Filed by Charter One Financial, Inc.
                                   Pursuant to Rule 425 under the
                                   Securities Act of 1933
                                   Subject Company: Alliance Bancorp
                                   Exchange Act File Number 000-20082


                 FROM CHARTER ONE FINANCIAL, INC.
                               and
                         ALLIANCE BANCORP


CONTACT FROM CHARTER ONE:         CONTACTS FROM ALLIANCE BANCORP:
 Ellen Batkie (800) 262-6301      INVESTORS Richard Hojnicki    (630) 794-8758
                                  MEDIA     Jean Krusinski      (630) 794-8715

    CHARTER ONE TO ACQUIRE ALLIANCE BANCORP IN CASH AND STOCK
                           TRANSACTION

CLEVELAND, OHIO, January 23, 2001 - The boards of directors of Charter One
Financial, Inc. ("Charter One") (NYSE:  CF), the holding company of Charter One
Bank, F.S.B., and Alliance Bancorp ("Alliance")  (NASDAQ:  ABCL), the holding
company of Liberty Federal Bank in Hinsdale, Illinois, today announced that
they have executed a definitive agreement for Charter One to acquire Alliance.
At September 30, 2000, Alliance had assets of $2.0 billion, deposits of $1.2
billion and operated 19 branch offices in the metropolitan Chicago area.  Upon
completion of the merger, Charter One will have the sixth largest retail
banking operation in the Chicago metropolitan region with approximately $5
billion in deposits and 77 branches throughout Cook and Du Page counties.

The agreement provides for common shareholders of Alliance to receive $5.25 in
cash and 0.72 shares of Charter One common stock for each Alliance share, an
effective consideration mix of 79% stock and 21% cash.  Based on the current
number of Alliance shares, it is expected that approximately 6.7 million shares
of Charter One common stock will be issued in conjunction with the merger.  It
is also expected that all outstanding Alliance options will be exchanged for
the equivalent Charter One options.  This results in an initial transaction
value of approximately $245 million.

Based on Charter One's closing stock price of $26.94 on January 22, the merger
consideration represents a price of approximately $24.65 for each Alliance
share, or a 10% premium over Alliance Bancorp's January 22 closing price.  The
price represents approximately 147% of Alliance's book value as of September
30, 2000 and 13.0 times Alliance's 2001 estimated earnings.



The merger, which will be treated as a tax-free reorganization under Section
368 of the Internal Revenue Code and accounted for as a purchase, is expected
to close in the third quarter of 2001. Due diligence work has been completed by
both companies and their advisors.  The transaction has been approved by the
boards of directors of both companies and is subject to approval by the Office
of Thrift Supervision, the Federal Reserve Board, and Alliance's shareholders.

"Charter One entered Chicago in late 1999 with the St. Paul merger," commented
Charles John Koch, Charter One Chairman and Chief Executive Officer. "We knew
almost immediately that our products and services were ideally suited to this
market and that we should look for the opportunity to leverage our management
team and marketing efforts by broadening our footprint. Alliance Bancorp fits
that objective perfectly. The franchise moves us up nicely in terms of market
share and customer reach in the Chicago area and its asset mix parallels
Charter One's asset mix.  We will now be the sixth largest bank in the Chicago
metropolitan area, giving us a significant share in twenty-three markets up
from fourteen markets previously."

Charter One has specifically identified expense savings equivalent to
approximately 30% of Alliance's expense base.  The targeted cost savings would
be primarily realized by eliminating duplicative back office operations.
Although some job reductions will result from eliminating certain operations,
Charter One's sales oriented banking model frequently results in increased
employment in retail operations following an acquisition.  The initial
implementation schedule indicates that cost saving measures should be fully
implemented by the end of 2001.

Charter One expects that the transaction will have no impact to GAAP earnings
in 2001; however, it will add two to three cents per share in 2002.  In
addition, Charter One anticipates a number of revenue opportunities resulting
from new product introductions and implementing its strong sales culture.

"We are delighted to announce this partnership with one of the most highly
regarded regional financial institutions," commented Fredric Novy, Alliance
Chairman. "Charter One has a track record of performance that ranks among the
best in our industry."

Alliance President and Chief Executive Officer, Kenne Bristol added, "I am sure
Charter One will be able to take the franchise we have built and move it to the
next level in terms of products and services, which will benefit our
shareholders and customers alike."

As part of the transaction, Charter One would receive an option to purchase,
under certain circumstances, shares of Alliance common stock equal to 19.9% of
Alliance's outstanding common stock.

Lehman Brothers is acting as financial advisor to Charter One, and Keefe,
Bruyette & Woods Inc. is acting as financial advisor to Alliance.

Charter One has approximately $33 billion in total assets, making it one of the
30 largest bank holding companies in the country. The Bank has approximately
420 branch locations in Ohio, Michigan, New York, Illinois, Massachusetts, and
Vermont. The branch locations operate under the Charter One name in all areas



except in Michigan (First Federal of Michigan) and Illinois (St. Paul Federal).
The Company's diverse product set includes: consumer banking, indirect auto
finance, commercial leasing, business lending, commercial real estate lending,
mortgage banking, and retail investment products. For additional information,
including press releases and investor presentations, investors are directed to
Charter One's web site: www.charterone.com.

Charter One Financial, Inc. and Alliance Bancorp will be filing relevant
documents concerning their merger with the Securities and Exchange Commission
(the "Commission").  We urge investors to read these documents because they
contain important information.  Investors will be able to obtain the documents
free of charge at the Commission's website, www.sec.gov.  In addition, documents
filed with the Commission by Charter One Financial will be available free of
charge from the Investor Relations Dept. of Charter One Financial at 1215
Superior Avenue, Cleveland, OH 44114, telephone (800) 262-6301. Documents filed
with the Commission by Alliance Bancorp will be available free of charge from
the Investor Relations Dept. of Alliance at One Grant Square, Hinsdale,
Illinois 60521, telephone (630) 794-8758.  Investors should read carefully the
proxy statement/prospectus (when available) regarding the transactions
referenced in this press release before making a decision concerning the merger.

Alliance Bancorp and its executive officers and directors may be deemed to be
participants in the solicitation of proxies from stockholders of Alliance with
respect to the transactions contemplated by the merger agreement.  Information
regarding such officers and directors is included in Alliance's proxy statement
for its 2000 Annual Meeting of Stockholders filed with the Commission on April
19, 2000.  This document is available free of charge at the Commission's
website at www.sec.gov and/or from Alliance Bancorp.


                              #####
Forward-looking Information
Statements contained in this news release that are not historical facts,
including estimates, may constitute forward-looking statements (within the
meaning of the Private Securities Litigation Reform Act of 1995), which
involve significant risks and uncertainties.  Actual results may differ
materially from the results discussed in these forward-looking statements.
Factors that might cause such a difference include, but are not limited to:
(1) expected cost savings from the merger cannot be realized within the
expected timeframe; (2) revenues following the merger are lower than
expected; (3) costs or difficulties related to the integration of the
businesses of Charter One and Alliance Bancorp are greater than expected;
(4) competitive pressures among depository institutions increase; (5) changes
in the interest rate environment reduce interest margins; (6) general economic
conditions, either nationally or in the states in which the combined company
will be doing business, are less favourable than expected; and (7) legislation
or regulatory changes adversely affect the business in which the combined
company would be engaged.




                   Charter One/Alliance Merger



          Charter One/Alliance Chicago Franchise

                        Deposits        Branches
                        --------        --------
Alliance                $1,239 M           19
Charter One (a)          3,772             58
Pro Forma                5,011             77

- -------------
Source:  SNL Securities, L.P. and company reports.  Total deposits
and number of branches at 6/30/99.

(a) Charter One branches and deposits in the Chicago MSA




Market Share Impact - Chicago MSA


                                  Deposits       Branches        Market Share
                                  --------       --------        ------------

 1.  Bank One                     $28,292M           216            17.5%
 2.  ABN AMRO                      23,231            121            14.4
 3.  Bank of Montreal              15,813            134             9.8
 4.  Northern Trust Corp.           8,285             17             5.1
 5.  Fifth Third Bancorp            5,870             75             3.6
     Charter One/Alliance           5,011             77             3.1
 6.  Citigroup                      4,136             50             2.6
 7.  Charter One Financial          3,772             58             2.3
 8.  First Midwest Bancorp          3,394             58             2.1
 9.  MAF Bancorp Inc.               2,817             27             1.7
10.  Firstar Corp.                  2,712             49             1.7
     All Others                    61,702          1,143            38.3
18.  Alliance Bancorp               1,239             19             0.8
                                 --------          -----           -----
     Total Chicago MSA           $161,263M         1,967           100.0%

- -----------------
Source:  SNL Securities, L.P. data at 6/30/99