United Bankshares (UBSI) 8-K United Bankshares, Inc. Announces Increased Earnings for the Second Quarter and First Half of 2005

EXHIBIT 99.1

News Release

For Immediate Release	Contact: Steven E. Wilson
July 26, 2005	Chief Financial Officer
	(304) 424-8704

United Bankshares, Inc. Announces Increased Earnings
for the Second Quarter and First Half of 2005

     WASHINGTON, DC and CHARLESTON, WV— United Bankshares, Inc. (NASDAQ: UBSI), today reported diluted earnings per share from continuing operations of 57¢ and $1.14 for the second quarter and first half of 2005, respectively. These results represent a 12% increase from earnings per diluted share from continuing operations of 51¢ and $1.02 for the second quarter and first half of 2004, respectively. Income from continuing operations was $24.5 million for the second quarter of 2005 as compared to income from continuing operations of $22.5 million for the second quarter of 2004. Income from continuing operations was $49.3 million and $45.1 million for the first half of 2005 and 2004, respectively.

     No income from discontinued operations was recorded for the second quarter and first half of 2005 because the sale of United’s mortgage banking subsidiary occurred in 2004. Income from discontinued operations for the second quarter of 2004 was $1.8 million or 4¢ per diluted share. Income from discontinued operations for the first half of 2004 was $2.7 million or 6¢ per diluted share.

     Net income per diluted share was 57¢ for the second quarter of 2005, which represented a 4% increase from diluted earnings per share of 55¢ for the second quarter of 2004. United generated net income of $24.5 million for the second quarter of 2005 as compared to $24.2 million earned in the second quarter of 2004. Net income per diluted share for the first half of 2005 was $1.14, up 6% from net income per diluted share of $1.08 for the first half of 2004. Net income was $49.3 million and $47.7 million for the first half of 2005 and 2004, respectively.

     Net income for the second quarter of 2005 resulted in a return on average assets of 1.55% and a return on average equity of 15.50%, as compared to 1.51% and 15.38%, respectively, for the second quarter of 2004. For the first half of 2005, United’s return on average assets was 1.56% while the return on average equity was 15.60% as compared to 1.51% and 15.28%, respectively, for the first half of 2004.

     The earnings growth for the second quarter of 2005 from last year’s second quarter was primarily due to increased net interest income. Tax-equivalent net interest income from continuing operations for the second quarter of 2005 was $56.4 million, an increase of $3.9 million or 7% from the second quarter of 2004. This increase in tax-equivalent net interest income from continuing operations was due mainly to a $275.0 million or 5% increase in average earning assets as average loans for the second quarter of 2005 grew $341.0 million or 8% over last year’s second quarter. In addition, the average yield on earning assets for the second quarter of 2005 increased 54 basis points from the second quarter of 2004 as a result of higher interest rates. Partially offsetting these increases to net interest income for the second quarter of 2005 was a corresponding 54 basis

United Bankshares, Inc. Announces...
July 26, 2005
Page Two

point increase in the cost of funds from the second quarter of 2004 due to the higher interest rates. The consolidated net interest margin, which combines the results from continuing and discontinued operations, for the second quarter of 2005 increased 11 basis points to 3.88% from the second quarter 2004 consolidated net interest margin of 3.77%. On a linked-quarter basis, United’s tax-equivalent net interest income from continuing operations for the second quarter of 2005 increased $671 thousand compared to the first quarter of 2005 due primarily to average loan growth of $45.0 million or 1% for the quarter. Portfolio loans outstanding at June 30, 2005 actually grew $131.5 million or 3% from the end of March 2005. However, most of this growth occurred in June and, thus, did not significantly impact the average loans for the quarter. The yield on loans for the second quarter of 2005 increased 17 basis points from the first quarter, but this increase was more than offset by an increase of 19 basis points in the cost of funds. The net interest margin for the second quarter of 2005 of 3.88% was an increase of 3 basis points from the net interest margin of 3.85% for the first quarter of 2005.

     Tax-equivalent net interest income from continuing operations for the first six months of 2005 was $112.2 million, an increase of $7.4 million or 7% from the prior year’s first six months as average earning assets increased $337.1 million or 6% due mainly to average loan growth of $367.9 million or 9%. In addition, the average yield on earning assets for the first half of 2005 increased 40 basis points from the first half of 2004 due to higher interest rates. However, as a result of the higher interest rates, the average cost of funds for the first half of 2005 increased 45 basis points from the first half of 2004. The consolidated net interest margin for the first half of 2005 was 3.86%, up 4 basis points from a consolidated net interest margin of 3.82% during the same period last year.

     Noninterest income from continuing operations for the second quarter and first half of 2005 decreased $342 thousand or 3% and $986 thousand or 4%, respectively, from the second quarter and first half of 2004. The decreases were primarily due to declines in fees from deposit services of $772 thousand or 10% and $1.7 million or 11%, respectively, for the second quarter and first half of 2005 as compared to the same periods last year. Income from bank owned life insurance policies increased $441 thousand and $407 thousand for the second quarter and first half of 2005, respectively, as compared to last year’s income during the same periods. In the third quarter of 2004, United commenced operations of a mortgage title insurance company. Fees from the title company totaled $185 thousand and $304 thousand, respectively, for the second quarter and first half of 2005. Revenue from trust and brokerage services grew $78 thousand or 3% for the second quarter of 2005 over last year’s second quarter revenue. For the first half of 2005, revenue from trust and brokerage services grew $266 thousand or 5% from last year’s first half revenue. On a linked-quarter basis, noninterest income from continuing operations increased $440 thousand or 3% from the first quarter of 2005 due mainly to increased income from deposit services of $510 thousand and bank owned life insurance policies of $495 thousand. Net gains on investment securities’ transactions were down $866 thousand from the first quarter to the second quarter of 2005.

     Noninterest expense from continuing operations for the second quarter of 2005 increased $1.1 million or 4% from the second quarter of 2004. This rise in noninterest expense was primarily due to an increase of $746 thousand or 5% in salaries and benefits expense as a result of higher salaries and increased health insurance and pension costs. Noninterest expense from continuing operations for the first half of 2005 was relatively flat from the first half of 2004, increasing only $221 thousand or less than 1%. On a linked-quarter basis, noninterest expense for the second quarter of 2005 increased $1.8 million or 6% from the first quarter of 2005. This increase was primarily due to increases in several general operating expenses, none of which were individually

United Bankshares, Inc. Announces...
July 26, 2005
Page Three

significant. The efficiency ratio was a low 42.80% and 42.08% for the second quarter and first half of 2005, respectively.

     At June 30, 2005, nonperforming loans were $15.5 million or 0.34% of loans, net of unearned income compared to nonperforming loans of $9.5 million or 0.22% of loans, net of unearned income at March 31, 2005 and $10.8 million or 0.24% of loans, net of unearned income at December 31, 2004, respectively. The increase for the quarter and year-to-date was due mainly to $4.3 million in loans to two commercial customers and one consumer customer that were either 90 days past due or placed on nonaccural at June 30, 2005. These credits are adequately collateralized and were appropriately considered in assessing the adequacy of the allowance for credit losses. United’s credit quality continues to compare favorably to its most recently reported peer group banking companies’ averages despite the increase in nonperforming loans. Net charge-offs were $295 thousand and $1.3 million for the second quarter and first half of 2005, respectively, as compared to $511 thousand and $1.8 million for the second quarter and first half of 2004. For the quarters ended June 30, 2005 and 2004, the provision for credit losses was $504 thousand and $539 thousand, respectively, while the provision for the first six months of 2005 was $1.6 million as compared to $1.9 million for 2004. As of June 30, 2005, the allowances for loan losses and lending-related commitments totaled $51.6 million or 1.14% of loans, net of unearned income, as compared to $51.4 million or 1.16% of loans, net of unearned income at December 31, 2004.

     During the second quarter, United’s Board of Directors declared a cash dividend of 26¢ per share, which represented a 4% increase over the 25¢ per share dividend paid for the second quarter of 2004. The annualized first half dividend of 52¢ per share equals $1.04 which would represent the 32nd consecutive year of dividend increases for United shareholders.

     United Bankshares, with $6.5 billion in assets, presently has 90 full-service offices in West Virginia, Virginia, Maryland, Ohio, and Washington, D.C. United Bankshares stock is traded on the NASDAQ (National Association of Securities Dealers Quotation System) Stock Market System under the quotation symbol “UBSI”.

This press release contains certain forward-looking statements, including certain plans, expectations, goals and projections, which are subject to numerous assumptions, risks and uncertainties. Actual results could differ materially from those contained in or implied by such statements for a variety of factors including: changes in economic conditions; movements in interest rates; competitive pressures on product pricing and services; success and timing of business strategies; the nature and extent of governmental actions and reforms; and rapidly changing technology and evolving banking industry standards.

UNITED BANKSHARES, INC. AND SUBSIDIARIES
FINANCIAL SUMMARY
(In Thousands Except for Per Share Data)

	Three Months Ended						Six Months Ended
	June 30			June 30			June 30			June 30
	2005			2004			2005			2004
EARNINGS SUMMARY:
Interest income, taxable equivalent	$	85,147		$	74,249		$	167,188		$	147,914
Interest expense		28,721			21,715			55,007			43,115
Net interest income, taxable equivalent		56,426			52,534			112,181			104,799
Taxable equivalent adjustment		2,968			3,289			5,733			5,803
Net interest income		53,458			49,245			106,448			98,996
Provision for credit losses		504			539			1,615			1,896
Noninterest income		13,359			13,701			26,278			27,264
Noninterest expenses		30,577			29,473			59,318			59,097
Income taxes related to continuing operations		11,222			10,477			22,519			20,203
Income from continuing operations		24,514			22,457			49,274			45,064
Income from discontinued operations before income taxes		—			2,445			—			3,688
Income taxes related to discontinued operations		—			688			—			1,034
Income from discontinued operations		—			1,757			—			2,654
Net income	$	24,514		$	24,214		$	49,274		$	47,718
PER COMMON SHARE:
From continuing operations:
Basic	$	0.57		$	0.52		$	1.15		$	1.03
Diluted		0.57			0.51			1.14			1.02
From discontinued operations:
Basic		—			0.04			—			0.06
Diluted		—			0.04			—			0.06
Net income:
Basic		0.57			0.56			1.15			1.09
Diluted		0.57			0.55			1.14			1.08
Cash dividends	$	0.26		$	0.25			0.52			0.50
Book value								14.97			14.09
Closing market price							$	35.61		$	32.50
Common shares outstanding:
Actual at period end, net of treasury shares								42,517,597			43,430,523
Weighted average- basic		42,659,573			43,511,510			42,779,299			43,595,898
Weighted average- diluted		43,121,982			44,005,011			43,269,361			44,131,285
FINANCIAL RATIOS:
Return on average assets		1.55	%		1.51	%		1.56	%		1.51	%
Return on average shareholders’ equity		15.50	%		15.38	%		15.60	%		15.28	%
Average equity to average assets		9.97	%		9.84	%		10.01	%		9.91	%
Net interest margin		3.88	%		3.77	%		3.86	%		3.82	%

	June 30		June 30		December 31		March 31
	2005		2004		2004		2005
PERIOD END BALANCES:
Assets	$	6,528,700	$	6,530,289	$	6,435,971	$	6,311,308
Earning assets		6,029,953		5,655,029		5,953,858		5,823,572
Loans, net of unearned income		4,522,577		4,178,172		4,418,276		4,391,093
Loans held for sale		3,232		2,074		3,981		4,488
Investment securities		1,442,407		1,407,105		1,510,442		1,389,152
Total deposits		4,513,941		4,273,848		4,297,563		4,350,439
Shareholders’ equity		636,513		612,101		631,507		626,683

EXHIBIT 99.2

UNITED BANKSHARES, INC. AND SUBSIDIARIES
Charleston, WV
Stock Symbol: UBSI
(In Thousands Except for Per Share Data)

Consolidated Statements of Income

	Three Months Ended									Six Months Ended
	June			June			March			June			June
	2005			2004			2005			2005			2004
Interest & Loan Fees Income	$	82,179		$	70,960		$	79,276		$	161,455		$	142,111
Tax Equivalent Adjustment		2,968			3,289			2,765			5,733			5,803
Interest & Fees Income (FTE)		85,147			74,249			82,041			167,188			147,914
Interest Expense		28,721			21,715			26,286			55,007			43,115
Net Interest Income (FTE)		56,426			52,534			55,755			112,181			104,799
Credit Loss Provision		504			539			1,111			1,615			1,896
Non-Interest Income:
Investment Securities Transactions		58			106			924			982			820
Fees from Trust & Brokerage Services		2,741			2,663			2,758			5,499			5,233
Fees from Deposit Services		7,002			7,774			6,491			13,493			15,171
Other Charges, Commissions, and Fees		1,515			1,282			1,331			2,846			2,368
Income from Mortgage Banking Operations		227			242			126			353			410
Other Non-Interest Revenue		1,816			1,634			1,289			3,105			3,262
Total Non-Interest Income		13,359			13,701			12,919			26,278			27,264
Non-Interest Expense:
Salaries and Employee Benefits		14,921			14,175			14,066			28,987			28,286
Net Occupancy		3,051			3,033			3,095			6,146			6,246
Other Expenses		11,721			11,255			10,698			22,419			22,562
Amortization of Intangibles		586			683			611			1,197			1,433
OREO Expense		150			165			120			270			249
FDIC Expense		148			162			151			299			321
Total Non-Interest Expense		30,577			29,473			28,741			59,318			59,097
Income from Continuing Operations Before Income Taxes (FTE)		38,704			36,223			38,822			77,526			71,070
Tax Equivalent Adjustment		2,968			3,289			2,765			5,733			5,803
Income from Continuing Operations Before Income Taxes		35,736			32,934			36,057			71,793			65,267
Taxes		11,222			10,477			11,297			22,519			20,203
Income from Continuing Operations		24,514			22,457			24,760			49,274			45,064
Income from Discontinued Operations Before Income Taxes		—			2,445			—			—			3,688
Taxes		—			688			—			—			1,034
Income from Discontinued Operations		—			1,757			—			—			2,654
Net Income	$	24,514		$	24,214		$	24,760		$	49,274		$	47,718
MEMO: Effective Tax Rate		31.40	%		31.56	%		31.33	%		31.37	%		30.80	%

UNITED BANKSHARES, INC. AND SUBSIDIARIES
Charleston, WV
Stock Symbol: UBSI
(In Thousands Except for Per Share Data)

Discontinued Operations Statements of Income

	Three Months Ended						Six Months Ended
	June		June		March		June		June
	2005		2004		2005		2005		2004
Interest & Loan Fees Income	$	—	$	3,927	$	—	$	—	$	6,850
Interest Expense		—		971		—		—		1,543
Net Interest Income		—		2,956		—		—		5,307
Non-Interest Income:
Service Charges, Commissions, and Fees		—		351		—		—		565
Income from Mortgage Banking Operations		—		8,899		—		—		15,179
Total Non-Interest Income		—		9,250		—		—		15,744
Non-Interest Expense:
Salaries and Employee Benefits		—		7,749		—		—		13,574
Net Occupancy		—		496		—		—		985
Other Expenses		—		1,516		—		—		2,804
Total Non-Interest Expense		—		9,761		—		—		17,363
Income from Discontinued Operations Before Income Taxes		—		2,445		—		—		3,688
Taxes		—		688		—		—		1,034
Income from Discontinued Operations	$	—	$	1,757	$	—	$	—	$	2,654

UNITED BANKSHARES, INC. AND SUBSIDIARIES
Charleston, WV
Stock Symbol: UBSI
(In Thousands Except for Per Share Data)

Consolidated Balance Sheets

	June 30			June 30
	2005			2004			June 30			December 31			June 30
	Q-T-D Average			Q-T-D Average			2005			2004			2004
Cash & Cash Equivalents	$	177,547		$	197,213		$	210,285		$	153,465		$	218,128
Securities Available for Sale		1,159,649			1,220,937			1,210,780			1,277,160			1,172,897
Held to Maturity Securities		231,789			235,630			231,627			233,282			234,208
Total Securities		1,391,438			1,456,567			1,442,407			1,510,442			1,407,105
Total Cash and Securities		1,568,985			1,653,780			1,652,692			1,663,907			1,625,233
Loans held for sale		3,465			1,766			3,232			3,981			2,074
Commercial Loans		2,459,952			2,245,208			2,517,940			2,440,154			2,260,956
Mortgage Loans		1,589,070			1,449,828			1,612,011			1,579,792			1,501,806
Consumer Loans		397,321			411,374			399,098			404,756			421,651
Gross Loans		4,446,343			4,106,410			4,529,049			4,424,702			4,184,413
Unearned income		(6,402	)		(5,795	)		(6,472	)		(6,426	)		(6,241	)
Loans, net of unearned income		4,439,941			4,100,615			4,522,577			4,418,276			4,178,172
Allowance for Loan Losses		(43,635	)		(50,469	)		(43,585	)		(43,365	)		(42,892	)
Goodwill		166,852			167,587			166,852			166,926			167,283
Other Intangibles		5,932			8,477			5,622			6,819			8,112
Total Intangibles		172,784			176,064			172,474			173,745			175,395
Real Estate Owned		2,657			3,783			2,410			3,692			3,599
Other Assets		216,235			202,275			218,900			215,735			217,433
Assets Related to Discontinued Operations		—			346,261			—			—			371,275
Total Assets	$	6,360,432		$	6,434,075		$	6,528,700		$	6,435,971		$	6,530,289
MEMO: Earning Assets	$	5,823,110		$	5,548,155		$	6,029,953		$	5,953,858		$	5,655,029
Interest-bearing Deposits	$	3,479,012		$	3,291,816		$	3,549,648		$	3,412,224		$	3,393,672
Noninterest-bearing Deposits		892,542			854,683			964,293			885,339			880,176
Total Deposits		4,371,554			4,146,499			4,513,941			4,297,563			4,273,848
Short-term Borrowings		727,266			717,184			760,023			906,958			745,397
Long-term Borrowings		575,413			581,285			556,902			533,755			469,643
Total Borrowings		1,302,679			1,298,469			1,316,925			1,440,713			1,215,040
Other Liabilities		51,986			40,733			61,321			66,188			66,509
Liabilities Related to Discontinued Operations		—			315,132			—			—			362,791
Total Liabilities		5,726,219			5,800,833			5,892,187			5,804,464			5,918,188
Common Equity		634,213			633,242			636,513			631,507			612,101
Total Shareholders’ Equity		634,213			633,242			636,513			631,507			612,101
Total Liabilities & Equity	$	6,360,432		$	6,434,075		$	6,528,700		$	6,435,971		$	6,530,289

UNITED BANKSHARES, INC. AND SUBSIDIARIES
Charleston, WV
Stock Symbol: UBSI
(In Thousands Except for Per Share Data)

	Three Months Ended						Six Months Ended
	June		June		March		June		June
Quarterly/Year-to-Date Share Data:	2005		2004		2005		2005		2004
Earnings Per Share from Continuing Operations:
Basic	$	0.57	$	0.52	$	0.58	$	1.15	$	1.03
Diluted	$	0.57	$	0.51	$	0.57	$	1.14	$	1.02
Earnings Per Share from Discontinued Operations:
Basic	$	—	$	0.04	$	—	$	—	$	0.06
Diluted	$	—	$	0.04	$	—	$	—	$	0.06
Earnings Per Share:
Basic	$	0.57	$	0.56	$	0.58	$	1.15	$	1.09
Diluted	$	0.57	$	0.55	$	0.57	$	1.14	$	1.08
Common Dividend Declared Per Share	$	0.26	$	0.25	$	0.26	$	0.52	$	0.50
High Common Stock Price	$	36.45	$	33.67	$	38.62	$	38.62	$	33.67
Low Common Stock Price	$	29.82	$	29.15	$	32.00	$	29.82	$	29.15
Average Shares Outstanding: (Net of Treasury Stock):
Basic		42,659,573		43,511,510		42,900,416		42,779,299		43,595,898
Diluted		43,121,982		44,005,011		43,418,579		43,269,361		44,131,285
Memorandum Items:
Tax Applicable to Security Transactions	$	20	$	37	$	323	$	344	$	287
Common Dividends	$	11,072	$	10,867	$	11,138	$	22,210	$	21,783

	June		June		March
EOP Share Data:	2005		2004		2005
Book Value Per Share	$	14.97	$	14.09	$	14.65
Tangible Book Value Per Share	$	10.91	$	10.06	$	10.60
52-week High Common Stock Price	$	39.35	$	33.67	$	39.35
Date		12/02/04		06/24/04		12/02/04
52-week Low Common Stock Price	$	29.82	$	28.37	$	29.15
Date		04/29/05		07/01/03		05/10/04
EOP Shares Outstanding (Net of Treasury Stock):		42,517,597		43,430,523		42,790,954
Memorandum Items:
EOP Employees (full-time equivalent)		1,302		1,577		1,319

UNITED BANKSHARES, INC. AND SUBSIDIARIES
Charleston, WV
Stock Symbol: UBSI
(In Thousands Except for Per Share Data)

	Three Months Ended									Six Months Ended
	June			June			March			June			June
	2005			2004			2005			2005			2004
Selected Yields and Net Interest Margin:
Loans		6.20	%		5.61	%		6.03	%		6.11	%		5.68	%
Investment Securities		4.85	%		4.58	%		4.68	%		4.77	%		4.55	%
Money Market Investments/FFS		2.77	%		1.12	%		1.94	%		2.39	%		1.48	%
Average Earning Assets Yield		5.86	%		5.32	%		5.67	%		5.77	%		5.37	%
Interest-bearing Deposits		1.92	%		1.38	%		1.73	%		1.83	%		1.37	%
Short-term Borrowings		2.21	%		0.93	%		1.87	%		2.04	%		0.95	%
Long-term Borrowings		5.63	%		4.54	%		5.39	%		5.51	%		4.51	%
Average Liability Costs		2.41	%		1.87	%		2.22	%		2.32	%		1.87	%
Net Interest Spread		3.45	%		3.45	%		3.45	%		3.45	%		3.50	%
Net Interest Margin		3.88	%		3.77	%		3.85	%		3.86	%		3.82	%
Selected Financial Ratios:
Return on Average Common Equity		15.50	%		15.38	%		15.71	%		15.60	%		15.28	%
Return on Average Assets		1.55	%		1.51	%		1.58	%		1.56	%		1.51	%
Efficiency Ratio		42.80	%		49.00	%		41.34	%		42.08	%		49.10	%

	June			June			March
	2005			2004			2005
Loan / Deposit Ratio		100.19	%		97.76	%		100.93	%
Allowance for Loan Losses/ Loans, net of unearned income		0.96	%		1.03	%		0.99	%
Allowance for Credit Losses(1)/ Loans, net of unearned income		1.14	%		1.23	%		1.17	%
Nonaccrual Loans / Loans, net of unearned income		0.21	%		0.17	%		0.14	%
90-Day Past Due Loans/ Loans, net of unearned income		0.13	%		0.24	%		0.08	%
Non-performing Loans/ Loans, net of unearned income		0.34	%		0.40	%		0.22	%
Non-performing Assets/ Total Assets		0.27	%		0.31	%		0.20	%
Primary Capital Ratio		10.46	%		10.08	%		10.66	%
Shareholders’ Equity Ratio		9.75	%		9.37	%		9.93	%
Price / Book Ratio		2.38	x		2.31	x		2.26	x
Price / Earnings Ratio		15.66	x		15.03	x		14.53	x

UNITED BANKSHARES, INC. AND SUBSIDIARIES
Charleston, WV
Stock Symbol: UBSI
(In Thousands Except for Per Share Data)

	June		June		December		March
Asset Quality Data:	2005		2004		2004		2005
EOP Non-Accrual Loans	$	9,510	$	6,966	$	6,352	$	5,955
EOP 90-Day Past Due Loans		5,955		9,843		4,425		3,565
Total EOP Non-performing Loans	$	15,465	$	16,809	$	10,777	$	9,520
EOP Other Real Estate & Assets Owned		2,410		3,599		3,692		2,974
Total EOP Non-performing Assets	$	17,875	$	20,408	$	14,469	$	12,494

	Three Months Ended									Six Months Ended
	June			June			March			June			June
Allowance for Credit Losses:(1)	2005			2004			2005			2005			2004
Beginning Balance	$	51,424		$	51,351		$	51,353		$	51,353		$	51,309
Provision Expense		504			539			1,111			1,615			1,896
		51,928			51,890			52,464			52,968			53,205
Gross Charge-offs		(1,039	)		(1,076	)		(1,538	)		(2,577	)		(2,838	)
Recoveries		744			565			498			1,242			1,012
Net Charge-offs		(295	)		(511	)		(1,040	)		(1,335	)		(1,826	)
Ending Balance	$	51,633		$	51,379		$	51,424		$	51,633		$	51,379

Note: (1) Includes allowances for loan losses and lending-related commitments.