x
|
QUARTERLY
REPORT PURSUANT TO 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
¨
|
TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
AND
|
UNITED BANCORP, INC.
|
(Exact
name of registrant as specified in its
charter)
|
Ohio
|
34-1405357
|
|
(State
or other jurisdiction of
|
(IRS
Employer Identification No.)
|
|
incorporation
or organization)
|
201 South Fourth Street, Martins Ferry,
Ohio 43935-0010
|
(Address
of principal executive offices)
|
(740) 633-0445
|
(Registrant’s
telephone number, including area
code)
|
N/A
|
(Former
name, former address and former fiscal year, if changed since last
report)
|
PART
I - FINANCIAL INFORMATION
|
|
Item
1 Condensed Consolidated Balance Sheets
|
3
|
Condensed
Consolidated Statements of Income
|
4
|
Condensed
Consolidated Statements of Comprehensive Income (Loss)
|
5
|
Condensed
Consolidated Statements of Cash Flows
|
6
|
Notes
to Consolidated Financial Statements
|
8
|
Item
2 Management’s Discussion and Analysis of Financial Condition
and Results of Operations
|
25
|
Item
3 Quantitative and Qualitative Disclosures About Market
Risk
|
34
|
Item
4 Controls and Procedures
|
34
|
PART
II - OTHER INFORMATION
|
|
Item
1 Legal Proceedings
|
35
|
Item
1A Risk Factors
|
35
|
Item
2 Unregistered Sales of Equity Securities and Use of
Proceeds
|
35
|
Item
3 Defaults Upon Senior Securities
|
36
|
Item
4 Submission of Matters to a Vote of Security
Holders
|
36
|
Item
5 Other Information
|
36
|
Item
6 Exhibits
|
37
|
SIGNATURES
|
38
|
June
30,
|
December
31,
|
|||||||
2009
|
2008
|
|||||||
(Unaudited)
|
||||||||
Assets
|
||||||||
Cash
and due from banks
|
$ | 4,602 | $ | 5,605 | ||||
Interest-bearing
deposits
|
30,044 | 6,684 | ||||||
Federal
funds sold
|
— | 19,180 | ||||||
Cash
and cash equivalents
|
34,646 | 31,469 | ||||||
Certificates
of deposit in other financial institutions
|
25,540 | — | ||||||
Available-for-sale
securities
|
109,918 | 129,416 | ||||||
Held-to-maturity
securities
|
15,274 | 15,687 | ||||||
Loans,
net of allowance for loan losses of $3,291 and $2,770 at June 30, 2009 and
December 31, 2008, respectively
|
235,947 | 235,448 | ||||||
Premises
and equipment
|
8,710 | 8,466 | ||||||
Federal
Home Loan Bank stock
|
4,810 | 4,810 | ||||||
Foreclosed
assets held for sale, net
|
989 | 1,407 | ||||||
Intangible
assets
|
707 | 775 | ||||||
Accrued
interest receivable
|
2,258 | 3,037 | ||||||
Bank-owned
life insurance
|
9,835 | 9,653 | ||||||
Other
assets
|
2,205 | 1,636 | ||||||
Total
assets
|
$ | 450,839 | $ | 441,804 | ||||
Liabilities
and Stockholders’ Equity
|
||||||||
Liabilities
|
||||||||
Deposits
|
||||||||
Demand
|
$ | 130,071 | $ | 142,434 | ||||
Savings
|
43,387 | 40,309 | ||||||
Time
|
171,452 | 164,302 | ||||||
Total
deposits
|
344,910 | 347,045 | ||||||
Short-term
borrowings
|
11,021 | 7,809 | ||||||
Federal
Home Loan Bank advances
|
49,447 | 43,745 | ||||||
Trade
date security purchases
|
4,170 | — | ||||||
Subordinated
debentures
|
4,000 | 4,000 | ||||||
Interest
payable and other liabilities
|
3,702 | 5,301 | ||||||
Total
liabilities
|
417,250 | 407,900 | ||||||
Commitments
and Contingencies
|
— | — | ||||||
Stockholders’
Equity
|
||||||||
Preferred
stock, no par value, authorized 2,000,000 shares; no shares
issued
|
— | — | ||||||
Common
stock, $1 par value; authorized 10,000,000 shares; issued 5,190,304
shares
|
5,190 | 5,190 | ||||||
Additional
paid-in capital
|
24,381 | 25,656 | ||||||
Retained
earnings
|
11,329 | 9,856 | ||||||
Stock
held by deferred compensation plan; 152,108 and 132,906 shares at June 30,
2009 and December 31, 2008, respectively
|
(1,467 | ) | (1,300 | ) | ||||
Unearned
ESOP compensation
|
(2,704 | ) | (2,718 | ) | ||||
Accumulated
other comprehensive loss
|
(1,609 | ) | (1,094 | ) | ||||
Treasury
stock, at cost
|
||||||||
June
30, 2009 – 132,160 shares, December 31, 2008 – 164,442
shares
|
(1,531 | ) | (1,686 | ) | ||||
Total
stockholders’ equity
|
33,589 | 33,904 | ||||||
Total
liabilities and stockholders’ equity
|
$ | 450,839 | $ | 441,804 |
Three
months ended
|
Six
months ended
|
|||||||||||||||
June
30,
|
June
30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Interest
and dividend income
|
||||||||||||||||
Loans,
including fees
|
$ | 4,168 | $ | 4,342 | $ | 8,189 | $ | 8,682 | ||||||||
Taxable
securities
|
1,080 | 1,646 | 2,391 | 3,420 | ||||||||||||
Non-taxable
securities
|
433 | 446 | 866 | 893 | ||||||||||||
Federal
funds sold
|
10 | 11 | 17 | 12 | ||||||||||||
Dividends
on Federal Home Loan Bank stock and other
|
170 | 36 | 311 | 134 | ||||||||||||
Total
interest and dividend income
|
5,861 | 6,481 | 11,774 | 13,141 | ||||||||||||
Interest
expense
|
||||||||||||||||
Deposits
|
||||||||||||||||
Demand
|
100 | 414 | 294 | 1,093 | ||||||||||||
Savings
|
42 | 35 | 80 | 65 | ||||||||||||
Time
|
1,357 | 1,531 | 2,707 | 3,238 | ||||||||||||
Borrowings
|
528 | 537 | 1,020 | 1,264 | ||||||||||||
Total
interest expense
|
2,027 | 2,517 | 4,101 | 5,660 | ||||||||||||
Net
interest income
|
3,834 | 3,964 | 7,673 | 7,481 | ||||||||||||
Provision
for loan losses
|
334 | 395 | 658 | 563 | ||||||||||||
Net
interest income after provision for loan losses
|
3,500 | 3,569 | 7,015 | 6,918 | ||||||||||||
Noninterest
income
|
||||||||||||||||
Service
charges on deposit accounts
|
574 | 511 | 1,086 | 1,002 | ||||||||||||
Realized
gains on sales of securities
|
25 | — | 25 | — | ||||||||||||
Realized
gains on sales of loans
|
37 | 45 | 50 | 59 | ||||||||||||
Realized
gains on sales of other real estate and repossessed assets
|
36 | — | 79 | 3 | ||||||||||||
Other
income
|
141 | 202 | 362 | 450 | ||||||||||||
Total
noninterest income
|
813 | 758 | 1,602 | 1,514 | ||||||||||||
Noninterest
expense
|
||||||||||||||||
Salaries
and employee benefits
|
1,665 | 1,608 | 3,287 | 3,087 | ||||||||||||
Net
occupancy expense
|
404 | 341 | 803 | 661 | ||||||||||||
Provision
for losses on foreclosed real estate
|
— | — | — | 155 | ||||||||||||
Professional
services
|
200 | 182 | 427 | 372 | ||||||||||||
Insurance
|
313 | 105 | 446 | 208 | ||||||||||||
FDIC
special assessment
|
225 | — | 225 | — | ||||||||||||
Franchise
and other taxes
|
122 | 118 | 246 | 238 | ||||||||||||
Advertising
|
93 | 79 | 186 | 174 | ||||||||||||
Stationery
and office supplies
|
88 | 86 | 169 | 151 | ||||||||||||
Amortization
of intangible asset
|
30 | — | 68 | — | ||||||||||||
Other
expenses
|
427 | 483 | 1,019 | 933 | ||||||||||||
Total
noninterest expense
|
3,567 | 3,002 | 6,876 | 5,979 | ||||||||||||
Income
before federal income taxes
|
746 | 1,325 | 1,741 | 2,453 | ||||||||||||
Federal
income taxes
|
74 | 300 | 268 | 525 | ||||||||||||
Net
income
|
$ | 672 | $ | 1,025 | $ | 1,473 | $ | 1,928 | ||||||||
EARNINGS
PER COMMON SHARE
|
||||||||||||||||
Basic
|
$ | 0.15 | $ | 0.22 | $ | 0.32 | $ | 0.42 | ||||||||
Diluted
|
$ | 0.15 | $ | 0.22 | $ | 0.32 | $ | 0.42 | ||||||||
DIVIDENDS
PER COMMON SHARE
|
$ | 0.14 | $ | 0.13 | $ | 0.28 | $ | 0.26 |
Three
months ended
|
Six
months ended
|
|||||||||||||||
June
30,
|
June
30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Net
income
|
$ | 672 | $ | 1,025 | $ | 1,473 | $ | 1,928 | ||||||||
Other
comprehensive income (loss), net of tax:
|
||||||||||||||||
Unrealized
holding losses on securities during the
|
||||||||||||||||
period,
net of tax benefits of $279, $1,146,
|
||||||||||||||||
$257,
and $686 for each respective period
|
(541 | ) | (2,225 | ) | (499 | ) | (1,331 | ) | ||||||||
Reclassification
adjustment for realized gains
|
||||||||||||||||
included
in income, net of taxes
|
(16 | ) | — | (16 | ) | — | ||||||||||
Comprehensive
income (loss)
|
$ | 115 | $ | (1,200 | ) | $ | 958 | $ | 597 | |||||||
Accumulated
comprehensive loss
|
$ | (1,609 | ) | $ | (1,831 | ) | $ | (1,609 | ) | $ | (1,831 | ) |
2009
|
2008
|
|||||||
Operating
Activities
|
||||||||
Net
income
|
$ | 1,473 | $ | 1,928 | ||||
Items
not requiring (providing) cash
|
||||||||
Amortization
of premiums and discounts on securities, net
|
119 | 40 | ||||||
Depreciation
and amortization
|
365 | 272 | ||||||
Amortization
of intangible asset
|
68 | — | ||||||
Provision
for loan losses
|
658 | 563 | ||||||
Provision
for losses on foreclosed assets
|
— | 155 | ||||||
Increase
in value of bank-owned life insurance
|
(182 | ) | (114 | ) | ||||
Federal
Home Loan Bank stock dividends
|
— | (60 | ) | |||||
Gain
on sale of securities
|
(25 | ) | — | |||||
Gain
on called securities
|
— | (25 | ) | |||||
Gain
on sale of loans
|
(50 | ) | (59 | ) | ||||
Proceeds
from sale of loans
|
3,379 | 2,460 | ||||||
Loans
originated for sale
|
(3,329 | ) | (2,401 | ) | ||||
Gain
on sale of foreclosed assets
|
(79 | ) | (3 | ) | ||||
Deferred
income taxes
|
— | 510 | ||||||
Amortization
of mortgage servicing rights
|
107 | 43 | ||||||
Net
change in accrued interest receivable and other assets
|
574 | (491 | ) | |||||
Net
change in accrued expenses and other liabilities
|
(2,156 | ) | (2,519 | ) | ||||
Net
cash provided by operating activities
|
922 | 299 | ||||||
Investing
Activities
|
||||||||
Securities
available for sale:
|
||||||||
Sales,
maturities, prepayments and calls
|
78,366 | 72,311 | ||||||
Purchases
|
(55,327 | ) | (46,107 | ) | ||||
Securities
held to maturity:
|
||||||||
Maturities,
prepayments and calls
|
430 | — | ||||||
Net
change in loans
|
(1,543 | ) | (89 | ) | ||||
Net
change in certificates of deposit in other financial
institutions
|
(25,540 | ) | — | |||||
Proceeds
from sale of premises and equipment
|
36 | — | ||||||
Purchases
of premises and equipment
|
(609 | ) | (325 | ) | ||||
Proceeds
from sale of foreclosed assets
|
935 | 3 | ||||||
Net
cash provided by (used in) investing activities
|
(3,252 | ) | 25,793 |
2009
|
2008
|
|||||||
Financing
Activities
|
||||||||
Net
change in deposits
|
$ | (2,135 | ) | $ | (8,572 | ) | ||
Net
change in short-term borrowings
|
3,212 | (12,854 | ) | |||||
Net
change in long-term borrowings
|
5,702 | — | ||||||
Treasury
stock issued, net of purchases
|
138 | 174 | ||||||
Proceeds
from issuance of common stock
|
— | 99 | ||||||
Cash
dividends paid on common stock
|
(1,410 | ) | (1,308 | ) | ||||
Net
cash provided by (used in) financing activities
|
5,507 | (22,461 | ) | |||||
Increase
in Cash and Cash Equivalents
|
3,177 | 3,631 | ||||||
Cash
and Cash Equivalents, Beginning of Period
|
31,469 | 12,324 | ||||||
Cash
and Cash Equivalents, End of Period
|
$ | 34,646 | $ | 15,955 | ||||
Supplemental
Cash Flows Information
|
||||||||
Interest
paid on deposits and borrowings
|
$ | 4,154 | $ | 5,892 | ||||
Federal
income taxes paid
|
$ | 227 | $ | 150 | ||||
Supplemental
Disclosure of Non-Cash Investing and Financing Activities
|
||||||||
Transfers
from loans to foreclosed assets held for sale
|
$ | 436 | $ | 131 | ||||
Unrealized
losses on securities designated as available for sale, net of related tax
effects
|
$ | (499 | ) | $ | (1,331 | ) | ||
Recognition
of mortgage servicing rights
|
$ | — | $ | 30 |
Note
1:
|
Summary
of Significant Accounting Policies
|
Three
months ended
June
30,
|
Six
months ended
June
30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Basic
|
||||||||||||||||
Net
income (In thousands)
|
$ | 672 | $ | 1,025 | $ | 1,473 | $ | 1,928 | ||||||||
Weighted
average common shares outstanding
|
4,610,248 | 4,579,773 | 4,606,728 | 4,575,930 | ||||||||||||
Basic
earnings per common share
|
$ | 0.15 | $ | 0.22 | $ | 0.32 | $ | 0.42 | ||||||||
Diluted
|
||||||||||||||||
Net
income (In thousands)
|
$ | 672 | $ | 1,025 | $ | 1,473 | $ | 1,928 | ||||||||
Weighted
average common shares outstanding for basic earnings per common
share
|
4,610,248 | 4,579,773 | 4,606,728 | 4,575,930 | ||||||||||||
Add: Dilutive
effects of assumed exercise of stock options
|
— | 161 | — | 145 | ||||||||||||
Average
shares and dilutive potential common shares
|
4,610,248 | 4,579,934 | 4,606,728 | 4,576,075 | ||||||||||||
Diluted
earnings per common share
|
$ | 0.15 | $ | 0.22 | $ | 0.32 | $ | 0.42 | ||||||||
Number
of stock options not considered in computing diluted earnings per share
due to antidilutive nature
|
55,529 | 29,040 | 55,529 | 29,040 |
|
·
|
It
does not have the intent to sell the security;
and
|
|
·
|
It
is more-likely-than-not it will not have to sell the security before
recovery of its amortized cost basis less any current period credit
losses
|
Note
2:
|
Securities
|
Amortized
Cost
|
Gross
Unrealized
Gains
|
Gross
Unrealized
Losses
|
Approximate
Fair
Value
|
|||||||||||||
(In
thousands)
|
||||||||||||||||
Available-for-sale
Securities:
|
||||||||||||||||
June
30, 2009 (unaudited):
|
||||||||||||||||
U.S.
government agencies
|
$ | 69,498 | $ | 142 | $ | (431 | ) | $ | 69,209 | |||||||
State
and political subdivisions
|
26,965 | 52 | (918 | ) | 26,099 | |||||||||||
Mortgage-backed
securities
|
14,220 | 392 | (6 | ) | 14,606 | |||||||||||
Equity
securities
|
4 | — | — | 4 | ||||||||||||
$ | 110,687 | $ | 586 | $ | (1,355 | ) | $ | 109,918 | ||||||||
December
31, 2008:
|
||||||||||||||||
U.S.
government agencies
|
$ | 86,458 | $ | 928 | $ | — | $ | 87,386 | ||||||||
State
and political subdivisions
|
26,970 | 18 | (1,252 | ) | 25,736 | |||||||||||
Mortgage-backed
securities
|
15,972 | 319 | (1 | ) | 16,290 | |||||||||||
Equity
securities
|
4 | — | — | 4 | ||||||||||||
$ | 129,404 | $ | 1,265 | $ | (1,253 | ) | $ | 129,416 | ||||||||
Amortized
Cost
|
Gross
Unrealized
Gains
|
Gross
Unrealized
Losses
|
Approximate
Fair
Value
|
|||||||||||||
(In
thousands)
|
||||||||||||||||
Held-to-maturity
Securities:
|
||||||||||||||||
June
30, 2009 (unaudited):
|
||||||||||||||||
State
and political subdivisions
|
$ | 15,274 | $ | 249 | $ | (101 | ) | $ | 15,422 | |||||||
December
31, 2008:
|
||||||||||||||||
State
and political subdivisions
|
$ | 15,687 | $ | 185 | $ | (175 | ) | $ | 15,697 |
Available-for-sale
|
Held-to-maturity
|
|||||||||||||||
Amortized
Cost
|
Fair
Value
|
Amortized
Cost
|
Fair
Value
|
|||||||||||||
(In
thousands, unaudited)
|
||||||||||||||||
Within
one year
|
$ | 350 | $ | 354 | $ | 280 | $ | 283 | ||||||||
One
to five years
|
3,460 | 3,498 | 3,359 | 3,456 | ||||||||||||
Five
to ten years
|
20,645 | 20,798 | 5,828 | 5,946 | ||||||||||||
After
ten years
|
86,228 | 85,264 | 5,807 | 5,737 | ||||||||||||
110,683 | 109,914 | 15,274 | 15,422 | |||||||||||||
Equity
securities
|
4 | 4 | — | — | ||||||||||||
Totals
|
$ | 110,687 | $ | 109,918 | $ | 15,274 | $ | 15,422 |
Six
months ended June 30,
|
||||||||
2009
|
2008
|
|||||||
(In
thousands, unaudited)
|
||||||||
Proceeds
from sale
|
$ | 1,000 | $ | — | ||||
Gross
gains
|
— | — | ||||||
Gross
losses
|
25 | — |
June
30, 2009
|
||||||||||||||||||||||||
Less
than 12 Months
|
12
Months or More
|
Total
|
||||||||||||||||||||||
Description
of
Securities
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
||||||||||||||||||
(In
thousands, unaudited)
|
||||||||||||||||||||||||
US
Government agency securities
|
$ | 39,921 | $ | (431 | ) | $ | — | $ | — | $ | 39,921 | $ | (431 | ) | ||||||||||
State
and political subdivisions
|
22,705 | (794 | ) | 3,357 | (225 | ) | 26,062 | (1,019 | ) | |||||||||||||||
Mortgage-backed
securities
|
732 | (6 | ) | — | — | 732 | (6 | ) | ||||||||||||||||
Total
temporarily impaired securities
|
$ | 63,358 | $ | (1,231 | ) | $ | 3,357 | $ | (225 | ) | $ | 66,715 | $ | (1,456 | ) |
December
31, 2008
|
||||||||||||||||||||||||
Less
than 12 Months
|
12
Months or More
|
Total
|
||||||||||||||||||||||
Description
of
Securities
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
||||||||||||||||||
(In
thousands)
|
||||||||||||||||||||||||
Mortgage-backed
securities
|
$ | — | $ | — | $ | 288 | $ | (1 | ) | $ | 288 | $ | (1 | ) | ||||||||||
State
and political subdivisions
|
31,249 | (1,427 | ) | — | — | 31,249 | (1,427 | ) | ||||||||||||||||
Total
temporarily impaired securities
|
$ | 31,249 | $ | (1,427 | ) | $ | 288 | $ | (1 | ) | $ | 31,537 | $ | (1,428 | ) |
Note
3:
|
Allowance
for Loan Losses
|
Three
months ended
June
30,
|
Six
months ended
June
30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
(In
thousands)
|
||||||||||||||||
Beginning
balance
|
$ | 3,001 | $ | 2,540 | $ | 2,770 | $ | 2,447 | ||||||||
Provision
for loan losses
|
334 | 395 | 658 | 563 | ||||||||||||
Loans
charged-off
|
(114 | ) | (141 | ) | (254 | ) | (263 | ) | ||||||||
Recoveries
of previous charge-offs
|
70 | 76 | 117 | 123 | ||||||||||||
Ending
balance
|
$ | 3,291 | $ | 2,870 | $ | 3,291 | $ | 2,870 |
Note
4:
|
Benefit
Plans
|
Three
months ended
June
30,
|
Six
months ended
June
30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
(In
thousands)
|
||||||||||||||||
Service
cost
|
$ | 68 | $ | 59 | $ | 125 | $ | 118 | ||||||||
Interest
cost
|
41 | 45 | 82 | 90 | ||||||||||||
Expected
return on assets
|
(37 | ) | (59 | ) | (75 | ) | (118 | ) | ||||||||
Amortization
of prior service cost, transition liability, net gain and plan
amendment
|
30 | 15 | 60 | 30 | ||||||||||||
Pension
expense
|
$ | 102 | $ | 60 | $ | 192 | $ | 120 |
Note
5:
|
Off-Balance
Sheet Activities
|
June
30,
|
December
31,
|
|||||||
2009
|
2008
|
|||||||
(Unaudited)
|
||||||||
(In
thousands)
|
||||||||
Commitments
to extend credit
|
$ | 31,383 | $ | 26,110 | ||||
Credit
card and ready reserve lines
|
13,717 | 12,912 | ||||||
Standby
letters of credit
|
775 | 820 |
Note
6:
|
Fair
Value Measurements
|
|
Level 1
|
Quoted
prices in active markets for identical assets or
liabilities
|
|
Level 2
|
Observable
inputs other than Level 1 prices, such as quoted prices for similar assets
or liabilities; quoted prices in markets that are not active; or other
inputs that are observable or can be corroborated by observable market
data for substantially the full term of the assets or
liabilities
|
|
Level 3
|
Unobservable
inputs that are supported by little or no market activity and that are
significant to the fair value of the assets or
liabilities
|
Fair
Value Measurements Using
|
||||||||||||||||
Fair
Value
|
Quoted
Prices
in
Active
Markets
for
Identical
Assets
(Level
1)
|
Significant
Other
Observable
Inputs
(Level
2)
|
Significant
Unobservable
Inputs
(Level
3)
|
|||||||||||||
(In
thousands)
|
||||||||||||||||
June
30, 2009
|
||||||||||||||||
U.S.
government agencies
|
$ | 69,209 | $ | — | $ | 69,209 | — | |||||||||
State
and political subdivisions
|
26,099 | — | 26,099 | — | ||||||||||||
Mortgage-backed
securities
|
14,606 | — | 14,606 | — | ||||||||||||
Equity
securities
|
4 | — | 4 | — | ||||||||||||
December
31, 2008
|
||||||||||||||||
U.S.
government agencies
|
$ | 87,386 | $ | — | $ | 87,386 | $ | — | ||||||||
State
and political subdivisions
|
25,736 | — | 25,736 | — | ||||||||||||
Mortgage-backed
securities
|
16,290 | — | 16,290 | — | ||||||||||||
Equity
securities
|
4 | — | 4 | — |
Fair Value Measurements Using
|
||||||||||||||||
Fair Value
|
Quoted Prices
in Active
Markets for
Identical
Assets
(Level 1)
|
Significant
Other
Observable
Inputs
(Level 2)
|
Significant
Unobservable
Inputs
(Level 3)
|
|||||||||||||
(In thousands)
|
||||||||||||||||
June
30, 2009
|
||||||||||||||||
Impaired
loans
|
$ | 1,700 | $ | –– | $ | –– | $ | 1,700 | ||||||||
Mortgage
servicing rights
|
287 | –– | –– | 287 | ||||||||||||
Foreclosed
assets held for sale
|
436 | –– | –– | 436 | ||||||||||||
December
31, 2008
|
||||||||||||||||
Impaired
loans
|
$ | 4,856 | $ | –– | $ | –– | $ | 4,856 | ||||||||
Mortgage
servicing rights
|
394 | –– | –– | 394 | ||||||||||||
Foreclosed
assets held for sale
|
208 | –– | –– | 208 |
June 30, 2009
|
December 31, 2008
|
|||||||||||||||
Carrying
Amount
|
Fair
Value
|
Carrying
Amount
|
Fair
Value
|
|||||||||||||
(In thousands)
|
||||||||||||||||
Financial
assets
|
||||||||||||||||
Cash
and cash equivalents
|
$ | 36,646 | $ | 34,646 | $ | 31,469 | $ | 31,469 | ||||||||
Certificates
of deposits in other financial institutions
|
25,540 | 27,682 | –– | –– | ||||||||||||
Held-to-maturity
securities
|
15,274 | 15,422 | 15,687 | 15,697 | ||||||||||||
Loans,
net of allowance for loan losses
|
235,947 | 234,964 | 235,448 | 235,075 | ||||||||||||
Federal
Home Loan Bank stock
|
4,810 | 4,810 | 4,810 | 4,810 | ||||||||||||
Accrued
interest receivable
|
2,258 | 2,258 | 3,037 | 3,037 | ||||||||||||
Financial
liabilities
|
||||||||||||||||
Deposits
|
344,910 | 330,373 | 347,045 | 349,247 | ||||||||||||
Repurchase
agreements
|
10,699 | 10,699 | 6,759 | 6,759 | ||||||||||||
Federal
Home Loan Bank advances
|
49,447 | 49,724 | 43,745 | 44,327 | ||||||||||||
Subordinated
debentures
|
4,000 | 2,819 | 4,000 | 2,763 | ||||||||||||
Treasury
tax and loan
|
322 | 322 | 1,050 | 1,050 | ||||||||||||
Interest
payable
|
416 | 416 | 469 | 469 |
Note
7:
|
Subsequent
Events
|
ITEM 2.
|
Management’s Discussion and Analysis of Financial
|
Total
|
Tier 1
|
Tier 1
|
||||||||||
Capital To
|
Capital To
|
Capital To
|
||||||||||
Risk-Weighted
|
Risk-Weighted
|
Average
|
||||||||||
Assets
|
Assets
|
Assets
|
||||||||||
Well
capitalized
|
10.00 | % | 6.00 | % | 5.00 | % | ||||||
Adequately
capitalized
|
8.00 | % | 4.00 | % | 4.00 | % | ||||||
Undercapitalized
|
6.00 | % | 3.00 | % | 3.00 | % |
June 30,
|
||||
2009
|
||||
(Unaudited)
|
||||
(Dollars
in thousands)
|
||||
Tier
1 capital
|
$ | 38,463 | ||
Total
risk-based capital
|
41,754 | |||
Risk-weighted
assets
|
270,406 | |||
Average
total assets
|
449,992 | |||
Total
risk-based capital ratio
|
15.44 | % | ||
Tier
1 risk-based capital ratio
|
14.22 | % | ||
Tier
1 capital to average assets
|
8.55 | % |
Period
|
(a)
Total Number of
Shares (or Units)
Purchased
|
(b)
Average Price Paid
Per Share (or Unit)
|
(c)
Total Number of
Shares (or Units)
Purchased as Part
Of Publicly
Announced Plans
Or Programs
|
(d)
Maximum Number or
Approximate Dollar
Value) of Shares (or
Units) that May Yet Be
Purchased Under the
Plans or Programs
|
||||||||||||
Month
#1
4/1/2009
to
4/30/2009
|
- | - | - | $ | 1,734,810 | |||||||||||
Month
#2
5/1/2009
to
5/31/2009
|
- | - | - | $ | 1,734,810 | |||||||||||
Month
#3
6/1/2009
to
6/30/2009
|
13,156 | $ | 8.45 | 13,156 | $ | 1,623,642 |
1.
|
Proposal
to elect seven nominees to the Corporation's Board of
Directors.
|
Director
|
For
|
Withheld
|
Michael
A. Arciello
|
3,982,273
|
47,505
|
James
W. Everson
|
3,975,813
|
53,965
|
John
M. Hoopingarner
|
3,973,991
|
55,787
|
Samuel
J. Jones
|
3,970,017
|
59,761
|
Terry
A. McGhee
|
3,976,271
|
53,507
|
Richard
L. Riesbeck
|
3,977,172
|
52,607
|
Matthew
C. Thomas
|
4,001,650
|
28,128
|
EX-3.1
|
Amended
Articles of Incorporation of United Bancorp, Inc. (1)
|
EX-3.2
|
Amended
and restated Code of Regulations of United Bancorp,
Inc.
|
EX-4.0
|
Instruments
Defining the Rights of Security Holders (See Exhibits 3.1
and 3.2)
|
EX
31.1
|
Rule
13a-14(a) Certification – CEO
|
EX
31.2
|
Rule
13a-14(a) Certification – CFO
|
EX
32.1
|
Section
1350 Certification – CEO
|
EX
32.2
|
Section
1350 Certification – CFO
|
|
(1)
|
Incorporated
by reference to Appendix B to the registrant’s Definitive Proxy Statement
filed with the Securities and Exchange Commission on March 14,
2001.
|
/s/United
Bancorp, Inc.
|
||||
Date: |
August 12, 2009
|
By:
|
/s/James W. Everson
|
|
James
W. Everson
|
||||
Chairman,
President and Chief
Executive
Officer
|
||||
Date: |
August 12, 2009
|
By:
|
/s/Randall M. Greenwood
|
|
Randall
M. Greenwood
|
||||
Senior
Vice President, Chief Financial
Officer
and
Treasurer
|
Exhibit No.
|
Description
|
|
3.1
|
Amended
Articles of Incorporation of United Bancorp, Inc.
|
|
incorporated
by reference to Appendix B to the registrant’s Definitive Proxy Statement
filed with the Securities and Exchange Commission on March 14,
2001.
|
||
3.2
|
Amended
Code of Regulations of United Bancorp, Inc.
|
|
incorporated
by reference to Appendix C to the registrant’s Definitive Proxy Statement
filed with the Securities and Exchange Commission on March 14,
2001.
|
||
4.0
|
Instruments
Defining the Rights of Security Holders (See Exhibits 3.1 and
3.2)
|
|
31.1
|
Rule
13a-14(a) Certification – Principal Executive Officer
|
|
31.2
|
Rule
13a-14(a) Certification – Principal Financial Officer
|
|
32.1
|
Certification
pursuant to 18 U.S.C. Section 1350, as enacted pursuant to Section 906 of
The Sarbanes-Oxley act of 2002.
|
|
32.2
|
Certification
pursuant to 18 U.S.C. Section 1350, as enacted pursuant to Section 906 of
The Sarbanes-Oxley Act of
2002.
|