(xemacs.info)Replacement and Case
12.7.3 Replace Commands and Case
If the arguments to a replace command are in lower case, the command
preserves case when it makes a replacement. Thus, the following
M-x replace-string <RET> foo <RET> bar <RET>
replaces a lower-case `foo' with a lower case `bar', `FOO' with `BAR',
and `Foo' with `Bar'. If upper-case letters are used in the second
argument, they remain upper-case every time that argument is inserted.
If upper-case letters are used in the first argument, the second
argument is always substituted exactly as given, with no case
conversion. Likewise, if the variable `case-replace' is set to `nil',
replacement is done without case conversion. If `case-fold-search' is
set to `nil', case is significant in matching occurrences of `foo' to
replace; also, case conversion of the replacement string is not done.
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