UBSI

• Net income was $6.5 million for Q3 2021, compared to $5.4 million in Q2 2021 and $4.5 million in Q3 2020.
• Provision for loan losses was a credit of $1.25 million in Q3 2021 vs no provision in Q2 2021.
• Net interest income increased $298,000 or 2.1% QoQ, with interest expense declining $81,000.
• Tax equivalent net interest margin was 3.52% in Q3 2021 vs 3.58% in Q2 2021; excluding PPP related items, margin was 3.39% in Q3 2021.
• For first nine months of 2021 vs 2020: provision for loan losses was a reserve recovery of $2.65 million vs $4.2 million in 2020; interest expense declined $5.1 million; net interest margin increased to 3.58% from 3.48%.
• Loans excluding purchase credit impaired loans grew $53.3 million or 4.5% YOY. Nonperforming assets were $4 million in Q3 2021, $4.6 million lower than YOY, with ratio of non-performing assets to loans etc. at 0.33% vs 0.73% YOY.
• Deposits grew $129.5 million or 9.5% YOY; noninterest bearing deposits grew $64 million or 22.7% YOY. Total securities increased $53.3 million in Q3 2021, with cash and equivalents declining as excess liquidity was invested into higher yielding assets.

• Expect to be merged into United Bank by end of Q4 2021 subject to approvals.
• Excited about merger bringing additional resources, products/services for market share growth and value-added to customers.

No specific product segments were detailed. Overall, net income for the quarter ended September 30, 2021 was $6.5 million. Net interest income increased $298,000 or 2.1% in the third quarter compared to the second quarter. Loans excluding purchase credit impaired loans grew $39.1 million or 3.3% during the third quarter of 2021. Deposits grew $10 million or seven tenths of 1% during the third quarter of 2021. Total securities were $402.9 million at September 30, 2021, increased $53.3 million during the third quarter.

• Actual results may differ materially from forward-looking statements due to factors included in earnings release, most recent Form 10-K and other reports filed with SEC.

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