UNITED BANKSHARES INC/WV

Previous wording

During the first quarter of 2024, United consolidated its mortgage delivery channels by consolidating George Mason’s and Crescent’s mortgage origination and sales business with United Bank. United had previously exited the third-party origination (“TPO”) business during the fourth quarter of 2023 as part of this consolidation. United continues to offer mortgage products through its bank mortgage channel with previous George Mason officesre-branded under the United umbrella. The consolidation streamlined operations and will enhance the customer experience.

Current wording

During the first quarter of 2024, United consolidated its mortgage delivery channels by consolidating George Mason’s and Crescent’s mortgage origination and sales business with United Bank. United had previously exited the third-party origination (“TPO”) business during the fourth quarter of 2023 as part of this consolidation. United continues to offer mortgage products through its bank mortgage channel with previous George Mason offices re-branded under the United umbrella. The consolidation streamlined operations and will enhance the customer experience.

Previous wording

This discussion and analysis contains certain financial measures that are not recognized under GAAP. Under SEC Regulation G, public companies making disclosures containing financial measures that are not in accordance with GAAP must also disclose, along with each“non-GAAP” financial measure, certain additional information, including a reconciliation of thenon-GAAP financial measure to the closest comparable GAAP financial measure, as well as a statement of the company’s reasons for utilizing thenon-GAAP financial measure.

Current wording

This discussion and analysis contains certain financial measures that are not recognized under GAAP. Under SEC Regulation G, public companies making disclosures containing financial measures that are not in accordance with GAAP must also disclose, along with each “non-GAAP” financial measure, certain additional information, including a reconciliation of the non-GAAP financial measure to the closest comparable GAAP financial measure, as well as a statement of the company’s reasons for utilizing the non-GAAP financial measure.

Previous wording

Generally, United has presented anon-GAAP financial measure because it believes that this measure provides meaningful additional information to assist in the evaluation of United’s results of operations or financial position. Presentation of anon-GAAP financial measure is consistent with how United’s management evaluates its performance internally and thisnon-GAAP financial measure is frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the banking industry. Specifically, this discussion contains certain references to financial measures identified astax-equivalent (“FTE”) net interest income and return on average tangible equity. Management believes thesenon-GAAP financial measures to be helpful in understanding United’s results of operations or financial position.

Current wording

Generally, United has presented a non-GAAP financial measure because it believes that this measure provides meaningful additional information to assist in the evaluation of United’s results of operations or financial position. Presentation of a non-GAAP financial measure is consistent with how United’s management evaluates its performance internally and this non-GAAP financial measure is frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the banking industry. Specifically, this discussion contains certain references to financial measures identified as tax-equivalent (“FTE”) net interest income and return on average tangible equity. Management believes these non-GAAP financial measures to be helpful in understanding United’s results of operations or financial position.

Previous wording

Net interest income is presented in this discussion on atax-equivalent basis. Thetax-equivalent basis adjusts for thetax-favored status of income from certain loans and investments. Although this is anon-GAAP measure, United’s management believes this measure is more widely used within the financial services industry and provides better comparability of net interest income arising from taxable andtax-exempt sources. United uses this measure to monitor net interest income performance and to manage its balance sheet composition.

Current wording

Net interest income is presented in this discussion on a tax-equivalent basis. The tax-equivalent basis adjusts for the tax-favored status of income from certain loans and investments. Although this is a non-GAAP measure, United’s management believes this measure is more widely used within the financial services industry and provides better comparability of net interest income arising from taxable and tax-exempt sources. United uses this measure to monitor net interest income performance and to manage its balance sheet composition.

Previous wording

However, thisnon-GAAP information should be considered supplemental in nature and not as a substitute for related financial information prepared in accordance with GAAP. Where thenon-GAAP financial measure is used, the comparable GAAP financial measure, as well as reconciliation to that comparable GAAP financial measure, as well as a statement of the company’s reasons for utilizing thenon-GAAP financial measure, can be found within this discussion and analysis. Investors should recognize that United’s presentation of thisnon-GAAP financial measure might not be comparable to a similarly titled measure at other companies.

Current wording

However, this non-GAAP information should be considered supplemental in nature and not as a substitute for related financial information prepared in accordance with GAAP. Where the non-GAAP financial measure is used, the comparable GAAP financial measure, as well as reconciliation to that comparable GAAP financial measure, as well as a statement of the company’s reasons for utilizing the non-GAAP financial measure, can be found within this discussion and analysis. Investors should recognize that United’s presentation of this non-GAAP financial measure might not be comparable to a similarly titled measure at other companies.

Previous wording

The allowance for loan and lease losses is an estimate of the expected credit losses on financial assets measured at amortized cost to present the net amount expected to be collected as of the balance sheet date. Such allowance is based on the credit losses expected to arise over the life of the asset (contractual term). Determining the allowance for loan and lease losses requires management to make estimates of expected credit losses that are highly uncertain and require a high degree of judgment. At December 31, 2024, the allowance for loan and lease losses was $271.84 million and is subject to periodic adjustment based on management’s assessment of expected credit losses in the loan portfolio. Such adjustment from period to period can have a significant impact on United’s consolidated financial statements. To illustrate the potential effect on the financial statements of our estimates of the allowance for loan and lease losses, a 10% increase in the allowance for loan and lease losses would have required $27.18 million in additional allowance (funded by additional provision for loan and lease losses), which would have negatively impacted the year of 2024 net income by approximately $21.48 million, after-tax or $0.16 diluted earnings per common share. Management’s evaluation of the adequacy of the allowance for loan and lease losses and the appropriate provision for loan and lease losses is based upon a quarterly evaluation of the loan portfolio. This evaluation is inherently subjective and requires significant estimates, including estimates related to the amounts and timing of future cash flows, value of collateral, losses on pools of homogeneous loans and leases based on historical loss experience, and consideration of qualitative factors such as current economic trends, all of which are susceptible to constant and significant change. The allowance allocated to specific credits and loan pools grouped by similar risk characteristics is reviewed on a quarterly basis and adjusted as necessary based upon subsequent changes in circumstances. In determining the components of the allowance for loan and lease losses, management considers the risk arising in part from, but not limited to, qualitative factors which include charge-off and delinquency trends, current business conditions and reasonable and supportable economic forecasts, lending policies and procedures, the size and risk characteristics of the loan portfolio, concentrations of credit, and other various factors. The methodology used to determine the allowance for loan and lease losses is described in Note A, Notes to Consolidated Financial Statements. A discussion of the factors leading to changes in the amount of the allowance for loan and lease losses is included in the Provision for Credit Losses section of this Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”). For a discussion of concentrations of credit risk, see Item 1, under the caption …

Excerpt shortened here; the source contains the full paragraph.

Current wording

The allowance for loan and lease losses is an estimate of the expected credit losses on financial assets measured at amortized cost to present the net amount expected to be collected as of the balance sheet date. Such allowance is based on the credit losses expected to arise over the life of the asset (contractual term). Determining the allowance for loan and lease losses requires management to make estimates of expected credit losses that are highly uncertain and require a high degree of judgment. At December 31, 2025, the allowance for loan and lease losses was $297.52 million and is subject to periodic adjustment based on management’s assessment of expected credit losses in the loan portfolio. Such adjustment from period to period can have a significant impact on United’s consolidated financial statements. To illustrate the potential effect on the financial statements of our estimates of the allowance for loan and lease losses, a 10% increase in the allowance for loan and lease losses would have required $29.75 million in additional allowance (funded by additional provision for loan and lease losses), which would have negatively impacted the year of 2025 net income by approximately $23.50 million, after-tax, or $0.17 diluted earnings per common share. Management’s evaluation of the adequacy of the allowance for loan and lease losses and the appropriate provision for loan and lease losses is based upon a quarterly evaluation of the loan portfolio. This evaluation is inherently subjective and requires significant estimates, including estimates related to the amounts and timing of future cash flows, value of collateral, losses on pools of homogeneous loans and leases based on historical loss experience, and consideration of qualitative factors such as current economic trends, all of which are susceptible to constant and significant change. The allowance allocated to specific credits and loan pools grouped by similar risk characteristics is reviewed on a quarterly basis and adjusted as necessary based upon subsequent changes in circumstances. In determining the components of the allowance for loan and lease losses, management considers the risk arising in part from, but not limited to, qualitative factors which include charge-off and delinquency trends, current business conditions and reasonable and supportable economic forecasts, lending policies and procedures, the size and risk characteristics of the loan portfolio, concentrations of credit, and other various factors. The methodology used to determine the allowance for loan and lease losses is described in Note A, Notes to Consolidated Financial Statements. A discussion of the factors leading to changes in the amount of the allowance for loan and lease losses is included in the Provision for Credit Losses section of this Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”). For a discussion of concentrations of credit risk, see Item 1, under the caption…

Excerpt shortened here; the source contains the full paragraph.

Previous wording

United’s calculation of income tax provision is inherently complex due to the various different tax laws and jurisdictions in which we operate and requires management’s use of estimates and judgments in its determination. The current income tax liability also includes income tax expense related to our uncertain tax positions as required in ASC Topic 740, “Income Taxes.” Changes to the estimated accrued taxes can occur due to changes in tax rates, implementation of new business strategies, resolution of issues with taxing authorities and recently enacted statutory, judicial and regulatory guidance. These changes can be material to the Company’s operating results for any particular reporting period. The analysis of the income tax provision requires the assessments of the relative risks and merits of the appropriate tax treatment of transactions, filing positions, filing methods and taxable income calculations after considering statutes, regulations, judicial precedent and other information. United strives to keep abreast of changes in the tax laws and the issuance of regulations which may impact tax reporting and provisions for income tax expense. United is also subject to audit by federal and state authorities. Because the application of tax laws is subject to varying interpretations, results of these audits may produce indicated liabilities which differ from United’s estimates and provisions. United continually evaluates its exposure to possible tax assessments arising from audits and records its estimate of probable exposure based on current facts and circumstances. The potential impact to United’s operating results for any of the changes cannot be reasonably estimated. See Note O, Notes to Consolidated Financial Statements for information regarding United’s ASC Topic 740 disclosures.

Current wording

United’s calculation of income tax provision is inherently complex due to the various different tax laws and jurisdictions in which we operate and requires management’s use of estimates and judgments in its determination. The current income tax liability also includes income tax expense related to our uncertain tax positions as required in ASC Topic 740, “Income Taxes.” Changes to the estimated accrued taxes can occur due to changes in tax rates, implementation of new business strategies, resolution of issues with taxing authorities and recently enacted statutory, judicial and regulatory guidance. These changes can be material to the Company’s operating results for any particular reporting period. The analysis of the income tax provision requires an assessment of the relative risks and merits of the appropriate tax treatment of transactions, filing positions, filing methods and taxable income calculations after considering statutes, regulations, judicial precedent and other information. United strives to keep abreast of changes in the tax laws and the issuance of regulations which may impact tax reporting and provisions for income tax expense. United is also subject to audit by federal and state authorities. Because the application of tax laws is subject to varying interpretations, results of these audits may produce indicated liabilities which differ from United’s estimates and provisions. United continually evaluates its exposure to possible tax assessments arising from audits and records its estimate of probable exposure based on current facts and circumstances. The potential impact to United’s operating results for any of the changes cannot be reasonably estimated. See Note N, Notes to Consolidated Financial Statements for information regarding United’s ASC Topic 740 disclosures.

Previous wording

At December 31, 2024, approximately 10.22% of total assets, or $3.07 billion, consisted of financial instruments recorded at fair value. Of this total, approximately 97.91% or $3.01 billion of these financial instruments used valuation methodologies involving observable market data, collectively Level 1 and Level 2 measurements, to determine fair value. Approximately 2.09% or $64.04 million of these financial instruments were valued using unobservable market information or Level 3 measurements. Most of these financial instruments valued using unobservable market information were loans held for sale. At December 31, 2024, only $20 thousand or less than 1% of total liabilities were recorded at fair value. This entire amount was valued using methodologies involving unobservable market data. United does not believe that any changes in the unobservable inputs used to value the financial instruments mentioned above would have a material impact on United’s results of operations, liquidity, or capital resources. See Note W for additional information regarding ASC Topic 820 and its impact on United’s financial statements.

Current wording

At December 31, 2025, approximately 9.47% of total assets, or $3.19 billion, consisted of financial instruments recorded at fair value. Of this total, approximately 98.95% or $3.15 billion of these financial instruments used valuation methodologies involving observable market data, collectively Level 1 and Level 2 measurements, to determine fair value. Approximately 1.05% or $33.37 million of these financial instruments were valued using unobservable market information or Level 3 measurements. Most of these financial instruments valued using unobservable market information were loans held for sale. At December 31, 2025, only $70 thousand or less than 1% of total liabilities were recorded at fair value. This entire amount was valued using methodologies involving unobservable market data. United does not believe that any changes in the unobservable inputs used to value the financial instruments mentioned above would have a material impact on United’s results of operations, liquidity, or capital resources. See Note V for additional information regarding ASC Topic 820 and its impact on United’s financial statements.

Previous wording

Cash and cash equivalents at December 31, 2024 increased $693.30 million or 43.36% from year-end 2023. In particular, interest-bearing deposits with other banks increased $709.70 million or 52.94% as United placed more cash in an interest-bearing account with the Federal Reserve while cash and due from banks decreased $16.50 million or 6.42%. Federal funds sold increased $98 thousand or 8.38%. During the year of 2024, net cash of $445.45 million and $571.49 million were provided by operating and investing activities, respectively, while net cash of $323.64 million was used in financing activities. Further details related to changes in cash and cash equivalents are presented in the Consolidated Statements of Cash Flows.

Current wording

Cash and cash equivalents at December 31, 2025 increased $250.01 million or 10.91% from year-end 2024. Net cash acquired in the Piedmont merger was $77.47 million. In particular, cash and due from banks increased $6.96 million or 2.89%, while interest-bearing deposits with other banks increased $242.96 million or 11.85% as United placed more cash in an interest-bearing account with the Federal Reserve. Federal funds sold increased $90 thousand or 7.10%. During the year of 2025, net cash of $498.91 million and $650.41 million were provided by operating and financing activities, respectively, while net cash of $899.31 million was used in investing activities. Further details related to changes in cash and cash equivalents are presented in the Consolidated Statements of Cash Flows.

Previous wording

Total investment securities at December 31, 2024 decreased $866.46 million or 21.00%. Securities available for sale decreased $826.66 million or 21.83%. This change in securities available for sale reflects $2.06 billion in purchases, $2.93 billion in sales, maturities and calls of securities, and an increase of $40.55 million in market value. The majority of the sales activity was related to asset-backed securities, mortgage-backed securities and state and political subdivision securities. Equity securities were $21.06 million at December 31, 2024, an increase of $12.11 million or 135.42% due mainly to a reclass of an equity security that now has a readily determinable market value. The equity security was previously held in “Other investment securities” on the December 31, 2023 Consolidated Balance Sheets. Other investment securities decreased $51.91 million or 15.76% from year-end 2023, due mainly to a redemption of FHLB stock due to a decline in FHLB borrowings.

Current wording

Total investment securities at December 31, 2025 increased $141.10 million or 4.33%. Piedmont added $94.43 million in investment securities, including purchase accounting amounts, upon consummation of the acquisition. Securities available for sale increased $99.73 million or 3.37%. This change in securities available for sale reflects $92.99 million related to the acquisition of Piedmont, $2.26 billion in sales, maturities and calls of securities, $2.14 billion in purchases, and an increase of $117.56 million in market value. Equity securities were $34.76 million at December 31, 2025, an increase of $13.70 million or 65.07% due mainly to a net increase in fair value. Other investment securities increased $27.67 million or 9.97% from year-end 2024 due to an increase in Federal Reserve Bank stock as a result of the Piedmont acquisition and net purchases of investment tax credits.

Previous wording

At December 31, 2024, gross unrealized losses on available for sale securities were $323.94 million. Securities with the most significant gross unrealized losses at December 31, 2024 consisted primarily of agency residential mortgage-backed securities, state and political subdivision securities, agency commercial mortgage-backed securities and other corporate securities.

Current wording

At December 31, 2025, gross unrealized losses on available for sale securities were $216.64 million. Securities with the most significant gross unrealized losses at December 31, 2025 consisted primarily of agency residential mortgage-backed securities, state and political subdivision securities, agency commercial mortgage-backed securities and corporate securities.

Previous wording

As of December 31, 2024, United’s available for sale mortgage-backed securities had an amortized cost of $1.69 billion, with an estimated fair value of $1.47 billion. The portfolio consisted primarily of $1.23 billion in agency residential mortgage-backed securities with a fair value of $1.06 billion, $88.39 million innon-agency residential mortgage-backed securities with an estimated fair value of $82.12 million, and $372.65 million in commercial agency mortgage-backed securities with an estimated fair value of $329.99 million.

Current wording

As of December 31, 2025, United’s available for sale mortgage-backed securities had an amortized cost of $1.93 billion, with an estimated fair value of $1.79 billion. The portfolio consisted primarily of $1.47 billion in agency residential mortgage-backed securities with a fair value of $1.36 billion, $42.79 million in non-agency residential mortgage-backed securities with an estimated fair value of $38.89 million, and $416.18 million in commercial agency mortgage-backed securities with an estimated fair value of $395.07 million.

Previous wording

As of December 31, 2024, United’s available for sale state and political subdivisions securities had an amortized cost of $574.58 million, with an estimated fair value of $495.07 million. The portfolio relates to securities issued by various municipalities located throughout the United States, and no securities within the portfolio were rated below investment grade as of December 31, 2024.

Current wording

As of December 31, 2025, United’s available for sale state and political subdivisions securities had an amortized cost of $572.22 million, with an estimated fair value of $516.93 million. The portfolio relates to securities issued by various municipalities located throughout the United States, and no securities within the portfolio were rated below investment grade as of December 31, 2025.

Previous wording

As of December 31, 2024, United’s available for sale corporate securities had an amortized cost of $771.81 million, with an estimated fair value of $746.98 million. The portfolio consisted of $13.30 million in single issue trust preferred securities with an estimated fair value of $11.92 million. In addition to the single issue trust preferred securities, the Company held positions in various other corporate securities, including asset-backed securities with an amortized cost of $476.86 million and a fair value of $474.98 million and other corporate securities, with an amortized cost of $281.65 million and a fair value of $260.08 million.

Current wording

As of December 31, 2025, United’s available for sale corporate securities had an amortized cost of $483.18 million, with an estimated fair value of $468.28 million. The portfolio consisted of $13.32 million in single issue trust preferred securities with an estimated fair value of $12.66 million. In addition to the single issue trust preferred securities, the Company held positions in various other corporate securities, including asset-backed securities with an amortized cost of $225.62 million and a fair value of $223.25 million and other corporate securities, with an amortized cost of $244.24 million and a fair value of $232.36 million.

Previous wording

United’s available for sale single issue trust preferred securities had a fair value of $11.92 million as of December 31, 2024. Of the $11.92 million, $7.32 million, or 61.44%, were investment grade and $4.60 million, or 38.56%, were unrated. The portfolio consists of two exposures, with Truist Bank at $7.32 million and Emigrant Bank at $4.60 million. All single issue trust preferred securities are currently receiving full scheduled principal and interest payments.

Current wording

United’s available for sale single issue trust preferred securities had a fair value of $12.66 million as of December 31, 2025. Of the $12.66 million, $7.42 million or 58.58% were investment grade rated and $5.24 million or 41.42% were unrated. The two largest exposures accounted for 100% of the $12.66 million. These included Truist Bank at $7.42 million and Emigrant Bank at $5.24 million. All single issue trust preferred securities are currently receiving full scheduled principal and interest payments.

Previous wording

During 2024, United did not recognize any credit losses on its available for sale investment securities. Management does not believe that any individual security with an unrealized loss as of December 31, 2024 is impaired. United believes the decline in value resulted from changes in market interest rates, credit spreads and liquidity, not a deterioration of credit. Based on a review of each of the securities in the available for sale investment portfolio, management concluded that it was more-likely-than-not that it would be able to realize the cost basis investment and appropriate interest payments on such securities. United has the intent and the ability to hold these securities until such time as the value recovers or the securities mature. As of December 31, 2024, there was no allowance for credit losses related to the Company’s available for sale securities. However, United acknowledges that any securities in an unrealized loss position may be sold in future periods in response to significant, unanticipated changes in asset/liability management decisions, unanticipated future market movements or business plan changes. During 2024, United sold approximately $470 million of available for sale securities at a loss of $16.30 million.

Current wording

During 2025, United did not recognize any credit losses on its available for sale investment securities. Management does not believe that any individual security with an unrealized loss as of December 31, 2025 is impaired. United believes the decline in value resulted from changes in market interest rates, credit spreads and liquidity, not a deterioration of credit. Based on a review of each of the securities in the available for sale investment portfolio, management concluded that it was more-likely-than-not that it would be able to realize the cost basis investment and appropriate interest payments on such securities. United has the intent and the ability to hold these securities until such time as the value recovers or the securities mature. As of December 31, 2025, there was no allowance for credit losses related to the Company’s available for sale securities. However, United acknowledges that any securities in an unrealized loss position may be sold in future periods in response to significant, unanticipated changes in asset/liability management decisions, unanticipated future market movements or business plan changes.

Previous wording

Loans held for sale were $44.36 million at December 31, 2024, a decrease of $11.90 million or 21.15% from year-end 2023. Loan sales in the secondary market exceeded originations during the year of 2024. Loan originations for the year of 2024 were $645.94 million while loans sales were $657.84 million.

Current wording

Loans held for sale were $31.28 million at December 31, 2025, a decrease of $13.08 million or 29.49% from year-end 2024. Loan sales in the secondary market exceeded originations during the year of 2025. Loan originations for the year of 2025 were $370.86 million while loan sales were $383.94 million.

Previous wording

Loans, net of unearned income, increased $314.41 million or 1.47%. Since year-end 2023, commercial, financial and agricultural loans decreased $8.01 million or less than 1% as a result of a $213.07 million or 2.56% increase in commercial real estate loans, which was mostly offset by a $221.08 million or 6.19% decrease in commercial loans (not secured by real estate). Residential real estate loans increased $236.15 million or 4.48% and construction and land development loans increased $360.79 million or 11.46%. Consumer loans decreased $281.62 million or 26.45% due to a decrease in indirect automobile financing.

Current wording

Loans, net of unearned income, increased $3.04 billion or 14.01% mainly as a result of the Piedmont acquisition which added $2.02 billion, including purchase accounting amounts, in portfolio loans. Otherwise, portfolio loans and leases, net of unearned income, grew $1.04 billion from year-end 2024. Since year-end 2024, commercial, financial and agricultural loans increased $2.39 billion or 20.14% as a result of a $1.96 billion or 22.98% increase in commercial real estate loans and a $433.47 million or 12.93% increase in commercial loans (not secured by real estate). Residential real estate loans increased $590.88 million or 10.73% and construction and land development loans increased $61.87 million or 1.76%, while consumer loans remained flat, decreasing $5.89 million or less than 1%.

Previous wording

Deposits represent United’s primary source of funding. Total deposits at December 31, 2024 increased $1.14 billion or 5.01%. In terms of composition, noninterest-bearing deposits decreased $13.67 million or less than 1% while interest-bearing deposits increased $1.16 billion or 6.94% from December 31, 2023.

Current wording

Deposits represent United’s primary source of funding. Total deposits at December 31, 2025 increased $3.10 billion or 12.93% due mainly to the Piedmont acquisition. Piedmont added $2.11 billion in deposits, including purchase accounting amounts. In terms of composition, noninterest-bearing deposits increased $438.22 million or 7.14% ($378.24 million added from Piedmont acquisition) while interest-bearing deposits increased $2.66 billion or 14.93% ($1.73 billion added from Piedmont acquisition) from December 31, 2024. Organically, deposits grew $993.74 million from year-end 2024.

Previous wording

Noninterest-bearing deposits consist of demand deposit and noninterest bearing money market (“MMDA”) account balances. The $13.67 million decrease in noninterest-bearing deposits was due mainly to a $37.19 million decrease in commercial noninterest-bearing deposits and a $57.56 million decrease inin-process items. Partially offsetting these decreases in noninterest-bearing deposits were increases of $26.27 million and $19.92 million in personal and public noninterest-bearing deposits, respectively, and an increase of $30.11 million in official checks.

Current wording

Noninterest-bearing deposits consist of demand deposit and noninterest bearing money market (“MMDA”) account balances. The $438.22 million increase in noninterest-bearing deposits was due to a $327.80 million or 7.36% increase in commercial noninterest-bearing deposits, a $134.16 million or 9.46% increase in personal noninterest-bearing deposits, and a $25.22 million or 14.21% increase in public funds noninterest-bearing deposits. Partially offsetting these increases in noninterest-bearing deposits was a $26.28 million decrease in official checks.

Previous wording

Interest-bearing deposits consist of interest-bearing transaction, regular savings, interest-bearing MMDA, and time deposit account balances. Interest-bearing transaction accounts increased $288.79 million or 5.11% since year-end 2023. In particular, commercial interest-bearing transaction accounts increased $414.86 million and public interest-bearing transaction accounts increased $6.03 million while personal interest-bearing transaction accounts decreased $132.10 million. Regular savings accounts decreased $94.96 million or 7.06% mainly as a result of a $77.10 million decrease in personal savings accounts and a $19.91 million decrease in commercial savings accounts. Interest-bearing MMDAs increased $707.44 million or 11.14%. In particular, commercial MMDAs increased $511.19 million while personal MMDAs and public funds MMDAs increased $162.06 million and $34.20 million, respectively.

Current wording

Interest-bearing deposits consist of interest-bearing transactions, regular savings, interest-bearing MMDA, and time deposit account balances. Interest-bearing transaction accounts increased $720.85 million or 12.14% since year-end 2024 as the result of increases of $602.48 million in commercial interest-bearing transaction accounts and $92.47 million in public funds interest-bearing transaction accounts. Regular savings accounts increased $15.04 million or 1.20% mainly as a result of a $17.21 million increase in personal savings accounts. Interest-bearing MMDAs increased $778.90 million or 11.04%. In particular, personal MMDAs increased $62.15 million while commercial MMDAs and public funds MMDAs increased $655.60 million and $61.15 million, respectively.

Previous wording

Time deposits under $100,000 increased $106.37 million or 9.98% from year-end 2023. This increase in time deposits under $100,000 was the result of a $119.22 million increase in fixed rate Certificates of Deposits (“CDs”) under $100,000. Partially offsetting this increase in deposits under $100,000 was a $5.69 million decrease in CDs under $100,000 obtained through the use of deposit listing services.

Current wording

Time deposits under $100,000 increased $191.42 million or 16.33% from year-end 2024. This increase in time deposits under $100,000 was the result of a $162.18 million increase in fixed rate Certificates of Deposits (“CDs”) under $100,000 and a $31.30 million increase in variable rate CDs.

Previous wording

Since year-end 2023, time deposits over $100,000 increased $148.57 million or 6.57% as fixed rate CDs increased $375.07 million and public funds CDs increased $45.68 million. Partially offsetting these increases in time deposits over $100,000, was a decrease of $272.13 million in brokered CDs.

Current wording

Since year-end 2024, time deposits over $100,000 increased $954.66 million or 39.61% as fixed rate CDs increased $874.61 million, variable rate CDs increased $21.26 million, and public funds CDs over $100,000 increased $51.05 million.

Previous wording

Total borrowings at December 31, 2024 decreased $1.27 billion or 63.91% since year-end 2023. During the year of 2024, short-term borrowings decreased $20.01 million or 10.20% due to a decrease in securities sold under agreements to repurchase. Long-term borrowings decreased $1.25 billion or 69.79% from year-end 2023 due to maturities of advances obtained from the FHLB during the year of 2024.

Current wording

Total borrowings at December 31, 2025 increased $13.88 million or 1.94% since year-end 2024. Piedmont added $20.00 million of subordinated debt upon consummation of the acquisition which was redeemed during the third quarter of 2025. During 2025, short-term borrowings increased $22.48 million or 12.77% due to an increase in securities sold under agreements to repurchase. Long-term borrowings decreased $8.60 million or 1.59% from year-end 2024 as a result of a $10.20 million reduction in long-term FHLB advances.

Previous wording

For a further discussion of borrowings see Notes L and M, Notes to Consolidated Financial Statements.

Current wording

For a further discussion of borrowings see Notes K and L, Notes to Consolidated Financial Statements.

Previous wording

Accrued expenses and other liabilities at December 31, 2024 increased $17.14 million or 8.04% from year-end 2023. In particular, other accrued expenses increased $10.96 million due to the accrual associated with housing tax credits, incentives payable increased $2.93 million due to timing differences, deferred compensation increased $3.20 million, and business franchise taxes increased $1.26 million due to timing differences. Partially offsetting these increases in accrued expenses and other liabilities was a $1.12 million decrease in accrued loan expenses and a $5.24 million decrease in other miscellaneous liabilities.

Current wording

Accrued expenses and other liabilities at December 31, 2025 increased $12.23 million or 5.31% from year-end 2024. Piedmont added $20.79 million. In particular, interest payable increased $2.04 million due to an increase in CDs, accrued loan expenses increased $2.20 million due to an increase in the loan portfolio, incentives payable increased $5.04 million, deferred compensation increased $4.28 million and dividends payable increased $3.00 million. Partially offsetting these increases in accrued expense and other liabilities was a decrease of $5.91 million in other accrued expenses due to timing differences.

Previous wording

Retained earnings increased $172.11 million or 9.86% from year-end 2023. Earnings net of dividends for the year of 2024 were $172.11 million.

Current wording

Retained earnings increased $252.60 million or 13.17% from year-end 2024. Earnings net of dividends for the year of 2025 were $252.60 million.

Previous wording

Accumulated other comprehensive income increased $35.78 million or 13.78% from year-end 2023 due to an increase of $30.85 million in the fair value of United’s available for sale investment portfolio, net of deferred income taxes. In addition, theafter-tax amortization of the pension net actuarial loss was $9.40 million while theafter-tax accretion of pension costs was $1.78 million for the year of 2024. Partially offsetting these increases was a decrease of $6.25 million in the fair value of cash flow hedges, net of deferred income taxes.

Current wording

Accumulated other comprehensive income increased $84.98 million or 37.95% from year-end 2024 due mainly to an increase of $89.47 million in the fair value of United’s available for sale investment portfolio, net of deferred income taxes. In addition, the after-tax pension net actuarial gain was $5.40 million. Partially offsetting these increases was a decrease of $9.94 million in the fair value of cash flow hedges, net of deferred income taxes.

Previous wording

Net income for the year 2024 was $373.00 million or $2.75 per diluted share, an increase of $6.68 million or 1.82% from $366.31 million or $2.71 per diluted share for the year of 2023. Higher net income for the year 2024 compared to the year of 2023 was primarily driven by lower noninterest expense, provision for credit losses and income tax expense partially offset by lower net interest income and lower noninterest income.

Current wording

Net income for the year 2025 was $464.60 million or $3.27 per diluted share, an increase of $91.61 million or 24.56% from $373.00 million or $2.75 per diluted share for the year of 2024.

Previous wording

United’s return on average assets for the year of 2024 was 1.26% and the return on average shareholders’ equity was 7.61% as compared to 1.25% and 7.87% for the year of 2023. For the year of 2024, United’s return on average tangible equity, anon-GAAP measure, was 12.43%, as compared to 13.33% for the year of 2023.

Current wording

United’s return on average assets for the year of 2025 was 1.41% and the return on average shareholders’ equity was 8.63% as compared to 1.26% and 7.61% for the year of 2024. For the year of 2025, United’s return on average tangible equity, a non-GAAP measure, was 13.95%, as compared to 12.43% for the year of 2024.

Previous wording

Income taxes for the year of 2024 were $91.58 million as compared to $97.49 million for the year of 2023. United’s effective tax rate was approximately 19.7% and 21.0% for years ended December 31, 2024 and 2023, respectively, as compared to 20.2% for 2022.

Current wording

Income taxes for the year of 2025 were $118.80 million as compared to $91.58 million for the year of 2024. United’s effective tax rate was approximately 20.4% and 19.7% for years ended December 31, 2025 and 2024, respectively, as compared to 21.0% for 2023.

Previous wording

Net interest income for the year of 2024 was $911.07 million which was relatively flat from the year of 2023, decreasing $8.86 million or less than 1%. The $8.86 million decrease in net interest income occurred because total interest income increased $100.80 million while total interest expense increased $109.66 million from the year of 2023. For the purpose of this remaining discussion, net interest income is presented on atax-equivalent basis to provide a comparison among all types of interest earning assets. Thetax-equivalent basis adjusts for thetax-favored status of income from certain loans and investments. Although this is anon-GAAP measure, United’s management believes this measure is more widely used within the financial services industry and provides better comparability of net interest income arising from taxable andtax-exempt sources. United uses this measure to monitor net interest income performance and to manage its balance sheet composition.

Current wording

Net interest income for the year of 2025 was $1.10 billion which was an increase of $191.10 million or 20.97% from the year of 2024. The $191.10 million increase in net interest income occurred because total interest income increased $183.73 million while total interest expense decreased $7.36 million from the year of 2024. For the purpose of this remaining discussion, net interest income is presented on a tax-equivalent basis to provide a comparison among all types of interest earning assets. The tax-equivalent basis adjusts for the tax-favored status of income from certain loans and investments. Although this is a non-GAAP measure, United’s management believes this measure is more widely used within the financial services industry and provides better comparability of net interest income arising from taxable and tax-exempt sources. United uses this measure to monitor net interest income performance and to manage its balance sheet composition.

Previous wording

Tax-equivalent net interest income for the year of 2024 decreased $9.51 million, or 1.04%, from the year of 2023. The decrease intax-equivalent net interest income was primarily due to higher interest expense driven by deposit rate repricing, an increase in average interest-bearing deposits, and a decrease in acquired loan accretion income. These decreases were partially offset by a higher yield on average net loans, loan growth, and a decrease in average long-term borrowings. The cost on average interest-bearing deposits increased 66 basis points from the year of 2023. Average interest-bearing deposits increased $1.39 billion from the year of 2023. Acquired loan accretion income for year of 2024 of $9.26 million was a decrease of $2.28 million from the year of 2023. The yield on average earning assets increased 33 basis points from the year of 2023 to 5.74% driven by an increase in the yield on average net loans of 28 basis points. Average net loans increased $683.67 million from the year of 2023. Average long-term borrowings decreased $906.10 million from the year of 2023. Additionally, average investment securities decreased $790.73 million, or 17.89%, from the year of 2023 while the yield on average investment securities increased 25 basis points from the year of 2023. The net interest margin for the year of 2024 and 2023 was 3.49% and 3.56%, respectively.

Current wording

Tax-equivalent net interest income for the year of 2025 increased $190.88 million, or 20.87%, from the year of 2024. The increase in tax-equivalent net interest income was primarily due to an increase in average earning assets, a lower average rate paid on deposits, an increase in acquired loan accretion income, and a decrease in average long-term borrowings. These increases to net interest income and tax-equivalent net interest income were partially offset by an increase in average interest-bearing deposits. Average earning assets increased $2.99 billion, or 11.42%, from the year of 2024, driven by increases in average net loans of $2.48 billion and average short-term investments of $896.61 million, partially offset by a decrease in average investment securities of $385.87 million. The cost of average interest-bearing deposits decreased 35 basis points from the year of 2024. Acquired loan accretion income was $33.70 million for the year of 2025 as compared to $9.26 million for the year of 2024. Average long-term borrowings decreased $472.63 million, or 46.44%, from the year of 2024. Average interest-bearing deposits increased $2.69 billion, or 15.64%, from the year of 2024. The net interest margin of 3.78% for the year of 2025 was an increase of 29 basis points from the net interest margin of 3.49% for the year of 2024.

Previous wording

United’stax-equivalent net interest income also includes the impact of acquisition accounting fair value adjustments. The following table provides the discount/premium and net accretion impact totax-equivalent net interest income for the year ended December 31, 2024, 2023 and 2022.

Current wording

United’s tax-equivalent net interest income also includes the impact of acquisition accounting fair value adjustments. The following table provides the discount/premium and net accretion impact to tax-equivalent net interest income for the year ended December 31, 2025, 2024 and 2023.

Previous wording

The following table reconciles the difference between net interest income andtax-equivalent net interest income for the year ended December 31, 2024, 2023 and 2022.

Current wording

The following table reconciles the difference between net interest income and tax-equivalent net interest income for the year ended December 31, 2025, 2024 and 2023.

Previous wording

The following table shows the consolidated daily average balance of major categories of assets and liabilities for each of the three years ended December 31, 2024, 2023, and 2022 with the consolidated interest and rate earned or paid on such amount. The interest income and yields on federally nontaxable loans and investment securities are presented on atax-equivalent basis using the statutory federal income tax rate of 21% for the years ended December 31, 2024, 2023, and 2022. Interest income on all loans and investment securities was subject to state taxes.

Current wording

The following table shows the consolidated daily average balance of major categories of assets and liabilities for each of the three years ended December 31, 2025, 2024, and 2023 with the consolidated interest and rate earned or paid on such amount. The interest income and yields on federally nontaxable loans and investment securities are presented on a tax-equivalent basis using the statutory federal income tax rate of 21% for the years ended December 31, 2025, 2024, and 2023. Interest income on all loans and investment securities was subject to state taxes.

Previous wording

United’s provision for credit losses was$25.15 million for the year of 2024 while the provision for credit losses was $31.15 million for the year of 2023. United’s provision for credit losses relates to its portfolio of loans and leases and held to maturity securities which are discussed in more detail in the following paragraphs.

Current wording

United’s provision for credit losses was $53.87 million for the year of 2025 while the provision for credit losses was $25.15 million for the year of 2024. United’s provision for credit losses relates to its portfolio of loans and leases and held to maturity securities which are discussed in more detail in the following paragraphs.

Previous wording

The provision for loan and lease losses for the year of 2024 was $25.15 million as compared to $31.15 million for the year of 2023. The lower amount of provision expense for the year of 2024 compared to the year of 2023 was mainly due to less severe reasonable and supportable forecast assumptions regarding future economic expectations in 2024 as compared to 2023. Net charge-offs for the year of 2024 were $12.55 million as compared to$6.66 million for the year of 2023. The higher amount of net charge-offs for the year of 2024 as compared to the year of 2023 was primarily due to increased charge-offs within the commercial real estate nonowner-occupied and consumer loan portfolios. Net charge-offs as a percentage of average loans and leases were 0.06% and 0.03% for the year of 2024 and 2023, respectively.

Current wording

The provision for loan and lease losses for the year of 2025 was $53.87 million as compared to a provision for loan and lease losses of $25.15 million for the year of 2024. The higher amount of provision expense for the year of 2025 compared to the year of 2024 was mainly due to the previously mentioned provision expense of $18.73 million recorded for purchased non-PCD loans from Piedmont as well as increased provision for the commercial real estate non-owner occupied (“CRE NOO”) loan segment. Net charge-offs for the year of 2025 were $45.71 million as compared to net charge-offs of $12.55 million for the year of 2024. During the year of 2025, United recorded $21.77 million of charge-offs reflecting updated collateral valuations on two CRE NOO loans associated with the same sponsor downgraded to nonaccrual status. The loans, originated in 2018 and 2019, are collateralized by office buildings in Northern Virginia and include a full guarantee from the sponsor. During the third quarter of 2025, the sponsor experienced a significant deterioration in financial condition and concerns arose regarding the sponsor’s ability to support the credits on a long-term basis. In addition, the higher amount of net charge-offs for the year of 2025 as compared to the same time period in 2024 was primarily due to additional charge-offs within the CRE NOO loan segment.

Previous wording

United maintains an allowance for loan and lease losses and a reserve for lending-related commitments. The combined allowance for loan and lease losses and reserve for lending-related commitments is considered the allowance for credit losses. At December 31, 2024, the allowance for credit losses was $306.76 million as compared to $303.94 million at December 31, 2023.

Current wording

United maintains an allowance for loan and lease losses and a reserve for lending-related commitments. The combined allowance for loan and lease losses and reserve for lending-related commitments is considered the allowance for credit losses. At December 31, 2025, the allowance for credit losses was $332.59 million as compared to $306.76 million at December 31, 2024.

Previous wording

At December 31, 2024, the allowance for loan and lease losses was $271.84 million as compared to $259.24 million at December 31, 2023. The increase in the allowance for loan and lease losses was primarily driven by increased outstanding loan balances for the real estate construction and development and residential real estate portfolios as well as increased reasonable and supportable forecast adjustments for the commercial real estate nonowner-occupied office portfolio. As a percentage of loans and leases, net of unearned income, the allowance for loan losses was 1.25% at December 31, 2024 and 1.21% at December 31, 2023. The ratio of the allowance for loan and lease losses to nonperforming loans and leases or coverage ratio was 370.36% and 569.78% at December 31, 2024 and December 31, 2023, respectively. The decrease in this ratio was due to a larger increase in nonperforming loans than the allowance for loan losses.

Current wording

At December 31, 2025, the allowance for loan and lease losses was $297.52 million as compared to $271.84 million at December 31, 2024. The increase in the allowance for loan and lease losses was primarily driven by allowances recorded for purchased credit deteriorated loans (“PCD”) and non-PCD loans acquired from Piedmont, increased outstanding loan balances for the commercial real estate nonowner-occupied portfolio and residential real estate segments as well as a change in the reasonable and supportable forecast adjustments for the commercial real estate nonowner-occupied segment partially offset by a decline in the allowance allocated to individually assessed loans. As a percentage of loans and leases, net of unearned income, the allowance for loan losses was 1.20% at December 31, 2025 and 1.25% at December 31, 2024. The ratio of the allowance for loan and lease losses to nonperforming loans and leases or coverage ratio was 293.22% and 370.36% at December 31, 2025 and December 31, 2024, respectively. The decrease in this ratio was due to a larger increase in nonperforming loans than the allowance for loan losses. Nonperforming loans increased $28.07 million or 38.24% while the allowance for loan losses increased $25.68 million or 9.44%.