North Carolina Enacts Law That Boosts Possible First Union, Wachovia Merger.

Byline: David Rice

Jun. 15--RALEIGH, N.C.--After overwhelming approval from the state Senate, Gov. Mike Easley quickly signed a change in state law yesterday to protect Wachovia Corp. from an effort by SunTrust Banks Inc. to get Wachovia shareholders to consider SunTrust's $14 billion offer for the Winston-Salem-based bank.

Acting at the request of officials at First Union and Wachovia who asked for the change just four days ago to protect their planned merger, the Senate voted 46-2 yesterday morning to strike a provision in state law that lets 10 percent of a company's shareholders call for a special meeting as long as the company's bylaws allow it.

…