State Aware!™ Is a Wordpress plugin that automatically searches content while it is being published for United Kingdom Countries & City/Town names and then attempts to auto-categorize the content into corresponding hierarchical country->city categories.
Auto-categorization can be disabled at the state and city level and the user is provided with options for disabling and enabling individual states. There is also an option to go back and run the auto-categorization process on archived posts!
We also provide a US based version here on Codecanyon.net.