FILED BY CLASSIC BANCSHARES, INC. PURSUANT TO RULE 425 UNDER THE
                 SECURITIES ACT OF 1933 AND DEEMED FILED PURSUANT TO RULE 14A-12
                                          OF THE SECURITIES EXCHANGE ACT OF 1934

                                       SUBJECT COMPANY: CLASSIC BANCSHARES, INC.
                                                   COMMISSION FILE NO. 000-27170


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NEWS RELEASE

                                                           For Immediate Release
                                                                January 19, 2005

           City Holding Company and Classic Bancshares, Inc. Announce
                  Satisfaction of Condition in Merger Agreement

CHARLESTON, West Virginia - City Holding Company (Cross Lanes, West Virginia)
(Nasdaq: CHCO) and Classic Bancshares, Inc. (Ashland, Kentucky) (Nasdaq: CLAS)
announced today that a condition in their previously announced agreement
relating to the merger of Classic with and into City Holding has been satisfied
so that the merger consideration payable for each share of Classic common stock
will be 0.9624 shares of City common stock and $11.08 in cash, subject to the
other terms and conditions of the agreement. As previously announced, the merger
agreement provided that Classic would sell or have repaid a $4 million
performing commercial loan prior to the closing date for the merger. If the loan
were sold or repaid for less than its legal balance, shareholders of Classic
would have received a proportionate reduction in the $11.08 cash portion of the
merger consideration. On January 19, 2005, the full legal balance of the loan
was repaid to Classic, satisfying the condition in the agreement and fixing the
$11.08 in cash (along with the 0.9624 shares of City common stock) that each
Classic shareholder is to receive for each Classic share in the merger, subject
to the other terms and conditions of the agreement.

Statements contained in this press release that are not historical facts may
constitute forward-looking statements (within the meaning of Section 21E of the
Securities Exchange Act of 1934, as amended), which involve significant risks
and uncertainties. The companies intend such forward-looking statements to be
covered in the Private Securities Litigation Reform Act of 1995, and are
including this statement for purposes of invoking these safe harbor provisions.
The companies' ability to predict results or the actual effect of future plans
or strategies is inherently uncertain and involves a number of risks and
uncertainties, some of which have been set forth in the companies' most recent
annual reports on Form 10-K or Form 10-KSB, which disclosures are incorporated
by reference herein. The fact that there are various risks and uncertainties
should be considered in evaluating forward-looking statements and undue reliance
should not be placed on such statements.

City will be filing a Registration Statement on Form S-4 concerning the merger
with the Securities and Exchange Commission ("SEC"), which will include a proxy
statement/prospectus that will be mailed to Classic's shareholders. WE URGE
INVESTORS TO READ THESE DOCUMENTS BECAUSE THEY CONTAIN IMPORTANT INFORMATION.
Investors will be able to obtain the documents free of charge, when filed, at
the SEC's website, www.sec.gov. In addition, documents filed with the SEC by
City will be available free of charge from the Secretary of City at 25 Gatewater
Road, Cross Lanes, West Virginia 25313, telephone (304) 769-1112. Documents
filed with the SEC by Classic will be available free of charge from the
Secretary of Classic at 344 17th Street, P.O. Box 1527, Ashland, Kentucky,
41105, telephone (606) 326-2800. CLASSIC shareholders SHOULD READ THE PROXY
STATEMENT/PROSPECTUS CAREFULLY BEFORE MAKING A DECISION CONCERNING THE MERGER.
Copies of all recent proxy statements and annual reports are also available free
of charge from the respective companies by contacting the company secretary.
Classic and its directors and executive officers may be deemed to be
participants in the solicitation of proxies to approve the merger. INFORMATION
ABOUT THE PARTICIPANTS MAY BE OBTAINED THROUGH THE SEC'S WEBSITE FROM THE
DEFINITIVE PROXY STATEMENT FILED WITH THE SEC ON JULY 22, 2004, WITH RESPECT TO
CLASSIC. Additional information regarding the interests of the participants may
be obtained by reading the proxy statement/prospectus regarding the merger when
it becomes available.

For more information contact:
Gerald R. Francis                           David B. Barbour
Chairman, President and CEO                 President and CEO
City Holding Company                        Classic Bancshares, Inc.
(304) 769-1101                              (606) 326-2828