From Staff Reports
CHARLESTON — United Bankshares Inc. reported earnings for the fourth quarter and year of 2009 Wednesday.
Fourth-quarter earnings were $17.4 million, or $0.40 per diluted share, up from earnings of $16.5 million, or $0.38 per diluted share, for the fourth quarter of 2008. Earnings for the year were $67.3 million, or $1.55 per diluted share, as compared to earnings of $87 million, or $2 per diluted share, for 2008.
“We are pleased with the financial results for 2009 given the very difficult year for the nation’s economy,” United Chairman and CEO Richard Adams said. “Although earnings are down compared to last year, United’s earnings for 2009 were much better than most regional banking companies as evidenced by a return on average assets of 0.85 percent as compared to -0.21 percent for the first nine months of 2009 for United’s Federal Reserve peer group of bank holding companies with total assets between $3 and $10 billion.”
United’s asset quality also continues to compare favorably to its peers. United’s percentage of nonperforming loans to loans, net of unearned income of 1.26 percent at Dec. 31, 2009, compares favorably to the most recently reported percentage of 4.08 percent at Sept. 30, 2009 for United’s Federal Reserve peer group.
At Dec. 31, nonperforming loans were $72.3 million, or 1.26 percent of loans, net of unearned income, which were virtually flat from nonperforming loans of $72.9 million, or 1.26 percent of loans, net of unearned income at Sept. 30, but up from nonperforming loans of $54.2 million, or 0.90 percent of loans, net of unearned income at Dec. 31, 2008. The increase in nonperforming loans since year-end 2008 is indicative of the current economic conditions. High unemployment levels and the recent economic recession have impacted the performance of both consumer and commercial portfolios. Any probable loss on these loans has been properly evaluated and allocated within United’s allowance for loan losses.
During the fourth quarter of 2009, United’s board of directors declared a cash dividend of $0.30 per share. The 2009 dividend of $1.17 per share represented the 36th consecutive year of dividend increases for United shareholders.
United Bankshares, with $7.8 billion in assets, presently has 113 full-service offices in West Virginia, Virginia, Maryland, Ohio, and Washington, D.C.
