I've known for a short while that Google can place ads by location. Did you know that some ads come up with a location? For example search for something like "Dental Plans". You should see some local ads for a city near you.
The 2nd link doesn't work Shawn. I finf the 'localization' not really narrow enough. I see lots of ads with 'England' under it on g.co.uk. What does that tell me? OK at least you can skip on the American offerings but I don't find it all that helpful yet.
It works for me (the 2nd link), just tried it again. In the US, some ads show the state, and some show the city/state.