SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C.
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) August 18, 1995
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United Bankshares, Inc.
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(Exact name of registrant as specified in its charter)
West Virginia 0-13322 55-0641179
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(State or other jurisdiction of (Commission (I.R.S. Employer
incorporation or organization) File No.) Identification No.)
300 United Center
500 Virginia Street, East
Charleston, West Virginia 25301
------------------------- -----
(Address of principal executive offices) Zip Code
(304) 424-8761
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(Registrant's telephone number, including area code)
Not Applicable
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(Former name or address, if changed since last report)
Item 5. Other Events
------------
Following the close of business on August 18, 1995, United Bankshares, Inc.
("United") and Eagle Bancorp, Inc. ("Eagle") entered into an Agreement and Plan
of Merger (the "Agreement") which sets forth the terms and conditions under
which Eagle would merge with and into United (the "Merger").
The Agreement provides that upon consummation of the Merger, each
outstanding share of common stock of Eagle (other than any shares held by United
other than in a fiduciary capacity or in satisfaction of a debt previously
contracted) shall, by virtue of the Merger and without any action on the part of
the holder thereof, be converted into the right to receive 1.15 shares of United
common stock, plus the right to receive cash in lieu of any fractional share
without interest.
In connection with the execution of the Agreement, United National Bank
("UNB"), a wholly-owned subsidiary of United, and First Empire Federal Savings
and Loan Association ("First Empire"), a wholly-owned subsidiary of Eagle,
entered into an Agreement and Plan of Merger dated as of August 18, 1995, (the
"Bank Agreement"). The Bank Agreement sets forth the terms and conditions,
including the Merger, pursuant to which First Empire would merge with and into
UNB substantially concurrently with the Merger (the "Bank Merger").
Consummation of the Merger is subject to approval of the shareholders of
United and Eagle and the receipt of all required regulatory approvals, as well
as other customary conditions.
Pursuant to the Agreement and related Stockholder Agreements, the holders
of approximately 23% and 28% of the outstanding United common stock and Eagle
common stock, respectively, have agreed to vote their shares in favor of the
Merger.
The Agreement permits Eagle to continue to pay its regular quarterly
dividends of $0.14 per share of Eagle common stock prior to the consummation of
the Merger, but otherwise prohibits the payment of dividends on Eagle common
stock. Pursuant to the Agreement, Eagle will adjust the record and payment
dates of its regular quarterly dividends to coincide with the record and payment
dates for United's regular quarterly dividends. The record dates for United's
regular quarterly dividends occur in mid-September, mid-December, mid-March and
mid-June, and the respective payment dates occur in the first few days of the
succeeding month.
The Agreement contains a provision that Eagle must pay United $1,500,000 in
the event that certain events occur prior to a termination of the Agreement in
accordance with its terms.
Item 7. Financial Statements, Pro Forma Financial Information and
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Exhibits
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(a) Not Applicable.
(b) Pro Forma Financial Information
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Page No.
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(1) Unaudited Pro Forma Condensed Financial Statements
of United Bankshares, Inc. and Eagle Bancorp, Inc.
Pro Forma Condensed Consolidated Balance Sheets
as of June 30, 1995................................ 6
Pro Forma Condensed Consolidated Balance Sheets
as of December 31, 1994............................ 7
Pro Forma Condensed Consolidated Balance Sheets
as of December 31, 1993............................ 8
Pro Forma Condensed Consolidated Statements of
Income for the Six Months Ended June 30, 1995...... 9
Pro Forma Condensed Consolidated Statements of
Income for the Year Ended December 31, 1994....... 10
Pro Forma Condensed Consolidated Statements of
Income for the Year Ended December 31, 1993....... 11
Pro Forma Condensed Consolidated Statements of
Income for the Year Ended December 31, 1992....... 12
Notes to Unaudited Pro Forma Condensed Consolidated
Financial Statements ............................. 13
(c) Exhibits
--------
2 Agreement and Plan of Merger, dated as of August 18,
1995, between United Bankshares, Inc. and Eagle Bancorp,
Inc. (including Annexes I, II and III and Schedule I
thereto).
99(a) Stockholder Agreement, dated as of August 18, 1995,
between United Bankshares, Inc. and certain stockholders
of Eagle Bancorp, Inc.
99(b) Stockholder Agreement, dated as of August 18, 1995,
between Eagle Bancorp, Inc. and certain stockholders of
United Bankshares, Inc.
SIGNATURES
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Pursuant to the requirements of the Securities and Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
UNITED BANKSHARES, INC.
Date August 25, 1995 By /s/ Joseph Wm. Sowards
------------------- ---------------------------------
Joseph Wm. Sowards
Its Executive Vice President
and Secretary
Unaudited Pro Forma Condensed Financial Statements
(As of June 30, 1995, and December 31, 1994 and 1993
and for the Six Months Ended June 30, 1995, and the
Years Ended December 31, 1994, 1993 and 1992)
PRO FORMA CONDENSED BALANCE SHEET (UNAUDITED)
UNITED BANKSHARES, INC. AND SUBSIDIARIES
June 30,1995
(in thousands)
As Reported UBS & EAGLE
------------------------ Pro Forma Pro Forma
UBS EAGLE Adjustments Consolidated
------------ ---------- --------------- ------------
ASSETS
Cash and due from bank $ 78,725 $ 10,711 $ 89,436
Investment securities 331,320 12,326 343,646
Loans (net of unearned income) 1,314,987 356,321 1,671,308
Less: allowance for loan losses (20,079) (2,430) (22,509)
---------- -------- ---------- ------------
Net loans 1,294,908 353,891 1,648,799
Bank premises and equipment 30,170 4,291 34,461
Goodwill 7,458 (1,299) 6,159
Other intangible assets 2,068 2,068
Other assets 25,557 3,948 29,505
---------- -------- ---------- ------------
Total Assets $1,770,206 $383,868 $ 0 $2,154,074
========== ======== ========== ============
LIABILITIES AND STOCKHOLDERS' EQUITY
Demand deposits $ 227,776 $ 13,193 $ 240,969
Interest-bearing deposits 1,208,557 294,258 1,502,815
---------- -------- ---------- ------------
Total deposits 1,436,333 307,451 1,743,784
Short-term borrowings 92,927 92,927
Federal Home Loan Bank borrowings 33,900 22,015 55,915
Other liabilities 19,504 7,319 26,823
---------- -------- ---------- ------------
Total Liabilities 1,582,664 336,785 1,919,449
Stockholders' equity:
Common stock 29,886 273 7,574 (1) 37,733
Surplus 32,176 11,969 (7,574)(1) 36,571
Treasury stock (3,541) (3,541)
Retained earnings l28,408 34,758 163,166
Net unrealized holding gain on AFS securities 613 83 696
---------- -------- ---------- ------------
Total Stockholders' Equity 187,542 47,083 0 234,625
---------- -------- ---------- ------------
Total Liabilities and
Stockholders' Equity $1,770,206 $383,868 $ 0 $2,154,074
========== ======== ========== ============
PRO FORMA CONDENSED BALANCE SHEET (UNAUDITED)
UNITED BANKSHARES, INC. AND SUBSIDIARIES
December 31, 1994
(in thousands)
As Reported UBS & EAGLE
------------------------ Pro Forma Pro Forma
UBS EAGLE Adjustments Consolidated
------------ ---------- --------------- ------------
ASSETS
Cash and due from bank $ 82,763 $ 12,259 $ 95,022
Investment securities 360,883 11,186 372,069
Loans (net of unearned income) 1,297,077 355,198 1,652,275
Less: allowance for loan losses (20,008) (2,296) (22,304)
---------- -------- ---------- ------------
Net loans 1,277,069 352,902 1,629,971
Bank premises and equipment 30,769 3,867 34,636
Goodwill 7,965 (1,374) 6,591
Other intangible assets 2,312 2,312
Other assets 25,880 3,859 29,739
---------- -------- ---------- ------------
Total Assets $1,787,641 $382,699 $ 0 $2,170,340
========== ======== ========== ============
LIABILITIES AND STOCKHOLDERS' EQUITY
Demand deposits $ 244,591 $ 10,501 $ 255,092
Interest-bearing deposits 1,190,261 267,162 1,457,423
---------- -------- ---------- ------------
Total deposits 1,434,852 277,663 1,712,515
Short-term borrowings 71,809 71,809
Federal Home Loan Bank borrowings 83,972 54,402 138,374
Other liabilities 17,262 4,746 22,008
---------- -------- ---------- ------------
Total Liabilities 1,607,895 336,811 1,944,706
Stockholders' equity:
Common stock 29,886 273 7,574 (1) 37,733
Surplus 32,331 11,969 (7,574)(1) 36,726
Treasury stock (3,346) (3,346)
Retained earnings l21,318 33,667 154,985
Net unrealized holding (loss) on AFS securities (443) (21) (464)
---------- -------- ---------- ------------
Total Stockholders' Equity 179,746 45,888 0 225,634
---------- -------- ---------- ------------
Total Liabilities and
Stockholders' Equity $1,787,641 $382,699 $ 0 $2,170,340
========== ======== ========== ============
PRO FORMA CONDENSED BALANCE SHEET (UNAUDITED)
UNITED BANKSHARES, INC. AND SUBSIDIARIES
December 31, 1993
(in thousands)
As Reported UBS & EAGLE
------------------------ Pro Forma Pro Forma
UBS EAGLE Adjustments Consolidated
------------ ---------- --------------- ------------
ASSETS
Cash and due from bank $ 60,850 $ 19,335 $ 80,185
Investment securities 430,427 9,272 439,699
Loans (net of unearned income) 1,180,787 281,787 1,462,574
Less: allowance for loan losses (19,015) (1,960) (20,975)
---------- -------- ---------- ------------
Net loans 1,161,772 279,827 1,441,599
Bank premises and equipment 31,113 3,787 34,900
Goodwill 8,983 (1,522) 7,461
Other intangible assets 3,286 3,286
Other assets 23,753 4,569 28,322
---------- -------- ---------- ------------
Total Assets $1,720,184 $315,268 $ 0 $2,035,452
========== ======== ========== ============
LIABILITIES AND STOCKHOLDERS' EQUITY
Demand deposits $ 229,131 $ 9,370 $ 238,501
Interest-bearing deposits 1,201,398 258,016 1,459,414
---------- -------- ---------- ------------
Total deposits 1,430,529 267,386 1,697,915
Short-term borrowings 72,610 72,610
Federal Home Loan Bank borrowings 32,203 252 32,455
Other liabilities 13,870 4,555 18,425
---------- -------- ---------- ------------
Total Liabilities 1,549,212 272,193 1,821,405
Stockholders' equity:
Common stock 29,886 273 7,574 (1) 37,733
Surplus 32,616 11,969 (7,574)(1) 37,011
Treasury stock (550) (550)
Retained earnings 109,020 30,833 139,853
---------- -------- ---------- ------------
Total Stockholders' Equity 170,972 43,075 0 214,047
---------- -------- ---------- ------------
Total Liabilities and
Stockholders' Equity $1,720,184 $315,268 $ 0 $2,035,452
========== ======== ========== ============
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
UNITED BANKSHARES, INC. AND SUBSIDIARIES
For the Six Months Ended June 30,1995
(Dollars in thousands, except per share)
As Reported UBS & EAGLE
--------------------- Pro Forma Pro Forma
UBS EAGLE Adjustments Consolidated
--------- --------- ----------- ------------
Interest income $67,278 $14,815 $82,093
Interest expense 26,676 7,725 34,401
------- ------- --------- -------
Net interest income 40,602 7,090 47,692
Provision for possible loan losses 925 130 1,055
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Net interest income after provision
for possible loan losses 39,677 6,960 46,637
Other income 6,354 864 7,218
Other expenses 24,778 3,894 28,672
------- ------- --------- -------
Income before income taxes 21,253 3,930 25,183
Income taxes 7,314 1,256 8,570
------- ------- --------- -------
Net income $13,939 $ 2,674 $16,613
======= ======= ========= =======
Earnings per common share: $1.17 $0.98 $1.11
--------------------------
Average outstanding shares 11,889,027 2,729,468 15,027,915
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
UNITED BANKSHARES, INC. AND SUBSIDIARIES
For the Year Ended December 31,1994
(Dollars in thousands, except per share)
As Reported UBS & EAGLE
---------------------- Pro Forma Pro Forma
UBS EAGLE Adjustments Consolidated
--------- ----------- ----------- ------------
Interest income $121,157 $26,480 $147,637
Interest expense 43,887 11,785 55,672
-------- ------- -------- ------
Net interest income 77,270 14,695 91,965
Provision for possible loan losses 1,818 384 2,202
-------- ------- -------- --------
Net interest income after provision
for possible loan losses 75,452 14,311 89,763
Other income 11,222 1,016 12,238
Other expenses 48,676 7,232 55,908
-------- ------- -------- --------
Income before income taxes 37,998 8,095 46,093
Income taxes 13,096 2,613 15,709
-------- ------- -------- --------
Net income $ 24,902 $ 5,482 $ 30,384
======== ======= ======== ========
Earnings per common share: $2.08 $2.01 $2.01
--------------------------
Average outstanding shares 11,993,062 2,729,468 15,131,950
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
UNITED BANKSHARES, INC. AND SUBSIDIARIES
For the Year Ended December 31, 1993
(Dollars in thousands, except per share)
As Reported UBS & EAGLE
---------------------- Pro Forma Pro Forma
UBS EAGLE Adjustments Consolidated
--------- ----------- ----------- ------------
Interest income $ 116,505 $ 24,119 $ 140,624
Interest expense 45,009 10,028 55,037
----------- ---------- ----------- -----------
Net interest income 71,496 14,091 85,587
Provision for possible loan losses 4,332 498 4,830
----------- ---------- ----------- -----------
Net interest income after provision
for possible loan losses 67,164 13,593 80,757
Other income 12,673 1,627 14,300
Other expenses 49,690 6,417 56,107
----------- ---------- ----------- -----------
Income before income taxes 30,147 8,803 38,950
Income taxes 9,770 2,712 12,482
----------- ---------- ----------- -----------
Income before cumulative effect
of change in accounting principle 20,377 6,091 26,468
Cumulative effect of change in method
of accounting for income taxes 1,329 1,329
----------- ---------- ----------- -----------
Net income $ 21,706 $ 6,091 $ 27,797
=========== ========== =========== ===========
Earnings per common share:
--------------------------
Income before cumulative effect of
accounting change $ 1.71 $ 2.24 $1.76
Cumulative effect of accounting change 0.11 0.09
----------- ---------- ----------- -----------
Net income $ 1.82 $ 2.24 $1.85
=========== ========== =========== ===========
Average outstanding shares 11,922,521 2,718,930 15,049,291
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
UNITED BANKSHARES, INC. AND SUBSIDIARIES
For the Year Ended December 31,1992
(Dollars in thousands, except per share)
As Reported UBS & EAGLE
--------------------- Pro Forma Pro Forma
UBS EAGLE Adjustments Consolidated
--------- ---------- ----------- ------------
Interest income $113,502 $22,927 $136,429
Interest expense 49,897 10,922 60,819
-------- ------- -------- --------
Net interest income 63,605 12,005 75,610
Provision for possible loan losses 4,242 566 4,808
-------- ------- -------- --------
Net interest income after provision
for possible loan losses 59,363 11,439 70,802
Other income 11,123 766 11,889
Other expenses 46,991 5,635 52,626
-------- ------- -------- --------
Income before income taxes 23,495 6,570 30,065
Income taxes 7,136 2,144 9,280
-------- ------- -------- --------
Net income $ 16,359 $ 4,426 $ 20,785
======== ======= ======== ========
Earnings per common share: $1.52 $1.67 $1.51
--------------------------
Average outstanding shares 10,737,688 2,650,592 13,785,869
NOTES TO UNAUDITED PRO FORMA CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
UNITED BANKSHARES, INC. AND SUBSIDIARIES
Notes to Pro Forma Condensed Balance Sheets
-------------------------------------------
1) The stockholders' equity accounts are adjusted to reflect the issuance of
3,138,888 shares of United common stock at $2.50 par value. United will
exchange 1.15 shares of its common stock for each of the 2,729,468
shares of Eagle common stock outstanding.
NOTE: The effect of United's pending acquisition of First Commercial
----- Bank, Arlington, Virginia has not been reflected in the accompanying
unaudited pro forma condensed consolidated financial statements. If
the effect had been included in the accompanying unaudited pro forma
condensed consolidated financial statements, the results would not be
materially different than those presented herein.
Exhibit Index
Page No.
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2 Agreement and Plan of Merger, dated as of August 18, 1995,
between United Bankshares, Inc. and Eagle Bancorp, Inc.
(including Annexes I, II and III and Schedule I thereto)............16
99(a) Stockholder Agreement, dated as of August 18, 1995, between
United Bankshares, Inc. and certain stockholders of Eagle
Bancorp, Inc........................................................76
99(b) Stockholder Agreement, dated as of August 18, 1995, between
Eagle Bancorp, Inc. and certain stockholders of United
Bankshares, Inc.....................................................82