First Union Corp. has agreed to buy Dominion Bankshares for $830.5 million in stock, paying more than expected to make its first major move into Virginia.

Directors of Dominion, which is based in Roanoke, approved First Union's offer of 1.6 times book value late Sunday night. Word of the negotiations had leaked out last week and contributed to a big run-up in the price of Dominion's shares.

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