UNITED BANKSHARES INC/WV - FORM 8-K - EX-99.1 - PRESS RELEASE

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8-K - FORM 8-K - UNITED BANKSHARES INC/WV	d473448d8k.htm

Exhibit 99.1

News Release

LOGO


For Immediate Release		Contact: Steven E. Wilson
January 29, 2013		Chief Financial Officer
		(800) 445-1347 ext. 8704

United Bankshares, Inc. Announces Increased Earnings

WASHINGTON, D.C. and CHARLESTON, WV — United Bankshares, Inc. (NASDAQ: UBSI), today reported an increase in earnings for the fourth quarter and the year of 2012 as compared to the fourth quarter and year of 2011. Earnings for the fourth quarter of 2012 were $21.2 million or $0.42 per diluted share, up 5% from earnings of $20.3 million or $0.40 per diluted share for the fourth quarter of 2011. Earnings for the year of 2012 were $82.6 million or $1.64 per diluted share, an increase of 9% from earnings of $75.6 million or $1.61 per diluted share for the year of 2011.

“The year 2012 was another successful year for United,” stated Richard M. Adams, United’s Chairman of the Board and Chief Executive Officer. “Earnings rose from 2011 while the dividend to shareholders was increased for the 39th consecutive year. Only one other major banking company in the USA has achieved such a dividend record.”

Fourth quarter of 2012 results produced a return on average assets of 1.01% and a return on average equity of 8.44%. For the year of 2012, United’s return on average assets was 0.98% while the return on average equity was 8.35%. United’s annualized returns on average assets and average equity were 0.94% and 8.17%, respectively, for the fourth quarter of 2011 while the returns on average assets and average equity was 0.97% and 8.50%, respectively, for the year of 2011.

The results for the fourth quarter and year of 2012 included noncash, before-tax, other-than-temporary impairment charges of $2.0 million and $7.4 million, respectively, on certain investment securities. In comparison, the results for the fourth quarter and year of 2011 included noncash, before-tax, other-than-temporary impairment charges of $6.3 million and $20.4 million, respectively, on certain investment securities. Also included in the results for the year of 2012 was an accrual of $3.3 million with respect to a settlement of claims asserted in class actions against United Bank, Inc. of West Virginia. In addition, United completed its acquisition of Centra Financial Holdings, Inc. (Centra) during the third quarter of 2011. As a result, comparisons for the year of 2012 to the year of 2011 are impacted by increased levels of average balances, income, and expense due to the acquisition. At consummation, Centra had assets of approximately $1.3 billion, loans of $1.0 billion, deposits of $1.1 billion and shareholders’ equity of $131 million.

United’s asset quality continues to outperform its peers. United’s percentage of nonperforming loans to loans, net of unearned income of 1.43% at December 31, 2012 compares favorably to the most recently reported percentage of 2.86% at September 30, 2012 for United’s Federal Reserve peer group. At December 31, 2012, nonperforming loans were $92.8 million, up from nonperforming loans of $79.7 million or 1.28% of loans, net

United Bankshares, Inc. Announces…

January 29, 2013

Page Two

of unearned income, at December 31, 2011. During the third quarter of 2012, loans totaling $20.5 million to two commercial customers were placed on nonaccrual status. The loss potential on these loans has been properly evaluated and allocated within the company’s allowance for loan losses. As of December 31, 2012, the allowance for loan losses was $73.9 million or 1.13% of loans, net of unearned income, which was comparable to $73.9 million or 1.19% of loans, net of unearned income, at December 31, 2011. Total nonperforming assets of $142.3 million, including OREO of $49.5 million at December 31, 2012, represented 1.69% of total assets which also compares favorably to the most recently reported percentage of 2.21% at September 30, 2012 for United’s Federal Reserve peer group.

United continues to be well-capitalized based on all regulatory guidelines. United’s estimated risk-based capital ratio is 13.7% at December 31, 2012 while its Tier I capital and leverage ratios are 12.4% and 10.6%, respectively. The regulatory requirements for a well-capitalized financial institution are a risk-based capital ratio of 10%, a Tier I capital ratio of 6% and a leverage ratio of 5%.

Tax-equivalent net interest income for the fourth quarter of 2012 was $71.3 million, a decrease of $2.4 million or 3% from the fourth quarter of 2011 due mainly to a decrease in the average yield on earning assets. The fourth quarter of 2012 average yield on earning assets decreased 22 basis points from the fourth quarter of 2011. In addition, average earning assets decreased $142.9 million or 2% from the fourth quarter of 2011 as average short-term investments and average investment securities declined $270.3 million and $83.8 million, respectively. Average net loans did increase $211.2 million or 3% for the fourth quarter of 2012 from the fourth quarter of 2011 partially offsetting the decreases in average short-term investments and investment securities. Partially offsetting the decreases to tax-equivalent net interest income for the fourth quarter of 2012 was a decline of 20 basis points in the average cost of funds as compared to the fourth quarter of 2011. The net interest margin for the fourth quarter of 2012 was 3.83%, which was a decrease of 5 basis points from a net interest margin of 3.88% for the fourth quarter of 2011.

Tax-equivalent net interest income for the year of 2012 was $284.1 million, an increase of $16.8 million or 6% from the year of 2011. This increase in tax-equivalent net interest income was primarily attributable to an increase in average earning assets from the Centra acquisition. Average earning assets increased $553.6 million or 8% from the year of 2011. Average net loans increased $600.9 million or 11% for the year of 2012. In addition, the average cost of funds declined 22 basis points from the year of 2011. Partially offsetting the increases to tax-equivalent net interest income for the year of 2012 was a decline of 25 basis points in the average yield on earning assets as compared to the year of 2011. The net interest margin for the year of 2012 was 3.81%, which was a decrease of 6 basis points from a net interest margin of 3.87% for the year of 2011.

On a linked-quarter basis, United’s tax-equivalent net interest income for the fourth quarter of 2012 was flat from the third quarter of 2012, decreasing $262 thousand or less than 1% due mainly to a decrease in the average yield on earning assets. The fourth quarter of 2012 average yield on earning assets decreased 11 basis points while the average cost of funds decreased 9 basis points from the third quarter of 2012. Average earning assets were flat during the quarter as average net loans grew $101.4 million while average short-term investments and average investment securities decreased $54.5 million and $8.0 million, respectively. The net interest margin of 3.83% for the fourth quarter of 2012 was a decrease of 4 basis points from the net interest margin of 3.87% for the third quarter of 2012.

United Bankshares, Inc. Announces…

January 29, 2013

Page Three

For the quarters ended December 31, 2012 and 2011, the provision for loan losses was $5.9 million and $4.3 million, respectively, while the provision for the year of 2012 was $17.9 million as compared to $17.1 million for the year of 2011. Net charge-offs were $5.8 million and $17.8 million for the fourth quarter and year of 2012, respectively, as compared to $3.9 million and $16.3 million for the same time periods in 2011. Annualized net charge-offs as a percentage of average loans were 0.36% and 0.28% for the fourth quarter and year of 2012, respectively. United’s most recently reported Federal Reserve peer group’s net charge-offs to average loans percentage was 0.64% for the third quarter of 2012.

Noninterest income for the fourth quarter of 2012 was $16.7 million, which was an increase of $4.9 million from the fourth quarter of 2011. Included in noninterest income for the fourth quarter of 2012 were noncash, before-tax, other-than-temporary impairment charges of $2.0 million on certain investment securities as compared to noncash, before-tax other-than-temporary impairment charges of $6.3 million on certain investment securities for the fourth quarter of 2011. Excluding the results of the noncash, other-than-temporary impairment charges as well as net gains and losses from sales and calls of investment securities, noninterest income for the fourth quarter of 2012 would have increased $275 thousand or 2% from the fourth quarter of 2011. This increase for the fourth quarter of 2012 was due primarily to increases of $362 thousand in income from trust and brokerage services due to increases in volume and the value of assets under management and $469 thousand in mortgage banking income due to increased production and sales of mortgage loans in the secondary market. Partially offsetting these increases was a decrease of $524 thousand in fees from deposit services.

Noninterest income for the year of 2012 was $66.3 million, which was an increase of $15.5 million from the year of 2011. Included in noninterest income for the year of 2012 were noncash, before-tax, other-than-temporary impairment charges of $7.4 million on certain investment securities as compared to noncash, before-tax, other-than-temporary impairment charges of $20.4 million on certain investment securities for the year of 2011. Excluding the results of the noncash, other-than-temporary impairment charges as well as net gains and losses from sales and calls of investment securities, noninterest income for the year of 2012 would have increased $3.6 million or 5% from the year of 2011. This increase for the year of 2012 was due primarily to increases of $2.5 million in income from trust and brokerage services due to increases in volume and the value of assets under management and $1.5 million in mortgage banking income due to increased production and sales of mortgage loans in the secondary market.

On a linked-quarter basis, noninterest income for the fourth quarter of 2012 was flat from the third quarter of 2012, increasing $111 thousand or less than 1%. Included in the results for the fourth quarter of 2012 and third quarter of 2012 were noncash, before-tax, other-than-temporary impairment charges of $2.0 million and $2.3 million, respectively. Excluding the results of the noncash, other-than-temporary impairment charges as well as net gains and losses from sales and calls of investment securities, noninterest income would have decreased $337 thousand or 2% on a linked-quarter basis due primarily to a decrease of $492 thousand in income from trust and brokerage services due to a decrease in volume.

United Bankshares, Inc. Announces…

January 29, 2013

Page Four

Noninterest expense for the fourth quarter of 2012 was $49.3 million, a decrease of $756 thousand or 2% from the fourth quarter of 2011. Merger expenses of $744 thousand related to the acquisition of Centra was included in the results for the fourth quarter of 2011. In addition, equipment expense for the fourth quarter of 2012 declined $728 thousand due to lower amounts of maintenance and depreciation expense. Partially offsetting these amounts were increases of $516 thousand and $404 thousand in employee compensation and benefits expense, respectively.

Noninterest expense for the year of 2012 was $204.7 million, an increase of $20.6 million or 11% from the year of 2011 as employee compensation increased $6.8 million due to additional employees from the Centra merger and employee benefits increased $3.8 million due mainly to an increase in pension costs. In addition, the increase was partially due to the previously mentioned litigation settlement accrual. The remainder of the increase in noninterest expense from the year of 2011 was due mainly to the additional offices and equipment from the Centra merger.

On a linked-quarter basis, noninterest expense for the fourth quarter of 2012 decreased $4.6 million or 9% from the third quarter of 2012. This decrease was due primarily to the litigation settlement accrual in the third quarter. In addition, data processing fees declined $666 thousand as United completed its conversion to a new servicer.

During the fourth quarter of 2012, United’s Board of Directors declared a cash dividend of $0.31 per share. The 2012 dividend of $1.24 per share represented the 39th consecutive year of dividend increases for United shareholders.

United has consolidated assets of approximately $8.4 billion with 115 full service offices in West Virginia, Virginia, Maryland, Ohio, Pennsylvania and Washington, D.C. United Bankshares stock is traded on the NASDAQ Global Select Market under the quotation symbol “UBSI”.

Cautionary Statements

The Company is required under generally accepted accounting principles to evaluate subsequent events through the filing of its December 31, 2012 consolidated financial statements on Form 10-K. As a result, the Company will continue to evaluate the impact of any subsequent events on critical accounting assumptions and estimates made as of December 31, 2012 and will adjust amounts preliminarily reported, if necessary.

Forward-Looking Statements

This press release contains certain forward-looking statements, including certain plans, expectations, goals and projections, which are subject to numerous assumptions, risks and uncertainties. Actual results could differ materially from those contained in or implied by such statements for a variety of factors including: changes in economic conditions; movements in interest rates; competitive pressures on product pricing and services; success and timing of business strategies; the nature and extent of governmental actions and reforms; and rapidly changing technology and evolving banking industry standards.

UNITED BANKSHARES, INC. AND SUBSIDIARIES

FINANCIAL SUMMARY

(In Thousands Except for Per Share Data)


	Three Months Ended						Year Ended
	December 31 2012			December 31 2011			December 31 2012			December 31 2011
EARNINGS SUMMARY:
Interest income, taxable equivalent (non-GAAP)	$	81,300		$	87,261		$	330,310		$	323,109
Interest expense		9,996			13,537			46,190			55,794
Net interest income, taxable equivalent (non-GAAP)		71,304			73,724			284,120			267,315
Taxable equivalent adjustment		1,632			1,732			6,413			6,587
Net interest income (GAAP)		69,672			71,992			277,707			260,728
Provision for loan losses		5,947			4,268			17,862			17,141
Noninterest income		16,745			11,874			66,292			50,837
Noninterest expenses		49,273			50,029			204,656			184,048
Income taxes		9,983			9,312			38,874			34,766
Net income	$	21,214		$	20,257		$	82,607		$	75,610

PER COMMON SHARE:
Net income:
Basic	$	0.42		$	0.40		$	1.64		$	1.62
Diluted		0.42			0.40			1.64			1.61
Cash dividends	$	0.31		$	0.31			1.24			1.21
Book value								19.74			19.29
Closing market price							$	24.34		$	28.27
Common shares outstanding:
Actual at period end, net of treasury shares								50,276,573			50,212,948
Weighted average – basic		50,276,137			50,207,410			50,265,620			46,803,432
Weighted average – diluted		50,294,593			50,235,812			50,298,019			46,837,363

FINANCIAL RATIOS:
Return on average assets		1.01	%		0.94	%		0.98	%		0.97	%
Return on average shareholders’ equity		8.44	%		8.17	%		8.35	%		8.50	%
Average equity to average assets		11.97	%		11.56	%		11.78	%		11.44	%
Net interest margin		3.83	%		3.88	%		3.81	%		3.87	%

	December 31 2012			December 31 2011			December 31 2010			September 30 2012
PERIOD END BALANCES:
Assets	$	8,420,013		$	8,451,470		$	7,155,719		$	8,381,378
Earning assets		7,459,217			7,492,400			6,334,914			7,426,785
Loans, net of unearned income		6,511,416			6,230,777			5,260,326			6,422,613
Loans held for sale		17,762			3,902			6,869			12,905
Investment securities		729,402			824,219			794,715			766,713
Total deposits		6,752,986			6,819,010			5,713,534			6,753,924
Shareholders’ equity		992,251			968,844			793,012			988,429

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

Consolidated Statements of Income


	Three Months Ended
	December			December			September			June			March
	2012			2011			2012			2012			2012
Interest & Loan Fees Income (GAAP)	$	79,668		$	85,529		$	81,336		$	81,105		$	81,788
Tax equivalent adjustment		1,632			1,732			1,552			1,560			1,669

Interest & Fees Income (FTE) (non-GAAP)		81,300			87,261			82,888			82,665			83,457
Interest Expense		9,996			13,537			11,322			12,050			12,822

Net Interest Income (FTE) (non-GAAP)		71,304			73,724			71,566			70,615			70,635

Provision for Loan Losses		5,947			4,268			4,346			3,436			4,133

Non-Interest Income:
Fees from trust & brokerage services		3,678			3,316			4,170			4,013			3,984
Fees from deposit services		10,606			11,130			10,521			10,393			10,312
Bankcard fees and merchant discounts		745			643			866			738			647
Other charges, commissions, and fees		539			559			513			600			577
Income from bank owned life insurance		1,248			1,339			1,247			1,255			1,289
Mortgage banking income		851			382			819			483			318
Other non-interest revenue		818			841			686			648			658
Net other-than-temporary impairment losses		(2,002	)		(6,286	)		(2,255	)		(1,742	)		(1,377	)
Net gains (losses) on sales/calls of investment securities		262			(50	)		67			199			(82	)

Total Non-Interest Income		16,745			11,874			16,634			16,587			16,326


Non-Interest Expense:
Employee compensation		18,272			17,756			17,258			17,965			17,907
Employee benefits		4,892			4,488			5,271			5,823			5,192
Net occupancy		5,005			5,018			5,060			5,321			5,042
Data processing		3,009			3,019			3,675			2,639			3,209
Amortization of intangibles		669			832			697			724			762
OREO expense		1,908			1,879			2,160			2,160			2,328
FDIC expense		1,525			1,496			1,489			1,495			1,555
Other expenses		13,993			15,541			18,259			15,125			14,267

Total Non-Interest Expense		49,273			50,029			53,869			51,252			50,262


Income Before Income Taxes (FTE) (non-GAAP)		32,829			31,301			29,985			32,514			32,566

Tax equivalent adjustment		1,632			1,732			1,552			1,560			1,669


Income Before Income Taxes (GAAP)		31,197			29,569			28,433			30,954			30,897

Taxes		9,983			9,312			9,099			9,905			9,887


Net Income	$	21,214		$	20,257		$	19,334		$	21,049		$	21,010


MEMO: Effective Tax Rate		32.00	%		31.49	%		32.00	%		32.00	%		32.00	%

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

Consolidated Statements of Income


	Year Ended
	December			December			December			December
	2012			2011			2010			2009
Interest & Loan Fees Income (GAAP)	$	323,897		$	316,522		$	323,382		$	365,845
Tax equivalent adjustment		6,413			6,587			5,906			11,199

Interest & Fees Income (FTE) (non-GAAP)		330,310			323,109			329,288			377,044
Interest Expense		46,190			55,794			85,196			120,374

Net Interest Income (FTE) (non-GAAP)		284,120			267,315			244,092			256,670

Provision for Loan Losses		17,862			17,141			13,773			46,065

Non-Interest Income:
Fees from trust & brokerage services		15,845			13,343			13,637			13,065
Fees from deposit services		41,832			42,110			39,220			40,289
Bankcard fees and merchant discounts		2,996			2,572			4,786			4,155
Other charges, commissions, and fees		2,229			1,849			1,918			1,906
Income from bank owned life insurance		5,039			5,286			4,673			3,416
Mortgage banking income		2,471			952			662			608
Other non-interest revenue		2,810			3,563			5,116			5,236
Net other-than-temporary impairment losses		(7,376	)		(20,414	)		(9,815	)		(15,020	)
Net gains on sales/calls of investment securities		446			1,576			2,006			315

Total Non-Interest Income		66,292			50,837			62,203			53,970


Non-Interest Expense:
Employee compensation		71,402			64,611			60,564			58,901
Employee benefits		21,178			17,358			16,749			19,192
Net occupancy		20,428			18,596			17,246			17,018
Data processing		12,532			11,637			10,820			10,880
Amortization of intangibles		2,852			2,429			1,884			2,561
OREO expense		8,556			7,008			11,131			5,487
FDIC expense		6,064			8,468			9,684			9,177
Other expenses		61,644			53,941			54,134			51,911

Total Non-Interest Expense		204,656			184,048			182,212			175,127


Income Before Income Taxes (FTE) (non-GAAP)		127,894			116,963			110,310			89,448

Tax equivalent adjustment		6,413			6,587			5,906			11,199


Income Before Income Taxes (GAAP)		121,481			110,376			104,404			78,249

Taxes		38,874			34,766			32,457			10,951


Net Income	$	82,607		$	75,610		$	71,947		$	67,298


MEMO: Effective Tax Rate		32.00	%		31.50	%		31.09	%		14.00	%

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

Consolidated Balance Sheets


	December 31			December 31
	2012			2011			December 31			December 31			December 31
	Q-T-D Average			Q-T-D Average			2012			2011			2010

Cash & Cash Equivalents	$	423,373		$	669,533		$	432,077		$	636,003		$	461,389

Securities Available for Sale		626,516			692,540			625,625			696,518			653,276
Securities Held to Maturity		50,311			60,415			43,467			59,289			67,036
Other Investment Securities		61,436			69,096			60,310			68,412			74,403

Total Securities		738,263			822,051			729,402			824,219			794,715

Total Cash and Securities		1,161,636			1,491,584			1,161,479			1,460,222			1,256,104


Loans Held for Sale		11,160			5,582			17,762			3,902			6,869

Commercial Loans		4,665,208			4,377,276			4,726,292			4,378,345			3,533,559
Mortgage Loans		1,499,636			1,565,638			1,490,306			1,556,905			1,459,286
Consumer Loans		299,598			315,022			301,182			299,030			270,506

Gross Loans		6,464,442			6,257,936			6,517,780			6,234,280			5,263,351

Unearned Income		(6,011	)		(5,263	)		(6,364	)		(3,503	)		(3,025	)


Loans, Net of Unearned Income		6,458,431			6,252,673			6,511,416			6,230,777			5,260,326

Allowance for Loan Losses		(73,727	)		(73,562	)		(73,901	)		(73,874	)		(73,033	)

Goodwill		375,583			372,902			375,583			375,626			311,765
Other Intangibles		10,521			11,641			10,107			12,950			2,940

Total Intangibles		386,104			384,543			385,690			388,576			314,705

Real Estate Owned		47,870			51,729			49,484			51,760			44,770
Other Assets		368,097			399,503			368,083			390,107			345,978

Total Assets	$	8,359,571		$	8,512,052		$	8,420,013		$	8,451,470		$	7,155,719


MEMO: Earning Assets	$	7,408,771		$	7,551,646		$	7,459,217		$	7,492,400		$	6,334,914


Interest-bearing Deposits	$	4,936,757		$	5,227,649		$	4,928,575		$	5,199,848		$	4,510,279
Noninterest-bearing Deposits		1,795,810			1,614,185			1,824,411			1,619,162			1,203,255

Total Deposits		6,732,567			6,841,834			6,752,986			6,819,010			5,713,534

Short-term Borrowings		293,034			285,747			314,962			254,766			193,214
Long-term Borrowings		284,954			353,220			284,926			345,366			386,458

Total Borrowings		577,988			638,967			599,888			600,132			579,672

Other Liabilities		48,568			47,436			74,888			63,484			69,501

Total Liabilities		7,359,123			7,528,237			7,427,762			7,482,626			6,362,707


Preferred Equity		—			—			—			—			—
Common Equity		1,000,448			983,815			992,251			968,844			793,012

Total Shareholders’ Equity		1,000,448			983,815			992,251			968,844			793,012


Total Liabilities & Equity	$	8,359,571		$	8,512,052		$	8,420,013		$	8,451,470		$	7,155,719


MEMO: Interest-bearing Liabilities	$	5,514,745		$	5,866,616		$	5,528,463		$	5,799,980		$	5,089,951

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)


	Three Months Ended
	December 2012			December 2011			September 2012			June 2012			March 2012
Quarterly Share Data:

Earnings Per Share:
Basic	$	0.42		$	0.40		$	0.38		$	0.42		$	0.42
Diluted	$	0.42		$	0.40		$	0.38		$	0.42		$	0.42

Common Dividend Declared Per Share	$	0.31		$	0.31		$	0.31		$	0.31		$	0.31

High Common Stock Price	$	25.80		$	29.29		$	26.40		$	29.45		$	30.91
Low Common Stock Price	$	23.02		$	19.06		$	22.54		$	23.87		$	27.36

Average Shares Outstanding (Net of Treasury Stock):
Basic		50,276,137			50,207,410			50,276,074			50,274,665			50,235,374
Diluted		50,294,593			50,235,812			50,295,162			50,308,228			50,300,538

Memorandum Items:

Tax Applicable to Security Sales/Calls	$	92		$	(18	)	$	23		$	70		$	(29	)

Common Dividends	$	15,587		$	15,571		$	15,589		$	15,605		$	15,570

Dividend Payout Ratio		73.48	%		76.87	%		80.63	%		74.14	%		74.11	%

				Year Ended
				December 2012			December 2011			December 2010			December 2009
YTD Share Data:

Earnings Per Share:
Basic				$	1.64		$	1.62		$	1.65		$	1.55
Diluted				$	1.64		$	1.61		$	1.65		$	1.55

Common Dividend Declared Per Share				$	1.24		$	1.21		$	1.20		$	1.17

Average Shares Outstanding (Net of Treasury Stock):
Basic					50,265,620			46,803,432			43,547,965			43,410,431
Diluted					50,298,019			46,837,363			43,625,183			43,456,889

Memorandum Items:

Tax Applicable to Security Sales/Calls				$	156		$	552		$	702		$	110

Common Dividends				$	62,351		$	56,827		$	52,300		$	50,837

Dividend Payout Ratio					75.48	%		75.16	%		72.69	%		75.54	%

EOP Employees (full-time equivalent)					1,529			1,619			1,451			1,477

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)


	Three Months Ended
	December 2012			December 2011			September 2012			June 2012			March 2012
EOP Share Data:

Book Value Per Share	$	19.74		$	19.29		$	19.66		$	19.52		$	19.42
Tangible Book Value Per Share ⁽¹⁾	$	12.06		$	11.56		$	11.98		$	11.82		$	11.71

52-week High Common Stock Price	$	30.91		$	30.84		$	30.91		$	30.91		$	30.91
Date		03/19/12			01/19/11			03/19/12			03/19/12			03/19/12
52-week Low Common Stock Price	$	22.54		$	18.78		$	19.06		$	18.78		$	18.78
Date		08/02/12			09/22/11			10/04/11			09/22/11			09/22/11

EOP Shares Outstanding (Net of Treasury Stock):		50,276,573			50,212,948			50,275,998			50,275,869			50,274,104

Note:
(1) Tangible Book Value Per Share:
Total Shareholders’ Equity (GAAP)	$	992,251		$	968,844		$	988,429		$	981,181		$	976,303
Less: Total Intangibles		(385,690	)		(388,576	)		(386,359	)		(387,056	)		(387,766	)

Tangible Equity (non-GAAP)	$	606,561		$	580,268		$	602,070		$	594,125		$	588,537
÷ EOP Shares Outstanding (Net of Treasury Stock)		50,276,573			50,212,948			50,275,998			50,275,869			50,274,104
Tangible Book Value Per Share (non-GAAP)	$	12.06		$	11.56		$	11.98		$	11.82		$	11.71


	Three Months Ended
	December 2012			December 2011			September 2012			June 2012			March 2012
Selected Yields and Net Interest Margin:

Net Loans		4.74	%		5.18	%		4.85	%		5.01	%		5.02	%
Investment Securities		2.65	%		3.08	%		3.28	%		2.91	%		3.08	%
Money Market Investments/FFS		0.39	%		0.23	%		0.18	%		0.27	%		0.26	%
Average Earning Assets Yield		4.37	%		4.59	%		4.48	%		4.41	%		4.47	%
Interest-bearing Deposits		0.60	%		0.69	%		0.63	%		0.65	%		0.67	%
Short-term Borrowings		0.16	%		0.08	%		0.08	%		0.10	%		0.09	%
Long-term Borrowings		3.36	%		4.85	%		4.73	%		4.78	%		4.83	%
Average Liability Costs		0.72	%		0.92	%		0.81	%		0.84	%		0.89	%
Net Interest Spread		3.65	%		3.67	%		3.67	%		3.57	%		3.58	%
Net Interest Margin		3.83	%		3.88	%		3.87	%		3.76	%		3.78	%

Selected Financial Ratios:

Return on Average Common Equity		8.44	%		8.17	%		7.76	%		8.58	%		8.63	%
Return on Average Assets		1.01	%		0.94	%		0.92	%		1.00	%		1.00	%
Efficiency Ratio		52.01	%		51.47	%		56.44	%		54.50	%		53.35	%

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)


	Year Ended
	December 2012			December 2011			December 2010			December 2009
Selected Yields and Net Interest Margin:
Net Loans		4.90	%		5.18	%		5.30	%		5.46	%
Investment Securities		2.98	%		3.61	%		4.65	%		5.08	%
Money Market Investments/FFS		0.27	%		0.28	%		0.31	%		0.18	%
Average Earning Assets Yield		4.43	%		4.68	%		4.91	%		5.27	%
Interest-bearing Deposits		0.64	%		0.82	%		1.21	%		1.75	%
Short-term Borrowings		0.11	%		0.06	%		0.06	%		0.14	%
Long-term Borrowings		4.45	%		4.79	%		4.30	%		4.24	%
Average Liability Costs		0.82	%		1.04	%		1.53	%		1.98	%
Net Interest Spread		3.61	%		3.64	%		3.38	%		3.29	%
Net Interest Margin		3.81	%		3.87	%		3.64	%		3.59	%

Selected Financial Ratios:
Return on Average Common Equity		8.35	%		8.50	%		9.19	%		8.81	%
Return on Average Assets		0.98	%		0.97	%		0.95	%		0.85	%
Loan / Deposit Ratio		96.42	%		91.37	%		92.07	%		96.08	%
Allowance for Loan Losses/ Loans, Net of Unearned Income		1.13	%		1.19	%		1.39	%		1.18	%
Allowance for Credit Losses ⁽¹⁾/ Loans, Net of Unearned Income		1.16	%		1.22	%		1.43	%		1.22	%
Nonaccrual Loans / Loans, Net of Unearned Income		1.10	%		0.96	%		1.14	%		0.89	%
90-Day Past Due Loans/ Loans, Net of Unearned Income		0.28	%		0.26	%		0.13	%		0.35	%
Non-performing Loans/ Loans, Net of Unearned Income		1.43	%		1.28	%		1.28	%		1.26	%
Non-performing Assets/ Total Assets		1.69	%		1.56	%		1.57	%		1.44	%
Primary Capital Ratio		12.57	%		12.25	%		12.00	%		10.56	%
Shareholders’ Equity Ratio		11.78	%		11.46	%		11.08	%		9.76	%
Price / Book Ratio		1.23x			1.47x			1.61x			1.14x
Price / Earnings Ratio		14.82x			17.51x			17.71x			12.90x
Efficiency Ratio		54.08	%		51.81	%		53.87	%		51.35	%

Note: (1) Includes allowances for loan losses and lending-related commitments.

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)


	December 2012		December 2011		September 2012		June 2012		March 2012
Asset Quality Data:

EOP Non-Accrual Loans	$	71,559	$	59,892	$	81,861	$	63,279	$	62,037
EOP 90-Day Past Due Loans		18,068		16,179		12,475		10,029		9,816
EOP Restructured Loans ⁽²⁾		3,175		3,592		4,091		4,255		4,335

Total EOP Non-performing Loans	$	92,802	$	79,663	$	98,427	$	77,563	$	76,188

EOP Other Real Estate & Assets Owned		49,484		51,760		50,040		48,608		49,864

Total EOP Non-performing Assets	$	142,286	$	131,423	$	148,467	$	126,171	$	126,052


	Three Months Ended						Year Ended
	December 2012			December 2011			December 2012			December 2011			December 2010
Allowance for Credit Losses:⁽¹⁾
Beginning Balance	$	75,536		$	75,494		$	75,727		$	75,039		$	70,010
Provision for Credit Losses⁽³⁾		5,815			4,136			17,665			16,988			13,773

		81,351			79,630			93,392			92,027			83,783
Gross Charge-offs		(6,180	)		(4,398	)		(20,555	)		(19,605	)		(25,762	)
Recoveries		386			495			2,720			3,305			17,018

Net Charge-offs		(5,794	)		(3,903	)		(17,835	)		(16,300	)		(8,744	)

Ending Balance	$	75,557		$	75,727		$	75,557		$	75,727		$	75,039

Notes:

(1)	Includes allowances for loan losses and lending-related commitments.

(2)	Restructured loans with an aggregate balance of $375, $1,277, $1,427 and $2,283 at December 31, 2012, September 30, 2012, June 30, 2012 and March 31, 2012, respectively, were on nonaccrual status, but are not included in the “EOP Non-Accrual Loans.”

(3)	Includes the Provision for Loan Losses and a provision for lending-related commitments included in Other Expenses.

UNITED BANKSHARES INC/WV - FORM 8-K - EX-99.1 - PRESS RELEASE - January 29, 2013

Attached files

UNITED BANKSHARES INC/WV Reports