONS:     Callable  beginning  May  30,  2007  and  any  time
                            thereafter  at  par  with  30  days  notice

LISTING  REQUIREMENTS:      NYSE

                                        3
<PAGE>

LOCK-UP  PROVISIONS:        For  30  days  from May 23, 2002, ASBC Capital I and
                            Associated Banc-Corp will not offer, sell, contract
                            to  sell  or  otherwise  dispose of any 7 5/8% Trust
                            Originated  Preferred  Securities ("TOPrs") due June
                            15,  2032  (the  "Preferred  Securities"), any other
                            beneficial  interests  in  ASBC  Capital  I,  or any
                            preferred  securities  or  other  securities of ASBC
                            Capital  I  or  Associated  Banc-Corp  that  are
                            substantially  similar  to the Preferred Securities,
                            including  any  guarantee of such securities, or any
                            securities  convertible  into or exchangeable for or
                            representing  the  right  to  receive  Preferred
                            Securities  or  any  such  substantially  similar
                            securities  of  either  ASBC Capital I or Associated
                            Banc-Corp,  without prior written consent of Merrill
                            Lynch,  Pierce  Fenner  &  Smith  on  behalf  of the
                            Underwriters,  except  for  the Preferred Securities
                            offered  in  connection  with  this  offering.

INITIAL  PUBLIC  OFFERING
PRICE  PER  SECURITY:       $25 plus accumulated distributions, if any, from May
                            30,  2002

PURCHASE PRICE PER
SECURITY:                   $25 plus accumulated distributions, if any, from May
                            30,  2002

UNDERWRITERS' COMMISSION TO
BE PAID BY ASSOCIATED BANC-
CORP:                       $5,512,500

INFORMATION PROVIDED TO
ASSOCIATED BANC-CORP FOR
USE IN THE PROSPECTUS
SUPPLEMENT:                 the  first,  third,  eighth and ninth paragraphs and
                            the last two sentences of the tenth paragraph of the
                            section titled "Underwriting" of the Prospectus
                            Supplement.

OTHER TERMS AND CONDITIONS: None

CLOSING DATE AND LOCATION:  May  30,  2002  at  the offices of Simpson Thacher &
                            Bartlett,  425  Lexington Avenue, New York, New York
                            10017,  beginning at 9 A.M. (New York City time), or
                            at  such other place and time as the Representative,
                            the Company and the Trust may agree upon in writing.



                                        4
<PAGE>
     Please  accept  this offer by signing a copy of this Terms Agreement in the
space  set  forth  below  and  returning  the  signed  copy  to  us.


                                       Very  truly  yours,


                                       MERRILL LYNCH, PIERCE, FENNER & SMITH
                                            INCORPORATED


                                       By    /s/ Gary Swidler
                                           -------------------------------------
                                            Authorized  Signatory

                                       Acting on behalf of itself and the other
                                       named  Underwriters.

Accepted:

ASSOCIATED  BANC-CORP

By /s/ Teresa A. Rosengarten
  --------------------------------
  Name:  Teresa A. Rosengarten
  Title: Senior Vice President and
         Treasurer

ASBC  CAPITAL  I

By:  Associated  Banc-Corp,  as  Sponsor

By /s/ William M. Bohn
  --------------------------------
  Name:  William M. Bohn
  Title: Senior Vice President and
         Assistant Secretary


                                        5





</TEXT>
</DOCUMENT>
