Union Bankshares Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Union Bankshares Inc. has submitted its 2023 10-K filing, providing a detailed financial overview for the fiscal year.</b>

AI Summary

UNION BANKSHARES INC (UNB) filed a Annual Report (10-K) with the SEC on March 26, 2024. Union Bankshares Inc. filed its annual report for the fiscal year ending December 31, 2023. The filing is a Form 10-K, indicating a comprehensive overview of the company's financial performance and condition. The company is incorporated in Vermont (VT) and operates within the Commercial Banks sector (SIC 6022). The filing includes data for the fiscal years 2021, 2022, and 2023, detailing changes in equity accounts. Specific segments like 'Residential Portfolio' and 'Non-Revolving Residential Real Estate' are mentioned in relation to 2022 data.

Why It Matters

For investors and stakeholders tracking UNION BANKSHARES INC, this filing contains several important signals. This 10-K filing provides stakeholders with a comprehensive update on Union Bankshares Inc.'s financial health, operational performance, and strategic positioning for the fiscal year 2023. The detailed financial data, including equity accounts and segment information, allows investors and analysts to assess the bank's stability, growth trends, and potential risks.

Risk Assessment

Risk Level: low — UNION BANKSHARES INC shows low risk based on this filing. The filing is a standard annual report (10-K) with no immediate red flags, indicating routine disclosure of financial information.

Analyst Insight

Review the detailed financial statements and risk factors within the 10-K to understand Union Bankshares Inc.'s performance and outlook for the upcoming fiscal year.

Key Numbers

• 2023-12-31 — Fiscal Year End (Conformed period of report)
• 2024-03-26 — Filing Date (Date the report was filed)
• 153 — Public Document Count (Number of documents in the filing)
• 001-15985 — SEC File Number (SEC's file number for the company)

Key Players & Entities

• UNION BANKSHARES INC (company) — Filer name
• UNB (company) — Ticker symbol
• 2023-12-31 (date) — Fiscal year end
• 2024-03-26 (date) — Filing date
• Vermont (location) — State of incorporation
• 6022 (industry) — Standard Industrial Classification for Commercial Banks

FAQ

Industry Context

Union Bankshares Inc. operates as a commercial bank, a sector characterized by lending, deposit-taking, and various financial services.

Regulatory Implications

As a commercial bank, Union Bankshares Inc. is subject to extensive regulation by federal and state authorities to ensure financial stability and consumer protection.

What Investors Should Do

1. Analyze the balance sheet and income statement for trends in assets, liabilities, revenue, and expenses.
2. Examine any disclosed risk factors to understand potential challenges facing the bank.
3. Compare key financial metrics to previous years to identify performance changes.

Key Dates

• 2023-12-31: Fiscal Year End — Marks the end of the reporting period for the 10-K.
• 2024-03-26: Filing Date — Date the 10-K was officially submitted to the SEC.

Year-Over-Year Comparison

This filing represents the annual 10-K for the fiscal year 2023, providing a year-end summary compared to previous filings.

Key Financial Figures

• $2.00 — ction 12(b) of the Act: Common Stock, $2.00 par value UNB The NASDAQ Stock Market L
• $23.25 — NASDAQ Stock Market LLC on such date of $23.25 per share. For purposes of this calcula

Filing Documents

• unb-20231231.htm (10-K) — 2797KB
• a123123exhibit191.htm (EX-19.1) — 42KB
• a123123exhibit211.htm (EX-21.1) — 2KB
• a123123exhibit231.htm (EX-23.1) — 8KB
• a123123exhibit311.htm (EX-31.1) — 10KB
• a123123exhibit312.htm (EX-31.2) — 9KB
• a123123exhibit321.htm (EX-32.1) — 4KB
• a123123exhibit322.htm (EX-32.2) — 4KB
• a123123exhibit97.htm (EX-97) — 41KB
• berrydunnlogo.jpg (GRAPHIC) — 11KB
• berrydunnsignaturea36.jpg (GRAPHIC) — 12KB
• unb-20231231_g1.jpg (GRAPHIC) — 130KB
• unb-20231231_g2.jpg (GRAPHIC) — 11KB
• unb-20231231_g3.jpg (GRAPHIC) — 12KB
• 0000706863-24-000028.txt (&nbsp;) — 16168KB
• unb-20231231.xsd (EX-101.SCH) — 92KB
• unb-20231231_cal.xml (EX-101.CAL) — 169KB
• unb-20231231_def.xml (EX-101.DEF) — 442KB
• unb-20231231_lab.xml (EX-101.LAB) — 954KB
• unb-20231231_pre.xml (EX-101.PRE) — 778KB
• unb-20231231_htm.xml (XML) — 3086KB

- Risk Factors 13

Item 1A - Risk Factors 13

- Unresolved Staff Comments 23

Item 1B - Unresolved Staff Comments 23

- Cybersecurity 23

Item 1C - Cybersecurity 23

- Properties 24

Item 2 - Properties 24

- Legal Proceedings 24

Item 3 - Legal Proceedings 24

- Mine Safety Disclosures 24

Item 4 - Mine Safety Disclosures 24 Part II Item 5 - Market for Registrant's Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities 24

- [Reserved] 26

Item 6 - [Reserved] 26

- Management's Discussion and Analysis of Financial Condition and Results of Operations 27

Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations 27

- Quantitative and Qualitative Disclosures about Market Risk 47

Item 7A - Quantitative and Qualitative Disclosures about Market Risk 47

- Financial Statements and Supplementary Data 48

Item 8 - Financial Statements and Supplementary Data 48

- Changes in and Disagreements with Accountants on Accounting and Financial Disclosures 96

Item 9 - Changes in and Disagreements with Accountants on Accounting and Financial Disclosures 96

- Controls and Procedures 96

Item 9A - Controls and Procedures 96

- Other Information 96

Item 9B - Other Information 96

- Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 96

Item 9C - Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 96 Part III

- Directors, Executive Officers and Corporate Governance (a) 96

Item 10 - Directors, Executive Officers and Corporate Governance (a) 96

- Executive Compensation (a) 97

Item 11 - Executive Compensation (a) 97

- Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters (a) 97

Item 12 - Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters (a) 97

- Certain Relationships and Related Transactions, and Director Independence (a) 97

Item 13 - Certain Relationships and Related Transactions, and Director Independence (a) 97

- Principal Accountant Fees and Services (a) 98

Item 14 - Principal Accountant Fees and Services (a) 98 Part IV

- Exhibits, Financial Statement Schedules and Reports on Form 8-K 98

Item 15 - Exhibits, Financial Statement Schedules and Reports on Form 8-K 98

- Form 10-K Summary 100

Item 16 - Form 10-K Summary 100 Signatures 100 Exhibit Index 101 ____________________ (a) The information required by Part III Items 10, 11, 12, 13 and 14 is incorporated herein by reference, in whole or in part, from the Company's Proxy Statement for the Annual Meeting of Shareholders to be held on May 17, 2023. The incorporation by reference herein of portions of the Proxy Statement shall not be deemed to specifically incorporate by reference the information referred to in Items 407(d)(1)-(3) of Regulation S-K or the information required to be included in the Proxy Statement pursuant to Item 402(v) of Regulation S-K. Incorporation by reference of this report into any registration statement filed by the Company under the Securities Act of 1933, as amended shall not be deemed to incorporate by reference the information referred to in Item 201(e) of Regulation S-K. 3

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS The Company may from time to time make written or oral statements that are considered "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may include financial projections, statements of plans and objectives for future operations, estimates of future economic performance or conditions and assumptions relating thereto. The Company may include forward-looking statements in its filings with the SEC, in its reports to stockholders, including this Annual Report, in press releases, other written materials, and in statements made by senior management to analysts, rating agencies, institutional investors, representatives of the media and others. Forward-looking statements reflect management's current expectations and are subject to uncertainties, both general and specific, and risk exists that actual results will differ from those predictions, forecasts, projections and other estimates contained in forward-looking statements. These risks cannot be readily quantified. When management uses any of the terms "believes," "expects," "predicts," "anticipates," "intends," "projects," "potential," "plans," "seeks," "estimates," "targets," "goals," "may," "might," "could," "would," "should," or similar expressions, they are making forward-looking statements. Many possible events or factors, including those beyond the control of management, could affect the future financial results and performance of the Company. Factors that may cause results or performance to differ materially from those expressed in forward-looking statements include, but are not limited to: interest rate risk, including the effects of recent and anticipated rate changes by the FRB; fluctuations in the values of the securities held in our securities portfolio as the result of higher interest rates, which has resulted in unrealized losses in our securities portfolios; increased competitive pressures, inc

Business

Item 1. Business Certain Definitions: Capitalized terms used in the following discussion and not otherwise defined below have the meanings assigned to them in Note 1 to the Company's audited consolidated financial statements contained in Part II, item 8, page 55 of this Annual Report. General: Union Bankshares, Inc. ("Company") is a one-bank holding company whose sole subsidiary is Union Bank ("Union"). It was incorporated in the State of Vermont in 1982 to serve as a holding company for Union Bank. The Company's common stock is traded on the NASDAQ Global Select Market under the symbol "UNB". Union Bank was organized and 4 chartered as a State bank in 1891 and became a wholly owned subsidiary of the Company upon completion of the holding company reorganization in 1982. Both Union Bankshares, Inc. and Union Bank are headquartered in Morrisville, Vermont. The Company's business is that of a community bank in the financial services industry. The Company has one definable business segment, Union Bank, which provides full retail, commercial, municipal banking, and wealth management and trust services throughout its 20 banking offices, two loan centers, and several ATMs covering northern Vermont and northern New Hampshire. Also, many of Union's services are provided via the telephone, mobile devices, and through its website, www.ublocal.com . Union seeks to make a profit for the Company while providing quality retail banking services to individuals and commercial banking services to small and medium sized business corporations, limited liability companies, partnerships, and sole proprietorships, as well as nonprofit organizations, local municipalities and school districts within its market area. The Company's income is derived principally from interest and fees on loans and earnings on other investments. Its primary expenses arise from interest paid on deposits and borrowings, salaries and wages, health insurance and other employee benefits and other general over

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View this 10-K filing on SEC EDGAR