United Bankshares, Inc., today reported record earnings for the second quarter and the first half of 2000. Earnings per share improved by 8% for the second quarter and first half of 2000 to 43˘ and 85˘ as compared to 40˘ and 79˘ for the same periods of 1999, respectively. Quarterly net income was $18.1 million compared with $17.8 million a year earlier. Net income for the first six months of 2000 was $36.1 million compared to $35.0 million for the prior year's first six months. Cash earnings per share were 44˘ and 88˘ for the second quarter and first half of 2000, respectively.

United's key performance ratios were strong for the three months and six months ended June 30, 2000, United's return on average assets was 1.47% and 1.46%, respectively while the return on average equity was 18.19% and 18.12%, respectively. On a cash basis, return on average tangible assets was 1.53% for both the second quarter and first half of 2000 and return on average tangible equity was 20.84% and 20.90%, respectively for the same periods of time. These key financial performance ratios are indicative of United's earnings strength and strong capital levels. United continues to be one of the best performing regional banking companies in the nation.

United continues to maintain effective cost control measures. Noninterest expense for the quarter declined 7% compared to the second quarter of 1999 and was down 5% for the first six months of 2000 over last year's first six months' results. The efficiency ratio was a low 43.56% and 44.44% for the second quarter and first half of 2000, respectively. This ratio compares very favorably to regional and national peer group banking companies.

United's asset quality improved for the quarter and remains sound with the nonperforming asset level at 0.4% of total assets, a 10 basis point decline from the end of March. As of June 30, 2000, the allowance for loan losses was $39.3 million or 1.24% of net loans and provided coverage of 230% of nonperforming loans. United is categorized as well capitalized based on the risk-based capital ratio, considerably exceeding the regulatory minimum requirement. All these measures provide evidence that United's financial position is strong.

During the quarter, United's Board of Directors declared a cash dividend of 21˘ per share, a 5% increase over the 20˘ per share paid in the second quarter of 1999. The annualized first half dividend of 42˘ per share equals 84˘ which would represent the twenty-seventh consecutive year of dividend increases for United shareholders.

United Bankshares, with $5 billion in assets, has 77 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) National 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

EARNINGS SUMMARY:

Interest income, taxable equivalent

$96,577

$88,391

$192,721

$175,160

Interest expense

48,632

42,415

95,174

81,948

Net interest income, taxable equivalent

47,945

45,976

97,547

93,212

Taxable equivalent adjustment

2,514

1,369

5,390

2,634

Net interest income

45,431

44,607

92,157

90,578

Provision for loan losses

3,851

1,761

6,398

2,525

Income (loss) from mortgage banking operations

4,159

6,095

7,542

10,513

Gain (loss) on security transactions

505

71

823

71

Other noninterest income

7,800

6,287

14,900

12,508

Noninterest expenses

27,106

29,070

55,249

57,891

Income taxes

8,815

8,433

17,664

18,297

Net income

18,123

17,796

36,111

34,957

Cash dividends paid

8,812

8,667

17,691

17,325

PER COMMON SHARE:

Net income:

Basic

0.43

0.41

0.86

0.81

Diluted

0.43

0.40

0.85

0.79

Diluted – cash basis

0.44

0.42

0.88

0.82

Cash dividends paid

0.21

0.20

0.42

0.40

Book value

9.60

9.19

Closing market price

18.188

26.500

Common shares outstanding:

Actual, net of treasury shares

41,910,723

43,263,106

Average basic

41,931,050

43,322,319

42,110,730

43,298,879

Average diluted

42,264,141

44,013,035

42,449,089

43,976,863

FINANCIAL RATIOS:

Return on average assets

1.47%

1.47%

1.46%

1.50%

Return on average shareholders’ equity

18.19%

16.43%

18.12%

16.30%

Average equity to average assets

8.11%

8.97%

8.08%

9.19%

Net interest margin

4.13%

4.03%

4.18%

4.20%

December 31 1999

March 31 2000

PERIOD END BALANCES:

Assets

4,991,051

5,005,240

5,069,160

4,980,745

Earning assets

4,740,443

4,728,576

4,789,191

4,734,578

Loans, net of unearned income

3,221,646

2,887,818

3,170,096

3,230,245

Loans held for sale

153,701

146,656

117,825

102,109

Investment securities

1,353,317

1,690,711

1,472,553

1,396,949

Total deposits

3,270,925

3,391,484

3,260,985

3,274,505

Shareholders’ equity

402,135

397,596

395,930

393,822