Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: WEDNESDAY, February 24, 1993 TAG: 9302240053
SECTION: BUSINESS PAGE: A-7 EDITION: METRO
SOURCE: MAG POFF STAFF WRITER
DATELINE: LENGTH: Medium
BANK MERGER COMPLETES FINAL HURDLE
The State Corporation Commission on Tuesday approved acquisition of Dominion Bankshares Corp. by First Union Corp.Action by the commission was the last barrier to the merger of the two banking companies, which is now expected to become final Monday.
Kenneth Schrad, spokesman for the commission in Richmond, said the order approving the merger was entered Tuesday afternoon.
Monday's signing of the legal documents making the merger official is expected to be handled by fax machines and mail, said R. Jeep Bryant, spokesman for First Union in Charlotte, N.C.
The documents are to be signed about 5 p.m. Monday after the stock market has closed. The actual value of the merger will be determined by the value of First Union's stock at the close of trading Monday.
Officers of the two banks have been working closely in Charlotte and Roanoke to put the documents in order, he said. That means no further meetings will be required Monday.
Also, no money will exchange hands at the time of the merger because the acquisition will be handled through an exchange of stock.
Letters will be mailed Monday to Dominion's 25,000 shareholders with instructions for exchanging their stock for First Union shares, Bryant said.
The letter will explain how to complete the accompanying forms, which must be returned, preferably by certified mail, along with the holders' Dominion stock certificates. People whose Dominion shares are held by their brokers do not have to take any action for them to be exchanged for First Union shares.
Dominion stockholders will receive 0.58 of a First Union share for each Dominion share.
The acquisition will make First Union the nation's eighth-largest bank.