Please wait while we load the requested 10-K report or click the link below:
February 9, 2016
We are pleased to provide you with a brief summary of your company’s financial results for the year ended December 31, 2015. Net income for the year was $7.9 million, or $1.77 per share, compared to $7.7 million, or $1.73 per share for 2014. Results for 2015 were positively impacted by increases in net interest income of $217 thousand and in noninterest income of $883 thousand. These positive variances were partially offset by an increase in the provision for loan losses of $205 thousand, noninterest expenses of $710 thousand and the provision for income taxes of $206 thousand.
During 2015 total assets grew a modest 0.8% to $628.9 million. Total loans outpaced total asset growth as we used excess liquidity to fund loan demand. Total loans increased 3.2% to $506.7 million as of December 31, despite sales of qualifying residential mortgages to the secondary market totaling $131.1 million for 2015 compared to sales of $94.7 million for 2014. Loans serviced for others grew $56.9 million to $422.3 million as of December 31, 2015 from $365.4 million as the prior year end. The Company had total capital of $53.6 million with a book value per share of $12.02 as of December 31, 2015 compared to $51.4 million and $11.54 per share at December 31, 2014.
We would like to offer a few observations about our 2015 financial performance. In general we were pleased with our net income growth, despite it being a modest 2.3% over last year. We would have liked our assets to increase at a more rapid pace than they did in 2015, though a modest reduction in borrowings did mask asset growth a bit. As a result our 2016 business plan calls for increasing our core deposits and overall assets at a more robust pace than in 2015. Finally, we are very pleased with our loan portfolio quality measurements. Traditionally we have maintained a high quality portfolio, but at year end our delinquent loan measurements were better than usual. Our net charge o s for all of 2015 were $42 thousand, good results for a loan portfolio exceeding $500 million. This is probably an apt place to remind our shareholders that past performance does not guarantee future results.
While our local economy is relatively diverse we still rely on visitors to our region spending money on lodging, restaurants, attractions and retailers. Our ski areas have invested literally millions of dollars on enhancing their snow making operations to protect their revenues when snow does not fall. Christmas Eve and Christmas Day brought temperatures in the mid-sixties, essentially melting all of the snow we had and shutting down snow guns throughout the region. We have had poor December’s in the past and will again. Our local businesses are used to adapting to the vagaries of weather and visitor behavior. That said, a poor December will put some strain on the tourism industry and its employees as attempts are made to cut costs and manage diminished cash flow. Inevitably there will be businesses that suffer more than others. We too have managed through difficult tourism seasons and will continue to work with our customers to assist those who are viable to manage through the short term and prosper over the long term.
Outside of the poor weather and its effect on the tourism industry, the local economy seems to be holding its own, with some level of improvement year over year. There seems to be a major disconnect between the real economy and stock markets. If we were to believe the message that Wall Street seems to be sending, we would anticipate a slowing, difficult economy over the next months and years. Yet regionally we don’t sense movement in this direction, in fact we sense the opposite. With the mixed signals we are receiving we will continue to operate your company conservatively though opportunistically, seeking growth when it is profitable to do so.
Enclosed please find your dividend check or advice of deposit representing a dividend of $.27 per share.
If you need assistance with a change in registration of certificates, combining your certificates into one, reporting lost certificates, non-receipt or loss of dividend checks, assistance regarding direct deposit of dividends, information about the Company, or to receive copies of financial reports, please contact Kristy Adams Alfieri, Assistant Secretary at 802-888-0982 or contact our Transfer Agent at the address and phone number listed below:
Broadridge Corporate Issuer Solutions, Inc.
P.O. Box 1342
Brentwood, NY 11717
NASDAQ STOCK MARKET
Ticker Symbol: UNB
Corporate Name: Union Bankshares, Inc.
20 Lower Main Street
PO Box 667
Morrisville, VT 05661-0667
Investor Relations: UBLOCAL.COM
Kenneth D. Gibbons
David S. Silverman
President & Chief Executive Officer
About Union Bankshares
Union Bankshares, Inc. operates as the holding company for Union Bank, which provides commercial, retail and municipal banking services and asset management services throughout northern Vermont and New Hampshire. Union Bank was founded in 1891 in Morrisville, Vermont, where the Bank’s and its holding company’s headquarters are located. Union Bank operates 17 banking offices and two loan centers and several ATMs throughout its geographical footprint.
Union Bank has earned an outstanding reputation for residential lending programs and has recently been named, for the third consecutive year, the USDA RD Vermont lender of the year. Union Bank is also an SBA Preferred lender and has an outstanding Community Reinvestment Act rating.
The following information was filed by Union Bankshares Inc (UNB) on Tuesday, February 9, 2016 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.
View differences made from one year to another to evaluate Union Bankshares Inc's financial trajectory
Compare this 10-K Annual Report to its predecessor by reading our highlights to see what text and tables were
removed , and by Union Bankshares Inc.